The global electric vehicle (EV) market was already growing rapidly. But the 2026 West Asia conflict has added a new factor to the EV transition: fuel prices. As oil supplies were disrupted and petrol and diesel became more expensive, the economics of driving an electric car changed. Global EV sales rebounded in the second quarter of 2026, while sales hit records in 50 countries.
India is seeing a similar shift. EV retail sales crossed 148,000 units in the first half of 2026, up 79 per cent year-on-year, while EVs accounted for nearly 8 per cent of passenger-vehicle sales in July.
So, can an oil shock accelerate the world’s shift to electric cars? And why could rising fuel prices make EVs increasingly attractive—not just because they are cleaner, but because they can be cheaper to run?
This video looks at the global EV market, India’s electric-car growth, fuel prices and how geopolitical instability is changing the economics of driving.