EUROPE has massively woken up to the potential – and necessisty of electric vehicles – with investment worth €60bn last year in electric vehicles and batteries.
Driven by the requirement to meet EU CO2 targets and largely powered by Volkswagen’s significant investment in the technology, Europe’s industry and governments outperformed China with 3.5 times more investment.
The report comes from the NGO Transport & Environment, and is partly due to the catch up mode Europe is playing with EVs.
Nevertheless, the levels are significant and likely to be further boosted by post-COVID-19 incentives to boost zero-emission car sales.
Saul Lopez, e-mobility manager at T&E, said:
“A few years ago Europe was nowhere in the race for EV supremacy. But EU CO2 targets concentrated carmakers and governments’ minds to invest €60 billion in electric cars and batteries and finally close the gap with China.
“Success in this market is now Europe’s industrial policy, and lawmakers should double-down with stimulus measures that will also drive a green recovery.”
Germany saw the largest investment with €40 billion coming mainly from the Volkswagen Group, and Tesla which announced a plant in Berlin.
The Czech Republic received €6.6 billion, also thanks to VW, which plans to produce 75 all-electric models worldwide by 2029.
Italy secured €1.75 billion in EV investments last year from Fiat, while France, Sweden and the UK each got around €1 billion from car manufacturers.
Spain received close to €300 million from Opel, and Croatia got €80 million from Hyundai and Kia.
Ralph Morton is the leading journalist in the leasing broker sector and editor of Broker News, the website which provides information and news for BVRLA-registered leasing brokers. He also writes extensively on the fleet and leasing market in both the UK and Europe.
