The high level of confidence that automotive industry leaders have in the future of electric vehicles (EV’s) has been on full display recently.
In just the past few weeks:
- Tesla’s Model 3 started to roll off the assembly line
- Daimler announced a $740 million investment to produce EV batteries in China
- Cummins noted it would have a fully electric truck platformavailable by the end of 2019
- Lyft pledged to provide a billion rides a year powered by electricity by 2025
- Porsche set a 2023 target for having 50 percent of its production be electric vehicles
- Volvo Cars announced that “all the models it introduces starting in 2019 will be either hybrids or powered solely by batteries”
This spurt of corporate announcements has been paired with a bevy of statements of international leadership:
- France declared it would be all electric by 2040
- India challenged itself to be gas free by 2030
- China took the global lead in terms of number of EVs on the road
These developments are more than just excitement about an emerging solution. They are indicators that the market for EVs is developing faster than anticipated even just last year.
Consider the findings of a new report from Bloomberg New Energy Finance. It found that:
[L]ithium-ion cell costs have already fallen by 73 percent since 2010.
The report updated its future cost projections to reflect further steep cost reductions in the years ahead, with a price per kilowatt-hour in 2025 of $109 and in 2030 of $73.