Currently, the use of electric vehicles or EVs in Thailand is becoming increasingly popular, supported by the country’s clean energy policies, which encourage importing and manufacturing EVs within the country, as well as providing financial incentives to the public to use electric vehicles. As a result, EVs are becoming more visible on the roads than before.
In 2023, there is a trend for EVs to be even more popular, which leads to car manufacturers developing technologies and designs that are more efficient and responsive to market demands. This includes reducing the cost of manufacturing cars while still using efficient materials and systems, developing battery capacity, and improving the speed and convenience of the electric charging system.
Today, WCE will explore the EV trend for 2023, looking at where the global trend in electric cars is heading.
1. Automakers in the traditional system are committed to investing in the production and promotion of electric cars.
Major automakers in the traditional car market have announced increased investment in accelerating the production of electric cars in the next few years, such as Ford, Volkswagen, and Honda, which are expected to invest over $500 billion by 2030. In addition, many car manufacturers have begun to increase their advertising budgets for EV cars. In 2021-2022, the advertising budget was worth up to $248 million in the United States, reflecting the growing consumer interest in electric cars. This can be seen from the EV Super Bowl advertisement during the live broadcast of the American football competition with a large number of viewers, which attracted a lot of interest in the aforementioned advertisement.
2. Agreements for large orders to drive electric vehicles
In the private sector, there are agreements for large orders of electric cars and vehicles. For example, Hertz, a major car rental provider, has ordered more than 100,000 electric cars from Tesla, and Amazon has ordered 100,000 electric cars from Rivian. These orders demonstrate the changes in the automotive industry, indicating that electric cars are moving towards becoming the mainstream vehicles of the future. In addition, major businesses such as Walmart and FedEx have also made agreements with GM to purchase large electric-powered vehicles.
3. Large technology companies enter the EV industry
Not only car manufacturers, but also leading technology companies such as Apple, Google, and Amazon are interested and investing in electric car development. In addition, Chinese technology companies such as Huawei, Baidu, and Xiaomi, and well-known Japanese electronics manufacturers like Sony, have also developed and entered the EV market. According to a survey in Canada, 49% of respondents are willing to purchase an electric car manufactured by technology companies.
4. EV charging infrastructure/stations are expanding rapidly
In the United States, plans are underway to create a large network of electric vehicle charging stations so that consumers can charge their cars every 50 miles on highways between states. The Biden Administration has revealed that they will allocate nearly $50 billion over a period of five years to develop this network. Another example is Tesla’s Supercharger network, which has developed charging stations widely throughout Europe. Oil companies, hotels, and many department stores have also begun investing in EV charging infrastructure.
5. Continuous Decrease in the Cost of EVs
Previously, the cost of battery production was a major issue that electric vehicle manufacturers had to face, resulting in higher prices for consumers. However, the cost of producing battery packs has decreased by up to 89% compared to 2010. When compared to the price trends of conventional cars in the period of 2020-2021, which typically increased by an average of 2.2%, electric vehicles decreased by up to 10.8%, making the prices of electric vehicles more competitive in the traditional car market in the near future.