Electric Vehicles

DETROIT — President Joe Biden glossed over important details and oversimplified the facts in his boast about support from the United Auto Workers union for his effort to dramatically increase sales of electric vehicles by decade’s end.

In his remarks Wednesday, Biden failed to say that UAW did not endorse the EV targets he set in an executive order signed last month. The union’s support is also dependent in part on robust government support for union-made cars in the form of tax credits in legislation pending in Congress — something that is far from guaranteed to happen.

A Look at the Claim

BIDEN, praising the work of UAW members: “The main ‘Big Three’ (automakers) have decided along with the support of those unions on building, going electric, so we own that market.”

THE FACTS: Not exactly. While UAW has expressed general support for more EV sales, it has repeatedly declined to back goals urged by Biden as part of his ambitious plan to combat climate change, including the 40% to 50% target agreed to by the largest automakers.

Biden last month announced his plan to “own” the EV market over foreign competitors, signing an order setting a goal that half of all new vehicles sold in 2030 will be zero-emissions vehicles, which environmental groups say is needed to significantly reduce greenhouse gas emissions. That would be a seismic shift in the U.S. from internal combustion engines to battery-powered vehicles.

Transportation is the single biggest U.S. contributor to climate change.

Union Says Hasty EV Transition Will Impact Industry Jobs

The United Auto Workers union, in fact, has voiced concerns about being too hasty with an EV transition because of the potential impact on industry jobs. Since electric vehicles generally have 30% to 40% fewer parts and are simpler to build, fewer workers will be needed to assemble them. That will likely mean a reshuffling of jobs, as workers who once made engines, transmissions and other components for gas-powered cars have to switch to electric motors and batteries.

At the signing of Biden’s order, UAW did not endorse a target, pointedly saying it stands behind the president to ”support his ambition not just to grow electric vehicles but also our capacity to produce them domestically with good wages and benefits.”

Both UAW and the “Big Three” automakers — Ford, General Motors and Stellantis, formerly Fiat Chrysler — have made clear that a “dramatic shift” can only happen with incentives for electric vehicle purchases, adequate government funding for charging stations and money to expand electric vehicle manufacturing and the parts supply chain.

In a bipartisan infrastructure bill awaiting congressional passage, there is $7.5 billion for grants to build charging stations, about half of what Biden originally proposed. He also had wanted $100 billion for tax credits and rebates to entice people into buying electric vehicles. At least some of that money was expected to be incorporated in a $3.5 trillion spending bill that is facing resistance in Congress.

Dublin, Sept. 09, 2021 (GLOBE NEWSWIRE) — The “China Electric Vehicle Motor Controller Industry Report, 2021” report has been added to ResearchAndMarkets.com’s offering.

Automotive motor controller industry is expected to grow at CAGR of 23.4%, and local manufacturers are rising.

The growing new energy vehicle market gives a boost to the motor controller market.

The supply and demand in the electric vehicle motor controller market is dependent on the expansion of new energy vehicle market.

At present, countries and automakers worldwide have formulated their plans and requirements for the development of new energy vehicles. In future, new energy vehicle sales will be bound to surge. As the new energy vehicle market booms, the motor controller market will make steady growth. It is predicted that China’s motor controller market will sustain a CAGR of up to 23.4% between 2020 and 2026.

In the fiercely competitive motor controller market, local manufacturers lead the way.

Currently, China’s electric vehicle motor controller market is intensely competitive. There are mainly three types of players: automaker-backed companies, local manufacturers, and foreign/joint-venture manufacturers. Among them, automaker-backed players support their own vehicles; local manufacturers are suppliers of Chinese independent auto brands; foreign/joint-venture companies build supply relationships with foreign/joint-venture auto brands.

Local manufacturers now have the upper hand on the strength of the development of homegrown new energy vehicle brands, especially emerging automakers. In 2020, seven out of the top ten manufacturers by market share were local companies, among which BYD still dominated the list with a 13.5% share; Inovance Technology, Sungrow and Huayu E-drive first edged into the top-ten list.

N-in-one products hold the trend, and three-in-one drive system will become the mainstream

Motor and ECU integration is a way to not only reduce weight and size of products but cut costs of production and procurement and improve efficiency. In current stage, most companies still stay at the two-in-one phase, while the three-in-one drive system will become the mainstream.

In 2020, China shipped more than 500,000 sets of three-in-one electric drive systems for passenger cars, or around 37% of the total motor controller shipments. Companies including Bosch, BYD, Inovance Technology and Jing-Jin Electric have rolled out their three-in-one electric drive systems. One example is Huawei DriveONE three-in-one electric drive system which boasts peak power density of 3kW/kg, the highest in the industry.

Through the lens of market share, the three-in-one system is still an oligopolistic market. In 2020, Tesla, BYD, XPT and NIDEC took a combined 82.1% of the total sales. Yet as Dongfeng SERES SF5 equipped with Huawei three-in-one system goes into mass production in 2021, the competition in the three-in-one electric drive system market will be more intense.

Power modules head in high voltage, and silicon carbide becomes a mainstream material.

New energy vehicles now use 400V electrical voltage systems. 80% SOC for a battery takes about 30 minutes, but the use of an 800V voltage system will cut the time down to 10 minutes. The need for fast charge makes high voltage power modules an inevitable trend.

