Guidehouse Insights has released a report, Light Duty Vehicle Electrification Overview, examining light duty (LD) EV sales and populations as well as provided forecasts for conservative, base and aggressive scenarios through 2030, the company announced on Thursday.
“Further into the future, continuous improvements to vehicle technology economics, including battery innovations and government transportation policies that incentivize adoption of low emission vehicles and low carbon fuels, are anticipated to propel sales growth,” says Raquel Soat, research analyst with Guidehouse Insights.
Guidehouse reported that recent growth in the LD EV market with strong hybrid EV (HEV) sales growth has led to positive uptake in the EV market in 2019, even though areas like plug-in EV (PEV) sales in North America have decreased.
The company noted that the introduction of SUV and crossover PEV models in North America and additional mild-hybrid vehicles coming to market in Europe will propel growth. Guidehouse noted that the electric pickup truck market will contribute to the increase of PEV sales in North America.
While the EV market has shown potential, Guidehouse reported that there will still be challenges ahead in the new market. The report noted that the lack of consumer awareness and need for more charging infrastructure mark significant barriers for LD vehicle electrification.
Guidehouse analyzed that awareness is increasing within the market; however, many consumers remain unaware of the evolving technologies and costs associated with EV. The report has included an outlook on LD EV sales and populations to 2030 and includes passenger cars and light trucks with the following powertrains.
The future outlook of the market created three scenarios distinguished by varying assumptions: conservative, base and aggressive. The divisions have been created in regards to future vehicle component costs, government incentives, and vehicle availability.
“Growing interest in carbon pricing and increased charging infrastructure investments are expected to also improve PEV economics,” added Soat.
Guidehouse is a leading global provider of consulting services to the public and commercial markets with broad capabilities in management, technology, and risk consulting. We help clients address their toughest challenges with a focus on markets and clients facing transformational change, technology-driven innovation and significant regulatory pressure.
Across a range of advisory, consulting, outsourcing, and technology/analytics services, we help clients create scalable, innovative solutions that prepare them for future growth and success. Headquartered in Washington DC, the company has more than 7,000 professionals in more than 50 locations. Guidehouse is led by seasoned professionals with proven and diverse expertise in traditional and emerging technologies, markets and agenda-setting issues driving national and global economies.