EU CHINA TARIFF'S ARE USELESS IN THIS CASE
By AFP
January 6, 2025
Just 380,609 EVs were registered in 2024 in Europe's largest auto market, 27.4 percent fewer than in the previous year
- Copyright AFP/File SAUL LOEB
Sebastien ASH
Sales of new electric vehicles in Germany plunged last year, official figures showed Monday, as a slow switch to battery-powered cars deepened the woes of the country’s flagship auto industry.
Just 380,609 EVs were registered in 2024 in Europe’s largest auto market, 27.4 percent fewer than in the previous year, the KBA federal transport authority said.
After years of growth, demand for battery-powered cars lost momentum as the German economy has struggled and key subsidies were withdrawn.
The slump in EV sales amounted to a “lost year for electro-mobility”, said EY analyst Constantin Gall.
The sudden end of the support programme in 2023 amid a government budget crisis had led to “massive uncertainty among potential buyers”, he said.
High prices for new EV models, still patchy charging infrastructure and range limitations were putting off new buyers in Germany, he said.
The drop in EV sales led an overall decline in the German car market, which has struggled to recover since the coronavirus pandemic.
Some 2.8 million new cars were sold in 2024 in Europe’s top economy, one percent fewer than in the previous year.
– Industry struggles –
Weak demand for new cars at home has compounded the challenges facing Germany’s auto industry, alongside high production costs and rising competition from China.
Europe’s biggest carmaker Volkswagen announced a deal with unions at the end of last year to reduce production capacity in Germany by some 730,000 units and cut 35,000 jobs.
The drastic cuts were needed to put the core Volkswagen brand on a sustainable footing and to fund investments in the manufacturer’s struggling electric strategy, the group said.
The difficulties at VW did not stop it from keeping the top spot in sales with 536,888 new registrations in Germany.
Chinese manufacturers who have gobbled up market share in their domestic market and spooked European producers have yet to make major inroads in Germany.
Combined, brands such as BYD, XPeng and MG Roewe sold some 25,000 units in Germany.
Tesla’s market share also dropped to 1.3 percent from 2.2 percent, as the US electric vehicle maker shifted only 38,000 units in Germany.
The overall slump in electric car sales in Germany saw battery-powered vehicles lose market share relative to traditional combustion engines and hybrid cars.
Electric cars made up 13.5 percent of sales in 2024, down from 18.4 percent in the previous year.
Sales of hybrid cars rose by 12.7 percent to almost 950,000 as consumers looked to hedge their bets with cars than can run on both electricity and fossil fuel.
– Subsidy scheme –
Gall said “strong impulses” were needed to kickstart the electric car market.
A new support programme could provide a “significant boost” to sales of battery-powered cars, he said, but remained uncertain about the outlook as Germany is headed for new elections on February 23.
Chancellor Olaf Scholz, whose government scrapped the previous subsidy scheme, has called on the campaign trail for a new support programme on the European level.
Opposition politicians have also called for the ailing auto industry to get more assistance, while criticising European plans to phase out combustion engines.
Manufacturers could cut prices themselves as they look to shift more EVs and stay on track to meet stricter EU emissions targets coming into force in 2025, Gall said.
Progress in bringing down EV prices could lead to a rise in sales, but the sector would struggle to rise above volumes seen in 2023, he said.
A “hoped-for paradigm shift” in consumer preferences had yet to come, Gall added. “For large parts of the population, combustion engines remain significantly more popular than electric cars.”
Sebastien ASH
Sales of new electric vehicles in Germany plunged last year, official figures showed Monday, as a slow switch to battery-powered cars deepened the woes of the country’s flagship auto industry.
Just 380,609 EVs were registered in 2024 in Europe’s largest auto market, 27.4 percent fewer than in the previous year, the KBA federal transport authority said.
After years of growth, demand for battery-powered cars lost momentum as the German economy has struggled and key subsidies were withdrawn.
The slump in EV sales amounted to a “lost year for electro-mobility”, said EY analyst Constantin Gall.
The sudden end of the support programme in 2023 amid a government budget crisis had led to “massive uncertainty among potential buyers”, he said.
High prices for new EV models, still patchy charging infrastructure and range limitations were putting off new buyers in Germany, he said.
The drop in EV sales led an overall decline in the German car market, which has struggled to recover since the coronavirus pandemic.
Some 2.8 million new cars were sold in 2024 in Europe’s top economy, one percent fewer than in the previous year.
– Industry struggles –
Weak demand for new cars at home has compounded the challenges facing Germany’s auto industry, alongside high production costs and rising competition from China.
Europe’s biggest carmaker Volkswagen announced a deal with unions at the end of last year to reduce production capacity in Germany by some 730,000 units and cut 35,000 jobs.
The drastic cuts were needed to put the core Volkswagen brand on a sustainable footing and to fund investments in the manufacturer’s struggling electric strategy, the group said.
The difficulties at VW did not stop it from keeping the top spot in sales with 536,888 new registrations in Germany.
Chinese manufacturers who have gobbled up market share in their domestic market and spooked European producers have yet to make major inroads in Germany.
Combined, brands such as BYD, XPeng and MG Roewe sold some 25,000 units in Germany.
Tesla’s market share also dropped to 1.3 percent from 2.2 percent, as the US electric vehicle maker shifted only 38,000 units in Germany.
The overall slump in electric car sales in Germany saw battery-powered vehicles lose market share relative to traditional combustion engines and hybrid cars.
Electric cars made up 13.5 percent of sales in 2024, down from 18.4 percent in the previous year.
Sales of hybrid cars rose by 12.7 percent to almost 950,000 as consumers looked to hedge their bets with cars than can run on both electricity and fossil fuel.
