Seoul, Jan 15 (Blitz India Business) The global market for electric vehicles (EVs) is expected to see significant growth this year driven by the plug-in hybrid electric vehicle (PHEV) segment, while the battery electric vehicle (BEV) segment may continue to face challenges, a think tank run by Hyundai Motor Group said on Wednesday.
Yang Jin-soo, head of the mobility industry research division at Hyundai Motor Group Business Research Center, predicted the global EV market, including BEVs and PHEVs, will grow from 17.2 million units in 2024 to 20.7 million units in 2025, reports Yonhap news agency.
While BEV sales are expected to grow 18.9 per cent on-year, PHEV sales are projected to jump 23.8 per cent, offsetting the growth slowdown in the BEV segment, according to Yang.
This trend is anticipated to be particularly pronounced in China, the largest EV market. BEV sales in China are expected to grow 13.1 per cent on-year to 6.97 million units, while PHEV sales are projected to climb 25.1 per cent to 6.4 million units.
In the United States, BEV sales are expected to gain 18.3 per cent to 1.94 million units, though challenges such as declining profitability and new policies under the incoming second Donald Trump administration could impact the market.
Yang projected the global automotive sales, including all fuel types, to rise 1.9 percent to 85.9 million units in 2025.
“Interest rate cuts in major markets are likely to boost purchasing conditions, particularly in the second half of the year,” he said.
In South Korea, however, tightened loan regulations and weakened consumer sentiment are seen as unfavourable factors, with demand predicted to rise by a modest 1.7 percent to 1.62 million units, according to Yang.