Manufacturers like Hitachi Astemo, BorgWarner, Vitesco, Inovance Technology and ZF currently have introduced their 800V inverter/electric drive system products to meet fast charge needs, and all use silicon carbide (SiC) material except for Hitachi Astemo.

In BorgWarner’s case, its SiC inverter mass-produced in 2019 is the first 800V inverter using SiC power switch. The double-sided cooling structure makes the inverter 40% lighter and 30% smaller, improves its power density by 25%, and allows the inverter to perform better in thermal conductivity, high temperature stability and efficiency for shortening the charging time and extending the range.

Key Topics Covered:

1 Overview of Motor Controller
1.1 Definition
1.2 Principle
1.3 Classification
1.4 Key Performance Indicators

2 Electric Vehicle Motor Controller Market
2.1 Status Quo
2.2 Market Size
2.3 Supply Model
2.4 Competitive Pattern
2.5 Supporting Relationships
2.6 Development Trends
2.7 Electric Drive Systems of Major Global Automakers
2.7.1 Tesla Model S Electric Drive System
2.7.2 `8-in-1` Electric Drive/Electronic Control Assembly in BYD E-platform 3.0 Architecture
2.7.3 GM Voltec Intelligent Electric Drive System
2.7.4 Volkswagen MEB Electric Drive System
2.7.5 Toyota Highlander Electric Drive Assembly
2.7.6 Changan `7-in-1` Electric Drive System
2.7.7 BMW eDrive Electric Drive System

3 Global Motor Controller (Inverter) Manufacturers
3.1 Hitachi Astemo
3.2 Mitsubishi Electric
3.3 Robert Bosch
3.4 Continental
3.5 BorgWarner
3.6 Hyundai Mobis
3.7 NIDEC

4 Chinese Motor Controller (Inverter) Manufacturers
4.1 Shanghai Edrive Co., Ltd.
4.2 Shenzhen Inovance Technology Co., Ltd.
4.3 Shanghai Dajun Technologies Inc
4.4 Tianjin Santroll Electric Automobile Technology Co., Ltd.
4.5 Zhongshan Broad-Ocean Motor Co., Ltd.
4.6 United Automotive Electronic Systems Co., Ltd. (UAES)
4.7 Hunan CRRC Times Electric Vehicle Co., Ltd.
4.8 BYD Co., Ltd.
4.9 Zhuhai Enpower Electric Co., Ltd.
4.10 Shenzhen V&T Technologies Co., Ltd.
4.11 Fujian Fugong Engineering Technology Co., Ltd.
4.12 Chroma ATE Inc.
4.13 Jing-Jin Electric Technologies (Beijing) Co., Ltd.
4.14 DEC Dongfeng Electric Machinery Co., Ltd.
4.15 Shenzhen Megmeet Electric Co., Ltd.
4.16 Shanghai XPT Technology Limited
4.17 Huayu Automotive Electric Drive System Co., Ltd.
4.19 Huawei

For more information about this report visit https://www.researchandmarkets.com/r/54gidb

If you drive by a car dealer’s lot these days you will find it bereft of vehicles. When the vaccination rates in the country started to soar and we all wanted to be out and about, the rate of new car sales soared on an annualized basis to close to 18 million vehicles. It was nirvana for just about every brand. Then the shortage of chips to complete the cars coming down the assembly lines became overwhelming.

Car production rates are slowing to a crawl and sales have fallen to an annualized rate 30% lower at about 13 million. New models were being favored in getting the sparse supply of chips as they became available but now even that is not enough. It is increasingly looking like major relief for the car manufacturers will not be coming until 2022.

The growing electric vehicles market in India, which is miniscule when compared to the global market, is seeing many big corporates and foreign players entering the fray on the heels of scores of entrepreneurs. Ola is the latest to unveil its offerings hoping to compete with the likes of Maruti Suzuki, Tatas, which dominate the scene with its Nexon EV accounting for 64 percent of EV car sales in the country.

The two-wheeler market, the fastest growing EV segment, is seeing tough competition with biggies like Hero Electric, Okinawa Scooters, Ampere Electric, Ather Energy, Bajaj Chetak Scooters, TVS Electric among others wooing customers with both fast and low speed options. The special features of these vehicles as also the infrastructure support for fast charging is driving competition rather than just the price.

Anshul Gupta, director, Okaya Power Group, says EV is one vehicle segment where there is considerable competition between the organized and unorganized sector. Recognising the challenges ahead, Okaya entered the EV manufacturing only after establishing itself as a manufacturer of lithium-ion batteries – stationary, those with mobility applications and tractor batteries – in addition to participating in the Central government plans to set up 5000 to 6000 charging stations on the highways, and establishing a dealers network. “Today we have full control over the supply chain and after sale services,” says Gupta, adding that the company has capacity to manufacture 8,000 low and high speed scooters scalable to 12,000. While four wheel vehicles plans are still to be finalized, Okaya is planning to launch its e-motorbike by March next year in keeping with its vision ‘from cycle to motorcycle’.

In the 2 million E-cars market worldwide, China holds 50 percent share besides accounting for 70 percent vehicle battery sales, followed by Europe and the United States.

The EV sales in India stood at 3,80,000 in 2019-20, and the EV battery market stood at 5.4GWh during the year, according to India Energy Storage Alliance (IESA).

