The electric vehicle transition is not going as seamlessly as hoped, with several automakers now revising their plans for rolling out EV models, reports CNBC.
Though early adopters of EVs bolstered its place in the market, that trend may soon be slowing down as manufacturers attempt to sell EVs to a more mainstream consumer base.
As companies including Ford, GM, Mercedes-Benz, Volkswagen, Jaguar Land Rover, and Aston Martin move towards scaling back their plans for EV production, Tesla CEO Elon Musk remarked this past January that the company is preparing for a significantly lower rate of growth.
Marin Gjaja, chief operating officer for Ford’s EV unit, describes the rise in popularity of EVs seen in 2021 and 2022 as being a “temporary market spike.” Though the demand for EVs is still on the rise, it’s not as dramatic as it initially seemed.
In response, automakers like Ford are putting hybrid vehicle production into full gear. GM plans to offer plug-in hybrid electric vehicles alongside EVs and ICEs. Companies including Hyundai Motor, Kia, and Toyota Motor are all looking to have a diverse range of electrification options in their vehicles.
Automakers are putting more of a focus on consumer adoption, global emissions regulations, and EV charging infrastructure, using it as a determiner of where their EV plans will go next. In addition, the upcoming U.S. presidential election is causing automakers to be more reserved with EV plans, as Donald Trump is expected to do away with Biden’s fuel economy mandates.
