Global electric vehicle sales increased for the fifth month in a row in July 2026, supported by strong demand in Europe even as sales weakened in China and North America. Worldwide sales of battery-electric vehicles and plug-in hybrids rose by 9% year on year to 1.85 million units in July.

This brought total EV sales for the first seven months of 2026 to 11.5 million vehicles.ьThe latest figures highlight a growing difference between the world’s major electric-car markets.

Europe is benefiting from renewed subsidy programmes and stronger consumer demand, while the US market is adjusting to the end of federal tax credits. In China, meanwhile, domestic sales have slowed, pushing manufacturers to rely more heavily on exports.

Europe drives global growth

Europe was the strongest major EV market in July. Sales increased by 23% compared with the same month a year earlier, reaching around 450,000 vehicles. Growth for the first seven months of the year stood at 28%.

The increase was particularly strong in several of Europe’s largest car markets. France recorded an 81% rise in EV sales in July, while Germany posted growth of 46% and Britain 43%.

One of the key reasons is the return of electric-car incentive schemes in several countries over the past 18 months. These subsidies have helped make EVs more attractive to consumers and supported demand at a time when manufacturers are also introducing a wider range of electric models.

Europe’s strong performance was enough to offset weaker results elsewhere and keep global EV sales moving higher.

China records a decline

China remains by far the world’s largest electric vehicle market, but July sales moved in the opposite direction.

EV sales in the country fell by 5% year on year to approximately 980,000 units.

Even after the decline, China still accounted for more than half of global EV sales during the month. However, weaker domestic demand means Chinese manufacturers are increasingly looking overseas for additional growth.

Exports are therefore becoming more important for the country’s EV industry, particularly as Chinese brands expand their presence in Europe and other international markets.

North America falls sharply

The most significant decline among the major regions came from North America.

Electric vehicle sales dropped by 27% to around 140,000 units in July.

The downturn followed the removal of US federal tax credits for electric vehicles, reducing one of the key financial incentives that had previously helped support purchases.

The contrast with Europe is especially clear. While renewed subsidies are boosting demand in several European countries, the withdrawal of incentives in the United States has contributed to weaker sales.

Other markets expand rapidly

Outside China, Europe and North America, electric vehicle demand grew at an impressive pace.

Sales across the rest of the world climbed by 97% year on year to approximately 280,000 vehicles.

Although these markets remain smaller in absolute terms, their rapid expansion shows that EV adoption is becoming increasingly global.

Growth outside the traditional leading regions could also become more important for automakers seeking new customers as competition intensifies in established markets.

A more divided global EV market

July’s results show that the global electric vehicle sector is still growing, but the expansion is becoming increasingly uneven.

Europe is currently providing the strongest momentum, helped by government support and rising consumer interest. China remains the largest market despite its decline, while North America is facing a much more challenging environment following changes to incentives.

At the same time, emerging EV markets are expanding quickly and taking a larger role in overall global demand.