Global electric car sales are expected to reach 23 million this year, accounting for 28% of total car sales, with nearly 30% of cars sold being electric. The war in Iran has led to soaring petrol and diesel prices, prompting drivers to turn to electric vehicles as a cheaper alternative. Sales of battery electric cars and plug-in hybrids have seen significant growth in Asian countries outside of China, Latin America, and Europe. In Europe, one in three cars sold this year is projected to be electric, while in China, monthly sales have grown to over 60% of total car sales. Sales are also expected to rise by more than 50% in Asian countries and 45% in Latin America this year. The energy crisis caused by the Middle East war has highlighted the benefits of driving an electric car, leading to potential growth in EV sales. The road transport sector is the largest consumer of oil, and governments' response to soaring oil prices could shape the global car market. Electric vehicles are now seen as an alternative to oil dependence for transport, with a quarter of all new cars sold in 2025 being electric. Southeast Asia, heavily dependent on fuel imports, has seen spectacular growth in electric car sales in response to the energy crisis. Countries in the region are expanding EV tax incentives and implementing supportive policies to boost EV sales. In 2025, Chinese carmakers dominated the electric vehicle market, with technological advances and cheaper prices driving EV deployment in China. Nearly 40% of new car sales in Vietnam were electric, surpassing levels seen in most European countries. The cost of owning an electric truck in China is now competitive with owning a diesel one, leading to a doubling of the electric truck market in just two years. Cheaper EVs from China have led to a doubling of car exports in 2025, with Chinese automakers manufacturing 60% of electric cars sold worldwide. Intense competition domestically in China is pushing electric car manufacturers to seek export opportunities overseas.
https://www.climatechangenews.com/2026/05/20/electric-car-sales-race-ahead-in-se-asia-and-latin-america-amid-oil-supply-crisis/