Brands return to fuels. It’s not a setback

by Andrea
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Brands return to fuels. It's not a setback

ZAP

Brands return to fuels. It's not a setback

There are models of electric car with negative balance for companies. The time has come to change the strategy.

Volvo, BMW, Mercedes, Toyota, Mazda, Volkswagen, Audi or Renault. All these great marks car They are changing the strategy in the short term.

Electric cars have not become part of the past, but it is visible a retreat in the bet of electrification.

The marks are back to fuels. E It’s not a setbackexplains the – Automobile Club of Portugal: It is an adaptation to market factors, economic factors and technological factors.

This brake in the electricity, with new proposals to gasoline and diesel, is very related to changes in goals emissions of pollutants. Environmental goals are changing, uncertainty in politics and rules are essential for this “reversal of march.”

But there are other strong reasons for this change.

A search has been below expected. Drivers are concerned with the cost, battery life and sufficient infrastructure in many areas, in many countries.

There is a shortage of critical raw materials for batteries (such as lithium and nickel), instability in the circulation of materials and very high logistics costs-which originates Problems in the Supply Chain.

Brands have changed the strategy also because they noticed that the profit margins They are far below expected compared to gasoline or diesel powered cars. There are models even with negative balance. Beyond the loss of competitiveness for China.

Thus, large companies in the automotive branch now manufacture more plug-in hybrids, more affordable, more commercial electric, make a greater bet on synthetic fuels; and always “blink” to hydrogen or biofuels.

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