According to the study, ‘Hybrid & Electric Cars Global Industry Guide 2013-2022’, One of the biggest player in electric and hybrid car segment is Elon Musk led Tesla. Tesla has two notable cars in this sector. These are Tesla model X and Tesla model S. The model S is the luxury sedan whereas the X is an electric SUV with many unique features. Other major players are BMW, Nissan, Chevrolet, Ford, Volkswagen and Kia.
Globally, the majority proportion of oil produced is used as petrol or diesel in vehicles. The world is witnessing an increase in vehicular demand due to rising disposable income especially in developing countries such as China and India. As the demand for vehicles rise so does the demand for oil. The world knows that oil is a limited resource and the need to switch is not just a smart option but also an inevitable one. The switch the electric vehicles is needless to say environment friendly but also economy friendly. The electric vehicular industry will simultaneously boom jobs, savings, improve quality of life, and reduce reliance on foreign oil. The electric cars industry is still in nascent stages but the transformation from orthodox fuel to the new age technology is quite noticeable. The hybrid electric car market is expected to witness the highest growth in Europe, owing to growing sense of environmental concerns among customers in the region, strict emission norms, and improved offerings from automakers. Also, after the Volkswagen Emission scandal in 2015, the sale of diesel vehicles in Europe has constantly declined.
The electric car industry will cause a net increase in job creation. It is true, with this shift that many would be rendered unemployed but it will cause more technology to be developed hence more employment in manufacturing, research and development. Industrial sectors, closely tied with automotives for instance manufacturing, advanced batteries, components will witness jobs creation. Often the margins on oil distributions are low, with the electric vehicle market, the case would be opposite because of relatively lower cost of production. People will save money by relatively spending lower amount on electric charges. These savings shall be spent locally thus bringing about a robust economy. Government and other organizations are implementing policies with the objective of extracting the benefits of electric vehicles. Government currently use purchase subsidies, measures, supporting EVSE development, fuel economy standards, ZEV mandates and access restrictions.
Although automakers have been testing and researching on electric vehicles for quite some time however major achievements have been recorded in the recent half decade. There is similarity in the components used for both electric and conventional vehicles but there are dozen new systems for instance new gear boxes, electric power steering, water pumps to cool the electric engine, cell components, battery packs. All these components will require the supply chain to be modified.
With record number of electric vehicle registration last year (2017), the shift that began not more than a decade back which certainly promises an emission free future. However, this shift can be sustained over the coming years if it receives proper support from both private and public sector.
To know more, click on the link below:
Ankur Gupta, Head Marketing & Communications