Hitting the EV inflection point: electric vehicle price parity and phasing out combustion vehicle sales in Europe
Electric vehicle sales are rising fast in Europe and a growing number of governments have set targets for phasing out new internal combustion vehicle sales. A fundamental input in deciding the feasibility of such policies is how quickly battery electric vehicles can reach price parity with their internal combustion counterparts. Further improvements in lithium-ion batteries will be critical and manufacturing strategy will also play a role. This report shows trajectories of cost developments for the production of battery electric vehicles and internal combustion engine vehicles, and the implications for the adoption of electric vehicles in Europe.
