Posts Tagged ‘Frost & Sullivan’

UK Proposes First EV Subsidies for Businesses

Both businesses and consumers, if they can afford electric vehicles, stand to benefit from the costly subvention.

by on Dec.10, 2009

That would be taxpayer money, lots of it, at the other end of the cord.

That would be taxpayer money, lots of it, at the other end of the charging cord.

Since batteries for electric vehicles can cost as much as the car itself, and much more for larger ones, automakers are asking for huge taxpayer subsidies to aid EV sales.

The United Kingdom is the latest government to propose EV financial assistance.

In an historic announcement for the island nation, Chancellor Alastair Darling in his pre-budget report proposed that consumer incentives worth £2,000 to £5,000 ($8,100) would be available starting in 2011 to reduce the purchase price of electric and plug-in hybrid vehicles.

Substantial assistance for businesses buying EVs is also part of the budget; and it appears that the UK is the first government to do so.

“To help boost the number of electric cars on our streets, I have decided to exempt them from company car tax for 5 years. And I can also announce a 100% first year capital allowance for electric vans,” Darling said.

The latest announcement follows a £30 million “Plugged in Places” program launched last month to support the development of charging infrastructure in several UK cities.

Watching Your Wallet!

Watching Your Wallet!

The European Union is moving ahead — over automakers’ protests — with new CO2 standards for passenger cars that dictate a reduction in average CO2 emissions from new cars to 120 g/km. Fewer than 9% of the cars sold in the EU in 2006 met this level of emissions. The costs of are estimated at about €3,600 ($5,108) on average per car.


Auto Aftermarket to Decline in Wake of Clunkers

Independents and tire stores to suffer from a loss of business.

by on Oct.06, 2009

The now defunct CARS program, or Cash for Clunkers, requires that engines be disabled at the dealer and then the body shredded within 180s days. With 719,000 vehicles removed from the road, the auto repair business will suffer as an unintended consequence of the trade-in replacement program because it shredded vehicles in their prime repair years.

According to the latest research from the consulting group Frost & Sullivan, the net impact on the repair business will be felt largely in two areas — part sales and lost labor revenue coming from removal of the clunkers vehicles.

CARS Trade-ins

CARS Sales

1 Ford Explorer 4WD Toyota Corolla
2 Ford F-150 Honda Civic
3 Jeep Grand Cherokee 4WD Toyota Camry
4 Ford Explorer Ford Focus
5 Dodge Caravan/Grand Caravan Hyundai Elantra
6 Jeep Cherokee 4WD Nissan Versa
7 Chevrolet Blazer 4WD Toyota Prius
8 Chevrolet C1500 Honda Accord
9 Ford F-150 4WD Honda Fit
10 Ford Windstar Ford Escape
Source: Frost & Sullivan