Global EV market expected to reach 320 mn vehicles by 2040

According to a recent forecast from Wood Mackenzie, a global energy, chemicals, and renewables consultancy, EV sales are expected to surpass 320 mn unit sales globally by 2040.

With current volumes just under 10 mn, the forecasted growth would make the EV market 35 times bigger than it is now.By 2040, Wood Mackenzie also expects global annual EV sales to be around 45 mn units per year.

If overall car sales continue to decline, EV sales could account for more than half of annual global car sales by unit volume.The consultancy credits the fall in battery prices and growth of EV charging infrastructure as being responsible for the increased uptake in electrified vehicles. By 2024, the firm says batteries should cost $100 per kWh, which would put EVs on price parity with combustion engined vehicles.