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Global EV sales continued building momentum last month despite claims of a cooling market. Sales of electric vehicles grew by double digits in the top markets globally. China, the world’s largest EV market, continues to break sales records despite ending subsidies.

According to market research firm Rho Motion (via Reuters), EV sales grew 29% year-to-date in China in October.

“What’s notable about October’s figures is that EV demand in China continues to reach record highs even though the subsidies were cut,” the company said in a statement.

The growth comes amid China ending an 11-year subsidy for EV buyers last year. Despite this, Rho Motion claims, “2023 is set to be another banner year for China in terms of EV sales.”

Leading Chinese EV maker BYD has continued building momentum this year. The company came within a few thousand of surpassing Tesla as the world’s largest EV maker in the third quarter.

BYD sold a record 151,193 all-electric vehicles in September, for a total of 431,603 in Q3. Meanwhile, Tesla delivered 435,059 EVs in the quarter as it aims to reach its goal of 1.8 million this year.

Like Tesla, BYD has aggressively cut prices this year to drive out a flurry of new competitors and stimulate demand.

Despite the lower prices, BYD posted a record $1.42 billion in third-quarter profits. The company’s gross margins reached 22.12%, its highest in three years.

EV-sales-momentum
BYD Atto 3 (Source: BYD)

So, is EV adoption slowing, as many are claiming? The data suggests otherwise…

Is EV sales momentum really slowing?

Despite claims that demand for EVs is cooling, the global electric vehicle market grew 34% year-to-date last month.

The top auto markets had double-digit EV sales growth. Outside of China, EV sales grew 26% in European markets, where subsidies were also cut recently.

Several automakers, including Volkswagen and Mercedes-Benz, have warned that higher interest rates and inflation are turning customers away. Volkswagen’s CFO Arno Antiliz said EV orders were down to 150,000 in Q3, 50% lower than last year.

EV-sales-momentum
2023 Volkswagen ID.4 (Source: VW)

In response, Volkswagen has cut production of several EV models in Germany, including the ID.4, ID.7, and Audi Q4 e-tron.

Meanwhile, Chinese automakers, including BYD, are expanding in Europe with affordable EV models like the Dolphin hatchback.

EV sales in North America are up 78% so far this year. “The North American market continues to have a strong 2023, with Tesla still taking the lion’s share of demand as legacy automakers temper ambitions of scaling production,” Rho Motion said.

US electric vehicle market

According to recent Cox Automotive data, US EV sales surpassed 300,000 for the first time in Q3. EV sales in the US have now grown for 13 straight quarters.

EV sales accounted for 7.9% of total US auto sales in Q3 with Tesla remaining on top. Tesla accounted for 50% market share, down from 62% in the first quarter. With the highly-awaited Cybertruck launching, momentum is expected to continue.

Q3 2023 US sales Q3 2022 YOY Q3 Market Share
Audi 7,538 3,891 93.7% 2.4%
BMW 13,079 4,365 199.6% 4.2%
BrightDrop 35 0% 0%
Cadillac 3,018 36 0% 1%
Chevrolet 15,872 14,709 7.9% 5.1%
Ford 20,962 18,257 14.8% 6.7%
Genesis 1,802 888 102.9% 0.6%
GMC 1,167 411 183.9% 0.4%
Fisker 997 0% 0.3%
Hyundai 19,630 5,824 237.1% 6.3%
Jaguar 86 22 290.9% 0%
Kia 9,325 5,583 67% 3%
Lexus 1,394 0% 0.4%
Lucid 1,618 654 147.4% 0.5%
Mazda 34 8 325% 0%
Mercedes 10,423 2,717 283.6% 3.3%
Mini 516 1,105 -53.3% 0.2%
Nissan 6,074 1,276 376% 1.9%
Polestar 3,710 2,852 30.1% 1.2%
Porsche 2,050 1,325 54.7% 0.7%
Rivian 15,564 6,884 126.1% 5%
Subaru 2,791 0% 0.9%
Tesla 156,621 131,024 19.5% 50%
Toyota 2,827 0% 0.9%
VinFast 1,159 0% 0.4%
Volvo 4,087 542 654.1% 1.3%
Volkswagen 10,707 6,657 60-.8% 3.4%
US electric vehicles sales Q3 (Source: Cox Automotive)

Despite this, with new EV models hitting the market, Tesla’s share of the market is bound to slip. Overseas competitors including Mercedes-Benz, Volvo, and Hyundai are seeing momentum picking up.