The electric two-wheeler (e-2W) market has been accounting for the highest share. In 2010-21, for instance, two wheelers accounted for over 50 percent of overall EV sales of 238,120 though it took a hit due to Covid crisis with sales dipping to 143,837 from previous high of 152,000, according to Society of Manufacturers of Electric Vehicles (SMEV).

The sale of electric cars rose sharply last year to total 5905 from a low base of 2814 in the previous year with Tata Nexon EV accounting for 64 percent sales, while the sale of three wheelers jumped from 88,378 to 140,683 in 2020-21 as many states including Delhi pushed for switch from petrol vehicles to the green fuel to tackle pollution issues.

In the last few months EV sales growth expectations have brightened. Now for 2021-22, SMEV has projected that two-wheeler sales will cross 210,000 to 220,000 given that this category is registering 10,000 to 20,000 monthly sales. The EV car sales are also expected to touch 50,000 as against earlier expectation of 10,000 given the rising interest in electric vehicles both out of lower running cost and environment concerns.

As far as three-wheelers and e-rickshaw are concerned there are two categories. Those made by Kinetic and Mahindras are costly and their sales are not very high. The second category is those made by scores of smaller companies where the numbers are very high but nobody keeps track of them. Estimates are that this year around 200,000 to 250,000 e-rickshaw and three wheelers will be sold as many states are pushing for green commercial vehicles to tackle issues of rising vehicular pollution. In some of the states including Delhi and Maharashtra there is a push to encourage switching from e-rickshaws to faster electric autos. In the case of public transport busses there is as yet not much push towards e-vehicles.

Keen to push the acceptance of green vehicles – both EV and hydrogen vehicles, the government has over the last few years been formulating various production linked incentives besides rebates for consumers. The first big push for EVs came in 2013 when the central government unveiled the National Electric Mobility Mission Plan 2020. Under the mission plan, the FAME India Scheme (a scheme for faster adoption and manufacturing of hybrid & electric vehicles), was launched in FY-2015 for 2 years as Phase-1. Subsequently, the central government in 2019 raised the subsidies on hybrid and electric vehicles under the FAME II policy. Industry experts are however critical of the constant flip-flop in the government vision which initially focused on vehicle standardisation with FAME, and subsequently shifted focus on manufacturing.

In the latest move, the government has earmarked Rs. 26,000 crore production linked incentive or PLI after clubbing hydrogen vehicles manufacturing with push for EVS. In addition, Rs.18,100 crore PLI outlay for five years has been approved to incentivize domestic manufacturing of Advance Chemistry Cell (ACC) in the country. The scheme envisages establishing a competitive ACC battery manufacturing set up in the country (50 Giga Watt hour-GWh). Additionally, 5 GWh of niche ACC technologies is also covered under the scheme. The new scheme is targeted at reducing import dependency in lithium-ion battery manufacturing to bring down the costs as cells used in the battery will continue to be imported mostly from China for the foreseeable future. The industry watchers feel the latest amendment will not benefit the original equipment manufacturers (OEMs) as much as the small and medium component manufacturers.

SAN JOSE, Calif. (KGO) — To prevent outages, CAL ISO has announced a flex alert is in effect from 4 p.m. to 9 p.m. on Wednesday.

With California’s goals of more electric vehicles, it raises questions of how that plays into the high-demand for power that the state already has.

PG&E says they are up to the task and the all new fully-electric Volkswagen’s technology could help as well.

RELATED: California Dreaming: How the Golden State is at the forefront of the electric vehicle revolution

37,000 miles through 48 states in 98 days.

That’s the world record tour that the all-new Volkswagen ID.4 fully-electric SUV is on right now as part of the VW ID.4 USA Tour.

Wednesday the route stopped at the Infineon Technologies facility in San Jose.

“It’s great to be here in California at this specific time when the EV evolution is starting from here,” VW ID.4 Tour Driver Rainer Zietlow said.

California will feature many more cars like the first electric VW SUV soon as the state begins its EV sales mandate in 2035.

Infineon is helping with that mission through their semiconductors, more than 50 of them are in the ID.4.

This car showcases the work the company is doing to make the country greener.

“Our employees don’t always get to see how we really make the world greener,” President of Infineon Technologies Americas Bob LeFort said. “When you’re making semiconductors, you’re on the low-end of the totem pole. So to see it in a car and the enthusiasm around the car is really special.”

RELATED: Ford introduces fully-electric F-150 Lightning for 1st time in CA at Palo Alto’s Greenfield Labs

Well above 50 percent of all new vehicles at the end of this decade will feature a partially or fully electric powertrain and so far in the ID.4 USA tour, there has been 95 stops at charging stations.

California has lofty goals for EV, but given these stats is PG&E ready for the increased load?

“We actually have 20% of all-electric vehicles in the country in our service area of Northern and Central California, so this is something we’ve had our eyes on for awhile, “PG&E Spokesperson Ari Vanrenen said, “We’re continuously making sure we have enough to support all of our customers, those who are driving EVs and those who are not.”

Graph not displaying correctly? Click here to open in a new window.

PG&E says they can forecast the electric load that EVs have on the power grid to make sure they can support the demand and upgrade distribution if needed.

