The Iran war has significantly accelerated global electric vehicle adoption, with Chinese EV exports reaching a record ₹76,000 crore ($9.4 billion) in April 2025, according to analysis by think tank Ember of Chinese customs data. China exported approximately 435,000 passenger EVs and plug-in hybrids in May 2025, more than double from the previous year, as reported by the Chinese Association of Automobile Manufacturers. The blockade of the Strait of Hormuz disrupted shipping of about one-fifth of the world's crude oil and liquified natural gas, first hitting Asia before spreading to Africa. As fuel costs rise, drivers are increasingly switching to EVs to save money, while governments from Laos to Ethiopia are embracing electrification to reduce oil import costs and fuel subsidy expenses.
Chinese automakers have significantly expanded their global presence, with one in four new cars sold worldwide being electric according to the International Energy Agency. China supplied around 60% of electric cars sold globally, targeting Europe, Africa and Latin America markets. Global electric car sales are expected to grow further in 2026 and reach 23 million units, making up nearly 30% of all cars sold worldwide, according to the IEA's latest EV outlook. In Southeast Asia, imports of Chinese EVs have surged in Thailand, Laos and the Philippines, with Laos banning fuel-powered vehicle imports for the rest of 2026 to cut oil import costs. Africa imported approximately 44,000 Chinese EVs in 2025, representing a 130% jump from the previous year, according to Chinese Commerce Ministry data. Vietnam's VinFast reported a 42% year-on-year increase in quarterly revenue driven by Southeast Asian demand, while the company's EV motorbikes have helped drivers like Nguyen Thien Bao save significantly on fuel expenses.
Despite the surge in EV imports, charging infrastructure remains a critical bottleneck across developing markets. Thailand has around 4,600 public charging locations serving more than 424,000 battery EVs and plug-in hybrids, providing approximately one charging station for every 92 vehicles. The country currently has roughly 12,000 public chargers according to the IEA. In Ethiopia, which has banned non-EV imports, the government estimates it needs more than 1,170 charging stations to meet rising demand, with only around a dozen stations available as of mid-2025. Malaysia's public fast chargers increased by more than 70% in 2025 after government incentives, while Indonesia has deployed more than 4,500 public charging stations through state-owned power utility PLN. According to Chris Liu from technology research group Omdia, "In developing markets, affordability can accelerate the shift, but the pace of adoption will still depend heavily on infrastructure, power reliability and use case."
Governments and state-owned utilities are taking the lead in building charging networks across developing markets. In Indonesia, more than 4,500 public chargers have been deployed by state-owned power utility PLN, while Kenya Power plans to build 44 charging stations within the next year. African countries are increasingly turning to state-owned utilities to build EV charging networks, with around 2,000 public EV charging stations currently operating across Africa, led by South Africa. According to Ndia Magadagela, co-founder and CEO of Everlectric, utilities are recognizing that electric mobility will become a meaningful source of future electricity demand. However, building charging networks remains challenging due to grid connections and maintenance issues in developing markets, with analysts noting that grid planning, electricity pricing and distribution capacity are key factors that state utilities can address more effectively than private automakers. As Paul Gong from UBS bank's China automotive industry research notes, "When a nation lacks sufficient charging infrastructure and EV fleet size, it is a 'classic chicken-and-egg' problem regarding what comes first, and government support for infrastructure could help accelerate adoption."
