According to the Counterpoint report on July 5th, the sales of battery electric vehicles (BEVs) are expected to reach a milestone of 10 million vehicles by 2024, which is a significant achievement for the global passenger vehicle market. This milestone will coincide with the long-term decline trend of market share of internal combustion engine (ICE) vehicles, and its market share is expected to drop below 50% within four years.

Although there will be a temporary slowdown in 2024, BEV sales are expected to continue to grow as traditional auto manufacturers face profitability challenges. The growth will be supported by production process transformation and strategic cooperation with battery manufacturers, aiming to reduce manufacturing costs, produce moderately priced electric vehicles, and strengthen the supply chain.

When discussing the transition to electric vehicles, Abhik Mukherjee, research analyst at Counterpoint, said, "Automakers such as Ford, GM, Stellantis and Volkswagen are positioning themselves to compete with market leaders by transforming their supply chains and preparing to produce economical electric vehicles below $35,000. This strategic reform is not only aimed at meeting stricter emissions regulations, but also at taking advantage of evolving subsidies and growing consumer demand to revitalize the global pure electric vehicle market from the end of 2025."

China remains the dominant force in the pure electric vehicle market, with its pure electric vehicle sales in 2024 expected to be four times that of North America. In addition, China is expected to maintain a global pure electric vehicle sales share of over 50% before 2027, and is expected to surpass the total sales of North America and Europe in 2030. Starting from 2025, Europe and the United States will begin to be the main driving factors for growth.

BYD's market share of pure electric vehicles is expected to soar in 2024, and is expected to surpass Tesla's pure electric vehicle sales that year. This shift highlights the vitality of the global electric vehicle market.

As traditional automakers turn to electric and hybrid vehicles, including plug-in hybrid electric vehicles (PHEVs) and hybrid electric vehicles (HEVs), they will continue to dominate the electric vehicle sub-market in the short term. In order to meet strict fleet emission standards, automakers are promoting PHEVs and HEVs until they achieve cost-effective pure electric vehicle manufacturing processes and obtain strong control over the supply chain. This strategy is consistent with the wider industry's efforts to streamline the transition to electric travel, which requires significant investment in charging infrastructure and grid upgrades.