China Sets Ambitious EV Sales Target of 70% by 2030
China has set a target for electric vehicles (EVs) and hybrids to account for up to 70% of all passenger car sales by 2030, according to the country's new five-year plan. This shift is expected to significantly reduce oil demand in China’s transport sector, which has already seen two consecutive years of decline. In August 2026 alone, EVs and hybrids made up 65% of passenger car sales. The government also aims for 40% of new commercial vehicle sales to be electric by the same year. Analysts suggest that these targets may be met earlier than expected due to rising oil prices caused by geopolitical tensions in Iran. Sinopec, China’s largest refiner, forecasts an 8.9% drop in domestic oil demand in 2026 compared to the previous year, with gasoline and diesel consumption declining sharply as well.
