Global sales of electric vehicles rose to 20.7 million units in 2025, up 20% from the previous year, according to a new report by market research firm Rho Motion, marking the largest annual increase on record for the sector.
The total represents an increase of 3.6 million vehicles compared with 2024, exceeding the 3.5 million-unit rise recorded a year earlier and indicating continued acceleration in absolute sales growth. Rho Motion said electric vehicle sales have now increased year on year for more than a decade.
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Growth was uneven across regions. China remained the world’s largest EV market, with sales rising 17% to 12.9 million units. Europe recorded a 33% increase to 4.3 million vehicles, while sales in the rest of the world climbed 48% to 1.7 million units. North America was the only major region to post a decline, with EV sales falling 4% year on year to 1.8 million units.
Rho Motion data shows that policy changes played a role in regional volatility. In Europe, the abrupt removal of purchase incentives in Germany at the end of 2023 weighed on demand in 2024 before sales rebounded strongly in 2025. A similar pattern emerged in the United States, where the expiration of federal incentives led to a surge in purchases ahead of the deadline, followed by weaker demand in subsequent quarters.
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The increase in EV sales contrasts with longer-term trends in the internal combustion engine market. Global sales of petrol and diesel vehicles remain around a quarter below their 2017 peak, according to industry data, and have not returned to those levels.
Some analysts have argued that public narratives around slowing EV demand have influenced policy and corporate planning. David Reichmuth of the Union of Concerned Scientists has said automakers have cited weaker-than-expected EV demand in discussions with regulators, contributing to revisions of emissions targets in some markets.
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Rho Motion said the latest figures underline that global EV adoption continues to expand, despite short-term fluctuations linked to incentives, regulation and market-specific conditions.