EVs are growing in popularity worldwide, thanks to consumer concerns about climate change; advances in battery technology that allow EVs to travel further on a charge; and the availability of hundreds of models designed to appeal to a wide range of vehicle buyer demographics. These factors, together with government incentives and a proliferation of charging infrastructure, are helping propel the global EV market toward double-digit sales growth this year.

However, despite this positive trend, various warning signs have begun to appear. For example, while new model launches and price reductions have led to a boost in sales of EVs, their impact on long-term EV demand remains to be seen. In addition, the recent decline in stock prices of several EV companies may make EVs less appealing to cost-conscious consumers. Meanwhile, technological issues and the lack of a broader network of charging stations have slowed the sector’s sales growth in some regions.

Despite these challenges, the industry remains optimistic about 2024 and its potential to drive EV adoption to even greater heights. This is because, according to Cox Automotive Economic and Industry Insights, the year ahead will bring more of everything that’s required for the EV revolution to continue to grow – more new products, more incentives, more inventory, more leasing, and more charging infrastructure.

The Cox Automotive team believes that a combination of these factors will result in more than 10 million Electric vehicle marketplace (EVs) sold in the United States this year. Moreover, the number of EVs in use will continue to grow. While the vast majority of EVs are still privately owned, there is increasing demand for public charging stations, especially in countries like Norway, where over 40% of vehicles have access to fast chargers, and Denmark and Iceland, where the share is over 30%.

In addition to providing convenience, faster charging allows owners to overcome one of the major barriers to EV ownership – range anxiety, which refers to the fear of driving an EV too far without having a place to recharge. This is why it is important for governments and the private sector to continue to invest in public charging infrastructure.

The table below highlights the number of EV models available in leading markets (BEVs in blue and PHEVs in green). Model availability is generally higher in China than in Europe, with both BEVs and PHEVs offered across most segments of the car market. The availability of EVs in heavy-duty vehicles (HDVs) is also expanding in key markets. This includes buses, which are the earliest and most successful case of electrification in this segment. In addition, the electrification of freight trucks is beginning to gain traction. This will be facilitated by the growing availability of commercial and industrial chargers. In fact, many truck makers have already announced their intention to introduce a fleet of all-electric trucks by 2025. This will increase their competitiveness and allow them to benefit from economies of scale in production. However, this will require significant investments in the underlying infrastructure.