Biden is pushing EVs to account for more than 40% of U.S. car sales by 2030

Next, Vice President Joe Biden (R) and General Motors CEO Mary Barra saw the new Corvette C7 and saw the North American International Auto Show at Cobo Hall on January 16, 2014 in Detroit, Michigan. Attend an industry preview.

Paul Warner | Getty Images

According to government officials, President Joe Biden will set a new national goal for the adoption of electric vehicles on Thursday, calling for 40% to 50% of all new vehicle sales by 2030.

Targets are expected to be supported by companies such as: General Motors, Ford motor, Stellantis (Formerly Fiat Chrysler) and other car makers. Detroit automaker executives will attend an event at the White House on Thursday.

The president signs an executive order, but sales targets are not mandatory. Instead, this document encourages the US automotive industry and government to promote legislation and the adoption of electric vehicles. The target is Fuel cell A plug-in hybrid model equipped with a battery and an internal combustion engine.

Officials said the Biden administration is also expected to announce the federal fuel economy and emission standards proposed through the 2026 model, based on California’s stricter regulations. The proposed criteria are subject to public comment period and final approval.

Automakers are increasingly favoring EVs, which are mixed according to short-term fuel economy standards. Try to make a profit From traditional vehicles to funding electric models. EVs have historically been unprofitable or have low rates of return.

The number of automakers that support Biden’s fuel economy standards is unknown. Automakers such as Ford, Honda Motor and Volkswagen have previously agreed to California’s stricter standards that the Trump administration has categorically opposed.

Some small brands like Volvo Fully electrified by 2030By then, Stellantis and Ford have announced targets for at least 40% of EVs in line with Biden’s orders.Announced earlier this year by GM “desire” Exclusive provision of all-electric and fuel cell vehicles by 2035..

Such rapid adoption of EVs faces significant hurdles, among other issues, such as charging infrastructure, consumer recruitment, and vehicle costs.

“Today, Ford, GM and Sterantis will sell 40 to US electric vehicles (battery-powered electric vehicles, fuel cells, plug-in hybrid vehicles) annually by 2030 to move the country closer. “We have announced a common desire to achieve 50% sales. A future of zero emissions that is in line with Paris’ climate goals,” the automaker said in a joint statement. “We look forward to working with the Biden administration, parliament, state and local governments to develop policies that enable these ambitious objectives.”

Jessica Caldwell, executive director of insights at auto-insight firm Edmons, said EV sales targets aren’t “especially ambitious,” but ultimately depend on regulation and consumer recruitment.

“All automakers are playing aggressively in this category,” Caldwell said. “But in the last five years or so, we’ve seen that these goals tend to be moving goals rather than solid ones. Everything is more fluid than the actual plan.”

The Obama administration’s previous goal of selling one million EVs between 2012 and 2015 was well below expectations. In January 2016, Reuters reported that only about 400,000 electric vehicles were sold.

The United States is the third largest EV market in the world. According to IHS Markit, new vehicle sales in 2020 were down 23% to about 14.6 million units, while all-electric vehicle sales were down 11% to 295,000 units.

A senior executive in the Biden administration advertised the adoption of EVs and an executive order as a stimulus package for US manufacturing. They said the new action would “build a better agenda” for Biden and support bipartisan infrastructure trading.

United Auto Workers officials, who represent the hourly union workers of Detroit automakers, are less convinced that EVs are spurring American work.

“The UAW states that companies are voluntarily working on electric vehicles, but the focus of the UAW is not on tight deadlines or percentages, but on maintaining wages and benefits, which are at the heart of the American middle class.” Said UAW President Lakery in a statement Wednesday.

According to a 2018 survey by the union, mass adoption of EVs could bring 35,000 jobs to the UAW, but officials say that number could now be lower. EVs require far fewer parts than those with an internal combustion engine. This can mean less assembly work in the factory. Many EV parts are manufactured in factories outside the United States or in the country, and workers’ wages are much lower than traditional assembly work.

In May, IHS Markit predicts that total US electricity sales will be between 25% and 30% of new cars in 2030 and 45% to 50% by 2035.

US President Joe Biden will test the new Ford F-150 Lightning Track on May 18, 2021 during a visit to the VDAB at the Ford Dearborn Development Center in Dearborn, Michigan.

Rear Millis | Reuters

Biden is pushing EVs to account for more than 40% of U.S. car sales by 2030

Source link Biden is pushing EVs to account for more than 40% of U.S. car sales by 2030

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