The Era of Electric Cars: Accessibility and Future Partnerships
The Inevitable Rise of Electric Vehicles
Europe has taken a decisive step by prohibiting the sale of new combustion engine cars from January 1, 2035. This decision theoretically signals the end of the era of traditional cars by 2050, as cars typically have a lifespan of about 15 years, including when resold as second-hand vehicles. However, despite this outlook, electric cars were not affordable for everyone until now, except for a few cheaper models like the Dacia Spring. An investment of over 35,000 euros was required for an electric car of reasonable size and decent range, making it unattainable for many.
The Urgent Need for Affordable Electric Cars
The creation of affordable electric cars is now at the forefront. For many car manufacturers, an affordable electric car should fall just below €20,000. However, this amount is heavily compressed given the technological costs, especially the battery, which remains the most expensive component.
The Emerging Technological Collaboration
Renault's CEO, Luca de Meo, has indicated ongoing discussions with other manufacturers to share their Ampere technology. It's noteworthy that Volkswagen, a major player, has shown interest. Volkswagen seems to struggle in developing cheaper electric models under their ID.2, which is expected to hit the market at around €25,000 in 2025 with a sufficient profit margin.
Potential Partnership for Accessibility
Renault's timing seems ideal for a collaboration aiming to make Volkswagen's electric vehicles (including its subsidiaries such as Cupra and Skoda) more accessible. Although discussions are still in their early stages, Volkswagen is not averse to engaging in partnerships to promote the transition to affordable electric mobility. This is evident from their previous loan of the MEB platform to Ford and access to the technical base of the E-Transit Custom.
A Glimpse into the Future
Volkswagen plans to save €10 billion over the next three years. A joint development of a more affordable EV platform with Renault could play a crucial role in this regard. This would not only contribute to affordable electric cars but also to a broader acceptance of electric mobility.
An Expected Continuation
These developments herald an exciting future for the automotive industry, with a focus on affordable electric cars. The progress of discussions between Renault and Volkswagen promises interesting outcomes for the accessibility of electric mobility. These developments will undoubtedly be closely monitored and represent a significant step towards more sustainable mobility for everyone.