Although Ford (20,962) and GM (20,092) sold more EVs, Mercedes topped the American automakers in sales share. Electric vehicles accounted for 15% of Mercedes total US sales, while GM and Ford were around 3% to 4%.

EV-sales-momentum
Hyundai IONIQ 5 (left) and IONIQ 6 (right) at Tesla Supercharger (Source: Hyundai)

The growth comes amid delays from top American automakers including Ford and GM on key EV targets.

GM announced it was delaying production of the Equinox, Silverado RST, and GMC Sierra Denalli EVs to protect pricing.

Ford revealed it was pushing back its 600,000 run rate goal until next year. It’s also scapping plans to build one of Europe’s largest EV battery plants with LG Energy Solutions.

Electrek’s Take

So, is EV sales momentum really slowing? Top legacy automakers including Ford, GM, and Volkswagen are warning that the pace of EV adoption is slowing.

Others, including Hyundai and Volvo, expect the momentum to continue with new, advanced models launching next year.

Rivian, an EV startup, raised its production target after crushing Q3 expectations. The company delivered an impressive 15,564 vehicles in the third quarter, more than double last year’s figures.

The fears of slowing demand are over higher interest rates, which could cut into consumer budgets. However, as many EV makers are proving, electric cars are still selling.

Automaker’s that put the early effort in, like Tesla, Rivian, Volvo, and others are seeing the returns.

EV adoption will continue climbing year-over-year despite near-term concerns. The companies doubling down now, will continue reaping the rewards as the industry transitions.

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Go West, young brand – GreenPower Motor Company sells 11 more BEAST buses

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Go West, young brand – GreenPower Motor Company sells 11 more BEAST buses

GreenPower Motor Company says it’s received three orders for 11 of its BEAST electric Type D school buses for western state school districts in Arizona, California, and Oregon.

GreenPower hasn’t made the sort of headline-grabbing promises or big-money commitments that companies like Nikola and Lion Electric have, but while those companies are floundering GPM seems to be plugging away, taking orders where it can and actually delivering buses to schools. Late last year, the company scored 11 more orders for its flagship BEAST electric school bus.

As far as these latest orders go, the breakdown is:

  • seven to Los Banos Unified School District in Los Banos, California
  • two for the Hood River County School District in Hood River, Oregon
  • two for the Casa Grande Elementary School District in Casa Grande, Arizona

Those two BEAST electric school buses for Arizona will join another 90-passenger BEAST that was delivered to Phoenix Elementary School District #1, which operates 15 schools in the center of Phoenix, late last year.

“As school districts continue to make the change from NOx emitting diesel school buses to a cleaner, healthier means of transporting students, school district transportation departments are pursuing the gold standard of the industry – the GreenPower all-electric, purpose-built (BEAST) school buses,” said Paul Start, GreenPower’s Vice President of Sales, School Bus Group. “(The) GreenPower school bus order pipeline and production schedule are both at record levels with sales projections for (2025) set to eclipse the 2024 calendar year.”

GreenPower moved into an 80,000-square-foot production facility in South Charleston, West Virigina in August 2022, and delivered its first buses to that state the following year.

Electrek’s Take

GreenPower electric school buses
BEAST and NanoBEAST; via GreenPower Motor Company.

Since the first horseless carriage companies started operating 100 years ago (give or take), at least 1,900 different companies have been formed in the US, producing over 3,000 brands of American automobiles. By the mid 1980s, that had distilled down to “the big 3.”

