🔌How China Took the Wheel in the Global Electric Vehicle Race

In just a few years, China has gone from trailing the global electric vehicle (EV) race to steering its direction.

China’s roads used to hum with the roar of internal combustion engines. Not anymore. In 2024, nearly half of all new cars sold in China—48%—are electric, a figure that dwarfs the global average of 22% and places China well ahead of most advanced economies.

The numbers, drawn from the latest Global EV Outlook published by the International Energy Agency, chart a meteoric rise: from barely 2% in 2017 to 48% today. While Norway still boasts the highest share (92%), China’s scale and momentum make it the true bellwether of electric mobility.

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🔋 Industrial Muscle Meets Political Will

China’s ascent in EVs is no accident. It’s the result of a long-term strategy that blends state subsidies, industrial policy, and urban air quality mandates. Local governments offered license plate lotteries skewed in favor of EVs. Consumers were lured with purchase subsidies and tax exemptions. And domestic manufacturers, notably BYD and NIO, were nurtured until they could rival, and in some cases surpass, global players.

This state-capitalist model may not appeal to free-market purists, but it works. BYD recently overtook Tesla in quarterly EV sales, and Chinese EVs are now flooding global markets from Europe to Southeast Asia.

📈 From Laggard to Leader

To understand China’s rise, a quick look back is illuminating. In 2015, China’s EV share was negligible. By 2020, it had crossed 5%, still modest. But post-2020, the graph steepens like a rollercoaster: from 6% in 2020 to 15% in 2021, then nearly doubling year after year to today’s 48%. In contrast, the United States crawled to just 10% in 2024, while the EU plateaued at 21%.

China didn’t just catch up—it leapfrogged.

🌏 Why This Matters for the Planet

China accounts for over 30% of global car sales, so its EV pivot is a climate game-changer. The carbon footprint of a car is largely determined by how it’s powered, and in China’s case, the grid is greening too. Though coal still dominates, renewables and nuclear are gaining share, making the average Chinese EV cleaner by the year.

Moreover, China dominates the entire EV value chain—from battery metals to gigafactories, from charging networks to vehicle exports. This gives it leverage not just in trade, but in global decarbonization policy.

⚠️ The Road Ahead Isn’t Without Bumps

Still, challenges loom. A cooling domestic economy, supply gluts, and overcapacity could slow the momentum. And as subsidies phase out, weaker firms may collapse. Internationally, protectionist backlash is rising: the EU is investigating Chinese EVs for alleged state aid violations, and the U.S. has imposed fresh tariffs.

But even if growth slows, the trajectory is clear. China has already built the momentum. The world is no longer asking if it will lead the EV future—only how it will wield that power.

🔚 Redefining the Rules of the Road

While others debate targets and issue roadmaps, China is simply hitting the accelerator. In a world where the race to zero emissions will define 21st-century mobility, China is not just participating—it’s writing the rules.