IHS Automotive expects global production of EVs and plug-in hybrid EVs (PHEVs) to rise 67% in 2014. That compares with just a 3.6% increase in the production of all vehicles globally.
This means more than 403,000 electrified vehicles are expected to be built in 2014, up from 242,000 in 2013. The 2013 figure itself was a 44% rise from a year earlier,
Several key factors account for the expected increase in electric vehicles.
European emissions standards are tightening and European automakers are introducing compelling new EV models including the Audi A3 E-Tron PHEV, Mercedes-Benz B-Class EV and Volkswagen E-Up EV.
With so many new European models flooding the marketplace, the Europe, Middle East and Africa region is expected to build 40% of all EVs in 2014. Asia will build an additional 30%, while the U.S. will make about 27% of all EVs in the world, IHS said.
Cheaper battery technology helps. A price war between lithium-ion makers LG (in the Chevy Volt) and Panasonic (in the Tesla Model S) is helping, and Samsung is entering the fray by building a battery for the BMW i3 and Fiat 500e.
China is another driver of EVs’ global popularity. The country is using government-sponsored mandates to drive sales of these cars in an effort to curb China’s significant pollution problem and the adverse health and economic effects it’s having. The city of Beijing is limiting sales of new cars while also deploying 20,000 EVs in 2014, and a total of 170,000 EVs by 2017, the IHS report said.
Several key factors account for the expected increase in electric vehicles.
European emissions standards are tightening and European automakers are introducing compelling new EV models including the Audi A3 E-Tron PHEV, Mercedes-Benz B-Class EV and Volkswagen E-Up EV.
With so many new European models flooding the marketplace, the Europe, Middle East and Africa region is expected to build 40% of all EVs in 2014. Asia will build an additional 30%, while the U.S. will make about 27% of all EVs in the world, IHS said.
Cheaper battery technology helps. A price war between lithium-ion makers LG (in the Chevy Volt) and Panasonic (in the Tesla Model S) is helping, and Samsung is entering the fray by building a battery for the BMW i3 and Fiat 500e.
China is another driver of EVs’ global popularity. The country is using government-sponsored mandates to drive sales of these cars in an effort to curb China’s significant pollution problem and the adverse health and economic effects it’s having. The city of Beijing is limiting sales of new cars while also deploying 20,000 EVs in 2014, and a total of 170,000 EVs by 2017, the IHS report said.
