Companies are following the money, and hybrids are where the money is
If you ask lawmakers, Europe, or the environment, the future of personal transportation is electric. If you ask the accountants and shareholders, though, the future of personal transportation is whatever makes the most money — traditionally, not EVs. It seems like companies are following the money. From Reuters:
As U.S. sales of gas-electric hybrid vehicles surge and electric-vehicle sales cool, automakers and suppliers are betting consumer demand for a compromise between all-combustion and all-electric is a durable trend.
Automakers and suppliers are adding capacity to build gasoline-electric hybrid and plug-in hybrid vehicles for the U.S. market, responding to increased consumer demand for technology that General Motors $GM (GM.N), opens new tab and other automakers once planned to phase out in favor of all-electric fleets, industry executives and analysts said.
...
The White House is expected this month to issue vehicle CO2 emissions standards designed to force automakers to increase the share of fully electric vehicles they sell to as much as 60% by 2030.
The November U.S. presidential election puts the White House’s EV subsidies and emissions rules at risk, however. Most legacy automakers lose money on EVs and hybrids are a more profitable path to reducing CO2 emissions if a future administration changes course, analysts said.
It sure seems like the free market is saying no to the EV revolution.
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