The latest report from market research firm Rho Motion indicates that global electric vehicle (EV) sales are projected to rise by 12% year-over year in March 2024, totaling approximately 1.23 million units. The increase is uneven across major markets, with China experiencing a robust 27% growth in sales. The United States and Canada also saw a notable increase of 15%. However, Europe contrasted these positive trends with a 9% decline in EV sales.
▲Renault Scenic E-Tech
Charles Lester, a data manager at Rho Motion, commented on the findings: “While the overall growth rate of global electric vehicle sales has moderated, the market still shows positive dynamics.” Originally, Rho Motion had anticipated a more aggressive growth rate of 25% to 30% for global EV sales in 2024. However, Lester now suggests that this year’s growth might align more closely with the lower end of their forecast.
The situation in Europe is particularly concerning when compared to the progress seen in China and North America. Analysts have observed a slowdown in the sales of new energy vehicles across European markets, attributing it to a dampening consumer interest, which might lead to stagnant market share for EVs in the region this year.
▲Jean-Dominique Senard, Chairman of the Renault Group
JeanDominique Senard, Chairman of the Renault Group, attributes the sluggish pace in Europe partly to the reduction of government subsidies. He emphasized the critical timing for such support, stating, “Subsidies should not be permanent, but we need them now.” He pointed to Germany’s recent decision to cut subsidies as a significant destabilizer for the EV market, potentially causing a drop in demand throughout 2024.
The contrasting trajectories of EV market development underscore the impact of regional policies and economic factors on the adoption of new energy vehicles.