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The Battle of Electric Vehicles — The US is Looking to Step up EV Game

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By Selva Freigedo, Wednesday, 10 February 2021

Norway sells more electric cars per capita than the US. Last year, battery EVs made up 54% of car sales in Norway while in the US that number is 2%. But the US is looking to step up the EV game with Biden in the White House...

Did you watch the Super Bowl on Monday?

While the Super Bowl is a huge sporting event, it’s also well known for its ads. Super Bowl ads are actually…engaging.

Companies spend big bucks for the chance to get in front of millions of people and create as much buzz as possible.

And there’s one ad in particular that is creating a lot of noise.

The ad features an outraged Will Farrell. The actor is so angry, he punches a globe and utters: ‘We’re going to crush those lugers, crush them! Let’s go America!’

He then goes on a recruiting spree to get rapper Awkwafina and comedian Kenan Thompson on board…all with the globe still hanging from his arm.

Stay up to date with the latest investment trends and opportunities. Click here to learn more.

What’s Farrell so riled up about?

As he tells Thompson: ‘Norway is out-EV-ing us.’

Yep, Norway sells more electric cars per capita than the US…way more. Last year, battery EVs made up 54% of car sales in Norway while in the US that number is a mere 2%.

General Motor’s Electronic Vehicles Ads Campaign

The ad is part of GM’s ad campaign called ‘No way, Norway’ featuring their Ultium-powered EVs.

Awkwafina and Thomson get into a GMC Hummer EV but get lost in Finland while Farrell drives around in Sweden in his Cadillac Lyriq trying to find his way to Norway. The commercial ends with the text: ‘We’re coming, Norway, 30 new EVs by 2025.’

You can watch the whole thing here.

Anyway, Norway didn’t take it quietly. They retaliated…with their own ad.

Together with Audi — the Audi e-Tron is the best-selling EV in Norway — they sent Kristofer Hivju in their defence.

The ad shows an imposing Hivju, who played Tormund Giantsbane in Game of Thrones, driving an Audi and wondering how people can hate Norway when he finds a smashed-up globe on the road. We can only assume it’s Farrell’s…

Hivju says ‘We are trying to save the world’, as the ad urges: ‘Don’t hate. Imitate.’

And then the ads kept coming, with another ad featuring Hivju telling Farrell in Norway, you bring salmon to a slap fight.

But not just from Audi…

There’s the ‘Geography for dummies’ where kids try to teach Farrell geography to help him find Norway.

Or Easee — a Norwegian charging company — installing an EV charger for Farrell for when he gets to Sweden.

And a half-hearted apology from the University of Agder for Norway and the way they are.

There’s no doubt that GM’s ad is getting a lot of buzz, but Norway is still looking ahead of the game. Norway is set to be the first country in the world to ban sales of petrol and diesel cars by 2025.

How Norway Plans To Ban Sales of Petrol and Diesel Cars By 2025?

Well, mostly through government policy. Norway imports most of its cars so they imposed higher taxes for non-EV cars, along with incentives like EVs not paying parking or tolls and being allowed to use the bus lane.

That along with plenty of charging infrastructure, which comes from renewable energy. In fact, Norway leads the way in renewable energy too, with 98% of its electricity production coming from renewable energy.

But the US is looking to step up the EV game with Biden in the White House, mainly by addressing some of the similar issues that are stopping the Electric Vehicle uptake: cost and infrastructure.

Biden has said it will be offering more incentives for EV buyers. He’s also announced it will electrify the government’s 650,000 fleet, build 550,000 public charging stations by 2030, along with incentives for US manufacturers.

GM has also joined the race.

GM is one of the largest vehicle manufacturers in the world and the largest in the US. They have already said their goal is to stop selling gas-powered vehicles by 2035.

During the Consumer Electronics Show (CES) this year they said that the auto industry had reached an ‘inflection point’ when it comes to zero emissions.

As they said:

‘Global EV market penetration stands around 3%. We believe that is all about to change. At GM, we believe that after one of the most difficult years in recent history, this moment will prove to be an inflection point, the moment when our world’s reliance on gas and diesel-powered vehicles will begin transitioning to an all-electric future.

‘GM intends to lead that change, not only to help accelerate the roll-out of more electric vehicles but to help ensure an equitable and inclusive transition to a net-zero carbon future to advance a safer world for all.’

A massive tipping point indeed because it makes economic sense. Electric Vehicles have several advantages for consumers. They have fewer moving parts which means they need less maintenance.

Which also makes them easier to manufacture.

According to research from UBS, manufacturing electric cars will cost the same as internal combustion vehicles by 2024.

And Ford is already estimating that EVs will take 30% less hours to assemble than ICE cars.

Electric Vehicles had a great year in 2020 with sales increasing by 43% from the previous year, while global car sales dropped by 14%.

Sales were driven mostly by Europe and China, and now the US is joining the race…

Best,

Selva Freigedo,
For Money Morning

P.S: Invest in the Renewable Energy Boom — Discover three ways you can invest to capitalise on the $95 trillion switchover from fossil fuels to renewables. Click here to learn more.

All advice is general advice and has not taken into account your personal circumstances.

Please seek independent financial advice regarding your own situation, or if in doubt about the suitability of an investment.

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