Battery electric vehicles (BEVs or EVs) have been touted as the future of motoring for the past few years, with the European Union mandating a ban on the sale of new combustion-powered vehicles from 2035 in member countries.
Even so, several brands are dialling back their electrification plans, as lower-than-expected customer demand is prompting them to reposition the goalposts and resume their primary focus on combustion-powered (petrol and diesel) vehicles.
Among the manufacturers changing their EV plans are Honda, Ford, General Motors, Mercedes-Benz, the Volkswagen Group (which includes Audi, Porsche, Skoda, Bentley, Seat and others) and the Stellantis Group (which includes Peugeot, Citroen, Opel, Alfa Romeo, Fiat, Maserati, Dodge, Jeep, RAM and Chrysler).
Even exalted brands such as Lamborghini, Rolls-Royce and Aston Martin are scaling back their plans for battery-powered offerings.
This reversal trend is reflected in the UAE, where there has been a slight decline in EV sales over the past year, even as a raft of new battery-propelled entrants (mainly from Chinese manufacturers) have entered the market.
According to UAE new-car sales figures shared with us by industry sources, about 11,700 BEVs were sold here in 2025, down on the 12,400 the previous year. That said, there was a jump in PHEV (plug-in hybrid vehicles) sales, as 1,100 petrol-electric cars were sold in 2025, compared to just 200 in 2024.
To put these numbers into perspective, just under 345,000 new cars were sold in the UAE in 2025 (a 6 per cent increase on the 2024 tally), which means pure-EVs only accounted for about 3.4 per cent of total sales. It’s clearly a long way short of the Ministry of Energy and Infrastructure’s 2050 target, which stipulates that 50 per cent of all vehicles on UAE roads will be battery powered.
In line with the lofty 2050 goal, large-scale initiatives are in motion to improve the EV-charging infrastructure across the country.
Abu Dhabi is introducing a major network expansion, with more than 1,000 new charging stations being installed at 400 sites under the Charge AD initiative. These stations will cover Abu Dhabi Island, Al Ain and Al Dhafra.
In addition, the Department of Energy and Taqa have launched the Barq initiative, providing 50 ultra-fast 360kW chargers that add 100km of range in three minutes. These are at sites including Manarat Al Saadiyat, Mina Market and Al Ain malls.
Dubai is also moving rapidly to provide a network to support EVs, stating its goal to substantially grow the current tally of about 1,860 charging stations by the end of the year.
The multi-billion-dirham project is spearheaded by the Dubai Electricity and Water Authority (Dewa) and the mix will include standard AC, fast DC and ultra-fast charging stations across residential communities, motorways, commercial hubs and fuel stations.
Even so, there’s a long way to go, says independent industry analyst Shijil Hashim, who points out: “The adoption of BEVs continues to be challenging, as the local recharging infrastructure is still in the process of maturing. There’s also the fact that in the UAE we have relatively cheap petrol prices versus global markets, which means there’s less incentive to switch to an EV.”
Hashim adds: “A large portion of the PHEV volumes are REEVs (range-extender electric vehicles) from Chinese brands, which customers in the UAE find as the perfect balance, as they provide EV-like performance, without the worry of range anxiety and hunting for chargers.”
A range-extender EV is one in which the petrol engine’s sole purpose is to act as a generator to recharge the battery.
While Chinese brands are dominating the budget end of the EV and PHEV segments, German marques such as Audi, BMW, Mercedes and Porsche also offer a broad selection of electrified models.
These premium European offerings target a different buyer demographic, as most of their customers have more than one car, so range anxiety becomes less of an issue. Many such clients also live in villas and therefore have the option of installing chargers in their garage, which means they don’t need to rely on public charging stations.
In addition to a public charging network that’s still in its nascent phase, there’s also the fact that steep depreciation remains an issue for EVs – especially premium models – as their batteries don’t have a limitless lifespan. Therefore, a second-hand shopper might be reluctant to purchase a five-year-old Audi, BMW, Mercedes, Porsche or other EV, as they’re likely to have concerns about how much battery life remains. This means resale values of EVs don’t compare well with equivalent combustion-powered models of the same age and with similar mileage.
So, the key takeaway is that EVs may well deliver mobility without any tailpipe emissions, but they’re not the cure-all automotive panacea they have often been portrayed as. Battery-powered vehicles are clearly not a desirable choice for every car buyer, hence the reason why so many auto manufacturers are now rapidly recalibrating their product strategies back towards combustion power.
And the elephant in the room is that manufacturing EVs has a higher upfront environmental cost compared to petrol and diesel cars, largely due to the energy-intensive production of their lithium-ion batteries. The eco-friendly claims of battery-powered cars are further diminished if they’re recharged via electricity generated by a coal or gas-fired power plant.
So even the argument that EVs represent “clean transport” is only partially true.
