IDTechEx report reveals how electric vehicles have prospered despite pandemic

COVID-19 has had a drastic effect on the automotive industry, with factory shutdowns, fewer people commuting to work, and a resulting drop in car sales. But in the midst of these challenges, sales of high-voltage hybrids (HEVs), plug-in hybrids (PHEVs), and battery-electric vehicles (BEVs) increased in most regions worldwide, according to the IDTechEx report, “Electric Vehicles: Land, Sea and Air 2021-2041.”

In Europe, for example, sales of petrol, diesel, and other alternatively powered vehicles declined significantly in 2020, but HEVs were up 54%, BEVs up 107%, and PHEVs were up 211%.

HEVs currently are the drivetrain of choice for Japanese automakers such as Toyota and Nissan, with very strong sales for these companies across Japan and Europe. Despite only a moderate fuel consumption and emissions reduction, the HEV market for the next decade is promising, says IDTechEx, especially in the EU, before post-2030 fossil fuel bans start to hamper the market.

PHEVs, which are designed to help automakers to meet their emissions targets, are somewhat controversial in this regard because the real-world values can differ significantly from the ratings on the WLTP cycle. IDTechEx believes that PHEVs will not continue to be looked upon favorably when it comes to emissions, and under revision of current driving cycles, they will become far less beneficial for automakers and their emissions targets.

BEVs continue to gain market share, and big automakers that have been slow or reluctant to adopt BEVs are making big investments and transitions toward electrification. There still are challenges to widespread BEV adoption, including range anxiety, charging infrastructure, and cost, but these concerns are starting to fade, and IDTechEx expects BEVs to be the dominant form of transport in the long run.