The electric car haterthe haters of battery-powered cars who are often referred to ironically on social media “no watts”they would be achieving the opposite result to that hoped for, that is, increasing the diffusion of the same zero-emission vehicles.
In short, this negative sentiment towards green is happening lower the prices of materials necessary to create them, given that the market fears that demand for electric vehicles will not explode in the short term. This obviously represents a good thing, as he also explained Carlos Tavares, CEO of Stellantisaccording to which this situation is helping to reduce the total production cost of BEVs faster than ICEs.
Lower consumption of raw materials will contribute to make electric vehicles more accessible, thus allowing an expansion of the market share of the green ones themselves. At this moment many companies are cutting the prices of their cars, reducing profit margins, and in this regard, as reported by a survey of WhatCar? The discounts on electric vehicles they increased by 204% compared to January 2023, with the aim of selling their cars.
“Many of these will be sold at a loss – precise Truck – but the majority will allow you to obtain margins thanks to the drop in the price of the materials needed to build them, and in particular those of the lithium ion battery inside them”.
It is also reported that the cost of lithium carbonate dropped by 80% in two years. Confirmation of this trend is what is circulating in China according to which the largest battery giant, CATL, would be ready to cut the price by 50% during 2024, consequently significantly reducing car price lists.
The decrease in electricity prices was “caused by falling raw material and component prices while production capacity increased in all parts of the battery value chain,” says a BNEF report. On the same line of thought RJ Scaringe, CEO of Rivian: “Raw material costs within the battery supply chain have changed dramatically over the last year, this has a very significant impact on our overall cost structure”.
Barring another catastrophic event similar to the invasion of Ukraine, automakers are aware that making electric cars more profitable and economical is becoming increasingly simpler and we should see the first evidence in this sense as early as 2024.
For the sake of correct information, it should however be said that according to some studies, the price of electric cars will not equal that of thermal cars until 2029, therefore in 5 years: we will see which of the two currents of thought will become predominant.
