Global Electric Vehicle Prices Fall Below Hybrid Costs Amid Rise of Low-Cost Chinese Models

TOKYO — In 2025, the average global price of electric vehicles (EVs) dropped below that of hybrid cars, a shift attributed to declining battery costs and the expansion of affordable Chinese EVs in emerging markets. Chinese manufacturers, including BYD, have leveraged economies of scale to offer competitively priced electric vehicles, accelerating adoption worldwide.

This trend marks a significant milestone in the automotive industry, as EVs become more accessible compared to traditional hybrids, particularly in developing regions.

Sources:

• Nikkei Asia, "Global EV prices drop below hybrids as low-cost Chinese cars spread," August 7, 2026, https://asia.nikkei.com/business/automobiles/electric-vehicles/global-ev-prices-drop-below-hybrids-as-low-cost-chinese-cars-spread