Global BEV sales in the first half of 2022 rose by 81% compared to the equivalent period last year. This is impressive in its own right, but even more so when one considers that overall global sales of all powertrains actually fell by 12% in the same period.
Much of the increase can be attributed to China, where BEV sales more than doubled in H1 2022 relative to H1 2021 to more than two million. PHEV sales growth was even more rapid in China, up by 170% in H1 2022 vs. H1 2021, although the absolute number of PHEV sales were significantly lower than for BEVs. The particularly high PHEV growth rate can be partially explained by the continuing high cost of the larger BEV batteries and product availability.
The PHEV market in Europe has been heading in the opposite direction, as OEMs prioritize BEV sales in order to meet emissions targets and burgeoning customer demand. In the first half of 2022, overall PHEV sales decreased by 14% in the ten European markets analyzed relative to the same period last year. Given the EU’s recent commitment to measure PHEV CO2 emissions based on what the vehicles actually emit, potentially replacing previous figures often accused of being unrealistically low, the priorities of European OEMs are only likely to be reinforced.
As EV start-ups are now finding it increasingly challenging to raise the market funding they need to continue and expand their operations, established OEMs are in an ideal position to benefit from this market growth.
PwC Autofacts® and Strategy& have analyzed electric vehicle sales worldwide for the second quarter of 2022.