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A new report from Deutsche Bank AG (NYSE:DB) states that electric vehicles (EVs) “will not be niche.”
A new report from Deutsche Bank AG (NYSE:DB) states that electric vehicles (EVs) “will not be niche.”
Commenting on the report, Simon Moores of Benchmark Mineral Intelligence said he sees it as “the most bullish independent report from such a large organisation to date,” and states that the firm believes “that with the costs of EVs falling and conventional gas-powered vehicles increasing, the two competing forms of transport will reach parity by 2020.”
As quoted in the market news:
The report has outlined strong annual EV growth of 21% from 2015 to 2020 with Deutsche Bank citing the primary driver as Tesla Motors’ planned release of the Model X and, most importantly, the Model III in 2017 – a mass market EV that will utilise lower cost batteries produced by the Gigafactory.
While all EVs – hybrids, plug-in hybrids and fully electric vehicles – equated to 4% of the world’s total vehicle sales in 2014, this figure is expected to reach 9% in 2020 and 14% by 2025. With the sale of hybrids flat lining in recent times, full EVs are expected to account for the majority of sales in the next decade.
Benchmark believes that the world is also on the verge of mass uptake of batteries in three major forms: transport, mobile technology (which we are already experiencing) and utility applications.
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