China Leads Global EV Sales Growth Despite EU Tariffs

China continued to dominate the global electric vehicle (EV) market in February, with sales surging 76% year-on-year, according to Rho Motion. Despite European Union tariffs on China-made EVs, global sales of battery electric and plug-in hybrid vehicles grew 49% year-over-year to 1.2 million units. However, sales dipped 3% compared to January due to the timing of the Chinese New Year.

The EU imposed tariffs on Chinese EVs in late October 2024, impacting brands such as MG, owned by SAIC, whose European sales fell significantly. Between November 2024 and January 2025, SAIC’s growth in China-made vehicle sales in Europe was 19% lower than in the prior months. Other affected brands included Honda’s Dongfeng Honda, Tesla, Mercedes, Geely, Renault’s Dacia Spring, and Chinese automakers Nio and Xpeng.

Despite these tariffs, BYD expanded its market presence in Europe and increased its global share. European EV sales rose 19% year-over-year in February, marking the second straight month of double-digit growth since stricter EU CO2 emission regulations took effect. Germany’s EV market saw a 40% jump in the first two months of 2025.

North American EV sales grew 17% in February compared to the previous year. However, U.S. sales forecasts may be revised downward due to President Donald Trump’s stance on electrification. Meanwhile, Mexico’s EV market more than doubled, driven by a surge in Chinese EV imports that began in 2024.

While Chinese automakers face challenges in the European market, their global expansion remains strong, reinforcing China’s leadership in the EV industry.