Commentary: The old carmakers are running on empty
Electric vehicles are reshaping car ownership and manufacturing at once – and with it, the global economy, says an energy transition adviser.
The global automotive industry is undergoing a seismic shift as electric vehicles (EVs) gain traction and reshape both manufacturing and ownership. In Australia, BEVs have become the most popular powertrain for the first time, while in Germany, car giant Volkswagen announced 100,000 job cuts and reduced models by 50% by 2035. China's market decline and increased competition from Chinese EVs have prompted Volkswagen to take drastic measures to survive.
Japan's traditional automakers are facing a shift towards a more cooperative and potentially consolidated industry. Tesla's launch of its fully autonomous Cybercab, designed around cameras instead of traditional sensors, could accelerate the decline of car ownership, especially for young people burdened with student debt. The London Ultra Low Emission Zone study shows that EVs have a tangible impact on childhood lung development and lung diseases, highlighting the urgent need for a transition away from fossil fuels.
As the auto industry becomes a major employer, governments worldwide will need to adapt, with some considering joint ventures with Chinese manufacturers or finding new uses for idle plants and workers.
Written by urgent.news from Channel News Asia's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
