The current situation of electrified vehicles tells us that are booming. It is the option of the future, and in many cases already of the present, where there are several countries that are noticing how their sales have begun to grow. However, not everyone has the same position, especially when it comes to the market. This is for no other reason than because the price of the electric car continues to be an obstacle for many when it comes to accessing it.
Chinese success, the world’s leading electricity market
That is roughly what the report from Jato Dynamics has reflected in its latest opinion. There, the average prices in the three fundamental world markets of China, the United States and Europe have been revised. But what seemed to opt for a clear direction, has headed towards surprise: the Chinese, in addition to being the current great bet of the electric car, have the cheapest price of the three markets.
It is true that governments, especially European ones, are betting on green policies that bring with them strong incentives and aid for the purchase of this type of new generation cars, including hybrids. The specific case is precisely in Spain, with the Moves plan, updated in 2021, and which provides up to 7,000 euros of aid.
In this sense, in Europe, the so-called European Green Pact has unleashed a gradual removal of combustion vehicles of dealerships in 2035. However, this is something that has not yet been directly noticed in what are the costs of these cars.
Thus, Jato Dynamics tells us that this evolution of the price of the electric car during the last 10 years has been noticed more in China than anywhere in the world. In fact, China’s own aid to acquire an electrified one has been active since 2009, and not only to buyers, but also to manufacturers. What we see is that there are electric cars there from less than 4,000 euros, like the characteristic Wuling Hong Wuang. This has done because the Asian is postulated today as the first market in the world for electrified vehicles.
In Europe, the biggest difference
This Chinese arrangement also shows a great interesting price-sales relationship in the country: in 2019, the last year on equal terms for all, China comfortably led the sales of this type of vehicle with the 56% of the world share. But what about Europe?
Well, in principle, not too much good news. And the fact is that, although the European market is seen as one of the great in terms of facilities, aid for acquisition, they are still far behind the Chinese market, and that Norway is the leading and most advanced country in Europe in what is refers to the electric car … but its price is not competition.
Thus, prices in the United States and Europe, on average, are much more expensive. Where, according to the study of Jato, have gone up in a 38% and 28% respectively compared to 2011. At the same time, this evolution has marked the fact that they also have a very high cost with respect to internal combustion: 52% more in the United Kingdom, 54% more in the Netherlands and 32% more in Spain. Meanwhile, in Germany, the average price of an electric is € 39,755 compared to € 36,979 for conventional ones.
The cheapest cars disappear because they are not sold
Jato Dynamics, who has made the report, also indicates that in comparison with this period between 2011 and 2021, at that time there were hardly any Teslas on the market, and for which the Nissan Leaf or the Mitsubishi i MiEV were the most classic of the moment. Plus compact and utilitarian what other thing.
And now the evolution has been such that we can find types like the Porsche Taycan, the Audi e-tron GT or the BMW iX3. Of course, with a excessive economic exposure compared to other models and brands. That’s how China differs: with so many more cars being sold each year, the mass market can be attacked.
The difference with Europe is also seen in what can be the cheapest vehicles, which, after a few years, end up disappearing from the market. Why? Very easy; because they are not sold and because, due to its frequent scarce characteristics (little autonomy, little profitability …), its purchase is not interested.