By Art Michalik

According to a recent study, the adoption of electric vehicles will increase over the next few years due to technological advances, expansion of public charging stations, and market dynamics that will make electric vehicles more accessible to a wider range of consumers.

An estimated 79% of car buyers will consider purchasing an electric vehicle by the end of this decade Cox Automotive’s 2024 Electric Vehicle Adoption Path Study. EV sales in the U.S. surpassed 1 million units for the first time last year, according to sales estimates from Kelley Blue Book.

Here are some of the big changes coming ahead.

better batteries

New battery technologies are at the center of EV evolution, and there are many promising innovations on the horizon. Solid-state, sodium-ion and lithium iron phosphate batteries could revolutionize EV performance and affordability.

Solid-state batteries promise several advantages over today’s lithium-ion technology, including faster charging times and higher energy density. These batteries provide longer life by replacing the liquid electrolyte in traditional lithium-ion cells with a solid electrolyte.

Sodium-ion batteries use sodium instead of lithium, which is more abundant and cheaper to produce. Sodium-ion batteries have the potential to significantly reduce EV costs, especially in the production of budget-friendly models.

Lithium iron phosphate (LFP) batteries are also gaining attention as an important technology. Hyundai and Kia recently announced a program to develop LFP batteries that use iron and phosphate as active ingredients. Research shows that LFP batteries are lighter, safer and longer lasting than lithium-ion batteries.

Expansion of charging infrastructure

The increased availability of public charging stations will also lead to more widespread EV adoption, according to the research. The National Renewable Energy Laboratory (NREL) predicts that approximately 200,000 public charging stations will be operating in the United States by 2030.

According to NREL, the increase in public charging infrastructure, particularly the introduction of ultrafast DC chargers, will significantly reduce charging times and make long-distance EV travel more practical and convenient. DC chargers can deliver up to an 80% charge in as little as 10 to 15 minutes, helping to eliminate one of the perceived barriers to widespread adoption of electric vehicles.

In addition, home charging solutions are also developing. Wireless charging systems that allow EVs to be charged by parking them on a charging pad are already being tested and could become commonplace in the next few years. Another innovation, bi-directional charging, will allow owners to use their EVs as a backup power source at home.​

Market growth, affordability and demographic shifts

As EV technology advances and battery production becomes more efficient, the purchase price of a new EV will decrease. Cox Automotive’s study suggests that cheaper EV models will soon enter the market, making EVs more affordable to a wide range of potential buyers. Government incentives, such as tax credits and rebates, will continue to play an important role in reducing the costs of electric vehicles.

While the electric vehicle market is dominated by high-income luxury buyers, the next five years will change dramatically as younger, budget-conscious consumers emerge onto the scene. With more affordable models and a growing used EV market, Gen Z and millennials focused on sustainability are expected to play a significant role. Cox Automotive research shows growing interest from these groups; This rate, which was 62% a few years ago, has now increased to 77% of those evaluating second-hand electric vehicles.

Sustainability

Sustainability remains a top priority for automakers and battery manufacturers, focusing on reducing the environmental impact of electric vehicles. One solution lies in battery recycling technologies, which recover valuable materials such as lithium, cobalt and nickel from used batteries, reducing the need for new mining and minimizing waste.

Equally important are second-life applications, where batteries that consume electric vehicle uses but still retain 70-80% capacity are reused for energy storage systems in homes and businesses. This approach extends the life of the battery while supporting the capture of renewable energy.

Additionally, automakers are moving towards circular economy models, where materials from used batteries are continuously recycled and reused to produce new batteries. This model keeps valuable resources in circulation, minimizing the extraction of new raw materials and helping reduce the overall carbon footprint of electric vehicles.

First Publication Date: October 30, 2024 15:29 PDT