The electric vehicle market depends on the price and infrastructure level

8 november 2019

"Taking into account the current price, new electric vehicles in Russia are still available only for the most prosperous groups of the population", Grigory Mikryukov, expert of the Analytical Center, said at the X International Forum on the Automotive Industry and Innovative Infrastructure Development "AutoEvolution 2019".

"In 2018, more than 2 million electric vehicles were sold in the world, while most of them are so-called "clean air" e-vehicles that cannot use other types of fuel", the expert told. "The share of electric vehicles in total sales continues to increase — it amounted to 2.3% at the end of 2018. The main volume of sales is in China, where the transfer of car owners to more environmentally friendly vehicles is one of tools of the environmental policy. However, the share of electric cars remains small even there: 5% in the first half of 2019. Whereas in Norway, the share of electric cars in total sales is already approaching 50%, although the e-vehicle market size in this country is extremely small."

Grigory Mikryukov referred to the forecast of the International Energy Agency, according to which the sales of electric vehicles in the world will be at least 12 million units (about 15% of the market). The sales are promoted by the environmental policies of the EU, the US and China. "Many manufacturers actively respond to this challenge and include electric cars in their product range. The market leader is Tesla. Chinese brands have a large e-vehicle market size. The Top 10 include BMW and Volkswagen", the expert noted.

However, the economic efficiency raises questions, taking into account the price difference, the overall environmental friendliness of electric vehicles, the need to produce nickel and lithium for batteries, as well as their further disposal. Nevertheless, for large cities with a high level of welfare of the population, electric cars are a good way to improve the environment of the city, in particular, the quality of the air, he believes.

In Russia, hundreds of electric vehicles are sold per year, and the fleet of electric vehicles was from 1.5 to 3.6 thousand units at the beginning of 2019, according to various estimates. "Mainly pre-owned electric vehicles are imported", Mr. Mikryukov noted. "However, in 2019, the number of new electric cars on the market increased due to official deliveries of Jaguar I-Pace." New electric cars are still affordable only for the most prosperous citizens of Russia.

The expert did not rule out that we can expect the e-vehicle market growth, primarily in Moscow and the Moscow region, as prices are decreased and the infrastructure is developed.