Felix kunath, global head of automotive at PWC, said: "the Chinese government has reintroduced incentives for electric vehicles, including subsidies and tax breaks, and there is enough capacity in China.So we believe that later this year, China will again lead in new car registrations."
"In the coming years, China and Europe will be in a neck and neck race for electric vehicles, and the final outcome will depend on the policy push, the improvement of charging infrastructure, and the quality and availability of electric vehicles."
A survey by pricewaterhousecoopers (PwC) and its strategy consulting subsidiary strategy& showed that in the first quarter of this year, the total number of pure electric vehicles registered in five European countries surpassed that of China due to the impact of COVID 19 on the Chinese car market.
Europe, China, North America first quarter electric vehicle sales comparison
Germany, France, Britain, Italy and Spain registered 79,300 all-electric cars in the january-march period, slightly more than China's 77,256, according to the survey.Sales of all-electric vehicles more than doubled in Europe compared with the same period last year, while sales in China more than halved.
However, as China's anti-epidemic situation continues to improve, this trend may be reversed.For much of Europe is expected to remain somewhat closed through the spring;China's restrictions will be gradually lifted, while the car consumption promotion policies are also being implemented.
Felix Kuhnert, global head of PWC's automotive practice, said in an interview: "the Chinese government has reintroduced incentives [including subsidies and tax breaks] for electric vehicles and there is enough capacity in China.So we believe that later this year, China will again lead in new car registrations."
"Over the next few years, China and Europe will be in a neck and neck race for electric vehicles, and the final outcome will depend on policy incentives, improved charging infrastructure, and the quality and availability of electric vehicles," he said.
Europe already has the largest market share for alternative-energy vehicles, if hybrid and plug-in hybrids are included, according to the survey.Renault's Zoe is currently the best-selling electric car in Europe, ahead of Peugeot's 208 and Volkswagen's eGolf, while mitsubishi's outlander PHEV is the best-selling plug-in hybrid.
In Europe, government support for new energy vehicles could mean that PWC's previous forecast of "11m global electric passenger vehicle sales by 2020" is achievable, Mr Kunert said.It also predicts the industry as a whole will shrink by 10-40 per cent this year.
"Electric cars can improve the environment and air quality, while also helping carmakers meet carbon emission targets."In the long run, some of these incentives will not only be good for the industry, but they will also have a more direct impact on the economy as a whole."
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