Future of the Electric Vehicle

Future of the Electric Vehicle

In a previous blog we described how the automotive industry stacks up in the IC market. When we look forward at the future of the automotive industry, electric vehicles are on everyone’s mind.

Though electric cars are not the norm yet, they are growing more and more common. Certain geographical markets have shown greater interest, while others are still somewhat behind. Chinese consumers, for example, are expected to purchase between 220,000 and 250,000 electric cars in 2015, making the country the world’s largest market for the vehicles according to the China Association of Automobile Manufacturers (CAAM). In the first ten months, the sales of electric cars in China surged 290%.

The popularity of electric cars is definitely making an impact on gas-powered automobiles. But, because gas prices are dramatically dropping and people are waiting for new versions of electric cars to come out, ordinary automobiles are still being consistently bought. Currently, the popular electric cars are* the Nissan LEAF with about 195,000 units sold, Chevy Volt plug-in hybrid with over 100,000 units sold, and the Tesla’s Model S with over 90,000 units sold. Tesla is predicted to be a frontrunner in a few years with many anticipating the release of the model three. (*All figures since market launch)

While the numbers right now might not be that impressive for traditional car, when it comes to electric vehicles, they actually are. In September 2015, the millionth electric vehicle took the road. Of these million vehicles, 36%  can be found in the US, Europe 31% in Europe, China has 17%, Japan covers 11%, while the remainder of 5% is distributed elsewhere.

To be successful and stay ahead the curve in such a competitive and changing IC market, Advanced MP Technology’s purchasing and product teams with in-depth industry experience and knowledge of different segments across the IC market will be a big asset for EMSs and OEMs in the automobile industry to source electronic component.