Electric vehicle sales worldwide reached 1.85 million units in July, up 9% from the same month last year. Data from Benchmark Mineral Intelligence put sales for the first seven months of 2026 at 11.5 million vehicles, a 4% year-on-year increase.
Europe drove the growth, with government incentives helping to expand the market. In July alone, 450,000 electric vehicles were sold across the continent, a 33% jump from a year earlier. Europe now accounts for nearly a quarter of global EV sales. French EV sales soared 81% year-on-year in July, reaching a record 37% market penetration. Germany and the UK also posted strong gains, with sales up 46% and 43%, respectively.
Spain’s Plan Auto+ shows how national support is shaping the market. Established by Royal Decree-Law 7/2026 of 20 March, the programme’s detailed rules were published in Royal Decree 609/2026 in the Official State Gazette on 23 July. It applies retroactively to qualifying purchases made from 1 January 2026. The scheme provides up to €400 million annually through 2030, with €350 million allocated to private buyers and €50 million to companies and self-employed workers. Eligible vehicles must carry Spain’s DGT “CERO” environmental label; passenger cars priced above €45,000 before tax are excluded.
The maximum grant for a passenger car is €4,500, but the amount depends on its price and powertrain, with European manufacturing criteria also factored in. Battery-electric cars receive 50% of the maximum aid component, while plug-in hybrids and extended-range electric vehicles receive 25%. Cars priced up to €35,000 before tax qualify for the full price-related component; vehicles priced between €35,000 and €45,000 receive a reduced amount. European assembly can add 15%, and qualifying European battery production a further 10%. These conditions tie the subsidy to consumer demand and to where vehicles and batteries are produced.
Spanish EV sales rose 34.5% in the first seven months, reaching 73,923 units and a 9.8% market share. By 16 October, applicants had requested €258.77 million from the private-buyer allocation across 81,701 applications, information from ministry figures cited by Sur in English. The average requested grant was about €3,167, and approximately €91 million remained in that funding line. Applications are handled in order until the budget is exhausted; the programme is scheduled to end in December 2026, and any extension would require a new budgetary decision.
China, the world’s largest car market, is facing a different reality. July saw a 5% year-on-year drop in EV sales, to 980,000 units. Over the first seven months, Chinese EV sales declined 12% to 5.9 million vehicles. Chinese manufacturers are offsetting the decline with record exports: more than 500,000 electric vehicles were shipped abroad in July alone. The export push is partly aimed at improving profit margins and reducing the sector’s debt, which exceeds $400 billion. Many Chinese automakers are also establishing operations in Europe to bypass tariffs imposed by Brussels. Recent analysis has examined the growing influence of Chinese battery and EV makers in Europe, including the expansion of CATL and BYD in the European market.
North America, meanwhile, is experiencing a slowdown. The expiration of U.S. purchase incentives for electric vehicles in September 2025 led to a 27% drop in EV sales in July, to just 140,000 units. Cumulatively, North American sales fell 18% in the first seven months, to 900,000 vehicles. Still, the U.S. market showed signs of stabilization in the second quarter: the year-to-date decline narrowed from 33% at the end of Q1 to 24% after Q2, while Q2 sales were down 15% year-on-year. Globally, the EV market closed the first half of 2026 with a modest 2% increase, totaling 9.6 million registrations.
According to elespanol motor, these shifts show how regions are increasingly diverging. Europe’s incentives are reshaping the market. China is leaning on exports, while regulatory changes are altering conditions in North America. The coming months will show whether Europe’s surge can be sustained and whether other regions adapt to the developing field.
Electric vehicles now represent a impressive share of new car sales in several European countries. The sector’s rapid change is influencing global supply chains and battery production, while also shaping policy debates. Local incentives and international trade are likely to define the next phase of the EV revolution, alongside advances in technology.
