The electrification of transportation is a global phenomenon, one that the United States is a part of, but not leading. Around the world, electric vehicle adoption is surging, from Asia and Europe to emerging markets in Latin America and even Africa. Recent sales figures prove that EVs are not just a passing trend. Here’s a look at the latest EV market trends in 2025, proving that electric vehicles continue to gain ground despite political and economic challenges.
Where America Stands on EV Adoption
Many skeptics dismiss EVs as a politically driven fad, but they overlook a crucial fact: electrification is a global movement, not just a regional trend. Globally, electric vehicle sales increased 25% in 2024. Analysis from the International Energy Agency and OurWorldInData shows that global sales of vehicles powered by internal combustion engines (ICE) peaked back in 2018. EVs, plug-in hybrids, and mild hybrids have steadily gained market share as ICE cars have declined globally. While the U.S. has made significant strides in EV adoption, it still lags behind many other major markets.
For the time being, China is the leader in EVs, at least among global superpowers. It’s without a doubt the world’s largest EV market in terms of annual sales. In 2024, battery electric vehicle (BEV) market share in China reached an impressive 27%, with 11 million EVs sold.
In 2024, battery electric vehicles made up 14% of new car sales in the European Union and just 8% in the U.S. The United Kingdom is charging ahead (pun intended), with one in five new cars sold being fully electric. France followed with 16% BEV market share, while Germany declined to 14% as incentives ended. Several European nations have surpassed the 50% mark, with Norway leading the world at 89% BEV market share in 2024. Iceland and Sweden are close behind.
A surprising leader in the Americas is Costa Rica, where 17% of new cars sold in 2024 were BEVs. While the U.S. is making progress, it is clear that the country is not at the forefront of the EV revolution. However, recent market trends show that demand is growing, and more Americans are making the switch.
February Sales Data Highlights U.S. EV Market Strength
Despite political and economic challenges, EV adoption in the U.S. remains strong. Cox Automotive’s latest EV Market Monitor for February 2025 provides compelling data on the continued growth of electric vehicles in the country.
New EV Sales: Record February Numbers
While new EV sales saw a slight month-over-month decline due to expected seasonal trends, February 2025 marked a record high for the month. Year-over-year, new EV sales volume increased by 10.5%, though market share dipped slightly to 7.7%. Luxury brands performed particularly well:
- BMW and Rivian saw strong growth, with sales increasing by 20.9% and 34.0%, respectively.
- Tesla’s overall sales declined by 10.0%, largely driven by drops in the Cybertruck (-32.5%), Model 3 (-17.5%), and Model Y (-3.1%). But that wasn’t enough to knock Tesla off the throne of EV sales.
- The five best-selling EV models in February 2025 were:
- Tesla Model Y
- Tesla Model 3
- Ford Mustang Mach-E
- Honda Prologue
- Rivian R1S
👉 We track EV market share by brand here
Used EV Sales: Strong Year-Over-Year Growth
Used EV sales saw an impressive 34.2% increase year-over-year in February, highlighting the growing demand for pre-owned electric models. Tesla maintained its dominance in the used EV market, accounting for 39.9% of total sales. However, month-over-month, Tesla’s used EV sales volume dipped by 9.2%.
The market supply of used EVs also reflected shifting dynamics, with the days’ supply reaching 49 days, a slight 5.9% month-over-month increase but a notable 21.5% year-over-year decrease. This suggests that used EVs are selling at a much faster rate than the previous year, reinforcing their growing appeal among buyers.
EV Prices: New EVs Are Becoming More Affordable
The cost of EV ownership is gradually becoming more accessible. In February, the average transaction price (ATP) for new EVs was $55,273, marking a 1.2% month-over-month decline but a 3.7% increase year-over-year. Incentives for new EVs reached 14.9% of ATP, making them more affordable for consumers. This is much higher than incentive levels in the overall market, which totaled 7.1% of the average transaction price.
On the used market, the average listing price for EVs was $38,057, reflecting a 1.8% month-over-month increase and a 1.6% year-over-year rise. Notably, 39% of used EVs sold were priced under $25,000, offering budget-friendly options for buyers looking to go electric. These trends indicate a growing affordability that could encourage wider adoption in the near future.
More EV Choices and Better Charging Infrastructure
With 70 fully electric models available in the U.S. market in 2025 and a dozen more launching by the end of the year, EV buyers have more choices than ever before. One of the biggest hurdles to EV adoption—charging infrastructure—is improving rapidly.
- As of February 2025, the U.S. has 51,373 DC fast charger ports, a 100% increase since July 2022. See the latest EV charger totals at driveelectric.gov.
- Tesla’s Supercharger network remains the most reliable and accounts for 56% of the nation’s fast chargers.
- Major automakers like Ford, GM, Rivian, and Lucid now have access to Tesla’s Supercharger network, effectively eliminating range anxiety for many EV drivers.
EVs Are Here to Stay
The numbers don’t lie. Electric vehicles are not just a niche product but a growing force in the auto industry. While the U.S. may trail behind some international markets, EV adoption continues to rise, with new and used EV sales increasing year over year. Prices are becoming more competitive, and charging infrastructure is expanding rapidly. Despite political headwinds, the momentum behind EVs is undeniable.
Future innovations will help to accelerate the switch, even if ICE-powered vehicles remain in the market for decades to come. Chinese automaker BYD just teased 5-minute charge times, and numerous automakers have advanced solid-state batteries in development. Charging is getting even better with the automaker-funded Ionna charging network growing quickly in 2025. The future is looking bright for those considering the switch to an EV.
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