Global electric vehicle sales surged to a new monthly record of 2.1 million units in September 2025, driven by strong demand in China, Europe, and the United States, even as expiring incentives in North America begin to temper the market’s pace and prompt swift responses from automakers.
This unprecedented growth pushed year-to-date EV sales to 14.7 million units, marking a 26% increase over the previous year, according to analysis by research firm Rho Motion.
Despite the global acceleration, North America faces a predicted slowdown in the final quarter of the year. Sales in the region soared by 66% in September as consumers rushed to claim federal incentives set to expire. However, Rho Motion anticipates a cooling trend as these tax credits vanish.
Automakers are already reacting to the changing landscape in the United States. Hyundai has reduced prices on its electric models. Mercedes-Benz halted production of four EV models. General Motors suspended a shift at its Spring Hill, Tennessee, plant, while Volkswagen paused production of its ID.4 model in Tennessee. Nissan also canceled earlier plans to manufacture EVs in the U.S.
In contrast, Europe recorded its own monthly high, selling 427,000 EVs in September, a 36% increase from the same month last year. The United Kingdom led this surge, partly driven by new license plate releases and the government’s Electric Car Grant. The European market’s year-to-date sales reached 3 million units, up 32%. Germany further boosted the sector by approving a new incentive package worth approximately $3.24 billion. Italy and Spain also saw significant growth, increasing by two-thirds and more than double their 2024 sales, respectively.
China maintained its dominant position as the world’s largest EV market, selling 1.3 million electric vehicles in September alone. Sales of purely battery electric vehicles (BEVs) in China grew by 28% to 800,000 units during the month. The country’s year-to-date sales neared 9 million EVs, a 24% rise, solidifying its market leadership and maturity.
Globally, the regional breakdown of year-to-date sales shows China accounting for 9.0 million units (+24%), Europe for 3.0 million units (+32%), North America for 1.5 million units (+11%), and the rest of the world for 1.2 million units (+48%). South Korea also contributed to the overall growth, reporting record sales bolstered by brands like Tesla, Hyundai, Kia, and increased imports from BYD.