Car Buyers' Preference Shifts Back to ICE Vehicles from EVs
It states how the preference of car buyers changes to internal combustion engine vehicles from electric and motorcycles.
As per the statistics from the consulting firm EY, a growing trend is observed among potential car buyers, preferring to purchase a vehicle based on internal combustion engines (ICEs) rather than considering electric or hybrid options. The data were derived from a global study of potential buyers.
Key Highlights from the Report
With such findings, new intentions in the purchase can clearly be seen in the last two years as follows:
- Internal Combustion Engine (ICE): 50% of the respondents plan to purchase ICE vehicles, which increased by 13 percentage points from last year.
- Electric Vehicles (EVs): Intentions to purchase EVs decreased by 10 percentage points, now standing at 14%.
- Hybrid Cars: The interest in hybrids dropped by 5 percentage points to 16%.
Moreover, 36% of future EV buyers reported that such geopolitical events urged their buying intentions to reconsider or even postpone a purchase.
Trends Changing Influencing Factors
Several primary reasons are cited for this change in consumer sentiment:
- Ongoing trade wars and changes in government policy.
- Growing most skeptical consumers regarding the cost of electric cars.
- Concerns with the development and availability of EV charging infrastructure.
Also, some sources stated that the European Union is currently reevaluating its Green Deal, which includes a plan for a phase-out of ICE vehicles by 2035.
Expert Take
The expert analysis is made by Konstantin M. Gall, who is the head of the EY practice for Aerospace, Defense, and Transportation. He said that the changes in policy affected gasoline-powered vehicles because the time barrier for the changeover to electric mobility takes longer than was originally anticipated.
Source: reuters
