EV sales boom despite new car slump
The new car market is proving as weak as a kitten - unless you're selling something battery powered...
Did you read our August report about the used car market? If you did, you'll be aware that it's booming: the used market grew over 108% in the second quarter of 2021, with 2.1 million cars changing hands. Fantastic for us, because, well, used cars are what we're all about.
But that model requires a flow of new cars into the mix and, sadly, the tap's been turned down somewhat. Today's figures from the SMMT tell a sorry tale when it comes to the fresh metal of the equation. September's plate change should make it the second busiest month of the year and a cause for celebration, but the industry report shows that the UK's new car market has recorded its weakest September since 1998. 215,312 cars were registered last month, which represents a 34.4 per cent fall on September 2020, and that was when pandemic restrictions were already significantly curtailing economic activity.
In fact, if you look at last September's registrations, they were actually 44.7 per cent down on the ten-year average, which shows where new car sales could've been without the carnage caused by the double whammy of a global pandemic and a semi-conductor drought.
There's more to it than that of course; as always, the devil is in the detail. Diesel cars, unsurprisingly, were the biggest losers, dropping 77.3 per cent compared with September 2020, and petrol models ended with a 46.6 per cent slump. Interestingly, conventional hybrids (HEV) we also down, but by 5.1 per cent only. The vehicles that propped the market up are, unsurprisingly, full EVs, which boomed by 49.4 per cent and plug-in hybrid EVs, which climbed 11.5 per cent. The SMMT reckons 32,721 battery-electric vehicles were shifted last month - a 15.2 per cent market share.
But before every PHer around the country skulks off into a corner and for a cry, there is some respite amid the gloom: 1,316,614 new cars have found homes in the year to date, which isn't roof-top-shout worthy but it is a 5.9 per cent increase over a moribund 2020. Moreover, if you have a PHer with something interesting to sell, the timing could hardly be better.
What was the UK's most popular car last September? Well, that was the Tesla Model 3 again, with most of the top ten populated by mundane models like the Vauxhall Corsa, Toyota Yaris and the new Nissan Qashqai. There is still at least one bastion of good taste in there to keep us smiling: the BMW 3 Series ended up on the podium with a respectable third place. All is not lost, it seems.
The Guardian reporting the top 10 bestselling battery electric cars in September 2021 as being:
Tesla Model 3 – 6,879
Volkswagen ID.3 – 2,056
Kia Niro – 1,881
Renault Zoe – 1,337
Mercedes EQA – 1,325
Audi e-tron – 1,318
MG 5 – 1,135
Nissan Leaf – 1,066
Hyundai Kona – 1,010
Peugeot e-208 – 946
https://www.theguardian.com/business/2021/oct/05/u...
The Guardian reporting the top 10 bestselling battery electric cars in September 2021 as being:
Tesla Model 3 – 6,879
Volkswagen ID.3 – 2,056
Kia Niro – 1,881
Renault Zoe – 1,337
Mercedes EQA – 1,325
Audi e-tron – 1,318
MG 5 – 1,135
Nissan Leaf – 1,066
Hyundai Kona – 1,010
Peugeot e-208 – 946
https://www.theguardian.com/business/2021/oct/05/u...
The sensationalist headline completely masks the plain fact that you can't get an ICE at the moment for love nor money. I know 3 guys about to lose a big life changing gig with an insurance company if they don't provide new courtesy cars, they said this morning they just can't get anything and they're stressed to death about it.
The article also shows massive growth - but only from a low platform. I'm not convinced the take off is what people would like it to be myself. And the same people don't seem to want to talk about the growth of investment in synthetic fuels and hydrogen technology from some big players (to anyone that offends I'm really not remotely interested in a debate on that one, know too many people in the industry and can see too much logic in alternatives to live alongside EVs - plus I don't hero worship Elon, Gretta or people who glue themselves to the road). Personally I quite like EVs, but only in as much as I like various mechanical devices.
Would I have one? No not really, but I see a big role for them in cities for people who have access to a decent infrastructure (their own driveway for a start).
The EV adopters I know:
1 is a "modern man" - wears the man bag, adopts anything latest tech
2 is a company car driver, but is a convert and says the whole world should have one (even though he just happens to spend his spare time driving a very nice ice sports car
3 my neighbour, has to have a company car, bought an Audi EV for tax reasons, wife makes them holiday in the little ICE Ford because she can't stand the whole charging thing on long journeys
4 Is a retired lady saving the planet, who has said she'll go back to ICE next and never buy an EV again (sick of being stranded on crap chargers apparently)
Wife has a hybrid as our company car - for tax reasons. Wasn't up for EV so this was as good as it gets - she does all her local commuting on the Electric and enjoys it, but still doesn't want a full EV (don't ask cos I don't know and don't particularly care). To be fair its a gas guzzler so the elec bit saves a load of money (I think, or has electric got that expensive now?)
But more of these articles will continue to sensationalise the dawn of this new era I'm sure
The Guardian reporting the top 10 bestselling battery electric cars in September 2021 as being:
Tesla Model 3 – 6,879
Volkswagen ID.3 – 2,056
Kia Niro – 1,881
Renault Zoe – 1,337
Mercedes EQA – 1,325
Audi e-tron – 1,318
MG 5 – 1,135
Nissan Leaf – 1,066
Hyundai Kona – 1,010
Peugeot e-208 – 946
https://www.theguardian.com/business/2021/oct/05/u...
- Deposited orders from a dealer
- Deliveries onto a driveway fully invoiced
- Private vs. lease company splits
So very many variables masked within a headline. Also some of those not present are on sale, but ramping up/undelivered as they are so new to market.
- Deposited orders from a dealer
- Deliveries onto a driveway fully invoiced
- Private vs. lease company splits
So very many variables masked within a headline. Also some of those not present are on sale, but ramping up/undelivered as they are so new to market.
If anyone bothers to look at the actual SMMT report that the Guardian linked in their article, they will see that whilst the Tesla Model 3 was top in September 2021, in terms of year to date, the top number of registrations was the Vauxhall Corsa, followed by VW Golf, then Ford Fiesta then Ford Puma. The Model 3 doesn't even make it into the top 10 in the year to date.
The no.1 ranking in September 2021 is a function of the way the ships come to the UK and deliver Tesla cars in batches, as someone already pointed out.
Until the Model 3 features in the top 5 new cars registered year to date, it's not really as "popular" as some might perceive, even if they "see lots of them" on the roads near them, as they are not looking at the new Corsas, Golfs and Fiestas, just seeing what validates their own perceptions.
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