Are electric vehicles finally having their heyday? It is possible that 2020 could be the beginning of the EV surge that many have predicted. With the environmental impact of more individuals staying home due to COVID-19, people are starting to notice the effect traditional cars can have on the environment. Therefore, the conversation around EVs has arisen again. So, what is the current state of this trend? Who is jumping into the EV sector? Are there new advancements that could make EVs more affordable and accessible?
Find out about the current state of EV innovation.
Charging Stations – Is The Barrier Being Lifted?
A recent study at the Georgia Institute of Technology found that many consumers are not purchasing or investing in EVs because of the lack of charging stations. Many feel that these EV charging stations are not accessible to individuals outside of urban areas. Additionally, the study also found that drivers encountered charging stations that were not working properly.
Nevertheless, this problem could be moving toward a solution as the International Energy Agency found that the construction of charging stations in 2019 increased 60 percent, and even outpaced the sales of battery-powered vehicles. Currently, there are 862,118 charging stations globally, with China taking 60 percent of the share.
If more laws like the one in Florida that mandates the building of more charging stations along major highways come about in other states, it is possible that attitudes towards EVs could change for the better in the United States.
Tesla Is the Current Leader in EV Sales
When it comes to the automotive industry, Elon Musk’s Tesla has been a consistent disruptor. The company is changing how people purchase and learn about cars. Their dedication to EVs has added to this reputation.
When it comes to EV sales, Tesla’s Model 3 was the best-selling plug-in EV last year, with over 300,000 vehicles sold globally. And their time on top is looking to be for the foreseeable future. A report by Cairn Energy Research Advisors, a research firm in the EV and battery-powered sectors, found that sales for EVs are likely to surge in 2021 and pass three million units sold for the first time. This event could be the beginning of Tesla’s moment to shine, and will likely lead to a shift of other automakers attempting to compete.
General Motors is Looking to Challenge Tesla
General Motors is looking to also make inroads in the EV industry. Globally, they have a new fleet of 20 EV models, with at least one model for each brand in the United States. Cadillac will be the leading brand for GM’s latest EV initiative, with a crossover and sedan EV planned for release.
However, GM is also looking to reach a market that Tesla may not be preparing to pursue. GM is building an EV for business owners, specifically for companies in the shipping and delivery sphere like Amazon and UPS. This step could be a significant way for GM to stand out and become a viable challenger.
While GM is making considerable strides to compete with Tesla, CEO Mary Barra still felt that EVs overtaking traditional gas-powered vehicles is far off. She told Bloomberg Television the following:
“We believe the transition will happen over time,” Barra said on “Leadership Live With David Rubenstein” on Bloomberg Television. When asked if all cars will be electric in 20 years, she said that may be too soon. “It will happen in a little bit longer period, but it will happen.”
If this is true, then Barra’s strides to make GM a challenger to Tesla make them both early adopters who can shape the public sentiment toward EVs. However, both could be investing resources in a market that will be niche, even for the next generation of drivers.
EVs Are In A Position to Disrupt the Industry Further
With the increase in charging stations, automakers switching to EV production, and changing attitudes toward EVs, these vehicles could finally be in a position to be preferred over traditional cars. We are even on the brink of possibly seeing an EV battery capable of taking on a million miles.
Depending on the success of current advancements and potential economic changes, Tesla, GM, and even Volkswagen could find themselves leading the way on EVs, and reaping the benefits.
Did you enjoy this article from Chanell Turner? Read other articles from her here.
While you’re here, don’t forget to subscribe to our email newsletter for all the latest auto industry news from CBT News.
This has been a JBF Business Media production.