Following another year of robust growth, global sales of electric cars are on track to surpass 20-million this year, accounting for over a quarter of cars sold globally, according to the new edition of the International Energy Agency’s (IEA’s) yearly ‘Global Electric Vehicle (EV) Outlook’.

The report, published on May 14, shows that, despite recent economic headwinds that have put pressure on the automotive sector, global EV sales have continued to break records as electric models become increasingly affordable.

Sales exceeded 17-million globally in 2024, putting EVs’ share of the global car market above 20% for the first time, as forecasted by the IEA previously. And in the first three months of this year, electric car sales were up 35% year-on-year.

All major markets, and many others, saw new records for first-quarter sales.

The report indicates that China maintains its position as the EV market leader, with electric cars accounting for almost half of all car sales in 2024. The number of electric cars sold in China last year – more than 11-million – is equivalent to the total sold worldwide in 2022.

Meanwhile, emerging markets in Asia and Latin America have also become new centres of growth, with total electric car sales across these regions surging by more than 60% in 2024.

In the US, electric car sales grew by about 10% year-on-year, reaching more than one in ten cars sold. However, Europe saw sales stagnate as subsidy schemes and other supportive policies waned, though the market share of electric cars remained at about 20%.

“Our data shows that, despite significant uncertainties, electric cars remain on a strong growth trajectory globally. Sales continue to set new records, with major implications for the international auto industry.

“This year, we expect more than one in four cars sold worldwide to be electric, with growth accelerating in many emerging economies. By the end of this decade, it is set to be more than two in five cars as EVs become increasingly affordable,” IEA executive director Fatih Birol said.

Uncertainties over global economic growth and the evolution of trade and industrial policies could affect the outlook. But sales of EVs are being supported by their increasing affordability, the report finds.

On a global level, the average price of a battery electric car fell in 2024 amid growing competition and declining battery costs.

In China, two-thirds of all electric cars sold last year were priced lower than their conventional equivalents, even without purchase incentives. However, the purchase price gap with conventional cars persisted in many other markets, the report showed.