Global electric vehicle (EV) sales are expected to vault over 6 million this year, reported Wood Mackenzie, a Verisk business, in a recent press release. In fact, sales in the first half of 2021 nearly tripled worldwide compared to the first half of last year. Some of the increase can be attributed to slow vehicle sales caused by the pandemic in 2020. Share of EV sales in global passenger car sales doubled compared to the same period last year and now stands at 7% globally. According to this market research and consulting firm, there has not been a year when ICE (internal combustion engine) sales were displaced at this rate. 

“In the past three years, we have seen a clear trend of EV sales exploding toward the end of the year,” says Wood Mackenzie’s Head of Road Transportation Ram Chandrasekaran. “As such, H2 2021 sales will likely outperform H1 sales of 2.4 million EVs. The current trend points to levels slightly over 6 million for the full year, with year-long sales exceeding 2.5 million each in China and in Europe. Policy measures passed by both regions for a green recovery from the Covid crisis appear to have a positive effect as far as the passenger transport sector is concerned.”  

China led the battery electric vehicle (BEV) market in the first half of 2021. The country’s share of BEVs leapt to 9.3%, nearly 2% higher than the European share. In terms of total numbers, BEV sales in China reached 900,000 units, nearly double the sales in Europe. 

The EV share in the United States has gone up by a modest 1.4%, resulting in more than 270,000 sales in the first half of the year. Price continues to be a pain point for consumers as EVs are mostly catered to the luxury end of the segment. Although the current U.S. Administration has announced support toward transport decarbonisation, proposed regulatory and legislative changes have yet to be seen. 

“Of larger concern is that while China and Europe combined accounts for 47% of all car sales globally, they contributed to over 85% of all EV sales in H1 2021,” Chandrasekaran said.” The two regions are clearly the vanguard for transport decarbonization, but there needs to be a focus on making it a more global phenomenon.”