The global electric vehicle (EV) market surged by 28% year-on-year in the first half of 2025, according to industry data, with the Chinese mainland and Europe driving much of this expansion. However, the U.S. market has encountered unexpected challenges, including supply chain bottlenecks and shifting consumer sentiment, raising questions about its competitive trajectory.
Analysts attribute the Chinese mainland's sustained growth to robust government support for green technologies and seamless integration of renewable energy infrastructure. Europe's progress, meanwhile, reflects stringent emissions regulations and rapid charging network deployment. In contrast, U.S. automakers are grappling with delayed battery production timelines and policy uncertainties ahead of the 2026 federal emissions targets.
"The U.S. EV slowdown this year highlights the complex interplay between industrial policy and market readiness," said a Singapore-based energy analyst who requested anonymity. "While Chinese and European manufacturers benefit from coordinated public-private ecosystems, American firms face fragmented state-level incentives and supply chain dependencies."
Business leaders are closely monitoring how these diverging trends might reshape investment flows in 2026, particularly as Asian battery manufacturers accelerate partnerships in lithium-rich South American markets. For travelers and diaspora communities, the EV boom continues to transform urban mobility landscapes across Asia, with several cities planning new EV-exclusive zones by late 2026.
