Electric vehicle sales numbers are anemic, and EV battery makers are fighting for their lives. So why are automakers rolling out a steady stream of new battery-powered cars?
Last week, we told you about the unveiling of two battery-powered vehicles: General Motors' Spark EV and Chrysler's Fiat 500e. This year, pure electric vehicles have been rolled out by Tesla, Honda, Ford, Coda, and Toyota. In 2013, BMW will unveil its all-electric i3.
"It's a head-scratcher, looking at it from the outside," Mike VanNieuwkuyk, executive director of global automotive at J.D. Power & Associates, told us. "There are so many battery-electric products being developed, and to date there are not a lot of sales."
Check out some of the EVs that are making news.
Ford's Focus Electric initially launched in California, New York, and New Jersey, as well as in some selected metropolitan markets. The company predicted sales of 5,000 vehicles in 2012. (Source: Ford Motor)
Recent predictions from industry analysts make the situation even more of a puzzler. In November, J.D. Power released a study forecasting miniscule BEV sales numbers. The 2012 Electric Vehicle Ownership Experience Study predicted battery-electrics would make up less than 1 percent of all vehicles sold in the US in 2015. Lux Research and Pike Research have also published dire forecasts for pure EVs and EV batteries in the past year.
Nevertheless, there are reasons for the growing parade of BEVs. Some automakers (including Nissan and Tesla, to name two) are true believers in the potential of the all-electric market. But even for those that may just be testing the waters, there are good reasons for rolling out pure electric cars. They include legal compliance, government subsidies, manufacturability, and a dash of practicality.
"Part of it is there's a risk to being last to the party," Kevin See, an industry analyst for Lux Research, told us. "So while most of us believe it's too early, it's preferable to do it now, rather than miss it altogether."
Experts say some of the recent rollouts have been motivated by zero-emission laws, such as those in California. For example, Chrysler unveiled the Fiat 500e hatchback despite earlier proclamations by CEO Sergio Marchionne that he didn't believe in electric cars. "I'm not scared, I just won't do" electrification, he told Automobile Magazine this summer. "I just will not do it. I think we're smoking illegal materials if we think we're going to make those [profitably]. It just won't work." When Chrysler unveiled the 500e for the press last week, it said the vehicle would be sold only in California.
Greencarreports.com called five of this year's battery-electric introductions "compliance cars" -- the Spark EV, the Fiat 500e, the Ford Focus Electric, Honda Fit EV, and the Toyota RAV4 EV. The website based its assessment on projected sales numbers, sales outside California, and willingness to sell (rather than lease) the vehicles.
Amclaussen has it right. The next to the last paragraph talks about "zero-emission"? Only the point of emission has changed, not the actual emissions. Politicians make lousy engineers. Maybe they can just rewrite the laws of physics and viola, problem solved! It is not only the seen, but the unseen.
All this wondering about EV's. It is easy to understand why they are building them, government intervention in the automotive market. With California's looming ZPV requirements all the manufacturers need to be positioned to say, we build an electric car people just won't buy it. The feds also subsidize hybrids and electrics so the R&D costs the manufacturers less. As to the need for pure electrics, with the environmental zeal shown by many, if electrics made sense they would sell like hotcakes.
All this wondering about EV's. It is easy to understand why they are building them, government intervention in the automotive market. With California's looming ZPV requirements all the manufacturers need to be positioned to say, we build an electric car people just won't buy it. The feds also subsidize hybrids and electrics so the R&D costs the manufacturers less. As to the need for pure electrics, with the environmental zeal shown by many, if electrics made sense they would sell like hotcakes.
I asked several automotive excutives that same question several years back. However, from a different prespective. I asked what would it take to get them to build EV's? Was it the federal government? No was the answer. Was it the emissions regulations? Again, No. Was it fuel economy? No. They said the american public are in love with cars and would live in a hotel first before getting ride of their car. Then what will it take for them to produce EV'S? Simple they said its the competition for market share.
BTW: EV's are the same as fuel cell vehicles. EV's use the battery as the energy source and Fuel Cell cars use the fuel cell as the energy source. I guess if you could build a small enough nuclear power plant that would work as well. 50% of the EV would not change. The power source will continue to evolve. We could even use coal.
From another point of view there will come a time when folks will simply by a fuel cell EV. Drive it home and plug the house in to the car becasue the car's energy source will produce energy cheaper then what we pay the utility company.
Tekochip, you are telling us that the market for EV's is as the customers' second vehicle, not primary. If thats the case, manufacturers should be more focused on the target. The family second vehicle is usually smaller, cheaper and less capable than the first. Don't forget that there is a market - with different requirements and expectations- on the other side of the pond, too.
I don't know, I'm thinking of getting an EV the next time around.
Most families have more than one vehicle, and ours is no exception. I work at home, or have a close commute, and make trips to the airport as often as I can. A low range vehicle would work quite well for me and most commuters. I mention the second car because when a longer trip is needed, our family would still have an IC vehicle for the long haul. I think an EV as a second family vehicle is a good idea, if only the ROI would work out in the vehicle's favor.
We don't need a replacement now, but when the time comes I will consider an EV.
Yes, I think you nailed it there. Clearly, they're not expecting record profits from the BEVs - not yet at least. These are learning vehicles - to learn the technology, to understand the market, to see which features are most and least interesting to customers, and just simply to make themselves known as forward-looking companies.
None of the manufacturers seem to be targeting the best market for EV's, which is the Lght Commercial Vehicle market. These vehicles often work highly predictable routes, often only within urban areas, and are rarely used for non-work missions (ideally....). Piaggio experimented with a lead-acid battery powered mini-pickup. But no, the car manufactuers are trying to market a family saloon with the engine taken out and an electric motor stuffed in its' place, with the battery in the boot (trunk - US). The proper course of action would be to design electric from the wheels up, not doing a chop-job on an existing chassis. So it's not so much about creating a viable product as it is creating an illusion of "green" for posers.
When we talked to the author of that study a few weeks ago, however, he said this: "We've been trying to put this in the hands of policymakers. But the policy process is about what's good for the country and what's possible. There's no window right now for making changes to policy."
From Dell / Intel® New Paradigms in Design Work Scott Hamilton, vertical market strategist for Dell Precision workstations, 5/2/2013 3
Early in my career, I worked as a draftsman and remember the days of drawing on vellum with numbered pencils and Mylar with plastic lead. This was a fun experience in the sense that I ...
I've been using workstations for more than 10 years and love finding ways to get more performance from my system. With demanding professional applications that require more power each ...
A lasting memory from my first job as an engineer in an auto assembly plant is standing on hard concrete at six in the morning, vending-machine coffee clutched in hand, listening to ...
A quick look into the merger of two powerhouse 3D printing OEMs and the new leader in rapid prototyping solutions, Stratasys. The industrial revolution is now led by 3D printing and engineers are given the opportunity to fully maximize their design capabilities, reduce their time-to-market and functionally test prototypes cheaper, faster and easier. Bruce Bradshaw, Director of Marketing in North America, will explore the large product offering and variety of materials that will help CAD designers articulate their product design with actual, physical prototypes. This broadcast will dive deep into technical information including application specific stories from real world customers and their experiences with 3D printing. 3D Printing is
To save this item to your list of favorite Design News content so you can find it later in your Profile page, click the "Save It" button next to the item.
If you found this interesting or useful, please use the links to the services below to share it with other readers. You will need a free account with each service to share an item via that service.
Tweet This
20 
