Global Electric Vehicle Sales Surpass Two Million Units in September

A Monthly Record Driven by Conjunctural Factors

September 2025 will be remembered as the first month when global sales of electric vehicles and plug-in hybrids surpassed two million units. According to data from the research firm Rho Motion, this figure marks a 26% increase compared to September 2024, solidifying an upward trend that began at the start of the year.

In the first nine months of 2025, cumulative sales reached 14.7 million units, a 26% rise from the same period in 2024. China has emerged as the main driver of this growth with approximately 1.3 million vehicles sold in September, accounting for nearly 65% of global volumes. Europe also showed strong performance with 427,541 units sold, up 36% year-on-year, while North America recorded 215,000 sales, marking a dramatic 66% increase. This surge is primarily attributed to American consumers rushing to take advantage of the $7,500 federal tax credit before its scheduled expiration. The rest of the world contributed 153,594 vehicles, with a growth of 48%, reflecting a gradual spread of electromobility in emerging markets.

China Maintains Its Dominance Despite Mixed Signals

The Chinese market reaffirms its position as a global leader in the electric vehicle sector, even as September revealed some competitive tensions. Retail sales of new energy vehicles in China reached 1.296 million units last month, marking a 15.5% year-on-year increase. Fully electric vehicles particularly excelled with 826,000 units sold, setting a new monthly record and accounting for 63.7% of total electric vehicle sales.

This performance aligns with the traditional peak season known as the September golden month, during which manufacturers launch new models and consumers take advantage of renewal incentive programs. However, certain major players are reporting mixed results. BYD, the undisputed leader with a 26.7% market share in September, experienced a 5.5% decline in domestic sales compared to September 2024, though its volumes remain substantial at 347,353 units. Meanwhile, Chinese electric vehicle exports doubled in September to reach 222,000 units, highlighting Chinese manufacturers' internationalization strategy amid fierce domestic competition and production overcapacity that pressures margins.

Diverging Prospects Across Geographic Regions

While the figures for September paint an overall positive picture, the outlook for the coming months varies significantly across regions. In the United States, analysts expect a pronounced slowdown in the fourth quarter of 2025 due to the elimination of federal incentives. Some manufacturers like General Motors and Hyundai are attempting to cushion the blow by offering substantial commercial discounts, with Hyundai notably reducing the price of its 2026 IONIQ 5 by nearly $10,000 to bring it down to $35,000.

In Europe, the outlook remains more favorable thanks to the continuation of aid programs in several countries, particularly in Germany and the United Kingdom, although the gradual phasing out of subsidies in some member states tempers optimism. China is expected to continue displaying robust growth, with the International Energy Agency projecting a 60% market share for electric vehicles in 2025. For investors, these regional differences necessitate a careful analysis of manufacturers’ deployment strategies and their ability to adapt to local regulatory changes, while monitoring production costs and margins in an ongoing price war environment.