Car manufacturers, such as General Motors and Honda, have lowered their optimistic projections for electric car sales as they have observed a decrease in sales towards the end of 2023. As a result, they have cancelled their plans to collaborate on developing affordable electric vehicles.
Despite having ample stock, there is a decline in the number of consumers opting for electric vehicles due to factors such as cost and inadequate charging facilities.
The chairman of Toyota, Akio Toyoda, believes that the current trends in electric vehicles are concerning and a sign that customers are becoming more aware of the realities surrounding EVs. The main adversary is carbon dioxide (CO2). He predict that EVs will only occupy 30 percent of the market, with the remaining share being dominated by hybrid EVs and cars powered by hydrogen fuel cells.
It’s a big vote of no confidence for plug-in EV dominance — but it is uncertain if this strategy will ultimately be successful for the car company. Toyota has been hesitant and slow in embracing electric vehicles, much to the dissatisfaction of its shareholders.
Despite record sales, both the US and China are experiencing a slowdown in the growth of the electric vehicle market. Economic uncertainties are being cited as a reason for the decrease in EV adoption. Although analysts are predicting significant growth in the adoption of electric vehicles, even with recent slowdowns, particularly in China, by the year 2024.
Toyota, though, is hedging its bets by arguing that its “multi-pathway” approach is the best way to achieve carbon neutrality.
Reference- CNBC, Futurism, Market Place report, The Verge, Inside EVs, Fortune