China’s Electric Truck Boom Cuts Diesel Demand, Accelerating Energy Transition

China's commercial transport sector is undergoing a seismic shift as electric truck sales skyrocket. First-half 2025 figures show a staggering 175% year-over-year increase, with over 76,000 new energy trucks sold. Electric models now account for nearly all growth in this segment, representing about 25% of total new truck sales nationwide.

The diesel impact is immediate and substantial. Industry analysts project a 6.3% decline in diesel consumption this year alone, with transportation accounting for two-thirds of China's diesel use. This accelerated transition has prompted energy researchers to revise their forecasts, with some suggesting China may reach peak oil demand as early as 2025.

Fleet operators are driving the change, motivated by compelling economics. Lower total cost of ownership combined with government incentives makes electric trucks increasingly attractive for industrial applications. Charging infrastructure expansion along major freight corridors is removing another critical barrier to adoption.