NEW DELHI: Electric vehicle sales in the US, China and Europe will outstrip all other engines five years sooner than expected, a study revealed.
According to Ernst and Young (EY) research and analysis, it is predicted that by 2028 EV sales in Europe will surpass those of other powertrains, a trend that will be repeated in China by 2033 and in the US by 2036.
The analysis shows that by 2045, non-EV sales will shrink to less than 1% of overall sales.
Europe is expected to lead EV sales volumes until 2031, with China taking the lead from 2032 to 2050.
These figures were released when EY launched the EY Mobility Lens Forecaster.
It is an artificial intelligence (AI) powered forecast modeling tool that provides an outlook for the supply and demand of mobility products and services through 2050.
Randall Miller, EY Global Advanced Manufacturing & Mobility Leader, says, “A mix of changing consumer attitudes, ambitious climate-focused regulations and technology evolution is about to change the landscape of vehicle buying forever.” “This new outlook also has implications for governments and energy industries in terms of infrastructure and electricity generation and storage, and forward-looking organizations are already using this data to help ensure a smooth transition to this new EV-dominated market, which will be here much sooner than expected,” he added.
A new market EY analyses that the global auto industry will expose to a new group of car buyers as the industry is recovering from the COVID-19 pandemic.
Many people had rejected ownership in lieu of ridesharing and public transport have reassessed their decision.
The EY Mobility Consumer Index published in November showed that one-third of non-car owners planned to buy a car in the next six months (19% plan to buy new, 12% used cars), and about half of those are millennials.
Among both current car owners and non-car owners, 30% said they’d prefer a non-ICE (internal combustion engine) vehicle for their next purchase.
There are several regulatory incentives been given by the administration to promote electric vehicles.
US administration’s announcements include continuity of EV buying incentives and the development of charging infrastructure.
In Europe, incentives to purchase EVs are part of COVID-19-related relief measures in France, Germany, Spain, Italy and Austria.
The UK has announced that it will ban the sale of ICE vehicles starting from 2030.
China also continues support for EVs through regulatory measures, wide product range and increasing customer demand.
From the supply perspective, automakers globally have also begun to manufacture gasoline-and diesel-powered vehicles, in favour of EVs.