EV sales surge could cut global oil demand by 320,000 barrels/day, pushing Brent crude to $55 by 2027.

Goldman Sachs reports a rapid rise in electric vehicle (EV) sales, especially in China, could reduce global oil demand by 320,000 barrels per day by the end of 2027. EVs now make up 26.1% of passenger car sales globally, with China driving over 60% of this growth. This shift is expected to slow oil demand growth and may cause Brent crude prices to fall to around $55 per barrel by late 2027. The trend reflects changing consumer behavior amid higher fuel prices and geopolitical tensions near the Strait of Hormuz.