New Delhi, Feb 27 (IANS) Global electrification is experiencing a slowdown despite supply chain normalization and price reductions by OEMs, as per a report by JM Financial Institutional Securities. Global automakers such as Mercedes, Ford, GM, VW are shifting towards hybrids due to changing consumer preferences and challenges in charging infrastructure expansion.
The report indicates that Tata Motors recently reduced its EV sales estimate and prices to boost adoption in India. Maruti Suzuki, with its tech-agnostic approach, is well-positioned amidst the slowing pace of electrification. There are reports of MSIL’s strong Hybrid model launch pipeline in the next 2-3 years.
Last year, global electric vehicle sales outpaced supplies, but the pace of electrification seems to have moderated despite supply chain normalization. Global automakers like Mercedes, Ford, GM, VW have deferred EV-related investments, indicating a slowdown in EV growth ahead. Some are turning focus back to hybrids amidst shifting consumer preferences.
Tata Motors, a market leader with 73% share, reduced its FY24 EV sales estimate by 20% and cut prices to drive wider adoption due to challenges like inadequate charging infrastructure and hesitant customers. Maruti Suzuki is working on multiple technologies alongside ICE/CNG to ensure adaptability in the medium-to-long term.
As the global landscape of electrification shifts, automakers are reevaluating their strategies towards hybrids amidst consumer preferences and challenges. The shift has also been observed in India with Tata Motors and Maruti Suzuki adapting to the changing market dynamics to ensure sustained growth in the future.
