Global sales of electric and plug-in hybrid vehicles rose 24% in June compared to a year earlier, driven by strong demand in China and Europe, according to data released Tuesday by an independent research firm Rho Motion.
Sales of battery-electric and plug-in hybrid vehicles reached 1.8 million units in June. China led with a 28% increase to 1.11 million vehicles, while Europe saw a 23% rise to about 390,000 units.
Sales in the rest of the world, including emerging markets in Southeast Asia and Latin America, climbed 43% to over 140,000 vehicles. North America was the only region to see a decline, down 9% to just over 140,000 units.
The slowdown in North America included a 1% drop in the United States, where sales are expected to remain weak this year. The decline follows a recent spending bill signed by President Donald Trump, which ended tax credits for EVs earlier than expected.
Canada also reported slower growth, and for the first time, the region trailed behind other emerging markets.
In Europe, sales are supported by incentives in markets such as Germany and Spain, as well as growing access to low-cost EVs. Chinese manufacturers, including BYD, are gaining market share in Europe and contributing to growth in developing countries, alongside European brands like Volkswagen and Renault.
Rho Motion said automakers face further pressure in the United States due to a 25% import tariff, which has led several companies to withdraw their 2025 sales forecasts.
The firm added that while some Chinese cities have reduced EV subsidies, more funding is expected to return in the second half of the year, which could increase demand by the end of 2025.
