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Record EV Sales in 50 Countries Offset Weakness in China and US, IEA Report Shows

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Global electric car sales rebounded sharply in the Q2 surging 35%, compared with the first three months and reaching record levels in 50 countries, according to a report from the International Energy Agency released on Thursday.

The rebound helped offset a broader 5% year-over-year decline in total global car sales from January through June, which was weighed down by weaker demand in the world's two largest automotive markets, China and the US, amid economic pressures and policy shifts, the agency said.

The surge in electric vehicle adoption was heavily catalyzed by an ongoing energy crisis stemming from Middle East conflict, which brought intense fuel price volatility into focus, it said.

Road vehicles account for nearly half of global oil demand, exposing the sector to supply disruptions, according to the report.

Consequently, policy and industry responses accelerated EV momentum, with sales in markets like Australia, Brazil, India, Korea, and Vietnam roughly doubling between March and June compared to the same period in 2025, the report added.

Driven by this acceleration and ongoing policy backing across Europe, Latin America, and Southeast Asia, global electric car sales are now projected to capture 29% of total car sales worldwide in 2026, the IEA noted.

Meanwhile, market dynamics continue to shift globally. For the first time this decade, electric car sales in China are expected to stagnate year-on-year due to domestic headwinds, even as over 60% of total car sales there remain electric, the report said.

However, Chinese manufacturers are aggressively expanding their international footprint.

Electric car exports from China in H1 nearly matched the total for all of 2025. With an estimated one million unsold Chinese EVs available in global markets, intensifying competition is set to reshape emerging markets and challenge other automakers as they vie for future leadership, as per the report.

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