How EV growth impacts on a greener, more efficient automotive supply chain

June 15, 2020 // By Steve Richmond
EV growth
The speed with which electric vehicles (EV) are being adopted globally is fundamentally changing the economics and dynamics of the automotive industry.

In addition to escalating demand for electric cars and vans with ever greater range and faster recharging options, the industry is also facing up to a need to address the underlying supply chain. How much progress has the industry made in adopting better, more efficient and environmentally sound battery technology throughout its logistics operations?


Lithium-Ion confidence

The adoption of EVs appears to have reached a tipping point. With rising consumer awareness of issues such as increasing greenhouse gas emissions and the implications for the environment globally, countries have been prompted to rethink the use of fossil fuels in transportation. Indeed, with governments now setting targets regarding the sale of EVs, incentives to encourage consumers to swap from diesel and petrol are driving up the adoption of EVs.

As a result, battery technology is evolving fast, with vendors increasing their efforts to produce more prismatic lithium-ion batteries catering to this spike in demand from the automotive industry. It is also very interesting to discover that the implications of this shift in consumer commitment to EVs is being felt outside the automotive design area, according to recent research conducted on behalf of Jungheinrich UK.

Almost half (49%) of the logistics experts surveyed currently using diesel or LPG trucks are thinking of replacing them with a battery powered alternative, and it is environmental considerations that are significantly influencing decision making. Over half (54%) of those looking to move to electric trucks confirm that environmental factors, such as a reduction in emissions, are a key motivation.

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