EV on the road by 2030: 1 in 3 cars for China, and 1 in 5 for both US and EU

$Tesla(TSLA.US)$ $BYD COMPANY(01211.HK)$ $NIO Inc(NIO.US)$ $XPeng(XPEV.US)$ The article reported that electric vehicles have a positive outlook. I have summarized the IEA report in 3 main points:

1) Despite near-term challenges in some markets, based on today's policy settings, almost 1 in 3 cars on the roads in China by 2030 is set to be electric, and almost 1 in 5 in both United States and European Union

2) In the first quarter, sales grew by about 25% compared with the same period in 2023 – similar to the growth rate seen in the same period a year earlier, but from a larger base. The number of electric cars sold globally in the first three months of this year is roughly equivalent to the number sold in all of 2020.

EV on the road by 2030: 1 in 3 cars for China, and 1 in 5 for both US and EU

3) In 2024, electric vehicles sales in China are projected to leap to about 10 million, accounting for about 45% of all car sales in the country. In the United States, roughly one in nine cars sold are projected to be electric – while in Europe, despite a generally weak outlook for passenger car sales and the phase-out of subsidies in some countries, electric cars are still set to represent about one in four cars sold.

My Take: I read an article about a survey done in the US that reported a weak take-up rate of electric vehicles. I take the survey with a pinch of salt because the size of people interviewed is small and the group chosen may be biased. Someone reported a similar survey done in 2022 predicting that EV demand in the US will decline in 2023. According to Marketwatch, about 1.6 million EVs were sold in the US in 2023 - a 60% increase from the 1 million sold nationwide in 2022. The positive outlook is based on various factors like government policy, oil price, cost of electric vehicles battery and charging infrastructure which reduce the cost of electric vehicles making it more affordable compared to ICE. Note that the report has not considered the rise of autonomous vehicle technology which may drive the EV demand up.