They also continue to support the EV evolution by offering rebates, rates and programs to customers to get more people to go electric.

RELATED: Imposters posing as PG&E workers demand pay or power goes out

On flex days like today where the state calls for lower power usage from 4 to 9pm, PG&E suggests people shouldn’t charge their vehicles.

Thankfully with 250 miles of range, the ID.4 has the tools in place to help the cause.

“This is where it’s very important to have a long-range electric car because you can actually schedule when you charge it so it doesn’t happen during peak hours,” Vice President E-Mobility and Innovation at Volkswagen of America Matthew Renna said.

Electric usage will certainly continue to be something on the minds of both the power company and car makers as we head into the future.

TRENTON – The Murphy Administration took another step toward electrifying New Jersey’s transportation sector today, unveiling a statewide municipal ordinance that makes it easier for people to drive electric by streamlining the local approval process for installing convenient and cost-effective charging infrastructure. The model ordinance, which provides minimum requirements and consistent guidance for electrification, is the result of legislation signed by Governor Phil Murphy in July and is effective immediately in each of the State’s 565 municipalities.

Under Governor Murphy’s leadership, New Jersey is confronting the climate crisis by reducing emissions and enhancing the state’s resilience. Reducing transportation emissions, which comprise more than 40 percent of the state’s climate pollution, is a key component of Governor Murphy’s plan for achieving 100 percent clean energy by 2050. The model ordinance released today follows the Murphy Administration’s investment of over $100 million in clean, equitable transportation, its proposal to limit emissions under the state’s Climate Pollutant Reduction (CPR) rules, and the launch of multiple electric vehicle (EV) incentive programs, including Charge Up New Jersey and NJZIP.

New Jersey’s efforts are underscored by President Biden’s issuance earlier this month of an Executive Order targeting car and truck emissions and requiring that half of all new vehicles sold in 2030 be electric. The President also proposed new emissions standards to cut pollution through 2026.

“Earlier this year, I announced an investment of more than $100 million in clean, equitable transportation projects to improve air quality and reduce the effects of climate change while moving New Jersey towards 100 percent clean energy by 2050,” said Governor Phil Murphy. “Making smart investments in our transportation infrastructure, such as encouraging electric vehicle charging infrastructure across the state, will help build a stronger, fairer, and greener New Jersey for generations to come.”

New Jersey’s Department of Environmental Protection (DEP), Department of Community Affairs (DCA) and the Board of Public Utilities (BPU) developed the statewide municipal ordinance to ensure that Electric Vehicle Supply/Service Equipment (EVSE) and Make-Ready parking spaces would be permitted uses in all areas of the state in order to enable EV adoption among residents who can’t charge at home and to alleviate “range anxiety” by increasing the proximity of charging infrastructure and giving residents the confidence to drive electric.

Several sections of the model ordinance, including requirements for municipal approvals and permits, EV-ready development, and minimum parking requirements, are directives from the July law and cannot be altered. Other sections, specifically those related to health and safety factors (lighting and signage, for example), provide minimum guidance for consistency, but allow for municipal modifications as needed. The statewide municipal ordinance will supersede requirements in communities with existing EV charging ordinances.

“New Jersey municipalities are on the front lines of the climate crisis, both in responding to its impacts and leading the charge to reduce their contribution to greenhouse gas emissions,” said Lt. Governor and DCA Commissioner Sheila Oliver. “This statewide municipal ordinance provides them with consistent guidance on how to make those changes in the most efficient and cost-effective way and is a big step toward ensuring that our communities are ready for a carbon-neutral future.”

“The transportation sector is New Jersey’s largest source of greenhouse gas emissions, impacting air quality and generating more climate pollution,” said DEP Commissioner Shawn M. LaTourette. “It is vital that we facilitate New Jersey’s rapid transition to an electric vehicle future, which will improve air quality, particularly in communities most overburdened by pollution, and reduce the harmful greenhouse gas emissions that continue fueling climate change. The steps we are taking across the Murphy Administration will move us closer to a clean energy future and help us to avoid the worst impacts of climate change.”

“Governor Murphy is committed to building a stronger, greener economy in New Jersey, and he understands that supporting clean energy is not only critical to addressing the dangers of climate change, but will also drive economic growth and support more vibrant, healthier communities,” said New Jersey Economic Development Authority Chief Executive Officer Tim Sullivan. “Clean energy is a rapidly growing sector that is driving economic growth and job creation in New Jersey, and making it easy for New Jersey drivers to switch to electric vehicles will help us continue to grow this important industry while advancing environmental justice and fostering safer, cleaner communities throughout the state.”

“Governor Murphy’s Energy Master Plan is a holistic approach to New Jersey’s energy landscape and for the first time includes transportation, which accounts for over 40 percent of our emissions,” said BPU President Joseph L. Fiordaliso. “We have a moral responsibility to reduce our emissions so that we can mitigate climate change and improve public health. The BPU, in partnership with our sister agencies, will continue to craft the necessary tools for a seamless transition to electrification while simultaneously greening the grid with renewable energies like solar and offshore wind.”

Electrifying New Jersey’s transportation sector is critical to achieving the Murphy Administration’s vital climate goals, including a transformation to 100 percent clean energy and an 80 percent reduction in the state’s greenhouse gas emissions relative to 2006 levels.

