Ford Executive Warns Environmental Goals Will Drive Up Prices of Petrol Cars
The automotive industry is undergoing a major transformation as the world shifts towards electric vehicles to combat climate change. With the introduction of the Zero Emission Vehicle (ZEV) mandate, major automakers are facing new challenges and opportunities in the market.
A recent warning from a top executive at Ford has shed light on the potential impact of environmental goals on the price of petrol cars. The ZEV mandate requires automakers to have a certain percentage of their total sales come from electric vehicles, with penalties for those who fail to meet the targets. This has raised concerns about the affordability of petrol cars in the future as manufacturers transition to electric vehicles.
Martin Sander, general manager of Ford’s European electric car division, emphasized the importance of aligning environmental targets with consumer demand to avoid imposing high costs on drivers. He highlighted the need for policymakers to closely monitor the implementation of the ZEV mandate to ensure a smooth transition to electric vehicles without burdening consumers.
While Ford is confident in its ability to meet the net zero goals with its lineup of electric vehicles, Sander raised concerns about the potential impact on petrol car prices if manufacturers are forced to pay penalties for not meeting the targets. This could lead to higher prices for petrol cars, affecting consumers who may not be ready to make the switch to electric vehicles.
As the automotive industry navigates this transition, it is crucial for policymakers and car brands to work together to address the challenges and opportunities presented by the shift towards electric vehicles. Measures such as reducing VAT on public chargers, expanding access to chargepoints, and removing additional costs on newly-registered EVs can help accelerate the adoption of electric vehicles and ensure a sustainable future for the automotive industry.
The future of the automotive industry is electric, and it is essential for all stakeholders to collaborate and innovate to make this transition a success. Stay tuned for more updates on the latest developments in the world of electric vehicles and environmental goals.