Electric vehicle sales posted a worrying decline in October as new figures suggest consumer demand may be weakening.
And manufacturers now face the real risk of missing targets that require them to increase their sales of zero-emission cars from January.
According to the latest industry data According to the Society of Motor Manufacturers and Traders, only one in four new battery cars were purchased by private buyers.
And while car registrations across all fuel types rose 14.3 percent last month, interest in electric vehicles appears to be waning.
According to the figures, there were a total of 153,529 new car registrations in October – but electric vehicle adoption is not accelerating as quickly as manufacturers need to avoid penalties scheduled for 2024.
Although electric vehicle penetration increased for the 42nd consecutive month in October, fewer than one in four electric vehicles were registered privately – with large fleets accounting for the majority of sales.
Electric vehicles accounted for just 15.6 percent of all car sales – well below the 22 percent required starting next year when the Zero Emission Vehicle (ZEV) mandate is implemented.
These rules mean that major car brands that fail to meet ZEV sales targets from next year will face penalties.
These fines amount to £15,000 for each car that fails to meet the target and £9,000 for each van, before the van charge increases to £18,000 for the remainder of the regulation’s period.
Automakers could even be forced to purchase electric vehicle credits from other brands like Tesla.
The SMMT responded to this data by calling on the Chancellor to help boost electric vehicle sales by introducing incentives and supporting infrastructure investment in the upcoming autumn statement.
As reported by the Daily MailSMMT CEO Mike Hawes said the success of electric vehicles ultimately depends on the government.
He said: “The Autumn Statement is an important opportunity for the government to stimulate and facilitate infrastructure investment.”
“This would send a clear signal of support to drivers and reassure them that now is the time to switch to electric.”
In fact, due to the declining demand for electric vehicles in recent months, the SMMT has been forced to revise its market forecast for 2023 and 2024.
However, there is good news for potential new electric car customers: Vauxhall is set to launch an affordable “entry-level electric vehicle” to combat rising electric car prices for customers.
According to the head of the parent brand Opel, the car company’s new development will cost around 22,000 pounds.
He states that this would reduce production costs, increase interior space and reduce vehicle weight.
This comes after Mercedes-AMG announced the development of its first electric sports car as an alternative to the iconic Mercedes-AMG GT.
The Vision AMG will come onto the market in 2025 complete with innovative drive technology developed in Great Britain.
The stunning electric motor will replace the GT 63 with prototypes expected to hit the streets in the coming months.
With a sporty, high-tech seamless design and breathtaking proportions, the Vision AMG has a futuristic character.
And Ferrari could also jump on the EV bandwagon, as the legendary sports car maker is ready to launch its first electric vehicle.
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The luxury car giant also plans to open a new factory in Italy to produce its new all-electric models. Boss Benedetto Vigna confirmed that the company is on the right track in developing a new electric car.
He told reporters: “Ferrari’s first all-electric model project is going as planned, but in some processes we are even ahead of schedule.”