Electric vehicles (EVs) remain a tiny fraction of the overall auto fleet, but sales are growing thanks to falling costs, enticing new models and government support such as the EV tax credit. How quickly EVs take over the roads has implications for a host of industries, but especially for the future of oil demand. Oil producers are watching closely to see how quickly consumers take up EVs.
Lithium, nickel and cobalt will see strong demand as EV production increases, putting supplies under pressure.
More EVs will boost efforts to build ‘smart grids’ that integrate EV batteries into the power network.
Democratic-controlled US states and cities will provide more generous EV support, leading to a patchy overall rollout.
Autonomous vehicles are more likely to be electric-powered so their adoption rate will be material to overall EV demand.
