The sale of electric vehicles fell 15% in 1Q21

The sale of electric vehicles (EV) decreased 15% quarter-on-quarter in the March 2021 quarter, but increased 126% year-on-year, according to an Australian government report.

However, sales in the United States increased 14% quarter-on-quarter.

Worldwide EV sales exceeded 3 million units in 2020, and growth is unlikely to slow down in 2021, with a sales forecast of around 4.4 million units.

In the longer term, demand is projected to rise to 26 million EVs per year by 2030, but given manufacturers’ capacity-building claims, this is likely to be exceeded.

So far, automakers have invested heavily in the transition from internal combustion engines to electric vehicles and will be looking to recoup their investment as soon as possible.

Electric vehicles

Currently, planned capacity increases from automakers through 2025 exceed government policy requirements.

This available capacity, the Australian government claims, represents an opportunity for the production of EVs and their associated minerals, and the percentage of car sales that are electric vehicles by 2030 will potentially increase from 28 to 50%.

Increased production of electric vehicles can put pressure on the supply of materials such as spodumene and lithium hydroxide.

According to Stellantis, research and development focused on the energy demand of vehicles recently focused on reducing weight, aerodynamic resistance, rolling resistance of tires, drag torque of brakes, parasitic losses of transmission line, heating and air conditioning, and electrical loads.

In essence, an EV is a vehicle powered by one or more electric motors.

Likewise, an electric vehicle can be powered by an external source that supplies electrical energy, or it can be autonomous by having batteries installed, solar panels, or an electric generator that transforms a fuel into electricity.