The electric vehicle (EV) industry is reportedly facing a significant challenge as a substantial percentage of EV buyers in the United States are considering returning to combustion engine cars. According to a McKinsey & Co. survey, almost 40% of U.S. EV buyers want to go back to combustion engine cars, citing inadequate charging infrastructure, high energy costs, and concerns about range and battery capacity as the primary reasons for their dissatisfaction.

Key Findings

40% of U.S. EV Buyers Want to Go Back to Combustion Engine Cars: The McKinsey & Co. survey highlights that almost 40% of U.S. EV buyers want to return to combustion engine cars, indicating a significant level of dissatisfaction with their current EVs.
Global Trend: The survey also found that 29% of EV buyers globally want to return to a combustion engine, suggesting a broader trend of dissatisfaction with EVs.

Reasons for Dissatisfaction

Charging Infrastructure: The lack of public charging stations and the need for more extensive infrastructure are significant barriers to widespread EV adoption.
Cost and Range Concerns: High energy costs and concerns about the range and battery capacity of EVs are also major deterrents for many consumers.

Industry Response

Companies Adapting to Consumer Demand: Companies like Hertz are responding to these concerns by selling some of their EV fleet and replacing them with internal combustion engine vehicles to meet customer demand.

Global EV Sales

Continued Growth Despite Challenges: Despite these challenges, global EV sales continue to grow, with Europe leading the charge and the United States also seeing significant growth.

Future Projections

McKinsey’s 2030 Projections: McKinsey projects that EV sales will reach 40 million units by 2030, with a significant increase in public and private charging infrastructure needed to support this growth.

The McKinsey & Co. survey highlights the challenges faced by the electric vehicle industry, particularly in the United States. Addressing these concerns, such as improving charging infrastructure and reducing costs, will be crucial for the continued growth and adoption of EVs.

EVXL’s Take

The McKinsey study underscores the need for the EV industry to address the concerns of its customers. As the industry continues to grow, it must focus on improving charging infrastructure, reducing costs, and addressing range and battery capacity concerns. By doing so, it can ensure that the transition to electric vehicles remains on track and meets the ambitious targets set for 2030.