One of the highlights from the report is that the electric car market has been seeing exponential growth over recent years. While less than 5% of all new cars sold in 2020 were electric, this number increased to around 9% in 2011 and 14% in 2022. This trend has continued into 2023, with over 2.3 million electric cars sold in the first quarter, which is about 25% more than what was sold in the same period during 2022. The IEA predicts about 14 million in sales by the end of 2023, which would represent a 35% year-on-year increase. This would mean EVs could account for 18% of total car sales across the full calendar year. According to the IEA, sales will be bolstered by national policies and incentives, as well as a return to the exceptionally high oil prices that were seen last year.
The report also highlighted that emerging electric vehicle markets are showing a lot of promise. While China, Europe, and the United States are the three biggest markets for Evs, sales in countries like India, Thailand, and Indonesia more than tripled compared to 2021. India is also ramping up EV and component manufacturing, while Thailand and Indonesia are strengthening their policy support schemes. Due to market trends and policy efforts in major car markets, the IEA predicts a bright outlook for EV sales. The prediction is that China will retain its position as the largest market for electric cars, with about 40% of total sales by 2030. They also estimated that the United States would double its market share to 20% by the end of the decade, and Europe would maintain its 25% share. In addition, the report also states that higher sales might be achievable for electric cars than anticipated. This is due to the fact that the battery manufacturing capacity is set to meet the demands for 2030 and possibly even exceed them.
Other highlights from the report are that global spending on electric cars is up and that consumers can choose from an increasing number of EV options. The EV market is also increasingly competitive, with more affordable models coming from new entrants in China and other emerging markets. Visit the official IEA website for an executive summary or to download the full Global EV Outlook 2023 report (https://www.iea.org/reports/global-ev-outlook-2023/executive-summary).
