Electric Vehicle Production to Ramp Up This Year
Millions of electric vehicles are set to hit U.S. and European roads in the coming decade. This trend is already beginning as government mandates and consumer demand catch up to electric car technology.
Market research firm IHS today released a new report predicting that electric vehicle production will increase 67% this year compared to 2013. The report estimates that more than 403,000 electric vehicles will be produced this year. That total includes both fully-electric vehicles and plug-in hybrid electric vehicles.
Much of this production growth will be driven by emissions standards. Governments in Europe are mandating lower emissions targets starting in 2014, driving electric vehicle production in the region. IHS sees Europe, the Middle Ease, and Africa alone as making up 40% of electric vehicle production this year. North America and the Asia/Pacific regions combine for another 30% of production.
While the growth in electric car production in 2014 doesn’t represent the millions that are predicted to sell in the coming years, it does mean that consumers in many areas of the world will have a new choice. More top vehicle manufacturers are set to debut electric vehicles this year as the market for electric car charging grows to sustain them. In the years beyond 2014 IHS sees better battery technology making electric vehicles an even better value proposition for car buyers.
“European emissions standards are tightening in the second half of this year with the implementation of the European Commission’s Euro 6 legislation,” said Ben Scott, analyst for Automotive at IHS. “At the same time, European automakers are introducing compelling new EV models, such as the BMW i3. These factors will boost EV demand and manufacturing in Europe in 2014.”
Image via Tesla