This month at a glance
Welcome to June’s Industry Insights blog, your monthly summary of all the sector-specific updates which will help you optimise your fleet.
Read on for news on Chinese tariffs, the CPC deadline, and how LCV sales are not meeting new ZEV mandate targets.
Tariffs on Chinese cars
expected to rise
Last year, more than eight million electric vehicles were sold in China, with prices as little as £7,500 (for the BYD Seagull). Concern from US manufacturers, which can’t compete on cost, has seen the US impose tariffs on imports of Chinese battery-powered cars. It is expected the European Commission will also raise duties. If introduced, the tariffs will affect cars made by companies such as BMW (the ix3 is manufactured in Dadong) and Tesla (which builds cars in Shanghai for export to Europe).
Graduated driving licences
for young drivers
A new Private Member’s bill has been introduced in Parliament that would impose restrictions on young drivers during the initial six months after they pass their test. Known as Graduated Driving Licences (GDLs), these are backed by various safety organisations. Data shows that males aged 17-24 are four times more likely to be killed or seriously injured in a road collision than all other drivers aged 25 or over. The restrictions could include a lower maximum speed limit, smaller engines, a zero-alcohol limit, curfew for night driving and a limit to the number of passengers.
CPC deadline approaching
Don’t forget that if you’re a professional driver, the deadline to complete your Driver Certificate of Professional Competence (CPC) training is 9 September 2024. A driver who misses the deadline cannot drive professionally and could be fined up to £1,000 if caught driving without the CPC.
New CO2 targets for trucks and buses in the EU
New targets for 2030, 2035 and 2040 have been formally adopted by EU. The revised scope is expanded so almost all new heavy-duty vehicles with certified CO2 emissions are subject to emission reduction targets:
- 45% emissions reduction* from 2030
- 65% emissions reduction* from 2035
- 90% emissions reduction* from 2040
- 100% zero-emission target for new urban buses by 2035
*From 1990 levels
Latest figures on availability of electric vehicles
- There are now 102 battery electric models available (research by SMMT), compared to just 16 in 2014.
- Almost one third of models on the new car market today are available with a zero emissions option.
- There are zero emission options in every segment.
- The UK is Europe’s second largest new electric car market by volume (Germany first).
- Average BEV range is 236 miles.
- New models average 300-mile range.
- Despite this growth, demand for BEV cars has plateaued this year – more than 80% of car buyers have chosen other powertrains.
Government direction, policy
and industry lobbying
LCVs lagging behind ZEV mandate targets
The ZEV mandate came into effect January 2024 and requires manufacturers to sell a predetermined target of zero-emission vehicles each year or be fined.
For 2024, 10% of new LCV sales must be zero emission, but the latest new van registration figures from SMMT show that while electric van demand rose in May, to reach a 4.2% market share, this was almost unchanged from last year (4.1%). For the year to date, overall BEV uptake is 4.8%.
As fleet operators, we are keen to make the transition to zero emission vans work but challenges with infrastructure, regulation, in addition to the affordability and availability of suitable product, is holding back our customers’ ability to move to zero emission vans.
The BVRLA has put together the Zero Emission Van Plan to help drive change. You can read more about it here.