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What Does Sweden’s Proposed Ban on Fossil-Fuel Powered Cars Mean for the EV Industry?

The hype around electric vehicles will apparently grow louder than ever, with growing number of countries proposing a ban on ICE (internal combustion engine).  Amid the growing concerns around the skyrocketing CO2 emission, Sweden is all set to embrace electric car revolution with petrol and diesel ban plan. The Scandinavian nation is bidding adieu to vehicle with internal combustion engines. Stefan Löfven, the Prime Minister of Sweden has declared a ban on the sales of diesel and petrol engine based cars after 2030. This isn’t the first time when a Scandinavian country is taking initiative to curtail the growing emission of global warming gases. The Northern Europe region is progressing in terms of transport shift from fossil fuels.

Norway is the only nation with around 50% EV-registration quota so far, and it is aiming higher now with a decision to have no new combustion engine-based vehicles on the shelf by 2025. Denmark also have a plan for combustion free cars plans for 2030.

But Scandinavia isn’t the only region to manage the change. According to Marion Tiemann, Greenpeace transport expert, Sweden has become the 10th nation on the list of nations which have actual abolish date in place, mentioning that bigger nations, including France and Great Britain are high on the list. France, however has no plans for ICE (Internal Combustion Engines) bans earlier than 2040.

Tiemann mentioned that Germany, a hub of leading automakers, hasn’t proposed any kind of ICE ban since German Federal Transport Minister Andreas Scheuer (CSU) hasn’t present any concrete transition goals so far. Earlier the expert body ‘National Platform for Future of Mobility’ asked the German government to roll out compulsory 25% sales quotas for electric cars and plug-in hybrids in 2025, which will be raised to 50% in 2030.

The growing ICE ban initiatives taken by increasing number of countries will create lucrative growth opportunities for the electric vehicle industry, however the transition will hit harder at some segments of automotive industry. As the world steps up to embrace the electric vehicle world, industry experts are highly worried as automakers have spent decades on refining the process of creating internal combustion engines (ICE). Whereas, the onset of electric vehicles dates back to just a couple of decades. The transition from fossil-fuel based cars to the electric vehicles will hurt the supplier of machining equipment and the makers of precision-crafted components for gasoline engines. For example, if the average eight-cylinder ICE is composed of nearly 1,200 parts, the electric vehicle needs just 20, where does such a scenario will leave the suppliers? Moreover, EV transmissions are generally far less complicated and need less machining as than for ICEs.

Electric cars are praised as the answer to the growing green and clean mobility issues, however the electric vehicles’ overall sustainability is far from clear. If examined closely, the entire transport paradigm may need to be reconsidered. In the nutshell, Sweden’s proposed ban along with the similar initiative already being taken by some other countries, are expected to function as a major catalyst, which will drive the growth in the EV industry. EV industry seems to have a monopoly in the upcoming years.

About the author

Mohit Loshali

Mohit Loshali, an experienced campaigner, writes about the latest evolutions and trends in the automotive and allied domains. He has helped clients from across the globe with his thought-provoking research and analysis.

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