China turns to electric taxis to soften Hormuz oil shock

The article argues that China’s growing reliance on electric taxis and ridesharing is cushioning the economy and transport sector from oil-price shocks tied to Middle East tensions and potential Hormuz disruption. With about half of China’s 1.3 million taxis already electric and EVs accounting for most mileage on major ride-hailing platforms, gasoline and diesel demand is falling even as travel demand rises. Reuters notes that this structural shift helped China reduce June oil imports by 41% year over year and keep a lid on global oil prices by freeing up cargoes in a tight market. The piece is broadly bearish for oil demand, suggesting faster long-term decoupling from petrol consumption in China, though near-term fuel demand may normalize as prices ease.