Tesla and BYD have retained their lead in the global electric vehicle (EV) race, with Chinese manufacturers taking half of the top 10 spots in a new ranking of EV makers worldwide.
On 18 June, the International Council on Clean Transportation (ICCT) released its Global Automaker Rating 2024/2025, which evaluates the electrification and decarbonisation progress of the world’s 21 largest light-duty vehicle makers.
The policy think-tank’s assessment is based on 10 metrics including zero-emissions vehicle (ZEV) sales – a broader category which includes EVs – as well as battery recycling efforts, green steel, and total investment in ZEV production.
While Tesla retained the top overall spot, BYD surpassed the US automaker in global sales of battery electric vehicles (BEVs) for the first time in 2024. Together with Chinese automakers SAIC, Geely, Chang’an and Chery, it also outperformed Tesla in variety of ZEV offerings. Third and fourth-placed Geely and SAIC also scored highly in battery recycling initiatives.
China remains the world’s electric car manufacturing hub, accounting for more than 70% of global production in 2024, according to an International Energy Agency (IEA) report. It also plans to increase its EV shipping capacity. In late 2023, car shipping company COSCO Shipping Car Carriers revealed plans to expand its fleet to eventually handle up to 700,000 cars annually. And in February, BYD commissioned the world’s largest wheeled-cargo vessel, bringing its total shipping capacity to over 30,000 electric cars, the IEA report stated.
“As China-based automakers expand globally, other leading global manufacturers face urgent pressure to accelerate their own transitions or risk losing competitive ground,” said Drew Kodjak, president and CEO of the ICCT.
Last year, amid growing concerns over China’s rising EV exports, the EU and US imposed higher tariffs on Chinese-made electric vehicles. In May 2024, the US announced that it would impose a 100% tariff. In October, the EU imposed additional duties of 17% on BYD, 35% on SAIC, and 19% on Geely EVs, on top of existing car import tariffs of 10%.
However, some critics argue the trade barriers may backfire. “Raising tariffs in the green and low-carbon sector is actually harmful to others and not beneficial to oneself,” said Tian Zhiyu, director of the Energy Institute of the Chinese Academy of Macroeconomic Research’s Sustainable Development Research Center. Tian noted that such tariff hikes hurt global cooperation and raise costs for all parties.
In lieu of last year’s tariffs imposed by the EU, the bloc and China have agreed to look into setting minimum prices for Chinese-made electric vehicles, a European Commission spokesperson told Reuters in April.
Read Dialogue Earth’s previous Q&A on how tariffs could kill Chinese investment in EVs in Mexico.
