More than 50% of new cars in the US to be electric by 2030: Report

Electric vehicles will account for more than half of all new passenger cars sold in the US by 2030, claims a report by BloombergNEF. It claims that the EV penetration in new vehicle sales could grow to 52 per cent. The report also claims that EV sales were estimated to make up 43 per cent of new car sales in the country in 2030, thanks to the greater availability of choices in the new electric vehicle market and increasing consumer acceptance of electric cars. However, with the US government increasingly emphasising on EVs, the sales are likely to grow even faster.

Analysts state that incentives like the new tax credits for EV buyers in the US would help the country's electric vehicle market to explode in the next few years. The report states that half of these new energy vehicles would be either electric vehicles, plug-in hybrid models or fuel cell-powered by the end of this decade.

The report also states that the pace of EV adoption would take time to pick up, considering that the full $7,500 aid is only open to vehicles built in North America, and there are also restrictions on where batteries are sourced. However, many carmakers are expected to rise to meet those challenges, which will increase the number of cars that qualify for financial assistance, making EVs more affordable.

The report suggests that once EVs start picking up numbers, they are expected to grow massively as we approach the middle of the next decade with the help of legislation outlawing combustion cars in many states. California has already passed a law demanding all new cars sold there by 2035 generate no tailpipe emissions, and many other states are expected to follow California’s lead. New York, too, has proposed a similar rule.