Reuters NEWS - Electric Vehicles poised to arrive en masse in Europe October 1, 2018

Electric cars are poised to arrive en masse in European showrooms after years of hyped concept-car launches and billions in investment by automakers and suppliers. Now comes the hard part: selling them at a profit.

Battery models making their car-show debut in Paris this week, from PSA Group’s electric DS3 Crossback to the Mercedes EQC, will erode profitability as they struggle to stay in the black, executives generally acknowledge. But concerns are mounting that the impact could be worse, as consumers resist paying more for electrified vehicles – forcing carmakers to sell them at a bigger loss to meet emissions goals.

“What everyone needs to realize is that clean mobility is like organic food – it’s more expensive,” said Carlos Tavares, chief executive of Peugeot, Citroen and Opel manufacturer PSA.

A Sept. 25 profit warning by BMW, blamed in part on electrification costs and tightening emissions rules, was “a first alarm signal”, Tavares said in a weekend radio interview.

“Either we accept paying more for clean mobility, or we put the European auto industry in jeopardy.”

After declining for a decade, new-vehicle carbon emissions are rising again as customers flock from cars to SUVs, and from diesel to gasoline engines. Diesels emit more nitrogen oxides and particulates, but less CO2. Early signs suggest electric-car prices may fall sooner and faster than production costs, as carmakers adjust for stalled emissions progress and weak consumer appetite. That promises more red ink, as discounted battery car sales finally take off.

FULL ARTICLE: Electric cars cast growing shadow on profits

Latest News &
Announcements

All our latest news, speeches, announcements, presentations and media releases from Orocobre Limited. The best way to stay up to date is to sign up for our newsletter.

  • Orocobre signs pivotal agreements with Toyota Tsusho Corporation

    Orocobre signs pivotal agreements with Toyota Tsusho Corporation

    Orocobre has signed three pivotal agreements with joint venture partner Toyota Tsusho Corporation (TTC). Members of the Orocobre Executive Management team visited TTC’s office in Tokyo, Japan to finalise and sign a new Olaroz Shareholders Agreement, Sales and Marketing Agreement and Orocobre Management Agreement (for management of the Olaroz Joint Venture).
  • Sales de Jujuy employees ascend Mount Tuzgle

    Sales de Jujuy employees ascend Mount Tuzgle

    Employees of Sales de Jujuy (SDJ), the operating company for Orocobre’s Olaroz Lithium Facility, together with contractors and local community members have ascended Mount Tuzgle (Cerro Tuzgle), a dormant stratovolcano located in Susques, in the Jujuy Province of Northern Argentina. With an elevation of 5,486 m Mount Tuzgle is the highest peak found in the... View Article
  • Orocobre Limited – Supporting women in the mining industry

    Orocobre Limited – Supporting women in the mining industry

    Orocobre Limited is proud to be an equal opportunity employer. As part of constantly seeking ways to enhance our contribution to society and helping to achieve the UN Sustainable Development Goals, we actively develop and employ people from our local communities. In this video some of our female employees share their stories of what it’s... View Article

Be the first to know.
Subscribe Now.

We will never sell or share this information to anyone. Privacy Policy
© 2018 Orocobre Limited Pty Ltd