Another major consultancy is predicting electric cars’ dominance over conventional vehicles, with Deloitte projecting EVs’ total cost of ownership matching internal combustion as early as 2021 in the UK and 2022 globally, and no later than 2024.
“What’s more, the accounting firm predicts that another 21 million electric cars will be on the road globally over the next decade due to growing market demand for clean transportation, government subsidies, as well as bans on fossil fuel cars,” EcoWatch reports. The analysis shows all-electric cars outselling plug-in hybrids, accounting for 70% of the EV market by 2030.
By that year, however, Deloitte warns that manufacturers’ new investment in EV production could produce a global glut of 14 million vehicles.
“This gearing up of EV production is driving a wide ‘expectation gap’ and manufacturers, both incumbent and new entrants alike, will need to adapt towards this new competitive landscape,” said Deloitte’s UK automotive partner, Michael Woodward. “Those that can successfully build trust in their brand, ensure a positive customer experience from initial sale through to aftercare, and reflect consumer shifts towards the sharing economy in future business models will successfully navigate this,” he added.
“Equally, continual investment in engineering talent and the formation of partnerships with bespoke battery producers and third-party mechanic networks will also be important.”