Electric cars saved $20B in oil – and the US is falling behind

Electric cars are helping countries avoid oil costs during the current Middle East energy crisis, according to new analysis from the energy think tank Ember. Between March and August, EVs in oil-importing countries displaced an estimated 200 million barrels of crude, worth about $20 billion. China accounted for most of that savings, with the EU also benefiting, led by Germany and France.

The US is falling behind other countries in EV adoption. Fully electric cars made up just 6% of new light-duty vehicle sales in the US in the first eight months of 2026, after federal EV tax credits ended in September 2025. Of 56 countries tracked, 49 now have a higher share of electric car sales than the US, and 15 of them, including India, Brazil, Italy, Malaysia, and New Zealand, passed the US for the first time this year. This measures the share of new cars sold that are electric, not total volume.

Elsewhere, electric car sales are growing. Globally, fully electric sales rose 11% year over year, while gas-powered and plug-in hybrid sales fell. Outside of China and the US, sales jumped 45%. Countries that made EVs more affordable saw the biggest gains: France's leasing program pushed its electric share above 30% for the first time, Germany saw a boost from new subsidies, and Japan's sales doubled after a program to lower upfront costs. For US homeowners thinking about an EV purchase, the loss of the federal tax credit means it's worth checking what incentives, if any, your state still offers.