China ended an 11-year subsidy scheme for EV purchases in 2022, but some local authorities have continued to offer aid or tax rebates to attract investments as well as subsidies for consumers 

Electric vehicle sales are seeing continued strength globally, with China reporting record monthly sales in October despite the end of subsidies, according to market research firm Rho Motion. China, the world’s largest auto market, ended an 11-year subsidy scheme for EV purchases in 2022, but some local authorities have continued to offer aid or tax rebates to attract investments as well as subsidies for consumers. In September, EV sales in China increased by 29 per cent  year-to-date, while the global EV market showed 34 per cent  growth in the same period. Rho Motion predicts that 2023 will be another banner year for China in terms of EV sales, as EV demand in China continues to reach record highs even though the subsidies were cut. China is entering the final two months of the year, which are seasonally high for vehicle sales, according to Rho Motion. In European markets, EV sales grew by 26 per cent, where cutting of subsidies has weighed on demand as seen in Germany where business subsidies were done away with in September. Rho Motion notes that subsidies are an important factor in the German market as nearly two-thirds of passenger car registrations are commercial. Tesla, Mercedes Benz, and Volkswagen have warned that high interest rates and a subdued market in the region are putting customers off. Meanwhile, EV sales in North America were up 78 per cent so far this year.