This can happen at the time of Elon Musk or at least when the vision of collective use of electric cars is realized. A new report by Cairn Energy Research Advisors, a research company focused on the battery and EV (electric vehicle) industries, predicts an increase in electric vehicle sales in 2021 as countries around the world are implementing new programs to encourage consumers to purchase battery powered vehicles. . Cairn estimates that EV’s global sales will increase to 36% and 3 million vehicles for the first time in 2021.
“There is demand for electric vehicles,” said Sam Jaffe, general manager of Cairn Energy Research Advisors. “We will see a combination of factors that make 2021 a milestone for the sale of electric vehicles.” said.
Jaffe believes that the two biggest factors that will increase demand for electric vehicles are markets in Europe and China. According to Sanford C. Bernstein, China is already the world’s largest electric vehicle market, with a million battery-powered model produced last year.
According to Bernstein analyst Mark Newman, it is estimated that electric vehicle production will increase to at least 1.3 million and this year will reach 1.5 million depending on market conditions.
On the other hand, Cairn Energy Research predicts that the biggest growth in EV sales next year will occur in Europe, because the governments in the EU are determined to reduce carbon dioxide emissions. This commitment forces countries like France to introduce new incentives to persuade residents to buy electric cars. French President Emmanuel Macron said that while he announced a new bonus for people to buy electric cars, he wanted France to be the best producer in Europe in the EV industry.
Jaffe said there is a wave of electric vehicle production coming from Europe that will generate more sales. “European automakers and Tesla are growing in capacity and will be really effective from next year,” Jaffe said. The production of Model Y is planned to start in the middle of next year at Tesla’s next final assembly facility outside Berlin.
As for the US, electric vehicle sales are expected to increase as more models come out next year. While Tesla Model 3 and Model Y are likely to get the lion’s share in mass market sales, many other models of electric vehicles such as Ford Mustang Mach-E and General Motor’s Hummer EVSUV are also included. In addition, several electric vans are planned to be released at the end of 2021.
Jaffe also notes that slowing economies around the world can lower demand for electric cars. “If people don’t trust their jobs or economies, they’ll think twice before buying a new car,” he said.