The UK has maintained its fifth position in the latest EV Readiness Index, regularly updated by consultants EY Global. But while consumer demand is growing, investment in local production of batteries and vehicles is lagging.
The index puts China ahead of Norway, with the USA rising to third position. Sweden is ranked fourth, ahead of the UK in fifth position. It seeks to reconcile the differing impacts of investment, production, government tax incentives and consumer demand, all between them driving the take-up of new electric vehicles in individual markets.
China leads in the production of electric vehicle batteries, accounting for 74% of investment in battery manufacturing in 2022. The country is expected to see almost 8.3m electric vehicles sold during 2023, well ahead of second placed USA at 1.5m. Norway is the leading global market for EVs, with an adoption rate of 81%, helped by generous government incentives and a relatively high standard of living, which makes switching to an EV less of a financial burden. The report expects 83% of vehicles launched between 2022 and 2027 to be EVs.
The US has risen in the rankings thanks to innovations and greater investment in battery manufacturing. US regulators have also introduced a USD7,500 tax credit to support locally manufactured EVs. The US accounts for 11% of global EV production – though consumer adoption in the US remains relatively low, so far.
In the UK, the government’s 2030 plan to phase out internal combustion engine vehicles gains praise for helping to drive change in the market. But despite this, the report talks of “challenges” getting investment into the UK to drive vehicle and battery manufacture, with companies often attracted by more generous incentives offered elsewhere.
The report also draws attention to massive differences in EV charging infrastructure. Across Europe, for example, Germany’s ratio of EVs to EV charging stations is 26 to one, contrasting with 13 to one in France, ten to one in Italy and an impressive four to one in Netherlands.
Curiously, Japan is falling down the index, with local consumers adopting a conservative stance and mostly buying hybrids. Just 19% of Japanese consumers say they will buy an EV as their next car, compared with an international average of 41%.
One thing any EV adopter will need is an electric vehicle charger, something The Full EV specialises in installing. Contact us now for installation of a home charger, or a workplace charger, across Wales and the south west.