These initiatives are outlined in the Global Warming Response Act 80×50 Report, released in October 2020, which found that New Jersey must rapidly implement an economy-wide transformation to transition from gasoline-powered vehicles to EVs.

In April, New Jersey proposed regulations modeled after California’s Advanced Clean Truck Rule, which requires manufacturers to sell an increasing number of medium- and heavy-duty trucks in the state. If adopted, the requirements would begin with model year 2025 and ramp up to model year 2035.

To further encourage EV use, Governor Murphy signed the Electric Vehicle law in January 2020, establishing purchase and use metrics for EVs, charging infrastructure, parking spaces, and the makeup of state fleet vehicles.

The state also uses the bulk of Regional Greenhouse Gas Initiative auction proceeds to invest in vehicle electrification strategies, focusing primarily on environmental justice communities that have experienced a disproportionate burden of air pollution issues.

New Jersey also provides EV charging station funds through the DEP’s “It Pay$ to Plug In” grant program as well as cash-on-the-hood rebates for new EVs through BPU’s Charge Up New Jersey incentive program. State agencies are also leading by example with BPU’s Clean Fleet EV incentive, which provides grant funding for state and local governments to convert their vehicle fleets to electric and install EV charging stations at their facilities.

Other significant steps to electrify transportation include:

• Forming the New Jersey Partnership to Plug-In, a first-of-its-kind, statewide interagency partnership to create a strategic and streamlined framework to increase the number of EVs in New Jersey.
• Signing landmark legislation to boost EV use in New Jersey by setting aggressive goals for New Jersey EV sales and public charging stations, requiring the establishment of rebates for EV purchases, and directing the state to electrify its fleet.

• Releasing a comprehensive Energy Master Plan that includes rigorous goals and spans multiple sectors and governmental agencies to achieve the 100 percent clean energy goal. The Energy Master Plan defines clean energy as 100 percent carbon-neutral electricity generation and anticipates that the vast majority of electricity will come from carbon-free resources by 2050.

To learn more about the DCA Statewide EV Municipal Ordinance, visit https://www.nj.gov/dca/dlps/home/modelEVordinance.shtml

For more information about the DEP’s Drive Green New Jersey program initiatives, visit www.drivegreen.nj.gov/index.html

Under the National Clean Air Programme, the first phase of the project is being planned for two and three-wheelers

Close

“If you gave the smartest scientists and engineers an infinite amount of money and told them to design the perfect storage medium for transportation, they’d come up with gasoline,” said Eric Toone, who co-chairs the investment committee at Breakthrough Energy Ventures, or BEV, a sustainability-investment firm co-founded by Bill Gates based in Kirkland, Washington. Billionaires Jeff Bezos, Richard Branson, Mark Zuckerberg and George Soros are also involved.

Gasoline
RB00,
+0.25%
is “safe, it’s massively energy-dense, it’s easy to move around. It has like every conceivable attribute you could want in an energy-storage medium — except for this problem that it produces carbon dioxide,” he said.

But all is not lost. We may, in fact, have the right combination for a dynamic market that still advances the U.S. toward its climate goals. President Joe Biden believes he’s set the U.S. on a course for a 50% emissions drop as soon as 2030 and net-zero emissions by 2050.

Consider that by 2030:

An explosion of choice headlined by Ford Motor Co.’s
F,
-0.23%
F-150 Lightning, one of the first all-electric light trucks, will entice more buyers to join the EV fold;

Green hydrogen alternatives will lead the charge over batteries for planes and trains, if not automobiles, and;

Cleaner-burning fuels will help cut emissions for gas-burning vehicles.

This combination will get the U.S. roughly halfway to the Paris climate accord’s target of net-zero emissions by 2050, according to a recent report from the International Energy Agency. The report shocked some in the energy space with its blunt call to curb new oil and gas investment.

Read: Hydrogen, ammonia and a clean-fuel standard could help get the world to net-zero emissions

Getting to net zero

“If we as a planet are going to get to net zero, it’s pretty clear that much of our emissions reduction is going to have to come from technologies that haven’t been invented, commercialized or scaled,” said Matt Peterson, who heads Amazon’s $2 billion Climate Pledge Fund.

Amazon
AMZN,
+0.41%
and BEV are just two of a growing number of Fortune 500 companies, venture capitalists and bankers making multi-billion-dollar bets on startups with innovations that could help close the gap in areas like energy, agriculture, construction and transportation.

Read: As drought ravages the West, any investor not focused on climate risk is ‘really kidding themselves,’ says this portfolio manager

Can they succeed? Here’s a look at the three biggest areas of sustainability investment in transportation, and how they might impact what you’ll drive in 2035 and beyond.

Battery-powered EVs

EVs are starting to appeal to more people, due in part to a growing selection of models, more fast-charge stations and longer-range batteries. But the real kicker is expected in as little as two months: all-electric pickup trucks.

The Ford F-150 Lightning, the electric version of this country’s best-selling vehicle, could help lift EV sales when it arrives next spring.

Three of four American vehicles are pickups, so all-electric models could prove to be an important boost to the EV market. The Lightning, which isn’t due out until next spring, probably won’t be the first EV pickup. But the electric version of the world’s most popular truck — and this country’s best-selling vehicle — could help lift EV sales onto a higher plane.

