The automotive industry is at a critical juncture as it moves towards electrification. While electric vehicles (EVs) have gained significant traction, some automakers, like Toyota, are taking a more measured approach, prioritizing hybrids as a bridge to a fully electric future. Recognizing the challenges with supply chain, infrastructure, and price become key factors when stocking vehicles. Making sure options are readily available can make a major difference in attracting and retaining customers.
Imbalance in Battery Manufacturing and Mineral Mining
The race towards electrification has led to a surge in battery manufacturing, however the pace of mineral mining required for these batteries is struggling to keep up. This is leading to an imbalance between raw materials and final production. This not only affects the availability of EVs but also impacts their affordability, making hybrids a more feasible option for car manufacturers and dealerships.
Evolving EV Charging Infrastructure and its Challenges
While the growth of EV charging infrastructure is gradually picking up pace, it is still struggling to keep up with the surging demand from consumers and manufacturers. Fast charging stations remain limited in number, impacting the convenience and practicality of owning an EV. For remote areas across North America, specifically in the Canadian Market, charging stations are simply not available making those areas inaccessible to EV drivers. In contrast, hybrids offer the flexibility of using existing fueling infrastructure, alleviating range anxiety and providing a seamless transition for consumers who wish to embrace greener alternatives.
One significant advantage that hybrids have over full EVs is their affordability. Even with Carbon Tax putting more pressure on the cost of fuel, hybrids offer a fuel-efficient option with tax rebates available. As cost is the number one reasoning for most customers to buy or not buy it’s no wonder inquiries for hybrid models have surged. This trend reflects the increasing appeal of hybrids due to their reliability, lower costs, and adaptability to the existing infrastructure.
Highlighting Hybrid Advantages – 1:6:90
There are some hidden advantages of choosing a hybrid over an EV. The raw materials needed for one long-range battery EV can power six plug-in hybrids or ninety hybrid vehicles. Surprisingly, the overall carbon reduction achieved by the ninety hybrids is 37 times greater than that of a single EV, making hybrids an eco-friendly choice for environmentally conscious buyers. Keep in tune with the market and what Manufacturers are doing behind the scenes as they prepare for the future. Ordering the right stock at the right time in preparation for what the consumer wants will always make your dealership stand out above the rest.