Although the outlook was bright, with the annual growth rate of new energy vehicles reaching a record high in 2021, Russia's invasion of Ukraine was expected to emerge as a market variable.

TrendForce announced on the 24th of last month that sales of new energy vehicles (NEVs) in 2021 reached 6,473,000 units, marking the highest annual growth rate of 122% since the development of electrified vehicles.

Battery electric vehicles (BEVs) accounted for 71.6% of new energy vehicle sales, while plug-in hybrid electric vehicles (PHEVs) recorded 28.1%.

Tesla ranked first among BEV brands with sales exceeding 930,000 units and a 20.2% market share.

SAIC-GM-Wuling, a joint venture between the US's GM, China's SAIC Motor, and Wuling, ranked second in 2021 due to high sales of low-cost small electric vehicles.

BEV brands such as Ora and Chery also saw a significant increase in sales performance based on compact cars.

As the BEV market becomes more active, many brands have emerged, and a trend of market share dispersion is appearing.

As market competition accelerated, the market share of the top 10 BEV brands fell from 64.4% in 2020 to 57% in 2022.

Chinese electric vehicle manufacturer BYD took first place in 2021 with 273,000 units sold and a 15% market share.

BYD and 7th-ranked Li Auto minimized the impact of China's PHEV subsidy reduction policy through high growth rates..

European luxury car brands are firmly holding their ground in sales rankings, Toyota has risen to 5th place, and Jeep has ranked 10th with the highest market share in the US and Europe.

In 2021, NEV sales in China exceeded half of global sales and accounted for 19.3% of the Chinese automotive market.

TrendForce stated, “Numerous brands are emerging in China, and mass production has accelerated,” adding, “Strategies for establishing joint brands and expanding domestic brands overseas targeting Europe, the Middle East, and Southeast Asia are also underway.”

With Germany and France leading the increase in NEV ratios in the EU's push for electrification, it is expected to reach 20–25% by 2022.

Due to the sluggish U.S. market, the Biden administration's policy incentives focused on brands and supply chains, including the introduction of electric battery pickup trucks.

The future outlook for the U.S. electric vehicle market is bright, as emerging brands such as Rivian, Lucid Motors, Fisker, and Lordstown Motors have successfully entered the mass production and assembly phases or are planning to begin mass production in 2022.

With the trends of energy conservation and carbon reduction, and as automakers convert many product lines to electric vehicles, the number of NEVs in 2022 is expected to exceed 10 million.

Meanwhile, crude oil prices rose due to Russia's invasion of Ukraine.

Ukraine supplies neon gas necessary for semiconductors, while Russia is a country that provides nickel ore, a key material for electric vehicle batteries.

TrendForce stated, “War will act as a variable in the 2022 NEV market, and the automotive industry could take a major hit due to rising prices and unstable supply chains.”o; said.