efficiency of electric cars
Stellantis boss Tavares sharply criticizes the EU’s electromobility strategy
Carlos Tavares
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Stellantis boss Carlos Tavares has expressed clear criticism of the EU’s electromobility strategy. He criticized the fact that politicians had not given manufacturers creative freedom and questioned the efficiency of electric cars.
The Stellantis car company, with brands such as Peugeot, Chrysler, Fiat and Opel, is pursuing a strict approach to converting its fleet to electrification. Stellantis boss Carlos Tavares complains that the changeover to more environmentally friendly vehicles is by no means the way the car industry would like it to be. In an interview with the “Handelsblatt” and three other European newspapers, the Portuguese criticized that the political guidelines did not give the manufacturers any creative freedom to bring in other ideas.
“There were cheaper and faster ways to reduce emissions,” says Tavares. The “fight” is now to limit the 50 percent additional costs for electric cars as much as possible within five years. That means an average increase in productivity of ten percent per year. According to the Stellantis boss, an annual increase of two to three percent is usual. “In a few years we will see which manufacturers survive and which don’t. And as I said, we must not lose sight of the risk that we will lose the middle class if they can no longer buy cars.”
Tavares: “Looking at the whole life cycle of electric cars”
And in fact, it will only be known in ten or 15 years what results electrification will bring in reducing greenhouse gas emissions. Because you have to consider the entire life cycle of electric cars. “We also have to talk about the carbon footprint of the battery. With the European energy mix, an electric car has to drive 70,000 kilometers to offset the poor carbon footprint of battery production and widen the gap with a hybrid car.” Tavares makes it clear: “And a hybrid car is half as expensive as an electric car.” The risk is increasing that the middle class will no longer be able to buy cars.
Finally, Tavares calls for government subsidies to remain in place until at least 2025. Stellantis has already started to transform all factories. “Without a gradual transition, the social consequences will be great,” Tavares warned in an interview with the media. “And we are not alone: we have a whole system of suppliers around us who have to act just as quickly as we do.”
According to the Stellantis boss, the chip crisis can last at least until the end of the year
An additional challenge for the automotive industry is the ongoing chip crisis. Tavares expects it to last at least until the end of the year. At Stellantis, the impact on production volumes was 15 to 20 percent globally, Tavares said. “We have to review our business model and also think about how we can protect ourselves from these problems in the development area in the future.”
Source: Handelsblatt