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More than 500 electric vehicle models will be in 2022

More than 500 different electric vehicle models will be available worldwide by 2022, noted the Organization for Economic Cooperation and Development (OECD).

In general, over the past decade, major automakers have changed their product lines to keep up with changing demands and growing concerns about climate change.

From the OECD landscape, auto companies could face fewer challenges in implementing effective low-carbon transition plans due to greater flexibility in their business models.

On the one hand, they are not likely to suffer from excessive amounts of immobilized assets; for example, existing factories can be reused for the production of green vehicles.

Additionally, ongoing capital expenditures on alternative vehicles represent a significant portion of your investments, making a complete transition safer.

Electric vehicle models

To date, almost all major automakers have implemented policies to reduce carbon emissions and improve transparency and disclosure related to Scope 1, 2, and 3 emissions.

However, a more complete transition will occur when all automakers transform their production from internal combustion engines (ICEs) to low-carbon reciprocating engines, such as electric or hydrogen.

While in early 2020 only five global automakers were getting more than 10% of non-ICE vehicle revenue, and Tesla was the only one selling exclusively EV models, there have been strong improvements in the commitment to produce ecological vehicles.

Market

Already 13 countries have announced plans to phase out sales of internal combustion vehicles, and most auto markets offer forms of subsidies or tax cuts for the purchase of electric vehicles.

The auto industry provides a contrast to the oil and gas example regarding climate transition strategies and implementation, for several reasons.

While cars have been a major source of fossil fuel consumption, both in their creation and use, several large car companies are undergoing a transformation to reduce their fossil fuel inputs and also design products that reduce each time. more carbon emissions like electric cars.

In 2019 and 2020, different jurisdictions implemented CO2 emission standards with specific requirements for electric vehicles, among which the European Union, China and India were recognized as key players.

Other countries with increasing political activity to support electric vehicles include Canada, Costa Rica, Chile, and New Zealand.

 

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