Trump says war with Iran to end soon, energy prices to fall sharply

The recent U.S. war in Iran has inadvertently spurred a surge in global electric vehicle (EV) sales, according to a new report by Ember, an energy think tank. In the months following the U.S. attack on Iran in late February, crude oil prices skyrocketed, which in turn sparked a significant rise in global EV sales. Out of 56 countries monitored by Ember, 49 have set new records for EV sales this year.

The impact was particularly pronounced in regions such as New Zealand, where EV sales surged by an astonishing 165% between March and August, compared to the previous six months. Chile and India also saw impressive growth, with EV sales increasing by 124% and 58%, respectively.

This uptick in EV sales was partly attributable to new policies in several countries. In Germany, for instance, pro-EV policies implemented last year coincided with rising fuel prices, leading to battery electric vehicle sales making up 27.5% of total car sales by August. This represented a 50% increase over the same month last year.

Euan Graham, a senior energy analyst at Ember, noted that the combination of fuel efficiency standards and direct policy support played a crucial role in boosting EV sales. Countries with a longer history of EV support, such as Uruguay (38% in August) and Vietnam (51%), experienced record-high EV sales shares.

However, the U.S. is lagging behind in this global EV boom. EV sales in the U.S. have plummeted by 30% over the first nine months of 2026 compared to the same period in 2025. The decline is attributed to several factors, including the elimination of the $7,500 tax credit for EVs by the Trump administration, the freezing of funding for EV charging infrastructure, tariffs that raised the cost of EV batteries, and the rollback of fuel efficiency standards.

These measures have left U.S. consumers with fewer affordable EV options as gas prices have risen. Automakers have also canceled EV models in the U.S., such as the Ford F-150 Lightning and the Nissan Ariya, in response to these challenges. As a result, EV sales in the U.S. are expected to rebound slightly in the third quarter, but lower-cost models like Slate's electric truck and Ford's upcoming $28,000 EV will be crucial in reinvigorating the market. Nevertheless, the U.S. is currently lagging significantly behind other countries in EV adoption.