According to a senior Volkswagen executive, one of the biggest barriers to electric vehicle adoption is close to being resolved.
One major barrier to the adoption of electric vehicles is price. The Hyundai Kona Electric is about $20,000 more than the top of the range petrol model. However, according to a Volkswagen executive, these days of pricey electric vehicles are numbered.
A senior vice president for Volkswagen spoke with Automotive news and said that the company’s foray into electrification will help reduce the cost of electric vehicles to something similar to internal-combustion levels.
“We strongly believe that the tipping point is near, and that tipping point will be price equity,” Reinhard Fischer said.
“Once you overcome the fear of something new, the EV is the better choice for you,” he continued.
It is noteworthy that Volkswagen aren’t alone in suggesting petrol-powered and electric cars will reach price parity soon. Nissan said that the decrease in battery costs will contribute to price parity by as soon as 2024.
However, while this seems like positive news for electric vehicles, market analysts have cautioned that batteries use a lot of natural resources, like nickel and lithium, that are prone to market fluctuations.
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