Morgan Stanley EV Tracker: Global Demand Downshift
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Global pure electric vehicle (BEV) sales declined 1% year-over-year in January 2026 to 814,214 units, representing a sharp 44% sequential drop from December's 1,458,192 units. BYD led all OEMs with 99,707 units and a 12% global market share. Tesla's share contracted from 13% to 9.1%, while General Motors plunged 57% year-over-year, falling to ninth place amid US market weakness.
Regionally, the US BEV penetration rate fell to 5.6% from 8.3% a year earlier, with sales down 32%. Europe posted an 18% sales increase, lifting penetration to 22.9%. China saw an 18% sales decline, bringing penetration to 18.2%.
The Tesla Model Y remained the world's best-selling BEV at 54,786 units, followed by the Xiaomi YU7 at 37,956 units. Total battery deployment grew 6% year-over-year to 55,081 MWh, with NMC chemistry accounting for 49%, LFP for 43%, and NCA for 7%. The top five battery suppliers collectively deployed 38,705 MWh. The report includes detailed breakdowns of major OEMs and models, alongside Morgan Stanley's long-term global BEV forecasts spanning 2025 through 2050.