As electric vehicles (EVs) rise in popularity, more manufacturers want a piece of the market. To keep up with the electric vehicle industry trends of 2022 and beyond, consumers, manufacturers and car dealership owners can explore the various ways government interest and public appeal have furthered the production of electric vehicles.
Many models of the latest electric cars come equipped with new and improved batteries, a longer range and upgraded charging capabilities. What else is on the horizon for EV production and use around the world? Let’s explore EV industry trends in 2022 and beyond.
EV industry trends rely on the fast-paced growth of the technological and automotive industries. As companies like Tesla popularize the EV in the United States and beyond, consumers are realizing the potential of current EVs on the market and look forward to the positive EV trends predicted in the future.
As the call for electric vehicles increases, many governments have used a carrot-and-stick approach to encourage consumers to buy electric vehicles and accelerate the infrastructure required. Many of these incentives come in the form of tax credits or subsidies — the U.S. federal government has started offering up to $7,500 in tax credits for those who own plug-in electric vehicles (PEVs). California has provided some progressive policies and incentives, ensuring over $3 billion is spent on placing 1,000 zero-emission cars, school buses and transit buses on the road.
Some governments are also creating new policies and regulations to accelerate the integration of electric vehicles worldwide. For example, the European Commission intends to reduce greenhouse gas emissions by 55% by 2030 and 100% by 2035. As certain countries announce accelerated timelines for internal combustion engine (ICE) bans from 2030 to 2035, more government officials are pushing for further inclusion of electric vehicle infrastructure to aid the transition.
Further, governments have realized the importance of including adequate charging options for electric vehicle owners. For example, over 300,000 chargers exist in Europe, but they’re unevenly clustered around Germany, the United Kingdom, France, Italy and the Netherlands. Acknowledging the lack of chargers, the National Highway Authority of India has promised to install 700 charging stations by 2023. The Chinese government aims to generate EV chargers for over 2 million cars by 2025, as well.
To overcome existing infrastructure issues, many governments have taken to providing subsidiaries for EV charger installation, such as the Biden administration in the U.S., which has pledged to create over half a million public charging stations by 2030.
Other EV industry trends include the electrification of fleets, including buses, trucks, semi-trucks and heavy commercial vehicles. As home deliveries become increasingly in demand, companies have realized the potential for electric trucks and accelerated their plans for EV integration in their fleets. Some local governments have also prioritized the electrification of school and public transit buses.
These kinds of fleets are helpful for several reasons:
As governments introduce charging infrastructure, resources such as renewable energy, improvements in public EV charging and new bi-directional charging have been adopted. Many countries have integrated solar and wind energy resources into their infrastructure. Some companies think allocating such energy to service providers can be used to charge electric vehicles, reducing the overall impact of hydrocarbon on the environment.
Some renewable energy considerations include:
Along with renewable energy considerations, applications for improved public EV charging have been promised for the next several years, including shifting from Level 2 charging units to DC fast charging units (DCFC). Because Level 2 charging often requires numerous hours with limited space, many units only exist in places like hotels, parking garages or office buildings. Both companies and government institutions have begun to install DC fast charging in other accessible public spaces to make charging faster and easier.
Manufacturers have recently begun looking at bi-directional charging to make EV ownership appealing to consumers. With bi-directional charging, electric vehicles can receive a charge while providing power to loads, homes and other electric cars. There are many benefits to bi-directional charging, including:
Hybrid or crossover vehicles have become increasingly popular, especially in the U.S., where consumers have moved away from preferring SUVs and sedans. Also known as CUVs, crossovers now make up a large percentage of light-duty vehicles on the market. The Tesla Model Y, for example, is one of the leading models in crossover and EV sales, with the latest electric car contenders including the Ford Mustang Mach-E, Volvo XC 40 Recharge and the Volkswagen ID4.
Telsa is estimated to remain the most popular EV company in the world beyond 2022. With over 130,00 units sold in the third quarter of 2021, the Tesla Model Y is the world’s best-selling electric vehicle. These EVs are most popular in the U.S., but new factories — Giga Berlin in Germany and Giga Austin in the U.S. — will make it easier for Tesla to meet customer demand everywhere. While Tesla is expected to remain the most popular EV company for at least a few years, other manufacturers will make leads in production and sales, including Nissan, Audi, Chevrolet and Ford.
More EVs were sold in China in 2021 than anywhere else worldwide. The country’s electrified fleets were also the largest in 2021, including almost 8 million models. This growth of battery electric vehicles (BEVs) and electric vehicles in China has come along with government policies that lessen decarbonization, including a plan that seeks to strengthen support for EV manufacturers and production companies to reach a larger electric car sales market share by 2025.
With the increase of subsidies, tax breaks, exemptions from purchase limits, and other financial incentives, China’s EV markets are rapidly increasing, with expectations that EV production will expand beyond 2022.
Europe has significantly influenced EV sales and is expected to increase sales through 2022 and beyond. Germany is still the largest European market in EV production as of October 2022, accounting for over 25% of new EV cars sold. Norway, Sweden, Iceland, the Netherlands, France, Italy and Spain make up the rest of Europe’s electric vehicle production.
As many European countries work to lessen CO2 emissions and promote subsidies and tax benefits to increase EV interest, European automakers continue to offer different versions of EVs. Many manufacturers worldwide prioritize consumers in Europe due to consistently high demand, which is expected to increase.
Many notable automakers worldwide have announced plans to transition their productions to fully electric models. From Ford to Mercedes, new models will be released by 2030. Below are a few examples.
Whether consumers want to know about the miles of range, fuel economy or improved gas prices in hybrid or fully electric cars, many have questions about EVs. Here are some answers to popular EV questions.
As of 2022, Tesla is leading the electric car industry and could reach a market value of $2 trillion by 2025. This is partially thanks to popular models like the Model S, Model X, Model Y and Model 3 topping sales charts. With the arrival of the Cybertruck and the Roadster in 2023, Tesla is expected to continue to be the most popular electric car manufacturer.
According to Bloomberg NEF, it’s estimated that plug-in electric vehicle sales will make up a significant percentage of new vehicles sold by 2025. While hybrids aren’t calculated to see a substantial increase in sales outside of Europe, many EV experts think fuel cell vehicle sales may increase slightly over a few years due to a push in China.
Many car manufacturers have pledged to sell a more significant percentage of or 100% electric vehicles by the late 2020s. Therefore, while it can be estimated that not all cars sold will be electric, most newer models will be electric by 2030.
The short answer is yes, although the path to affordable electric vehicles may take a while. The battery of electric cars is often the most expensive part and considerably drives up EV prices. However, as the materials and metals needed to make the batteries decrease in price, producing them is becoming more accessible and cost-effective.
Therefore, EVs will cost less to make, and manufacturers will drop sales prices. Dropping sales prices means the general public will be more able to afford electric cars, and prices will continue to fall towards the same range as traditional gas-powered cars.
Though it may not happen immediately, affordable EVs are on their way.
At RefiJet, our Colorado-based company is dedicated to providing a reliable auto refinance program for customers nationwide. Our vehicle loans are available for qualifying individuals matched with our various lenders to find the best deal, saving you time and money. With customizable lending options for refinancing vehicles, motorcycles and other automobiles, RefiJet can help you lower your interest rates, address various loan situations or lower monthly payments.
Contact us today to speak to a representative and find the best auto loan for your needs.
The vehicle title is the legal document that is the state’s record of who owns the vehicle.
