Rising gasoline prices due to the war in Iran may push consumers to switch to electric vehicles and hybrids.
The rise in gasoline prices caused by the war in Iran is causing concern and uncertainty among automakers, dealers and drivers, but it is also opening up new opportunities for some electric vehicle sellers, Reuters reports.
The war disrupted shipping through the Strait of Hormuz, through which about 20% of the world's oil supplies pass, and fuel prices have risen sharply since the end of February: by March 16, gasoline prices in the UK had increased by 7%, in the EU by 8%, and average gasoline prices in the United States by 27%, to 3.72 dollars per gallon. Although history shows that oil crises can permanently affect the habits of car buyers, analysts note that it usually takes a long time for prices to rise or reach a certain psychological threshold before consumers begin to switch en masse to more fuel-efficient cars.
In the United States, some buyers are already switching to electric vehicles, but research sites show that changes in overall purchasing behavior are limited so far. Europe seems to have a better chance of a more significant shift as interest in electric vehicles grows in Germany and buyers pay more attention to operating costs. However, experts believe that a large-scale transition to electric vehicles in the United States is unlikely unless fuel prices rise even more, and higher fuel costs may, on the contrary, negatively affect overall car sales amid tariffs, inflation and economic concerns.