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Ethiopia emerges as global leader in EV fleet transformation 

Ladele Joy by Ladele Joy
June 24, 2025
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South Africa to boost local production of electric vehicles with 1 billion rand

South Africa to boost local production of electric vehicles with 1 billion rand

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Climate Group relaunched its global EV100 initiative on Monday with a special spotlight on Ethiopia, now ranked among the world’s top electric fleet markets.

The update follows the release of the EV100 Transition Barometer, developed in collaboration with New AutoMotive, which analyses the readiness of 39 countries to transition their corporate fleets to electric vehicles (EVs). Ethiopia’s decisive policy moves have placed it alongside Norway, China, and the UK as a global front-runner.

Ethiopia’s EV policy push drives rapid electrification

Ethiopia’s bold 2024 ban on petrol and diesel vehicle imports has made it a rare and ambitious example of government-led EV adoption in Africa. The move, aimed at easing foreign currency pressure from fuel imports, effectively mandates electric or hybrid alternatives for all new vehicles. With an estimated 100,000+ electric vehicles imported annually since the ban, Ethiopia is rapidly reshaping its transport sector.

Despite limited local manufacturing and infrastructure, the ban has jump-started a dramatic rise in electric mobility. Ethiopia now scores high across key metrics such as EV uptake and policy ambition. It also ranks above many developed nations in medium- and heavy-duty vehicle (MHDV) electrification, reflecting targeted tax benefits and favourable electricity cost ratios.

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Climate Group expands EV100 to support diverse market conditions

To support countries like Ethiopia, the revamped EV100 now features a flexible commitment model. Rather than a fixed 2030 deadline, members can follow region-specific timelines and focus on segments most relevant to their fleets—cars, vans, or heavy-duty trucks. Hybrid vehicles no longer qualify under the new rules, which now require full zero-emission pledges.

This update also introduces the EV100 Pledge Network (EVPN) for companies still exploring electrification. More than 120 companies have joined the original EV100 so far, deploying over 700,000 EVs. Arcadis is the latest member, committing to full fleet electrification by 2030.

Ethiopia’s success could inspire broader EV adoption in Africa

Climate Group’s Head of Transport, Dominic Phinn, notes that early movers like Ethiopia prove that bold action can overcome infrastructure barriers. By leveraging policy, fiscal tools, and energy pricing, Ethiopia is setting a new standard for low-income nations in the EV race. New AutoMotive CEO Ben Nelmes adds that with the right support, even emerging markets can unlock significant productivity and sustainability gains.

With its aggressive policy framework, rapid growth in EV imports, and strong political backing, Ethiopia is not just a regional standout—it’s a global leader in electrification. The relaunch of EV100 aligns perfectly with Ethiopia’s trajectory, offering tools and partnerships to scale efforts even further and influence regional policy across Africa.

Tags: electric vehicles (EVs)Ethiopia
Ladele Joy

Ladele Joy

Ladele Joy is a content writer and tech reporter specializing in entertainment and gaming. She crafts engaging stories that connect with readers. Joy brings curiosity and creativity to every piece she writes.

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