International Energy Agency: Electric Vehicle Demand to Surge in 2023
In its annual EV report, the IEA expects annual sales to rise 35% this year to 14 million vehicles and EV market share to be 18%, up from 4% in 2020.
 |
| Illustration photo. Source: Reuters |
International Energy Agency(IEA) on April 26 released a report showing that electric vehicle (EV) sales are growing strongly and are expected to account for nearly 20% of vehicles sold in 2023.
The rapid electrification of road transport would have major implications for the energy sector as it would eliminate the need for 5 million barrels of oil per day by the end of the decade, the IEA said.
Global oil consumption averages just over 100 million barrels per day. IEA Executive Director Fatih Birol said EVs are one of the driving forces in the rapidly emerging new global energy economy, and that EVs represent a historic transformation for the global automotive industry.
In its annual EV report, the IEA expects annual sales to rise 35% this year to 14 million vehicles and EV market share to be 18%, up from 4% in 2020.
The IEA said the majority of EV sales are concentrated in three markets: China, the European Union (EU) and the US.
China is in the lead, accounting for 60% of global EV sales by 2022, the IEA said. Measures such as the US's Deflationary Energy Act, which provides generous subsidies to consumers to switch to EVs, will continue to boost sales in the coming years, the IEA said.
The IEA forecasts that the average share of EVs in total sales across China, the EU and the US will rise to around 60% by 2030./.