Drop in Electric Vehicles Sales May Affect Automotive Economy of China

Based on surveys, the growth rate of electric vehicles shows downward momentum at a faster pace in 2024. Different nations like China, the United States, and the United Kingdom are trying to integrate electric vehicles into the clean energy transition process. However, the western countries are imposing taxes on the Chinese-made electric vehicles. Similarly, it applies to those  European electric vehicle makerss outsourcing it to China. Thus, it can be a significant reason behind the slowdown of electric vehicle adoption in Europe. The United States did the same, even before the European Commission announced imposing tariffs on electric vehicles in 2024. In other Western countries like Germany and New Zealand, a lack of government funding to boost EV production leads to a drop in EV sales. However, the drop in EV sales may be difficult for China as its EV production rate is higher. In this case, the country may suffer from economic instability, oversupply of products in the market, and other situations.

Moreover, experts claim that other lacunas in electric vehicles can be a reason for slow growth. These include longer charging time, lack of charging infrastructures, high cost of vehicles, limited type of models, stipulated driving range, and the like. Thus, a slowdown in EV sales may significantly impact clean energy transformation. However, some surveys state that there is misinformation regarding the drop in sales of electric vehicles in 2024.

                       Estimation of Drop In Salea For Electric Vechicles By 2025