Importance of reducing cost in BEV production

Deloitte's latest insights report into Electric Vehicle Trends shows that price will be one of the key drivers to facilitate growth and increase take-up.

Deloitte analysis shows that " annual sales of battery electric vehicles (BEV) and plug-in hybrid electric vehicles exceeded two million vehicles in 2019.  Overall Electric Vehicle sales grew +15% in 2019 compared to 2018, driven by Europe +93% whereas the BEV market in US fell -2%."

Reassuring news for OEMs operating in the electric vehicle sector, Deloitte's research suggests the EV long-term outlook is strong.

Deloitte predict that a significant shift in volume of BEVs will be based on four factors: consumer sentiment, policy and regulation, OEM strategy and the role of corporate companies. One of the key factors affecting consumer sentiment is price.

According to Deloitte "achieving price parity will play a big role in speeding up EV adoption".

From a manufacturing perspective, this highlights the importance of reducing cost during every stage of the battery electric vehicle production process to be able to pass these savings onto consumers.

For the full report and insights into Electric Vehicle Trends please click here to visit Deloitte's insights.