– Subsidy scheme –
Gall said “strong impulses” were needed to kickstart the electric car market.
A new support programme could provide a “significant boost” to sales of battery-powered cars, he said, but remained uncertain about the outlook as Germany is headed for new elections on February 23.
Chancellor Olaf Scholz, whose government scrapped the previous subsidy scheme, has called on the campaign trail for a new support programme on the European level.
Opposition politicians have also called for the ailing auto industry to get more assistance, while criticising European plans to phase out combustion engines.
Manufacturers could cut prices themselves as they look to shift more EVs and stay on track to meet stricter EU emissions targets coming into force in 2025, Gall said.
Progress in bringing down EV prices could lead to a rise in sales, but the sector would struggle to rise above volumes seen in 2023, he said.
A “hoped-for paradigm shift” in consumer preferences had yet to come, Gall added. “For large parts of the population, combustion engines remain significantly more popular than electric cars.”
Invisible man: German startup bets on remote driver
By AFP
January 7, 2025
Thomas von der Ohe, CEO and Co-Founder of Vay Technology, stands for a portrait with a remote driving Kia. Over the last year, riders in Las Vegas have been able to test drive the vehicle - Copyright AFP Patrick T. Fallon
With no one in the driver seat, the SUV pulling up resembles an autonomous robotaxi like those becoming increasingly present in some cities — but the car from German startup Vay is something else.
One of a number of emerging players aiming to disrupt road transportation, the seven-year-old company is built around remote driving, where a human is very much present, though sitting in an office using TV monitors to guide the car.
Over the last year, riders in Las Vegas have been able to test drive Vay, and the company was demonstrating its technology ahead of the Consumer Electronics Show (CES), the world’s most important tech show.
Thomas von der Ohe, chief executive and co-founder of Vay, said his was a lower-cost approach “that has nothing to do with autonomous driving.”
Von der Ohe, who previously worked at Zoox, the Amazon-owned autonomous driving company, said that unlike autonomous driving companies, Vay doesn’t have to “run massive amounts of simulations” to be safe.
“Our core safety principle is that the (human driver) can make the decision,” he said.
And unlike a Tesla or Waymo, there is no dream at Vay of one day shedding the steering wheel, which twists and turns during rides as if maneuvered by the Invisible Man.
The remote driving approach also employs fairly inexpensive camera technology, which costs a fraction of the envelope-pushing Lidar sensing systems favored by leading autonomous companies.
A demonstration of the remote driving technology showed someone watching three screens — which included live imagery from front, side and rear-view cameras — as they operated a system similar to at-home racing simulators, with a steering wheel and pedals.
Vay is offering rides for half the price of Uber or Lyft. Von der Ohe hopes to reach profitability in the next year or two, depending on how quickly the company can scale.
Since launching 12 months ago, Vay’s Las Vegas fleet has grown from two to 30 vehicles, completing 6,000 rides, von der Ohe said.
But Von der Ohe believes the company’s cash cow will not be ride-hailing, but the delivery of autos to consumers who then drive the vehicles.
In this way, Vay resembles a car rental company.
Since the launch in Las Vegas, some customers have ordered up Vay vehicles for home delivery and then driven them themselves.
That flexibility is one reason “we believe this can be a real alternative to private cars,” von der Ohe said.
By AFP
January 7, 2025
Thomas von der Ohe, CEO and Co-Founder of Vay Technology, stands for a portrait with a remote driving Kia. Over the last year, riders in Las Vegas have been able to test drive the vehicle - Copyright AFP Patrick T. Fallon
With no one in the driver seat, the SUV pulling up resembles an autonomous robotaxi like those becoming increasingly present in some cities — but the car from German startup Vay is something else.
One of a number of emerging players aiming to disrupt road transportation, the seven-year-old company is built around remote driving, where a human is very much present, though sitting in an office using TV monitors to guide the car.
Over the last year, riders in Las Vegas have been able to test drive Vay, and the company was demonstrating its technology ahead of the Consumer Electronics Show (CES), the world’s most important tech show.
Thomas von der Ohe, chief executive and co-founder of Vay, said his was a lower-cost approach “that has nothing to do with autonomous driving.”
Von der Ohe, who previously worked at Zoox, the Amazon-owned autonomous driving company, said that unlike autonomous driving companies, Vay doesn’t have to “run massive amounts of simulations” to be safe.
“Our core safety principle is that the (human driver) can make the decision,” he said.
And unlike a Tesla or Waymo, there is no dream at Vay of one day shedding the steering wheel, which twists and turns during rides as if maneuvered by the Invisible Man.
The remote driving approach also employs fairly inexpensive camera technology, which costs a fraction of the envelope-pushing Lidar sensing systems favored by leading autonomous companies.
A demonstration of the remote driving technology showed someone watching three screens — which included live imagery from front, side and rear-view cameras — as they operated a system similar to at-home racing simulators, with a steering wheel and pedals.
Vay is offering rides for half the price of Uber or Lyft. Von der Ohe hopes to reach profitability in the next year or two, depending on how quickly the company can scale.
Since launching 12 months ago, Vay’s Las Vegas fleet has grown from two to 30 vehicles, completing 6,000 rides, von der Ohe said.
But Von der Ohe believes the company’s cash cow will not be ride-hailing, but the delivery of autos to consumers who then drive the vehicles.
In this way, Vay resembles a car rental company.
Since the launch in Las Vegas, some customers have ordered up Vay vehicles for home delivery and then driven them themselves.
That flexibility is one reason “we believe this can be a real alternative to private cars,” von der Ohe said.
