Pure ICE Vehicle Share of New Car Sales Drops Below 50% for First Time

For the first time since the widespread adoption of automobiles, the market share of pure internal combustion engine (ICE) vehicles has fallen below 50% of global new car sales, according to data for the first half of 2026. This significant shift occurred as ICE vehicle sales declined 10% year-on-year to 20.25 million units, representing 49% of the total market, a sharp decrease from 73% in 2021.

The primary drivers for this change include a surge in international oil prices, linked to geopolitical tensions, which increased gasoline costs and raised concerns about fuel availability. This negatively impacted demand for traditional vehicles, with notable sales drops of 26% in China and 13% in Europe.

Conversely, electric vehicle (EV) sales saw a 12% increase, reaching 6.87 million units and capturing 17% of the total market. This figure surpasses the 16% threshold often considered a benchmark for mass adoption. While China's EV market experienced a 3% contraction after tax incentives were reduced, other regions showed strong growth.

Europe reported a 32% rise in EV sales, with EVs outselling gasoline cars for the first time in the first half of the year across major European countries. Southeast Asia and Oceania also saw substantial increases in EV uptake. Chinese manufacturers, including Geely and BYD, are significantly expanding their exports, now accounting for 60% of global EV and plug-in hybrid sales.

Mobility Global predicts that EVs will constitute over 30% of all automotive production by 2030. Despite fluctuations in subsidies, consumer preference for EVs, driven by lower running costs, appears to be a sustained trend. The report also noted that hybrid vehicle sales rose 10% to 7.27 million units, representing 18% of the market.