Fuel shortages and high prices push adoption of EVs in Africa, led by Ethiopia
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Key Points:
- Africa's electric vehicle (EV) market is rapidly expanding, with Ethiopia leading by importing a third of the continent's 44,358 EVs from China in 2025, driven by fuel shortages and high prices.
- Ethiopia banned new imports of gas and diesel vehicles in 2024, resulting in over 115,000 EVs on its roads, about 8% of its national fleet, and is leveraging its renewable energy resources to power these vehicles.
- The country faces challenges in scaling charging infrastructure nationwide due to power distribution issues and blackouts, with current facilities concentrated mainly in Addis Ababa.
- Ethiopia aims to develop a local EV manufacturing industry with plans for 60 assembly plants by 2030, but high purchase prices and restricted access to affordable used cars remain barriers to widespread adoption.
- Experts highlight that while the transition will be gradual and complex, increased EV use could reduce fuel import costs, improve energy security, and lower transport expenses, benefiting Ethiopia's economy and energy landscape over time.
