Electric Vehicle Adoption Surges in Africa Led by Ethiopia

Ethiopia has emerged as a leader in the adoption of electric vehicles (EVs) across Africa, driven by a strategic ban on internal combustion engine (ICE) imports and escalating economic pressures related to fuel costs and availability.

According to data from China’s Commerce Ministry, Africa imported 44,358 electric vehicles from China in 2025, a significant increase from the 19,386 vehicles imported in 2024. These shipments were valued at more than $200 million.

Ethiopia accounted for one-third of these Chinese imports in 2025, outpacing other major African markets including Nigeria, Morocco, Egypt and South Africa.

The surge in adoption follows a radical shift in Ethiopian transportation policy. The government implemented a ban on the import of new gas and diesel-powered vehicles to reduce reliance on costly oil and gas imports and strengthen national energy security.

To facilitate this transition, the government introduced tax exemptions and import duty waivers for electric vehicles. This is a sharp departure from previous automotive policies where import duties could reach as high as 200%.

The impact of these policies is reflected in the national fleet. AP News reports that more than 115,000 EVs are now on Ethiopia’s roads, representing approximately 8% of the country’s total vehicle fleet.

The Ministry of Transport and Logistics has previously estimated that EVs account for roughly 8.3% of the country’s estimated 1.2 million registered vehicles, with approximately 100,000 EVs in operation.

Economic instability and external conflicts have accelerated the pivot toward electrification. Ethiopia spends approximately $4.2 billion annually on fuel imports, a cost that has strained the country’s foreign currency reserves.

Fuel shortages, exacerbated by the ongoing Iran war, have disrupted daily life and transport systems, further compelling the state and private citizens to seek cleaner and cheaper transport alternatives.

The transition is particularly notable given Ethiopia’s historical position as one of Africa’s least motorized countries. In 2016, Ethiopia had only 6.7 vehicles per 1,000 people, compared to a continental average of 72.7.

Until the recent policy shift, the market was dominated by used internal combustion engine cars, which made up 85% of vehicle imports in 2023.

Despite the rapid increase in vehicle numbers, the transition faces significant hurdles. Questions remain regarding the affordability of these vehicles for the general population and the adequacy of the charging infrastructure required to support a growing electric fleet.