Soaring fuel prices drive surge in used EV sales across Europe

Rising fuel prices triggered by the war in Iran are driving a surge in demand for used electric vehicles (EVs) across Europe, according to online car marketplaces, in an early indication that higher costs at the pump are accelerating a shift away from combustion-engine vehicles.

The conflict, which erupted on February 28, has disrupted a critical shipping route responsible for transporting around 20% of global oil supplies. The disruption has quickly fed into retail fuel prices. European Commission data show that the average price of petrol across the European Union rose by 12%, from February 23 to March 16, reaching 1.84 euros ($2.12) per litre.

Against this backdrop, demand for used EVs has risen sharply. “There is currently an electric car bonanza in the used market,” said Terje Dahlgren, an analyst at Finn.no, Norway’s largest used-car platform. He noted that electric vehicles have recently overtaken diesel models as the site’s best-selling fuel type, as per Reuters.

French online used-car retailer Aramisauto reported a similar trend. The company said the share of EV sales nearly doubled over a three-week period, rising to 12.7% in the week starting March 9 from 6.5% in the week starting February 16.

The company, majority-owned by automaker Stellantis, observed a comparable shift in 2022 following the start of the Russia-Ukraine war, when energy prices surged. “As soon as you pass 2 euros (per litre of petrol), it makes a lasting impression on people’s minds,” said Aramisauto Chief Executive Officer Romain Boscher. “We are seeing a significant rise in interest on the website, translating into orders for EVs and hybrids.”

Over the same three-week period, Aramisauto said the share of petrol-powered cars in its sales dropped to 28% from 34%, while diesel vehicles declined to 10% from 14%.

Broader market data point to a similar pattern. Amsterdam-based online marketplace OLX Group reported a sharp increase in customer enquiries for EVs across several European markets, including France (up 50%), Romania (40%), Portugal (54%), and Poland (39%), with growth “accelerating consistently week-over-week across all markets.”

“What’s particularly telling is that EV interest was already trending upward before recent events,” said OLX Chief Executive Officer Christian Gisy. “The instability appears to have accelerated a transition that was already underway.”

If fuel prices in the US and Europe remain elevated, industry participants expect the trend to extend beyond the used-car segment, with new-car buyers also increasingly turning to EVs and hybrids.

Automakers are already incorporating fuel costs into their marketing strategies. In France, MG, owned by China’s SAIC Motor, has launched social media campaigns urging consumers to reconsider their driving habits, highlighting the financial advantages of electric mobility.

At the same time, structural changes in the used-EV market are supporting demand. A broader range of available models, along with the introduction of battery health certificates, has helped address long-standing consumer concerns about second-hand electric vehicles, reinforcing sales momentum even before the latest surge in fuel prices.

By Tamilla Hasanova