China: Is now the world’s largest EV market with BYD topping its sales at 4.27 million. China has 5x more EV models available than the US. Crucially, they have mastered the “small car” segment (e.g., the BYD Seagull), offering high-tech electric cars for under $10,000 USD—a price point Western carmakers haven’t yet reached.

United States: Sales reached approximately 1.5 million units in 2024. While growth is slower than in China, the market is heavily dominated by Tesla, which still holds nearly 50% of the US market share.

Europe: Faced a plateau in 2024 due to the removal of subsidies in Germany and other major markets. However, companies like BMW and Volkswagen are increasingly shifting production to meet strict CO2 targets. To protect local brands like Volkswagen and Renault, the EU recently imposed countervailing duties (tariffs) of up to 38% on Chinese-made EVs. This has forced Chinese companies like BYD and Chery to announce factories inside Europe (e.g., in Hungary and Spain).

As Western markets raise tariffs, Chinese brands are pivoting their exports toward Southeast Asia (Thailand, Indonesia), Latin America (Mexico, Brazil), and the Middle East. In these regions, Chinese EVs are often the only affordable options, allowing them to capture market share before Western legacy brands can scale.

Source: Google Gemini