Electric cars soon to be cheaper than gasoline cars

This is not a question, but rather an assertion as the shift is inevitable. Electric vehicles are set to rule.

As early as 2021, the British manufacturer MG, freshly acquired by Chinese ownership, announced that battery electric vehicles would be cheaper to produce by 2027 than their fossil fuel counterparts. This statement applied to both passenger cars and light commercial vehicles across all segments. Remember that in 2021, MG had not yet returned to being the successful manufacturer it is today, thanks notably to the MG4.

The price war is raging in the electric vehicles

The latest studies, confirmed by the vast majority of manufacturers, indicate that this shift could occur as early as 2025 for battery electric vehicles in segments C and D. This also applies to SUVs of various sizes. The reason is simple. These vehicles are the most in demand across the vast majority of the planet and have logically been prioritized by manufacturers who are engaged in an all-out war in terms of pricing. With supply growing faster than demand, prices are mechanically decreasing, forcing manufacturers to work on production costs to avoid selling at a loss.

Whether one loves them or hates them, electric models have brought a real breath of fresh air to the automotive market. They offer optimized interior space thanks to the placement of batteries under the floor, reliability comparable to thermal models, and optimal safety as evidenced by the EuroNCAP honor roll. Once one has experienced the silence of operation, it is hard to do without it, and they are in every respect more virtuous environmentally than petrol and diesel burners. Finally, they benefit from warranty periods that exceed those of thermal models.

Constant progress in technology

The decrease in production costs for electric cars is mainly due to the fact that electric vehicles are technically much less complex to produce. Many electric cars use the same platform, which leads to a reduction in development costs per vehicle. Additionally, the falling prices of batteries play a major role.

Sales of electric cars have particularly exceeded the expectations of all financial analysts over the past 5 years. While they are currently experiencing a slight slowdown, it is more due to the excellent hybrid offering than to a true disaffection. When one can use a hybrid nearly 80% of the time, why switch to electric? Simply to maximize that usage to 100%, which is much easier than one might think but still requires belief. We are here for that.

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