July 17 (Lagos) - The much touted 'EV REVOLUTION' is taking much longer to take effect than enthusiasts expected especially in the western world.
China is the global leader in EV with vast charging stations the demand from people and many local start-ups vying for market share with the top EV maker in the world, Tesla. The Country's policy of phasing out ICE vehicles started years ago and that is mainly the reason why they are the global leader in EV's.
EV investors are mostly in western Countries. Such investors are getting worried because the change is taking longer to hold in their Countries. For example the Chinese EV start-up and a market leader NIO recently disclosed that most of its investors were based outside of China. The Company recently received an investment of around $750 million from UAE. At the same time the Company lost similar amount during its last quarter.
Yesterday, Ford Motor Inc announced it was cutting prices of its F-150 Lightening EV pick up truck. This is as Tesla has started production of its own version of Pick-up truck.
Analysts pointed towards building inventory for EV's as people do no seem to be as excited by the vehicles as previously thought. This could change as the technology in the US catches up to China in terms of fast charging networks and especially the battery swapping stations which are rare in North America.
In the E.U, the traditional car makers are watching closely as NIO and other Chinese brands have started operations. NIO has a battery swap agreement with Shell and has started building its network of charging stations and battery swapping stations which are places where the car's battery can be swapped quickly and the owner does not need to wait while car charges.
The US could ensure that the EV revolution does not slow down by opening its domestic market for Chinese EV's to compete directly. This would provide more variety for the people and these companies will build their own charging stations. Currently Tesla is by far the choice for people wanting to switch to EV in North America. Other brands have not lived up to expectations and some had safety issues that led people to postpone their first EV purchase.
Progress has been made as Ford, GM and Stellantis have all agreed to make Tesla's supercharger the default plug throughout the industry. This makes Tesla the King of EV in the world. There is not much serious competition for the Company in North America.