The Future of Electric Vehicles is Growing Larger… Literally.

Could literal size be an indicator of how serious things are getting in the EV Market?

 It seems like every day I receive a news alert on my iPhone announcing that a new electric vehicle is going to hit the market soon. These announcements are coming in almost as fast as the calls about my car’s warranty expiring. Nevertheless, this week I noticed something interesting in the latest announcement of electric vehicle news. It appears that the vehicles are no longer just taking the form of a sedan, but the literal size of EVs is increasing too. Does this mean the future for electric vehicles is getting really serious now that trucks and semis are in the game too? Perhaps this isn’t the most remarkable indicator of things to come, but it is interesting to see utility vehicles and heavy-duty vehicles popping up in news article titles with the letters EV next to them.

Recently, Toyota and Volvo among others have pledged to go electric. Even luxury brand vehicles like Aston Martin, who originally planned to keep ICE vehicles on the road, are making plans to have electric vehicles. Honda also recently introduced plans to bring EV SUVs to the market under the brand Honda and Acura. The company had once been a leader in hybrid vehicles and plans to manufacture these new EVs through a partnership with GM.

Fast forward a week, and now electric vehicle companies like Canoo are announcing their new electric truck concepts. In fact, Canoo is starting to accept pre orders for this year. Another company, Alpha Motor Corporation has just released its EV concept truck, and they too are starting to take offers as well. However, the EV market is expanding even more. It appears that Tesla’s EV semis could actually happen. The Tesla semi was originally slated for availability by 2019. This clearly didn’t happen, but recently the semis were spotted moving on their own. So maybe this is promising news. Even more exciting is the prospect that EV semis might soon be available to freight companies. This time the company isn’t Tesla, but Freightliners. This company’s semis have actually been partaking in road testing. So far a test fleet has traveled 700,000 miles carting real cargo and yielding zero emissions while doing it.

The EV push is seemingly touching different types and classes of vehicles indicating that things are truly heating up. However, these are clearly not the only indicators that point to a future where EVs are the norm.

 

Are Electric Vehicles the Future? 3 Reasons We May Be Getting Closer. 

45 States have EV incentives that are already in place.

We already have the beginnings of a foundation when it comes to adopting electric vehicles. During the past few years, states have adopted certain rules and incentives to encourage the purchase and adoption of electric vehicles. This foundation means, that as the new administration expands the electric vehicle market, there are already many programs in place to build on with upcoming changes.

 

Many states offer electric vehicle purchase or ownership incentives. In fact, as of November 2020, 45 states including the District of Columbia offer incentives that include rebates and exemptions among many other incentives. According the the NCLS, the most common incentive is price reductions for charging EVs during off-peak hours. Many states have even adopted low emissions and zero-emissions standards, increased consumer awareness around EVs, and some are even participating in sales targets for the sales of EV’s.

The effort to make electric vehicles the future has come in pieces, and all it now requires is a more unified approach. This brings me to my next point.

 

The federal government plans to fund new EV initiatives.

 Perhaps, the strongest indicator that electric vehicles are the future, is based on the planned initiative under the new administration. Commonly, the efforts to fund and build an EV structure depended heavily on the electric vehicle manufacturer or business investors, and that appears as it may change.

Now, there are plans to use federal funding to expand critical networks that can make EVs more efficient as well as easier to adopt. For example, the new administration plans to allocate five billion dollars toward the research and development of battery and energy storage. This funding could potentially help boost drive range. Perhaps, even more, important is that federal backing would be used to create a large network of charging stations that would allow seamless coast-to-coast driving by 2030.

Other initiatives from the federal government include bringing back tax credits to automakers and providing tax credits for retooling existing factories to produce electric vehicles.

 

Auto Manufactures are positioning themselves as electric vehicle companies.

 Tesla still holds the largest market share in the electric vehicle sector, but it appears existing auto manufacturers are itching to position themselves as electric vehicle manufacturers as well. This may be a strategy to grow profits, but it is also an indicator that companies are reshaping and committing to a new image. They are committing to a large shift within the industry that is inevitable, for all of us.

 A perfect example is Volkswagen.  VW recently appeared to position itself as an electric vehicle manufacturer. The company solidified this new identity by announcing ambitious plans to double its EV goals. It already has a few electric vehicles on the market including the Taycan and the new Audi E-Tron. In Europe, VW is now the largest seller of EVs in Europe beating Tesla.

 

When Will Electric Vehicles Take Over?

There seems to be lots of mounting energy (and pressure) in the electric vehicle industry as of late, and the future looks full of energy. However, beyond legislation and the trends that automakers set, the success in launching a future full of electric vehicles sooner than later depends on how we solve some of the shortcomings within the market, and how quickly the consumer buys in and adapts.

In my industry of car repair, it is interesting to ponder what an EV future may mean for repair shops and even for my customers. I must say, through conversations with my customers, I have learned that many are actually excited by the prospect of one day buying a Tesla or electric vehicle. In fact, I have had a few OG Saab customers who willingly sold their beloved Saabs, and bought Teslas in their place. This is quite a jump too. They never look back or miss the roar of an ICE vehicle.

This brings me to my next thought, will we all adopt an electric car willingly without missing or craving a more traditional connection between us and the machine? Or is there a way we can still have a choice while committing to clean energy? Brands like Porsche may have an interesting solution. They are investing heavily in synthetic fuels so that their older generations can stay on the road while still playing a role in decreasing the carbon footprint.

Then there is the question of ironing out the kinks within the electric vehicle manufacture process. There's much work to be done with charging and batteries. Currently, it takes about 40 to 50 minutes to charge a Tesla at a charging station. It takes maybe all but 5 minutes to pump your car full of gas. This is a simple example of one aspect of the system that needs work. This could allow EVs to appeal to more consumers, and even begin show up on the radar of those who may not see a priority is environmentally safer technologies.

Conclusion

Clearly, the EV movement is here, and it appears it is inevitable where the future is heading. Whether consumers are ready or isn’t really the question. It’s more of a question of when. When will we need to face our own personal shift from the ICE car we drive now to the electric vehicle we drive next?