Economy

Electric cars: prices are falling, but sales are not rising

The cost of electric cars is falling in Europe and the USA (and growing in Italy), but sales are not taking off, on the contrary: in 2024 the increase was only 1 million 200 thousand units. According to the report “The right price of the electric car” by Jato Dynamics, the cost of battery-powered cars has decreased by 15% in Europe and by as much as 25% in the United States in six years, from 2018 to 2024. In the same period it has instead it rose by 14% in the Bel Paese. And at the same time, the prices of traditional cars with internal combustion engines have increased. According to estimates by the Fleet & Mobility Study Center, in 2024 the average price in Italy has exceeded the threshold of 30 thousand euros (approximately + 43% in just five years).

Electricity prices are therefore falling in the world, but sales growth is slowing down. Between 2019 and 2023, the global electric car market experienced notable expansion, rising from 1.4 to 7.4 million units sold. However, in the last twelve months, the increase was more limited, with only 1.2 million more units marketed. Geographically, 51% of electric cars come from China, followed by the United States (22%) and Europe (18%). In China the electric car is accessible with an average retail price of only 29,682 euros. This figure is significantly lower, more than half, than the European (62,709 euros) and American (62,044 euros) average.

And in Italy? The electric market is stuck at 4%below the European average (in 2024 electric cars accounted for 13.6%, compared to 11.9% for diesel). One of the main reasons is costs. Buying an electric car in our country today costs 126% more than doing so in China. In Italy the average price of an electric car reached 67,058 euros in 2024, therefore higher than the European average (62,709 euros) and up by 14% compared to 2018 (against the 15% decrease in Europe). An electric car in Italy costs 25% more than a traditional car, even if the gap is narrowing (it was 36% in 2023). Thanks to the increase in the prices of cars with internal combustion engines.

Two factors weigh against this trend. The greater availability of more expensive higher class vehicles compared to 2018 and above all the limited offer in the more accessible price segments (A and B). In the period 2018-2024, traditional engine models in these segments went from 42 to 22, while electric ones grew from 8 to 13. Buying a car is therefore increasingly expensive, whether electric or traditional. In 2025, however, the arrival of new models in the A and B segments, with prices below 30 thousand euros, could favor a reversal of the trend.