More than a decade after the first commercial mass-market battery electric vehicle (BEV) hit the road, electric cars are gobbling up larger and larger portions of the global vehicle market. Automakers and governments have invested billions of dollars into developing EVs and providing subsidies.
The global fleet of electric cars has now exceeded 50 million units. A trends report published by the International Energy Agency recently outlined the most significant trends the swiftly growing sector went through in 2025.
Starting on a bright note, one in every four cars sold globally last year was electric. The global EV market grew by 20% from the previous year to over 20 million units sold in 2025, with the share of EV sales rising to 25%. For the EV industry, 2025 sales represented the fifth year in a row where yearly EV sales jumped by around 3.5 million, bringing the global share of electric cars to 5%.
Furthermore, the 2025 surge in EV sales displaced 1.2 million barrels of oil daily throughout the year. The trends report also notes that Europe reported the strongest electric vehicle sales growth compared to China and the United States.
Policy support in Europe caused EV sales on the continent to increase by over 30% to around 4.2 million units, bringing the share of new vehicles sold captured by EVs up to 28%. EV sales in the European Union (EU) reached close to 3 million units with 24 out of 27 member states reporting a rise in their EV sales shares.
Changes to the European Union’s CO2 standards were largely responsible for the increased EV sales. In late 2025, the European Commission proposed a measure that would support European-built EVs and electrified company fleets.
In China, nearly 55% of all new vehicles sold last year were electric. With over 13 million EV units sold in 2025 and six out of every 10 global EV sales occurring in China, the Asian powerhouse is undoubtedly the largest electric vehicle market on the globe. This brought the number of electric vehicles on China’s roads by the end of the year to a whopping 44 million units, making up 13% of China’s entire fleet of vehicles.
Unfortunately, things weren’t as great for the United States, currently the third-largest EV market in the world. EV sales in the country saw a sharp drop in Q4 2025 largely due to policy shifts that made electric cars less economically attractive to customers.
In addition to eliminating federal subsidies for new EVs, the Trump administration also got rid of financial penalties for not complying with fuel economy standards, reducing the need for automakers to sell EVs in the country. As a result, new EV sales in Q4 2025 fell by 45% compared to Q4 2024 and canceled out the 15% gain made in the first three quarters.
For entities like Massimo Group (NASDAQ: MAMO) that focus on electrified watercraft and powersports vehicles, the policy changes in the U.S. have also presented considerable headwinds and they will now have to be more innovative to keep their sales growing under such conditions.
About GreenCarStocks
GreenCarStocks (“GCS”) is a specialized communications platform with a focus on electric vehicles (“EVs”) and the green energy sector. It is one of 75+ brands within the Dynamic Brand Portfolio @ IBN that delivers: (1) access to a vast network of wire solutions via InvestorWire to efficiently and effectively reach a myriad of target markets, demographics and diverse industries; (2) article and editorial syndication to 5,000+ outlets; (3) enhanced press release enhancement to ensure maximum impact; (4) social media distribution via IBN to millions of social media followers; and (5) a full array of tailored corporate communications solutions. With broad reach and a seasoned team of contributing journalists and writers, GCS is uniquely positioned to best serve private and public companies that want to reach a wide audience of investors, influencers, consumers, journalists and the general public. By cutting through the overload of information in today’s market, GCS brings its clients unparalleled recognition and brand awareness. GCS is where breaking news, insightful content and actionable information converge.
To receive SMS alerts from GreenCarStocks, text “Green” to 888-902-4192 (U.S. Mobile Phones Only)
For more information, please visit https://www.GreenCarStocks.com
Please see full terms of use and disclaimers on the GreenCarStocks website applicable to all content provided by GCS, wherever published or re-published: https://www.GreenCarStocks.com/Disclaimer
GreenCarStocks
Austin, Texas
www.GreenCarStocks.com
512.354.7000 Office
[email protected]
GreenCarStocks is powered by IBN
