French media forecast: the US electric vehicle market will "take off" in 2022

The French "Echo" website recently reported that for electric vehicles in the United States, this year is a year that must be lost. While the U.S. market is somewhat lagging behind Europe and China, it may finally take off this year due to a number of factors.

U.S. automakers are ramping up production, and new models are expected to boost the market. In particular, the Ford F-150 "Lightning," an electric version of america's most popular pickup in 40 years. Bookings exceeded manufacturers' expectations, for which they had to increase their capacity. The car is expected to have 150,000 units leaving the factory each year. That's almost 4 times the initial forecast.

Ford's rival General Motors also expressed satisfaction with the number of bookings for its Hummer EV. The highly priced (over $100,000) car has sold nearly 60,000 units. In addition, several models from Asian manufacturers will also be available this year. Toyota, which became the U.S. auto market leader last year, is expected to launch 2 new cars, a crossover and a new hybrid model. Nissan will launch the Ariya, and the launch date of this SUV has been delayed due to a shortage of electronic components.

Finally, Hyundai Motor, which will start producing electric cars in the U.S. this year and will launch the Ioniq 5.

Tesla, on the other hand, has no plans to launch a new model this year. Due to chip shortages, Cybertruck's production plans were postponed until 2023. Announcing his Q4 2021 results, Elon Musk said: "If we launch a new car, total production will go down. "But if the semiconductor crisis can be contained, the factory of the undisputed market leader in electric vehicles (Tesla's market share in the U.S., according to Kelly Blue Book), should be operating at full speed this year."

According to Cox Automotive Consulting, sales of electric vehicles in the U.S. rose 89 percent to 487,460 units in 2021 (a total of about 1.46 million if hybrid models are included). It may pick up this year.

Cox Automotive Consulting predicts that by 2024, the market share of electric vehicles in the United States will reach 14%, gradually closing the gap with Europe. U.S. local governments have also begun to invest in equipment, especially charging piles.

The report believes that if US President Biden's plan is passed, the market may be greatly boosted. In the U.S. "Rebuild a Better World, there's a tax credit of up to $12,500 for an electric car that must be manufactured at a unionized U.S. factory, and batteries that are also made in the U.S. (probably only for Ford and General Motors models).

The current tax credit is only $7,500, and once a manufacturer's sales reach $200,000, it doesn't apply to this policy. Therefore, if consumers buy tesla or General Motors electric vehicles, they can no longer enjoy this policy.

With Biden's plans severely hampered, there have been calls to maintain these measures, either on their own or included in a plan with some downgraded goals. Biden explained not long ago: "I think we can split the package, take everything that we can get at the moment, and go back and fight for the rest." He prioritized environmental measures.

At the same time, manufacturers continue to produce... and investing. Ford and General Motors recently announced increased investment in electric vehicles, with plans to open new plants. New plans are already foreseeable for the next few years.

At the Consumer Electronics Show in Las Vegas in early January, GM unveiled an electric version of the Chevrolet Silverado, a pickup truck expected to leave the factory in 2023. A report by Bank of America shows that 85 new models will be available between 2022 and 2025, a prospect the bank calls a "tsunami." (Compilation / Zhao Kexin)

Source: Reference News Network