In January 2021 MJB&A, an ERM Group company published the third update to their report Electric Vehicle Market Status – Update: Manufacturer Commitments to Future Electric Mobility in the U.S. and Worldwide, developed by MJB&A for the Environmental Defense Fund (EDF). First released in May of 2019, the second update was published in September 2020.
The report highlights that globally auto makers have committed to spend $257 billion (up from $185 billion in the last report) on vehicle electrification over the next 10 years, including at least $2211 billion on domestic U.S. manufacturing, supporting the view that the auto industry has embraced the vision of electrified mobility and the EV market is on the cusp of a period of significant growth.
This update also notes that EV momentum continued to build in 2020, despite economic fall-out from the COVID19 pandemic. While some high-profile electric vehicle launches were delayed in 2020 (Rivian electric pickups, GM electric Hummer) some existing EV models (Chevy Bolt, Audi e-tron, Nissan Leaf) saw significant sales increases, despite an 18% reduction in over-all US auto sales through the first three quarters of the year. Both GM and Ford increased their financial commitments to EV development in 2020, and VW increased their EV sales projections by four4 million vehicles through 2030.
“Despite a bad year for autos generally due to the pandemic, auto manufacturer commitments to an electric future actually increased substantially in 2020” ” said Dana Lowell, MJB&A Technical Director who consults with the Transportation sector. “Consumers also showed strong interest, with sales of several existing EV models increasing while sales of ICE vehicles declined. Interest in the new vehicles that will soon be launched was also strong, especially larger electric trucks. Lordstown Motors has received 100,000 orders for the Endurance all electric pickup truck that will debut next year, and the 2022 GMC Hummer EV sold out pre-orders in 10 minutes.”
As originally published 8 October 2020
MJB&A, an ERM Group company, launched an updated report titled, Electric Vehicle Market Status – Update: Manufacturer Commitments to Future Electric Mobility in the U.S. and Worldwide, in September. This report is the second update to a report first released in May of 2019, and was developed by MJB&A for the Environmental Defense Fund (EDF).
Within the report, authors share data that address key electric mobility topics, including drivers of U.S. and global electric vehicle (EV) growth, auto manufacturer investments in EV development and in building a robust infrastructure of charging networks for drivers, announced new EV model introductions and projected sales, and projected date of “cost parity” with traditional internal combustion engine vehicles.
The report highlights that globally auto makers have committed to spend $185 billion on vehicle electrification over the next 10 years, including at least $11 billion on domestic U.S. manufacturing, supporting the view that the auto industry has embraced the vision of electrified mobility and the EV market is on the cusp of a period of significant growth. Transportation is now the largest source of greenhouse gas emissions in the United States, and the transition from internal combustion engines (ICE) using petroleum fuels to electric vehicles is a key component of the over-all Low Carbon Energy Transition.
Also noted are the significant developments related to medium- and heavy-duty electric vehicles, including manufacturer efforts to develop electric commercial vehicles, and electric vehicle orders and fleet electrification commitments by major companies such as Amazon, FedEx, and UPS.
“A few years ago, the EV discussion was all about light-duty consumer vehicles. We are seeing a growing interest in electrification of medium- and heavy-duty commercial vehicles as well – not just from government policy makers and NGOs, but also from electric utilities and major fleet operators,” said Dana Lowell, MJB&A Technical Director who consults with the Transportation sector. “Major truck manufacturers are beginning to offer electric vehicles due to rising demand from companies that manage large company fleets, as well as those that rely on third-party freight companies to move materials throughout the supply chain. These companies are looking to fleet electrification to reduce their greenhouse gas emissions, as part of corporate sustainability efforts.”