Trends and Developments in Electric Vehicle Markets

Trends and Developments in Electric Vehicle Markets

Nowadays, every nation is looking for a reliable and sustainable way to reduce emissions and decarbonize the environment. Given this, lots of countries and companies are prioritizing the production and use of electric vehicles (EVs).

Perhaps you are trying to learn more about these electric vehicles. Here, we will highlight the major trends and development in electric vehicle markets that you know of.

An improvement in the technology behind electric vehicle parts and charging

Let's get started by talking about the development of the technologies behind parts and charging of EVs. As more EVs were registered recently, we witnessed an increase in the rate of manufacturing automotive lithium-ion batteries. This has a notable impact on the EV markets in China and Europe. With this, lots of new battery production plants were established in 2020 and 2021.

As noted by BloombergNEF, this trend is not going to change any time soon. In fact, it has been suggested the production of EV batteries by European companies will increase to 31% by the end of 2030. As more companies invest in the parts and charging of EVs, we will see changes in the size of packs of batteries, battery chemistry, and energy density.

Also, there will be more competition in the EV markets. Hence, companies will be forced to boost their production efficiency and lower costs.

EVs will be the core business of Volkswagen

Volkswagen is undoubtedly the biggest car manufacturer around the globe. It is behind the production of Volkswagen, Porsche, Audi, Bentley, Skoda, Lamborghini, Bugatti, MAN, etc. This company has announced that it will now be focusing more on EVs than other types of vehicles.
With this announcement, it is expected that more car manufacturers will do the same in the nearest future. Some experts have predicted that we may see the effects of increased production of EVs on prices of new Mazdas, Mercedes, Toyotas, Hondas, and other car brands.

More EV initiatives from the government

Numerous countries around the globe are making plans to lower vehicle emissions significantly by 2050. In view of this, they are creating means of encouraging more citizens to buy EVs. One of the ways that they are exploring is the investment in charging infrastructure.

The US government, for example, spend around $5 billion on charging stations and other related EV infrastructures in 2017. Even Germany and Norway are directly investing in the sales of electric vehicles. It is worthwhile to note that many other governments did the same before and after the US government's investment.

In addition, some governments are promoting EVs through other means. These include import tax exemptions, purchase tax exemptions, zero or low registration costs, and lots more. Other governments are offering subsidies to companies producing EVs. As a result of these government initiatives, we are witnessing a huge increase in the use of EVs in many countries.

More individuals will switch to electric vehicles

Another important trend in the electric vehicle market is that more individuals are switching to electric vehicles. Given this, the percentage of EVs in many countries is increasing with China leading the race. It is noteworthy that the growth of EVs was thwarted by the coronavirus pandemic in 2020, but it is beginning to gain some traction again.

It was reported the overall total EV registrations in China increased in 2021 and is expected to continue in 2022. This same trend is observed in other countries in Pacific Asia, The United States of America, and Europe. As a result of this trend, we are looking forward to more people switching to EVs in the next few years.

EV sales could be responsible for more than 30% of new market sales by 2030

As more countries, groups, and individuals are investing in EVs, it is only expected that EV sales will soar. According to a 2020 report by Deloitte, the sales of EVs would increase to 11.2 million by 2025 and 31.1 million by 2030. With this projected rise, 32% of all new car sales in 2030 would come from the sales of EVs. The report says that China would remain the leading global market for EVs.

At the moment, there is still more to be known about EVs. But we look forward to witnessing how these automobiles will change our world.