U.S. Consumers Keep Vehicles for a Record 12.5 Years on Average — S&P
Americans in the waning days of the COVID-19 pandemic are keeping their combustion-engine vehicles longer, according to a new study. The average age of U.S. cars and light trucks this year climbed to a record 12.5 years, reflecting the impact of supply constraints on dealer inventories of new vehicles in 2022, as well as reduced consumer demand from higher inflation and interest rates, according to the study by S&P Global Mobility. Despite six straight years of increases, average vehicle age is expected to drop over the coming year as rising availability and renewed demand push new vehicle sales above 14.5 million in 2023, the S&P research said. Electric vehicles are bucking the aging trend, according to S&P. The average age of battery electric vehicles (BEV) in the U.S. fell to 3.6 years, down slightly from 3.7 years in 2022, reports Reuters. That figure has hovered between 3 and 4 years since 2017, the group said. S&P said rapidly increasing BEV sales in the U.S. are keeping the average age of that sector relatively young, even though a greater percentage of electric vehicles are leaving the vehicle population, compared with combustion vehicles. Click here for the full story.
Survey: Most Dealerships Have No EVs and Some Don't Want Any
Electric vehicles are still tough to find at most U.S. dealerships, according to a survey by the Sierra Club. The group said 66 percent of those surveyed didn't have any EVs in stock. Of those stores, 44 percent said they would sell EVs if they could get them, but 45 percent said they wouldn't no matter what. Mercedes-Benz dealerships had the best EV supplies, with 90 percent saying they had one available. BMW was the only other brand for which more than half of dealerships reported having EVs in stock. At the other end of the spectrum, only 11 percent of Honda stores and 15 percent of Toyota outlets had EVs. Geographically, EV availability was the lowest in the Western U.S., where demand for them is highest, reports Automotive News. In those states, which account for 45 percent of EV sales nationwide, just 27 percent of dealers said they had any for sale. Availability was highest in the Southeast, where 41 percent had EVs in stock. The survey of 801 dealerships was conducted from June to November 2022. Click here for the full story.
VW Explores Plug-In Hybrid for U.S. as EV Transition Unfolds
Volkswagen is committed to moving completely to electric vehicles by the mid-2030s, but until then, an interim step makes sense while the U.S. continues to build out charging infrastructure, the new head of the brand's North American arm argues. In an interview with Automotive News, Pablo Di Si, who is also in his first year as CEO of Volkswagen Group of America, said VW is looking hard at adding at least one plug-in hybrid to its U.S. lineup in the immediate future. "It takes you a long time to develop a technology. If I wouldn't have any plug-in hybrid in the group, it wouldn't be an idea" worth pursuing, Di Si said this month. But because of Audi, it's a possibility. "When you're talking Volkswagen Group in North America, we do have a plug-in hybrid: The [Audi] Q5 e, in Mexico, is a plug-in hybrid. I drove the car in Mexico; it's beautiful, and the [plug-in hybrid] system works very well," Di Si said. "So, we do have plug-in hybrids in the group. We have the technology." Click here for the full story.
Used Electric-Vehicle Market Taking Shape Globally
While all eyes are on headline investments into conversions of major auto plants for electrified-vehicle production, a key sign that this market is maturing is emerging: the growth of used-vehicle sales in the EV segment. Data from U.S.-based industry consultant Cox Automotive says American used-EV retail sales via licensed dealerships increased 32 percent year-on-year to 42,753 units in Q1 2023. It added that in Q1, the average used-EV retail listing price in the U.S. was $43,400, down 4 percent from Q1 2022, and significantly less than the average new-EV price of $59,000. These lower used-EV prices may fall further as new-EV automakers, such as Tesla, reduce their prices, says Cox, which provides valuations for dealers: “Having more used EVs in the market is a key driver of the volume gains, and product availability will rapidly increase going forward.” Mark Schirmer, Cox Automotive’s corporate communications director, tells Wards: “We are seeing increases of used EVs at both the retail and wholesale level, and more consumer interest as well. Still, EVs only accounted for about 1 percent of transactions. We do expect that to grow, but these are early days indeed.” Click here for the full story.
Porsche Sees EVs with Over 807 Miles of Range in the Near Future
Porsche expects to be able to produce electric vehicles with a range exceeding 807 miles in the medium term and this won’t involve EVs with solid-state batteries, a technology that the carmaker is developing. The German carmaker believes that optimizing the anode of an EV is one way to optimize it. Porsche currently uses graphite as an active anode material but is developing silicon anodes. It says silicon anodes offer up to 10 times more storage capacity and cells with fast-charging capability could be charged from 5 to 80 percent in less than 15 minutes with these anodes, reports Carscoops. There is one issue with silicon anodes, however. Porsche notes that silicon particles expand by 300 percent when they absorb lithium, meaning that the service life of the battery would be impaired. Porsche is currently working on anodes made up of up to 80 percent silicon. Additionally, it is also undertaking intensive work in increasing the proportion of nickel in the cathode, allowing for higher charging capacities. Click here for the full story.
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