ATLANTA, 7 October 2022: In the United States, widespread electric vehicles (EV) growth has been slowed by supply chain disruptions caused by the lingering effects of a pandemic, rising raw materials costs, and geopolitical challenges.
The latest EV white paper from Cox Automotive Mobility, “Supply Chain Challenges Impacting Electric Vehicle Adoption,” describes a perfect storm of bottlenecks that are forcing automakers to restructure their EV businesses and exert greater control over EV battery composition, manufacturing, and recycling.
The comprehensive EV white paper from Cox Automotive Mobility presents the firm’s viewpoint on the following major issues:
EV Adoption Status
Despite growing costs and protracted delivery times, Americans are purchasing EVs at a record rate. Fleet operators are highly motivated to switch their fleets from gas-powered vehicles to EVs in order to meet environmental goals, increase efficiency, and lower total cost of ownership. The fleet sector is also taking note.
Price Parity and Adoption: Its Importance
Since the spring of 2021, the auto industry as a whole has been suffering from a wave of inflation that has affected the electric market. The Inflation Reduction Act of 2022’s tax incentives will be essential for encouraging consumer adoption and reducing the cost of expensive EVs.
Supply Chain Barriers Endangering EV Growth
Global shortages of components and computer chips have an influence on manufacturing, drive up the cost of new and used cars, and lengthen wait times to purchase new EV models.
Construction of a Stable EV Supply Chain in the U.S.
The current supply chain for electric vehicles in the United States is fragile and heavily dependent on imports of raw materials, semiconductor chips, and EV batteries. In order to boost economic competitiveness and energy independence, the nation is racing to create its own EV components.
The shift to EVs will depend heavily on improvements in battery chemistry, materials substitution, and recycling because the U.S. now lacks the domestic supply of resources necessary to meet consumer demand.
Possessing Control over the Future of Electrified Vehicles
The EV battery life cycle is being extended by Cox Automotive Mobility and Spiers New Technologies using a closed loop technology that lessens the environmental impact of metals mining and promotes the extension of EV battery initial lives and end-of-life reuse and recovery procedures.
Lea Malloy, AVP of EV Battery Solutions, Cox Automotive Mobility said, “This convergence of factors shines an even brighter light on the importance of end-to-end EV battery lifecycle management.”
“Coupled with government policy support, EV battery first life extension is paving the way for meaningful progress in protecting the planet while accelerating the uptake of EVs in a challenging environment,” Malloy added.