· 3 min read
illuminem summarises for you the essential news of the day. Read the full piece on The Economist or enjoy below:
🗞️ Driving the news: The green transition is accelerating in unexpected regions, with emerging economies rapidly adopting electric vehicles (EVs)
• In 2024, EV sales surged across the Global South: they tripled in Turkey (now Europe’s fourth-largest EV market), reached 70% of car imports in Nepal, and made up 60% of new car sales in Ethiopia following a ban on internal combustion engine vehicles
• Vietnam and several African and Latin American countries are also seeing rapid growth in EV adoption, supported by domestic brands like VinFast and rising imports of Chinese-made EVs
🔭 The context: While Europe and China have historically dominated the clean transport narrative, high energy prices, declining battery costs, and growing climate urgency are catalyzing change elsewhere
• Developing economies are leapfrogging traditional vehicle infrastructure by embracing EVs directly
• Local policy shifts — such as outright bans or tax incentives — are reinforcing the trend, alongside partnerships and supply chains anchored in China’s EV manufacturing dominance
🌍 Why it matters for the planet: This shift marks a pivotal moment in decarbonisation, signaling that the energy transition is no longer confined to wealthy nations
• Electrification of transport in developing economies could dramatically reduce global emissions growth, improve urban air quality, and accelerate innovation in affordable clean tech
• However, risks remain regarding grid capacity, charging infrastructure, and lifecycle sustainability of imported EVs
⏭️ What's next: Governments across emerging markets are expected to roll out further EV incentives, infrastructure investments, and regulatory measures
• Chinese manufacturers will likely expand market share with competitively priced exports, while local brands like Turkey’s Togg and Vietnam’s VinFast continue to scale
• International finance and multilateral support could be key in addressing infrastructure and grid challenges to sustain this momentum
💬 One quote: “The rise of EVs in developing economies shows that clean transport is no longer a luxury — it’s becoming a global necessity,” – Fatih Birol, Executive Director of the IEA
📈 One stat: EV sales in developing countries across Africa, Asia, and Latin America rose by 60% in 2024, according to the International Energy Agency
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