All of which is to say: don’t let the recent round of bankruptcies fool you – startups in the car and truck industry is business as usual, but some of these companies will stick around. If you’re wondering which ones, look to the ones that are making units, not promises.

SOURCE | IMAGES: GreenPower Motors.

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Harbinger electric truck brand gets real with $100M Series B funding raise

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Harbinger electric truck brand gets real with 0M Series B funding raise

While some recent high-profile bankruptcies have cast doubt on the EV startup space recently, medium-duty electric truck maker Harbinger got a shot of credibility this week with a massive $100 million Series B funding round co-led by Capricorn’s Technology Impact Fund.

It’s been a rough couple of weeks for fledgling EV brands like Lion Electric and Canoo, but box van builder Harbinger is bucking the trend, fueling its latest funding round with an order book of 4,690 vehicles that’s valued at nearly $500 million. Some of the company’s more notable customers including Bimbo Bakeries (which owns brands like Sara Lee, Thomas’, and Entenmann’s) and THOR Industries (Airstream, Jayco, Thor), which is also one of the investors in the Series B.

Other prominent investors include Tiger Global, the Coca-Cola System Sustainability Fund, and ArcTern Ventures.

As for what makes Harbinger such an attractive investment prospect, Dipender Saluja, Managing Partner of Capricorn Investment Group’s Technology Impact Fund explains that, “Harbinger has demonstrated a remarkable ability to reach significant milestones far quicker than other EV companies … the market has been impressed by their ability to develop large portions of the vehicle in-house to drive down unit costs, while remaining capital efficient.”

The company plans to use the funds to ramp up to higher-volume production capacity and deliver on existing orders, as well as build-out of the company’s sales, customer support, and service operations.

“Harbinger is entering a rapid growth phase where we are focused on scaling production of our customer-ready platform,” said John Harris, co-founder and CEO. “These funds catalyze significant revenue generation. We’ve developed a vehicle for a segment that is ripe for electrification, and there is a strong product/market fit that will help fuel our upward trajectory through 2025 and beyond.”

The company has raised $200 million since its inception in 2021.

SOURCE | IMAGES: Harbinger.

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Michigan State Police deploy their first electric patrol vehicle

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Michigan State Police deploy their first electric patrol vehicle

There is no state more associated with cars and car culture than Michigan – and the state that’s home to the Motor City has just taken a huge step into the future with the deployment of its first-ever all electric police vehicle.

The 2024 Ford Mustang Mach-E patrol vehicle is assigned to the Michigan State Police State Security Operations Section, and will be to be used by armed, uniformed members of the MSP specializing in general law enforcement and security services at state-owned facilities in the Lansing, MI area.

“This is an exciting opportunity for us to research, in real time, how a battery electric vehicle performs on patrol,” says Col. James F. Grady II, director of the MSP. “Our state properties security officers patrol a substantially smaller number of miles per day than our troopers and motor carrier officers, within city limits and at lower speeds, coupled with the availability of charging infrastructure in downtown Lansing, making this the ideal environment to test the capabilities of a police-package battery electric vehicle.”

The MSP’s Precision Driving Unit is nationally renowned for its annual Police Vehicle Evaluation, which our own Scooter Doll participated in last year, driving the then-new Chevy Blazer EV Police Pursuit Vehicles in a game of “cops and robbers.”

In those tests, the EVs have impressed – but the MSP has been hesitant to commit to a BEV until now. “We began testing battery electric vehicles in 2022, but up until now hybrids were the only alternative fuel vehicle in our fleet,” said Lt. Nicholas Darlington, commander of the Precision Driving Unit. “Adding this battery electric vehicle to our patrol fleet will allow us to study the vehicle’s performance long-term to determine if there is a potential for cost savings and broader applicability within our fleet.”

Michigan joins other states like Wisconsin and California in deploying electric patrol cars and saving big money on fuel and maintenance, with many more out there and many more to come.

SOURCE | IMAGES: Michigan State Police.

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