“The Ford F-150 Lightning is the most important thing that’s happened in EVs since Tesla first started selling cars,” said BEV’s Toone. “If they really start to sell that thing in a configuration that people can use for $40,000, that’s a game-changer.”

Read: Buying a home? Why you should ask whether it’s wired for electric vehicles even if you don’t own one

Tesla
TSLA,
-0.85%
and GMC
GM,
-0.25%
may be on track to beat the F-150 Lightning to market with their Cybertruck and Hummer EV pickups, respectively. Shipments of those models are expected late this year or early next.

Startup Rivian will be first to market, provided it meets its latest schedule for deliveries to begin in September. And it has a high-volume ace up its sleeve: Amazon. A major investor in Rivian, the internet giant has committed to buy 100,000 Rivian delivery vans by 2030, including 10,000 by year-end 2022.

“It’s a good balance between equity investing and Amazon demand to help Rivian scale its own operations,” Amazon’s Peterson said. “Putting into place and deploying that technology is a real differentiator for our fund.”

Hydrogen fuel cells

There are a few hydrogen-powered vehicles on the road, including Toyota Motor Corp.’s
TM,
-0.82%
Mirai and the Honda Motor Co.
HMC,
-0.51%
Clarity. They combine the zero-emissions benefits of battery power with five-minute filling and longer ranges than you get with gas.

“Developing inexpensive green hydrogen is one of the holy grails,” Peterson said.

Two main obstacles stand in the way of green hydrogen adoption — that is, hydrogen produced from a process that doesn’t release planet-warming emissions: It’s very expensive to produce. And it’s prohibitively expensive to distribute and store hydrogen.

Which is why you won’t find fuel for a hydrogen-powered car, unless you happen to live near one of the 48 California filling stations, or the lone pump in Honolulu. In contrast, there are 5,250 high-speed EV charging locations and about 115,000 traditional gas stations in the US.

Hydrogen, the most abundant element in the universe, does have a place in the constellation of sustainable fuels. But that’s for applications that don’t require many pumping locations, like long-haul shipping, as well as high-torque workloads prevalent in heavy industry.

Amazon is already using hydrogen-powered forklifts inside fulfillment centers. And Amazon and BEV have both invested in ZeroAvia, a British-American company that’s developing short-haul planes powered by green hydrogen.

Read: Green hydrogen is opening doors for higher platinum demand

Synthetic fuels

If what you drive in ’35 will be a made-for-gas vehicle, you’ll have a lot of company. Which is why investing in lower-emission alternatives will be critical to meeting sustainability goals.

“I tell people all the time that there will be more gasoline-powered vehicles in 2050 than there are today,” Toone said. “So the notion that you can by fiat say we’re not going to use internal-combustion engines after some deadline is ludicrous. There’s zero chance that will happen.”

The need for low-emission fuels is even more stark in developing nations, where infrastructure for EV and hydrogen may be decades away.

One company with promising technology is Sacramento, Calif.-based Infinium, which is developing a net-zero carbon fuel to power existing planes, trucks and ships.

“That’s especially relevant when it comes to aviation, because eliminating CO2 emissions from jets is a 10-year-plus problem,” Peterson said.

Opinion: These emerging technologies could let us store solar and wind energy

Too early to pick a winner

Getting to net-zero emissions is a multi-decade process. And because there’s so much yet to be developed, it’s too early to pick a winner.

“We want to invest in electrification, we want to invest in hydrogen and we want to invest in existing infrastructure. And better alternative fuels,” Amazon’s Peterson concludes. “They’re all focuses of the fund, and I can’t predict which one might ultimately make the others obsolete. So we have to make all the bets we can and see what works.”

Opinion: If we take these five steps now, we can ward off a climate disaster

Mike Feibus is president and principal analyst of FeibusTech, a market research and consulting firm. Reach him at mikef@feibustech.com. Follow him on Twitter @MikeFeibus. He does not directly own shares of any companies mentioned in this column.

The last few years have seen the revival of some iconic automobile brands in India. Czech brand Jawa made a comeback here in 2019 in partnership with Mahindra and then last year we saw Chetak resurrect, albeit in an electric avatar. Joining this list is LML brand that has decided to re-enter the Indian two-wheeler market. The Indian company is remembered for launching scooters in India in collaboration with Vespa. But now, LML seems to be going Chetak’s way and will come back in India as LML Electric. This means that the iconic Indian brand will be foraying into the electric mobility segment in the country. As of now, LML has not revealed any product details or a specific timeline. However, the company did note that its first electric vehicle will be a disruptive product.

LML was incorporated in 1972 and started manufacturing 100 cc scooters in 1983. This was under technical collaboration with Piaggio Vespa Italy.

Yogesh Bhatia, MD and CEO, LML Electric, said, “We’re extremely excited to make a significant comeback. We are actively working on the product development strategies in order to introduce a highly innovative product equipped with the best of technology to enable & strengthen the urban mobility space. We would like to empower the upper-middle and urban segments of society with our range of premium products to drive the change.”

