Consumer adoption of EVs has gathered momentum this year, spurred by higher global oil prices. The Russia-Ukraine war has made EVs suddenly more appealing to many car buyers, accelerating adoption globally. The higher oil prices are driving EVs closer to cost parity with internal combustion engine (ICE) vehicles. In Bloomberg New Energy Finance’s most recent Electric Vehicles Outlook 2022 report, it projected EV sales to hit 20.6 million units by 2025.
On Tesla’s most recent earnings call, Elon Musk admitted, “We do not have a demand problem but a production problem.” Other car manufacturers such as Ford, for instance, says it can build its F150 Lightning and the Mustang Mach E fast enough to keep up with demand
Source: CleanTechnica Read The Article
PSR Analysis: It would take a monumental effort to replace the approximately 1.3 billion ICE cars, but the efforts to do so, the huge investment in battery development and recharging structure means that while EVs may not be able to trigger economic growth on their own, they will definitely limit or partial reverse any negative downturn caused by falling ICE sales. PSR
Guy Youngs is Forecast & Adoption Lead Analyst at Power Systems Research
