Electric cars have saved oil-importing countries $20bn since the start of the Hormuz energy crisis

“The countries that invested in electric vehicles before this crisis are now better protected and a growing number are following,” said Euan Graham, Senior Energy Analyst at Ember. “Every electric car on the road reduces exposure to volatile oil markets, and as fleets grow, so does the protection against future supply shocks. The benefits of the global shift to electric cars extend beyond cutting emissions, with implications for energy security, economic resilience and how countries position themselves in a world where dependence on imported oil carries immense risks.”

China accounted for the largest share of these savings, with its electric car fleet displacing $14 billion worth of crude oil. EU member states saved a further $3.1 billion, with Germany and France accounting for the largest shares. On an annual basis, Denmark’s electric car fleet is already displacing oil equivalent to 13% of the country’s oil consumption.

Full electric car sales reach new highs across the world

The global shift towards fully electric cars is continuing despite policy changes in China and the US. Oil supply disruptions are also accelerating EV sales in countries including India, Chile, Australia and New Zealand.

Globally, BEV sales increased by 11% year-on-year, while plug-in hybrid sales fell by 12% and internal combustion engine vehicle sales fell by 6% in the first eight months of 2026. Excluding China and the US, global BEV sales grew by an estimated 45%.

BEVs accounted for 18% of new car sales globally in the first eight months of 2026, up from 16% in the same period last year.

Countries are also developing domestic EV manufacturing capacity as adoption grows. In India, domestic manufacturers Tata and Mahindra accounted for more than 60% of EV sales in the first half of 2026. Brazil is expanding its role as a regional manufacturing hub, while Viet Nam’s VinFast is growing its production footprint overseas.

Other markets are seeing growth as a result of longer-standing policies to support EV uptake. France’s social leasing scheme has helped its BEV sales share exceed 30% for the first time, while Germany has seen stronger sales following the introduction of new consumer subsidies at the start of 2026.