The electric two-wheeler segment in India has grown rapidly and includes a wide raft of products, ranging from slow-speed EVs to premium electric scooters. LML is likely to enter the premium spectrum of the market and could be a rival to the likes of Bajaj Chetak, TVS iQube, and others. But of late, scooters like Ather 450X, Ola S1, and Simple One have set the bar high with their impressive specs, technology, and onboard gadgetry. Clearly, LML has its work cut out and it could be a tad difficult for the company to carve a niche. However, it is good news for the customers as they will have more options to choose from while switching from petrol-powered vehicles to electric two-wheelers.

With plenty of natural resources and a key geographical location, there’s little doubt Australia will play an important role in the global transition to green energy.

The country is a top producer of key raw materials needed for electrification, from lithium to rare earths.

Here the Investing News Network (INN) explores Australia’s electric vehicle (EV) raw materials landscape and what could be ahead for the country in a space that keeps evolving at a rapid pace.

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Australia’s resources to feed the EV and energy storage revolution

Australia is well known for its resource-rich land, with mining taking place all around the country.

“Australia is a politically stable and low-risk jurisdiction which is very familiar with mining,” Harry Fisher of CRU Group told INN. “There is a high level of domestic mining expertise, enabling Australia to produce a large number of commodities and be a major producer in numerous different markets.”

The mining industry accounts for 75 percent of the country’s exports, which vary from coal to iron ore. And despite being a top producer of many commodities, close to 80 percent of the country is yet to be explored.

When looking at demand from the EV and energy storage industries, Australia has a unique opportunity, as it hosts many of the critical minerals needed.

But it’s not just about resources — developing secure supply chains for raw materials has become a top priority for global governments, and the push for a green future has put EVs centre stage.

For its part, the Australian government has outlined a strategy “to enable the development of Australia’s critical minerals sector, including downstream processing and manufacturing opportunities, by attracting investment, supporting innovation and connecting opportunities with infrastructure.”

The plan includes lithium and cobalt, which are essential in cathodes for lithium-ion batteries, and rare earths, which are used in permanent magnets to power EVs.

Although its output has decreased in the last couple of years, Australia is the world’s top lithium producer, with exports of the raw material reaching AU$1.1 billion from 2019 to 2020.

“Australia was responsible for about 45 percent of global lithium mine supply in 2020,” Fisher said. “There is strong potential for that to increase with expansions in the pipeline.”

According to the US Geological Survey, Australia accounted for 40,000 metric tons of lithium in 2020, and holds over 4.7 million metric tons of identified lithium reserves.

Most lithium found in the country is in hard-rock, pegmatite-hosted resources, which are largely located in Western Australia, with most of the country’s lithium supply being exported to China as spodumene.

Notably, the country is home to Greenbushes, the world’s biggest lithium mine. It is operated by Talison Lithium, owned by Albemarle (NYSE:ALB) and joint venture partners Tianqi (SZSE:002466) and IGO (ASX:IGO).

Aside from Greenbushes, major Australian operations include Pilbara Minerals’ (ASX:PLS,OTC Pink:PILBF), Pilgangoora tantalum-lithium mine, as well as Mineral Resources’ (ASX:MIN) Mount Marion, which it is developing with Ganfeng (OTC Pink:GNENF,SZSE:002460), and Wodgina, which it holds in a joint venture with Albemarle. There is also Mount Cattlin, which is being developed by soon-to-be named Allkem ― the proposed company brand for the merger of Galaxy Resources (ASX:GXY) and Orocobre (ASX:ORE,OTC Pink:OROCF).

Oversupply fears paired with delays in conversion capacity hit the market in 2018, with price pressures leading to halts in expansions and production. Following a tough few years, lithium prices have been on the rebound in 2021 as demand from the EV sector continues to show strength despite the pandemic.

Lithium demand is forecast to almost triple by 2025, with the Australian government expecting spodumene exports to increase from 1.4 million tonnes in 2020 to 2.1 million to 2.2 million tonnes from 2022 to 2023.

But miners still have challenges going forward. Labour costs and shortages have been flagged as potential issues for construction and restarts of operations in Australia, according to CRU Group.

Additionally, as mentioned, Australia primarily sources lithium from hard rock, which is inherently more costly to convert into lithium carbonate compared to producing lithium carbonate from brine. However, this is expected to be more competitive in terms of producing hydroxide directly from hard rock.

“On the hard-rock mining cost curve, Australian assets are generally lower cost due to grades and economies of scale,” Cleary said when asked about the challenges lithium miners in the country face at the moment. “Junior Australian lithium miners face tough competition from incumbent domestic producers, but also other junior miners around the world.”

Cobalt in Australia

Lithium is not the only battery metal the land down under is looking to develop. Cobalt, another essential element in cathodes for lithium-ion batteries, is also found in the country.

The metal is mostly mined in the Democratic Republic of Congo (DRC), which has often been linked to human rights abuses and child labour, bringing worries over security of supply.

“While the DRC will remain the dominant source of cobalt for the battery industry, we forecast Australia’s share of mined cobalt supply to increase from 3.6 percent in 2021 to 4.4 percent by 2030,” Greg Miller, analyst at Benchmark Mineral Intelligence, told INN.

Australia has the second largest cobalt resource in the world, estimated at around 19 percent of the global total; however, it currently only contributes 4 percent of global mine supply. The country’s mined cobalt is typically a by-product of nickel laterite resources.

