Daily Management Review

Electric Car Sale Globally Increased In 2020 Despite Pandemic Hit


Electric Car Sale Globally Increased In 2020 Despite Pandemic Hit
According to data published on Tuesday by EV-volumes.com, a Sweden-based consultancy, even though there was a decline by at least 25 per cent in the sale of cars globally on the overall because of the Covid-19 pandemic, the sale of electric cars globally increased by as much as 43 per cent to more than 3 million units in 2020.
The highest number of electric cars was sold by the United States based electric car maker Tesla last year with delivery of almost 500,000 cars. The second highest electric car seller was Volkswagen. EV-volumes.com noted that with a more than double growth in sales of electric cars, Europe pushed China down to become the largest electric car market of the world.
About 4.2 per cent of the global car sale was accounted for by battery electric vehicles (BEVs) and plug-in hybrid electric vehicles (PHEVs) which was an impressive growth compared to the 2.5 per cent in the previous year. Policies of different government to reduce carbon emissions was identified as the main driver of the rising sales of EVs. Bit according to Viktor Irle, sales and marketing analyst at EV-volumes.com, the simple fact that electric car had a better technology was another key factor. 
Between March and June – at the height of the pandemic, the global sale of electric cars was lower than the same period a year ago. There was however a very strong recovery since then and the sale in December of 2020 was double that of  the same month a year ago.
According to analysts, it is predicted that the sale of fossil fuel-powered cars will come to an end in the next decade or so because of a series of governments setting sates for such a transition.
“The political push is still there – [governments] everywhere speak about the green recovery,” said Irle. “But the main reason for growth is simple – electric cars are a better technology. There is no noise, no pollution, better acceleration, and cheaper running costs. If people test-drive an electric car, they’re not going to go back to gasoline vehicles. The problem at the moment is that the price is a little bit higher, but the cost is really coming down as well.”
A part of the reason for the surge in sale of EVs in Europe was due to the necessity of car manufacturers having to meet strict EU emission targets averaged across their fleets in 2020 which may also have driven greater sale of low emission vehicles in 2020 compared to 2020.
Irle added it is also likely that the car makers of Europe were able to weather off the Covid-19 pandemic hit to sale of fossil fuel cars potentially because of the relatively high purchase prices of today’s electric cars. “The cheap car segments are always the worst hit [in recessions], because it’s not normally high-income people that buy those cars,” Irle added.