“The projected annual growth rate of the electric vehicle (EV) market is 21.7% for the next eight years” is a fancy way of saying electric vehicle markets are booming worldwide. Many are turning to electric cars to dodge the huge cash expense of filling up a tank after recent climbs in energy costs.
In this article, we’re going to look at the latest car industry news to see how EVs will impact the future of the car industry. Finding the best cars in Stephenville is a process best supported by knowing what the EV market may do to the prices of cars and their parts.
Keep reading to find out all you need.
Supply and Demand for Electric Cars
Over the last two years, electric vehicle production and sales have been rising steadily in the US and Europe. The share of EV sales in the broader vehicle market in China also jumped dramatically between 2020 and 2021, as China seeks to become a renowned producer and exporter of electric vehicles.
Watching what China does in this market can be crucial to understanding the EV industry in the near future.
Their practice of subsidizing EV companies looks similar to what South Korea did with Hyundai motors in the ’70s and ’80s: building and subsidizing a cheap alternative to American and European EVs and then improving the product’s quality once there’s a huge demand.
The increase in global competition and innovation could drive down prices in the EV industry.
Electric Vehicle Markets
The three biggest EV markets are Europe, Asia, and the United States, respectively. So why does the United States trail behind if companies like Tesla pioneer this technology? The two major drivers are geography and choice.
Many towns in Europe are close together. The early, short-range EVs were fine because Europeans could drive a few miles to work and then charge. Americans who worked far from their homes couldn’t use earlier EVs because of this limitation.
Another issue is that many Americans prefer bigger vehicles with tons of power. Priuses and the like got a bad reputation for being small and weak. These days, however, you can buy electric SUVs with great power, size, and range.
Are Electric Cars Worth It?
What you love in a vehicle ultimately depends on your personal preference, but EVs are becoming a more economically viable choice as time goes on.
Current EV trends suggest that each year there’s more money for innovation in the EV industry. With more innovation ultimately comes better and cheaper technology.
But I Don’t Want an EV
Rising demand for EVs is a good thing for fans of traditional vehicles as well. As people switch to EVs, their cars (and car parts in some cases) become available on the secondhand market.
More second-hand cars also mean that second-hand car prices should decline according to the rules of supply and demand.
Find the Best Cars in Stephenville
One look at current car industry news will show that electric cars are here to stay. The continued strengthening of electric vehicle markets should make EVs cheaper through innovation. The growing interest in EVs should also free up more traditional vehicles for second-hand buyers.
Are you looking at the future of the car industry and considering your next move? Whether you want a second-hand or new vehicle (electric or normal), you can find the best cars in Stephenville at our dealership. Contact or visit us to find out how you can get a new set of wheels.
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