China Leads the EV Race. Is the Rest of the World Falling Behind?

Global EV Sales: Emerging Markets Surge, West Stalls

Electric vehicle (EV) adoption is accelerating worldwide, with more than 17 million EVs sold in 2024 roughly 1 in 5 new cars. But when we look closer, the growth story is far from uniform. Emerging markets are stepping up in a big way, nearly doubling their EV sales in just one year. Countries like India and Brazil saw remarkable jumps around 45% and 40%, respectively. It's clear that the momentum is shifting, and developing economies are no longer sitting on the sidelines.

 

On the flip side, regions like Europe and the United States are seeing a slowdown. EV sales there have leveled off. In Europe, market share is stuck near 20%, constrained by shrinking subsidies and higher car prices. In the U.S., the share hovers around 10%, slowed by infrastructure issues and consumer hesitation.

As one European policymaker put it, "The will is there, but the ecosystem is falling short."

 

China: The EV Powerhouse

Then there’s China the undisputed heavyweight in the EV world. In 2024 alone, Chinese automakers produced about 70% of all EVs globally. That’s staggering. Two-thirds of global EV sales around 11 million vehicles happened in China. Nearly half of all new cars sold there are electric, and by next year, that could cross 60%.

 

Companies like BYD, Geely, and Nio have found a winning formula: competitive pricing, government support, and supply chain mastery. The average EV in China costs about $34,000. Add to that China's grip on battery production and raw materials, and it’s no surprise that they’re ahead. This dominance is pushing other countries—especially in the West—to rethink their strategies.

"We are not just competing with companies," a U.S. official remarked, "we're competing with national industrial policy."

 

Projected Growth: EVs to Reach 25% Globally by 2025

Looking ahead, 2025 is shaping up to be another landmark year. If trends hold, 1 in 4 new cars sold globally will be electric about 20 million vehicles. But again, this growth won’t be evenly spread.

 

China is expected to lead with a 55–60% market share. Europe might touch 25–30%, assuming incentives return and confidence bounces back. The U.S. will likely stay behind, with shares between 10% and 15%. Battery costs are falling, more models are entering the market, and people are getting more comfortable with the idea of owning an EV. Still, a lot depends on fixing a very real problem: where do you charge these cars?

 

Charging Infrastructure: Lagging Behind EV Adoption

Here’s the crunch. While EVs are hitting the road in record numbers, the places to charge them aren’t keeping up. By the end of 2024, there were about 5 million public chargers worldwide. Sounds like a lot until you remember there are nearly 60 million EVs out there.

 

Urban areas are feeling it most. Not everyone has a private garage or driveway. In cities across the U.S. and Europe, more than half of potential EV drivers rely on public chargers—and those are often in short supply. China again leads the way, with 65% of the world’s public chargers. The U.S. has about 200,000; Europe has around 1 million. The result? Long queues, frustrated drivers, and the rise of what some call "charging anxiety."

As one EV owner in New York recently said, "Finding a charger that’s working, available, and fast feels like a daily lottery."

 

Policies to Accelerate Charging Infrastructure

So what’s the fix? It starts with planning. Governments need to build charging infrastructure into their urban strategies. That means setting clear goals, using data to find the best locations, and ensuring that every neighborhood not just the wealthiest—has access.

 

Public-private partnerships can help, especially if governments offer the right incentives. Faster permits, simpler rules, and EV-ready building codes can make a big difference. Grid upgrades are also critical. As demand for electricity grows, smart charging solutions and renewable integration will become essential.

As a city official from Singapore noted, "EV infrastructure isn’t a side project—it’s the backbone of our mobility future."

 

These aren’t just nice-to-haves. They’re the groundwork for keeping the EV transition on track.

 

EVs at the Global Stage: Tianjin's Annual Meeting of the New Champions

All these issues are front and center at the World Economic Forum’s 2025 Annual Meeting of the New Champions in Tianjin happening this week. It’s a fitting venue China’s leadership in EVs is hard to ignore, and the rest of the world is watching closely.

 

The conference is expected to dive deep into global cooperation: setting standards, securing supply chains, and integrating EVs into broader climate goals. It’s also a chance for countries to learn from each other what’s working, what’s not, and how to move faster without leaving anyone behind.

As one delegate put it, "This is not just about technology it’s about trust, timing, and transforming the rules of the road."

 

The Road Ahead

The EV shift isn’t just about cars - it’s about economies, infrastructure, and climate commitments. The growth is real. The opportunity is huge. But the gaps are just as visible. Charging needs to be as accessible as the vehicles themselves. Policies need to stay ahead of the curve. And the benefits of this transition need to reach every community, not just a few.

 

The next year will be critical. The choices made now by governments, businesses, and cities will shape whether EVs become a universal solution or a missed opportunity. The direction is clear. It’s time to accelerate.

 

Explore ESG Solutions on our marketplace - OneStop ESG Marketplace.

 

Keep abreast of the top ESG Events on OneStop ESG Events.

 

OneStop ESG Educate: Your go-to source for top ESG courses and training programs tailored to your needs.