The BEV market is experiencing rapid global expansion, with BYD and Tesla competing for market dominance. February saw solid performance in global BEV demand, with strong growth in the US and China, compensating for the poor January. Sales growth year-to-date remains at only 27%, well below the 70% seen for 2022, indicating a slower period of growth, with strong seasonal effects in play in Q1. However, GlobalData analysts predict strong growth ahead for the year, driven by price cutting, especially in China. Despite price wars in China reducing BEV brand competition, BEV order backlogs remain strong for many OEMs in the US and Europe, resulting in little need to cut prices at this point. February saw a rebound in global BEV and PHEV growth, albeit at lower volumes. FHEV was not impacted and had a strong start to 2023, as models were rolled out to meet fuel efficiency standards, particularly in China.
BMW’s X7 SUV, while not an EV, is one of the company’s most profitable models. The lengthy and heavy SUV is newly revised and weighs about the same as Tesla’s Model X. BMW’s biggest SUV has seven seats as standard or six optional, with volume varying from a minimum of 326 litres to a maximum of 2,120 if both rows are lowered, or 750 in five-seat form. Elsewhere, UK software specialist rFpro has launched a new ray-tracing rendering technology to reduce the industry’s dependence on real-world testing for the development of autonomous vehicles, simulating how a vehicle’s sensor system ‘sees’ the world. Renault-Nissan’s new approach in India will determine the group’s future in the market. Renault and Nissan will invest US$600m for six new vehicles, including two BEVs launching in 2025, as they plan a modified approach for co-development rather than the failed cross-badging strategy of the past. Porsche is reportedly planning an in-car video streaming function in 56 countries that allows owners to access subscriptions with Disney+ and Amazon Prime, as well as live TV via a ScreenHits TV platform. Finally, Tesla is in deal talks with CATL to build a new EV battery plant in the US to meet growing demand in the region, following Ford Motor’s US$3.5bn deal with CATL to build EV batteries.
