Today we take a look at the market for passenger car powertrains, where DATAportl's latest forecast reveals a critical milestone as Battery Electric Vehicles (BEVs) are set to capture 20% of the global market in 2025.

DATAportl's latest passenger car forecast reveals a critical milestone, with Battery Electric Vehicles (BEVs) set to capture 20% of the global market in 2025. This rapid acceleration, up from less than 5% in 2020, signals a definitive shift in powertrain technology that is fundamentally restructuring the automotive value chain.

The transition to fully electric vehicles is continuing to accelerate. The milestone of BEVs accounting for one in every five new passenger cars sold globally next year is a clear indicator of mainstream adoption. In comparison, this share was less than one in twenty just five years ago. This explosive growth is rapidly building the installed base, and DATAportl calculates that the total number of BEVs on the roads worldwide will surpass 50 million by the end of 2025.

This global trend is not uniform, and the market varies dramatically by region. China remains the undisputed leader in this transition. Our analysis shows that in 2025, the Chinese market alone will account for 50% of all new BEVs shipped globally. This dominance makes understanding the specific market dynamics, technology preferences, and policy incentives within China essential for any supplier in the automotive ecosystem.

While China remains the dominant market, growth is widespread across the globe. Despite political pressure, the USA remains the second-largest country market for BEVs. We are also tracking continued rapid growth across many key European countries and elsewhere, showing a broad-based global shift.

A major driver over the last few years has been the strategic pivot from traditional OEMs. Many have doubled down on their BEV car strategies, and they are reaping the rewards. In recent months, automakers such as Volkswagen Group, Ford, Hyundai, and others have been reporting high double-digit annual growth in their BEV sales.

While BEV growth is the headline story, the longer-term forecast shows a comprehensive shift toward all forms of electrification. As the chart illustrates, Hybrids will play a crucial and sustained role in the transition, particularly in regions with less developed charging infrastructure. This multi-faceted approach to electrification is profound. By 2032, DATAportl expects that more than three-quarters of all new passenger cars sold will feature some form of battery and electric powertrain, leaving the traditional Internal Combustion Engine (ICE) to power less than a quarter of the market.

For semiconductor product marketers, this forecast confirms that the primary design driver is no longer the engine, but the battery and power management systems. The rapid rise of BEVs, coupled with a durable hybrid market, creates distinct and parallel opportunities. This includes massive demand for high-voltage power semiconductors (especially SiC) for main inverters and on-board chargers, as well as complex Battery Management Systems (BMS) requiring advanced MCUs and analog components. The key challenge is no longer if electrification will happen, but how to align product roadmaps to serve the unique power, performance, and cost architectures of BEV, PHEV, and HEV platforms simultaneously.

If you’re a client, you can view a comprehensive coverage of the market below:

This accelerating transition to electric and hybrid powertrains is continuing to redefine the new automotive landscape, and understanding this mix is critical for future success.
See you next time!