Over 1.2 cr EVs sold in 2022 globally, may reach 1.7 cr by 2023 end

The global passenger electric vehicle (EV) sales rose by 53 per cent (year-on-year) in Q4 2022 to bring the year`s total to over 10.2 million (more than 1.2 crore) units, a report showed on Monday.

Tesla`s Model Y remained the best-selling model globally followed by China-based BYD`s Song model.

During Q4 2022, battery EVs (BEV) accounted for almost 72 per cent of all EV sales, while plug-in hybrid EVs (PHEVs) accounted for the rest, according to Counterpoint Research.

According to senior analyst Soumen Mandal, by the end of 2023, EV sales are expected to reach nearly 17 million units.

In 2022, the top three EV markets were China, Germany, and the US. The top 10 EV automotive groups, which hold more than 39 passenger car brands, contributed to almost 72 per cent of all EV sales in Q4 2022.

"The annual total for 2022 would have reached close to 11 million units had fresh Covid-19 infections not surfaced in China. The infections in China during November and December affected automotive production and sales and disrupted the component supply chain," said research analyst Abhik Mukherjee.

Despite these headwinds, Chinese brands managed to record strong growth.

In 2022, many Chinese brands started to expand in markets like Europe, Southeast Asia and Latin America.

"Chinese brands are likely to dominate in Southeast Asia and Latin America as there are very few brands operating in these regions. But a fight for market presence is expected in Europe," Mukherjee added.

The top 10 EV models accounted for one-third of the total passenger EV sales in Q4 2022. 

According to Mandal, by the end of 2023, EV sales are expected to reach nearly 17 million units.

"The end of the purchase subsidy in China might push EV manufacturers to increase their prices. BYD has already implemented one price hike in January. But these price hikes are unlikely to affect EV sales in one of the most matured EV markets," said Mandal.