Global EV Sales Rise 9% in July as Europe Soars and North America Plunges

Global Market Shows Sharp Regional Divide

Global electric vehicle sales reached approximately 1.85 million units in July 2026, a 9% increase compared with the same month last year, according to Benchmark Mineral Intelligence. Year-to-date through July, cumulative sales totalled 11.5 million units, up 4% over the same period in 2025.

The data, which covers both battery electric vehicles (BEVs) and plug-in hybrids (PHEVs), reveals a market defined by stark regional contrasts. Europe and the rest of the world posted robust gains while North America contracted sharply, and China — the largest NEV market globally — saw overall sales dip despite BEV growth.

Europe Becomes the Leading Growth Engine

European EV sales climbed 33% year-over-year to 450,000 units in July, though they fell 17% month-on-month, reflecting the seasonal summer slowdown typical of the region. For the first seven months of 2026, Europe sold 3 million EVs, up 28% year-over-year.

France led the charge with an 81% surge in EV sales, pushing its market penetration rate to a record 37%. Germany grew 46% and the UK rose 43%. Government incentive programs played a key role: Spain, where EV sales jumped 34% this year, launched its new Auto+ subsidy plan on August 4, offering consumers up to 4,500 euros — approx. $4,800 — with retroactive eligibility for purchases made since January 1.

Rest of the World Nearly Doubles

The fastest-growing region was the rest of the world, where July sales nearly doubled year-over-year to 280,000 units, up 97%. Year-to-date, these markets have recorded 1.7 million EVs, representing a 96% increase compared with the same period last year.

China's Mixed Picture Masks Strong EV Trend

China sold 980,000 NEVs in July, down 5% year-over-year and 7% from June. The first seven months totalled 5.9 million units, a 12% decline. However, this headline figure obscures a more nuanced trend.

When broken down by powertrain, pure EV sales in China actually rose 6% year-over-year. Plug-in hybrids fell 21.1%, range-extended EVs dropped 16.5%, and conventional internal-combustion vehicles plummeted 44%. NEVs accounted for 65.1% of passenger car retail sales, a new record. China also exported over 500,000 NEVs in July, setting a single-month export record.

North America Enters Deep Decline

North American EV sales fell 27% year-over-year to just 140,000 units in July, with the year-to-date total at 900,000, down 18%. The US market saw sales drop more than 30% in July after a modest second-quarter recovery.

Benchmark attributed the decline to the cancellation of federal EV tax credits and a weakened regulatory environment. Last summer, a surge of purchases occurred before the US tax credit was eliminated on September 30, 2025, creating a high comparison base for this year.

Overall Outlook

Global EV sales continue to grow, but the expansion is uneven. Strong performance in Europe and emerging markets has offset North America's contraction, while China's apparent overall decline conceals a clear shift away from internal-combustion vehicles toward electrified powertrains.