Car manufacturers plan to invest more than 300 billion dollars in electric mobility over the next five to ten years. This is the result of a Reuters analysis based on public company data. China accounts for around 45 percent of investment plans.
The study includes data from the past two years and a total of 29 OEMs, which Reuters examines individually and ranks in order. The Volkswagen Group has the greatest investment ambitions with a total budget of 91 billion dollars, half of which goes to China, while 57 billion dollars are to be invested in the battery business alone. Daimler (42 billion dollars total investment), Hyundai/Kia (20 billion dollars), Changan (15 billion dollars) and Toyota (13.5 billion dollars) follow in places two to five.
The news agency’s country analysis of investment budgets and investment target countries is also particularly interesting. German automakers are planning to invest 139.5 billion dollars, almost half of which will be used in Germany with the other half aimed at investing in China. China’s carmakers, on the other hand, are expected to raise 57 billion dollars – which will then be spent exclusively on national projects. The US American OEMs will be putting up about 39 billion dollars, of which 5 billion will go to China and the rest into their own economy. Japan and Korea’s carmakers are planning with 24.3 and 20 billion dollars, respectively. While the Japanese are pumping around a fifth of this to China and want to invest most of the rest in their own country, Korea’s budget is to remain entirely domestic.
According to Reuters, the motivation for spending comes mainly from environmental aspects and government policy. In addition, the rapid technological progress is fuelling the development, which will improve battery costs, range and charging time. To illustrate the dimension of the investments, the analysis also has the following comparison: “The accelerated rate of industry spending … is greater than the economies of Egypt or Chile”.