IEA: EV Sales Set to Reach 23 Million as BYD Gains in the Middle East

Hours Posted on Hours Updated on
Electric vehicle charging
An electric vehicle charging. — سيارة كهربائية أثناء الشحن.

The International Energy Agency expects global electric vehicle sales to keep growing in 2026, supported by higher fuel prices, lower battery costs, policy support and rising interest in reducing oil dependence.

Key insights:

  • The IEA expects electric car sales to reach 23 million units in 2026, equal to about 28% of global car sales.
  • In 2025, global EV sales exceeded 20 million units, rising around 20% year on year and representing one in four new cars sold worldwide.
  • China remains the main force. EVs accounted for nearly 55% of Chinese car sales in 2025 and are expected to approach 60% in 2026.
  • Chinese automakers supplied around 60% of global EV sales in 2025, compared with about 15% each for European and North American automakers.
  • Europe is expected to grow around 20% in 2026, making one in three new cars sold electric.
  • The US remains the weak point, with EV sales below 10% of total car sales in 2025 and expected to fall by more than 20% in 2026 to around 1.2 million units.
  • In the Middle East, EV sales reached about 75,000 units in 2025, up more than 40% year on year. The UAE remains the region’s largest market, while Qatar and Saudi Arabia now account for about 45% of regional demand.
  • BYD has become a major regional winner, with its Middle East market share rising toward 60%, while Tesla’s share declined toward 15%.
  • Africa is accelerating from a low base. EV sales rose from about 4,000 units in 2023 to around 25,000 in 2025, led by Egypt, Morocco and South Africa.
  • BYD’s share of African EV sales rose from about 4% in 2023 to 35% in 2025.
  • EV adoption is also an energy security issue. The global EV fleet avoided around 1.7 million barrels per day of oil demand in 2025, with the impact expected to rise toward 5 million barrels per day by 2030.

The main takeaway is that EVs are no longer only a climate story. They are now reshaping oil demand, auto trade and competitive positioning across China, Europe, the Middle East and emerging markets.

Recommended Insights