There are currently four producing companies in the country: Glencore (LSE:GLEN,OTC Pink:GLCNF), BHP (ASX:BHP,LSE:BHP,NYSE:BHP), First Quantum Minerals (TSX:FM,OTC Pink:FQVLF) and IGO. Glencore’s Murrin Murrin is the largest cobalt producer in Australia.

Australian miners with cobalt projects in the country include Sunrise Energy Metals (ASX:SRL,OTCQX:SREMF), formerly Clean TeQ, which is developing the Sunrise project. The asset is considered one of the largest and most cobalt-rich nickel laterite deposits in the world.

Additionally, Jervois Mining (ASX:JRV) is developing its Nico Young deposit, and Cobalt Blue Holdings (ASX:COB,OTC Pink:CBBHF) has its efforts on the Broken Hill cobalt project in New South Wales.

The biggest advantage of Australian cobalt is its enhanced environmental, social and governance credentials compared to material mined in other regions, particularly the DRC, Miller said.

“For OEMs and cell makers alike, sourcing cobalt from Australia allows for greater supply chain transparency through improved traceability and audibility,” he added.

Indeed, the analyst pointed out that BMW (OTC Pink:BAMXF,ETR:BMW) chose to source a portion of its cobalt through to 2025 from Murrin Murrin in Australia for these very reasons, avoiding mines in the DRC.

“Further to this, as the US accelerates the build out of a domestic lithium-ion battery supply chain and moves to reduce its exposure to Chinese dominated supply chains, western automakers sourcing cobalt from Australia would satisfy the Biden administration’s strategy of sourcing critical battery raw materials from ‘strategic allies,’” Miller said.

Similarly, Fisher said Australia is a politically stable and low-risk jurisdiction that is very familiar with mining.

“There is a high level of domestic mining expertise enabling Australia to produce a large number of commodities and be a major producer in numerous different markets,” he explained to INN. “Quality and economic cobalt resources are therefore likely to be developed to support rising global demand, with a number already in operation.”

According to CRU Group data, Australia produced just under 6,000 tonnes of cobalt in 2020, equating to around 4 percent of global mine supply.

“We forecast that this could rise to close to 9,000 tonnes by 2025,” Fisher said. “New projects that could come online over the next few years include Western Areas’ (ASX:WSA,OTC Pink:WNARF) Cosmos and (formerly) Clean TeQ’s Sunrise project; however, both need further development and funding to progress. There are also production expansions expected at a number of existing operations.”

Rare earths in Australia

Other critical minerals worth looking at are rare earths, a group of 17 elements found in everything from batteries to wind turbines. Some of the most important rare earths used in permanent magnet production for EVs are neodymium, praseodymium and dysprosium.

Despite lagging far behind China, Australia is in fact a top producer, with output reaching 17,000 metric tons last year. Australia accounts for about 10 percent of the total rare earth element (REE) production and it is the fourth largest producer of REEs.

ASX-listed Lynas (ASX:LYC,OTC Pink:LYSCF) is the owner and operator of the Mount Weld REE mine in Australia, and it could potentially double production if its processing plant in Malaysia is expanded, Luisa Moreno of Tahiti Global told INN.

Additionally, Iluka Resources’ (ASX:ILU) Eneabba project is expected to reach production of monazite mineral concentrate this year.

“Unfortunately, Australia does not have commercial-scale REE processing capacity to produce REE mixed chemicals concentrate or to separate and refine REE elements,” she said. “However, there are several other REE projects in the feasibility stage … so yes, Australia is definitely moving in the right direction.”

Companies moving forward with REE projects in the country include Arafura Resources (ASX:ARU,OTC Pink:ARAFF), which is updating its feasibility study for the Nolans Bore project and actively looking for project financing; there is also Enova Mining (ASX:ENV), which is completing a new drilling program at Charles Creek and performing new metallurgical tests, and Hastings Technology Metals (ASX:HAS), which is optimising Yangibana’s feasibility study.

Looking over to the outlook for the rare earths market, production of these critical minerals would have to increase by more than 50 percent by 2030 to fulfill demand.

“But without the support of the markets and governments to develop the Australian projects — and others around the world — REEs may become the most critical materials for the green industrial revolution, with China as the ultimate supplier,” Moreno said.

Junior miners developing rare earths projects in Australia face challenges similar those in the rest of the world, according to Moreno, with one of them being metallurgical.

“One important step in the REE flowsheet is the production of a mineral concentrate with at least 30 percent total REE,” she said. “And although most of the projects in Australia have as the dominant minerals monazite and bastnaesite, which are the common minerals in commercially operated mines, many junior companies are still not able to economically produce the essential REE mineral concentrate.”

The other big hurdle is financing.

“As part of the feasibility study, companies should build demonstration plants to de-risk the projects,” Moreno said. “These demo plants could cost tens of millions to build and operate, and after proving the process at that scale, the construction of a fully integrated plant could cost hundreds of millions depending on the size.”

Don’t forget to follow us @INN_Australia for real-time updates!

Securities Disclosure: I, Priscila Barrera, hold no direct investment interest in any company mentioned in this article.

Editorial Disclosure: The Investing News Network does not guarantee the accuracy or thoroughness of the information reported in the interviews it conducts. The opinions expressed in these interviews do not reflect the opinions of the Investing News Network and do not constitute investment advice. All readers are encouraged to perform their own due diligence.