ABB study: Government's e-mobility targets not feasible

According to a new global survey—commissioned by ABB Robotics and the industry magazine Automotive Manufacturing Solutions—more than half (59 percent) of respondents believe that transitioning production exclusively to electric vehicles within the current legal deadlines is not feasible. The respondents pointed to challenges in adapting to a new battery supply chain and expressed concerns about the required high investments, the lack of raw materials, suitable infrastructure, and insufficient grid capacity.

Automation as a crucial multiplier

Although 28 percent stated that the deadlines could be met, they also pointed out significant hurdles. On the other hand, 18 percent believed that the current targets can never be achieved. Only 11 percent considered all regional targets for the introduction of electric vehicles from 2030 to 2040 to be achievable.

“The automotive industry is aware of the efforts associated with complying with the proposed regional timelines for the full production of electric vehicles,” emphasizes Jörg Reger, Head of the Business Line Automotive at ABB Robotics. “To achieve these goals, automation is the key. It creates more resilience, efficiency, and speed in manufacturing. It is hardly surprising that the demand for our robots, which are used for the assembly of drivetrains in electric vehicles, is increasing. With such robot-supported solutions, it is possible to significantly shorten the construction time, increase flexibility, further simplify the production process, and ultimately reduce production costs.”

Battery Supply Chain a Limiting Factor

A particular focus of the "Automotive Manufacturing Outlook" survey was on the challenges in transitioning to a new battery supply chain: For 19 percent of respondents, these are a central obstacle. On the other hand, 16 percent expressed concerns about the high required investments. The lack of raw materials, suitable infrastructure, and insufficient grid capacity are also at the top of the list of problems yet to be resolved. More than a quarter (26 percent) of respondents cited the lack of charging infrastructure as the biggest hurdle to the introduction of electric vehicles. In contrast, for 17 percent, the high vehicle prices represented the main obstacle to the growth of electric vehicles.

“The survey reflects the challenges facing the automotive industry: Manufacturing is under pressure and supply chains are under significant stress,” said Daniel Harrison, Automotive Analyst at Automotive Manufacturing Solutions. “The key issue is how quickly the industry can master the transition to electrification and broader sustainability goals in manufacturing – especially in times of great economic uncertainty. Equally challenging in this context are the availability and costs of labor as well as how quickly large workforces can be reskilled.”