New Record in Global Electric Car Sales

SadaNews Economy: Market research company "Ro Motion" reported on Wednesday that global sales of electric and hybrid cars rose by 26% in September compared to last year, reaching a record number of 2.1 million units, driven by strong demand in China and a late rush to take advantage of tax credits in the United States for purchasing these vehicles.

Company data manager Charles Lester noted that China accounted for nearly two-thirds of global sales at about 1.3 million units, while North America also recorded a new high as American buyers moved to grab tax incentives before they expired.

China Dominates

China is the largest car market in the world, capturing over half of global electric car sales, which Ro Motion's data indicates includes battery-operated and plug-in hybrid cars.

September is typically the month with the highest automobile purchases in China and saw sales rise as shoppers sought to maximize support for trading in old vehicles for new ones before some regions began phasing them out.

Ro Motion added that demand in the U.S. saw a sharp increase with the rush of shoppers seeking to take advantage of the $7,500 electric vehicle tax credit, although demand is expected to decline significantly in the fourth quarter "as both consumers and businesses lose the chance to access federal incentives that supported the purchase of electric vehicles."

Europe also recorded a new increase supported by incentives in Germany and strong demand in the UK, while the launch of Tesla's lower-cost "Model Y" in Europe is expected to intensify competition in the coming months.