Interest in petrol cars rises among Singapore drivers

Singapore drivers are showing renewed interest in internal combustion engine (ICE) vehicles, according to a recent EY study. The 2025 Mobility Consumer Index (MCI), released on 9 January, found that 32 per cent of local respondents plan to buy an ICE vehicle in the next two years, up from 26 per cent in 2024.

The study highlighted that concerns over charging infrastructure and hidden costs remain key factors influencing buyers’ decisions. “While last year’s MCI results reflected a strong optimism around EV purchase, this year’s survey reveals that Singapore car buyers are reconsidering ICE options,” said Sriram Changali, EY-Parthenon Asean and Singapore industrials leader. He added that consumers are adopting a more cautious and practical approach to car ownership.

Despite the shift, Singapore remains ahead of regional peers in the adoption of electric vehicles (EVs). The country’s strong EV uptake has positioned it as a leading market in Southeast Asia, although consumer confidence is showing signs of moderation. The EY survey, which involved 300 local car buyers, found that practical considerations, such as gaps in the charging network and the cost of battery replacements, are influencing purchasing decisions more than environmental concerns.

EV interest remains strong, but trends are shifting

Although interest in ICE vehicles is rising, EVs continue to attract significant attention in Singapore. The EY study found that 58 per cent of respondents are considering buying an EV in the next two years, down from 73 per cent in 2024 but still above the global average of 43 per cent. A further 10 per cent of respondents remain undecided.

Chinese automaker BYD became Singapore’s top-selling car brand in May 2025, overtaking Toyota for the first time and increasing its market share to 19.7 per cent in the first nine months of the year. Interestingly, BYD also launched its first petrol-powered car in Singapore in July, reflecting the broader market trend of automakers maintaining ICE and hybrid portfolios alongside EV offerings.

EVs accounted for 43 per cent of new car registrations in Singapore during the first nine months of 2025, up from 33.8 per cent in 2024 and 18.2 per cent in 2023. Analysts have suggested a “managed transition period” in which petrol vehicles will continue to play a role, even as EV adoption grows. The Singapore government plans to restrict new car registrations to cleaner energy vehicles from 2030, signalling a gradual move towards full electrification.

Charging and cost concerns influence buyer behaviour

EY’s research identified charging gaps and high battery replacement costs as major barriers to EV adoption in Singapore. More than half of respondents expressed concerns about public charger quality and compatibility, compared with a quarter of respondents globally. Around 40 per cent of local buyers cited high battery costs and insufficient charging infrastructure as key issues, above the global average of 28 per cent.

The report noted that government efforts to expand charging networks have not fully alleviated these concerns. “Beyond expanding access, sustained public education that addresses how charging works across different networks, battery performance, long-term costs and good charging habits will be key towards Singapore’s cleaner mobility future,” it said.

The survey also found that EV buyers prefer physical dealerships over online channels, citing the need for guidance on charging, battery life, and vehicle features. Singapore drivers remain cautious about adopting advanced technologies, with limited comfort in autonomous driving despite a strong interest in connected safety and navigation features. High costs for these services, combined with persistently high Certificate of Entitlement premiums, continue to influence purchasing decisions and overall price sensitivity in the market.