{"id":44172,"date":"2022-04-10T01:20:22","date_gmt":"2022-04-10T06:20:22","guid":{"rendered":"https:\/\/www.emanualonline.com\/blog\/?p=44172"},"modified":"2022-04-10T01:20:22","modified_gmt":"2022-04-10T06:20:22","slug":"mercedes-cto-says-evs-wont-be-cheap-as-gas-cars-anytime-soon","status":"publish","type":"post","link":"https:\/\/www.emanualonline.com\/blog\/mercedes-cto-says-evs-wont-be-cheap-as-gas-cars-anytime-soon","title":{"rendered":"Mercedes CTO Says EVs won&#8217;t be Cheap as Gas Cars Anytime Soon"},"content":{"rendered":"<p>It looks like EVs might take a little longer to compete with ICEs&#8217; prices, according to Mercedes C.T.O., Markus Sch\u00e4fer!<\/p>\n<p>There&#8217;s no denying that the electric revolution is well and truly here. Auto manufacturers and governments worldwide joined hands to accelerate the development of <a href=\"https:\/\/www.emanualonline.com\/blog\/tag\/ev\/\" target=\"_blank\" rel=\"noopener\">EVs<\/a> to lower greenhouse gas emissions and stay below the 1.5\u00b0C thresholds of average global temperature.<\/p>\n<p>Sure enough, the benefits of these vehicles are clear right away: ease of driving, convenience, efficiency, quietness, and emission-free operation (though perhaps not entirely). However, the factors that currently deter EV adoption include lithium mining, range, energy efficiency, and initial investment.<\/p>\n<p>And, of course, it&#8217;s worth mentioning that the initial cost of purchasing an EV is nearly 4x-5x higher than regular gas cars. Naturally, the burden of these costs falls upon the end consumer, most of whom cannot afford to buy one at this stage. The majority of the EV development costs boil down to the manufacturing and assembly of the battery pack, influenced by a metric known as cost per energy capacity ($\/kWh).<\/p>\n<p><img decoding=\"async\" class=\"aligncenter size-full wp-image-44174 lazyload\" data-src=\"https:\/\/www.emanualonline.com\/blog\/wp-content\/uploads\/2022\/04\/Mercedes-CTO-EV-battery-cost-1.jpg\" alt=\"\" width=\"900\" height=\"635\" data-srcset=\"https:\/\/www.emanualonline.com\/blog\/wp-content\/uploads\/2022\/04\/Mercedes-CTO-EV-battery-cost-1.jpg 900w, https:\/\/www.emanualonline.com\/blog\/wp-content\/uploads\/2022\/04\/Mercedes-CTO-EV-battery-cost-1-300x212.jpg 300w, https:\/\/www.emanualonline.com\/blog\/wp-content\/uploads\/2022\/04\/Mercedes-CTO-EV-battery-cost-1-768x542.jpg 768w\" data-sizes=\"(max-width: 900px) 100vw, 900px\" src=\"data:image\/svg+xml;base64,PHN2ZyB3aWR0aD0iMSIgaGVpZ2h0PSIxIiB4bWxucz0iaHR0cDovL3d3dy53My5vcmcvMjAwMC9zdmciPjwvc3ZnPg==\" style=\"--smush-placeholder-width: 900px; --smush-placeholder-aspect-ratio: 900\/635;\" \/><\/p>\n<p>If we revert to the beginning of the 2010s, the average cost per kWh for Li-ion cells amounted to a whopping $1,110\/ kWh \u2013 reflected in an era when the electric vehicle industry was almost non-existent. This can also be partly attributed to the difficulties in mining a rare-earth element such as Lithium. However, with significant improvements in technology and rising demand for EVs, costs dropped by 89% to about $186\/ kWh as per current levels.<\/p>\n<p>Arguably, these levels are still not enough to compete against ICE-powered vehicles. In an interview with Road &amp; Track, <a href=\"https:\/\/www.emanualonline.com\/blog\/tag\/mercedes-benz\/\" target=\"_blank\" rel=\"noopener\">Mercedes-Benz<\/a> C.T.O., Markus Sch\u00e4fer stated: \u201cComing to [a battery price of] 50 US dollars per kilowatt, which would lead to comparable cost basis to an ICE engine, I would say this is far out there [&#8230;] I don&#8217;t see that with the chemistry that we have today.\u201d<\/p>\n<p>He further explained that it\u2019s nearly impossible to achieve price parity with that of gas-powered vehicles. Notably, this is due to limitations with current battery technologies. The perfect formula for equivalent high energy density batteries is probably still under work or hasn\u2019t been discovered yet. More so, even after discovery comes to the challenge of understanding its physical and thermal characteristics, testing, manufacturing, and minimizing distribution costs to make it plausible for global markets.<\/p>\n<p>The short version \u2013 we still have a long way to go, and it won\u2019t be anytime soon!<\/p>\n<p><a href=\"https:\/\/www.roadandtrack.com\/news\/a39627829\/when-will-evs-be-cheaper\/\" target=\"_blank\" rel=\"noopener\"><em>Source: Road &amp; Track<\/em><\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>It looks like EVs might take a little longer to compete with ICEs&#8217; prices, according to Mercedes C.T.O., Markus Sch\u00e4fer! There&#8217;s no denying that the electric revolution is well and truly here. Auto manufacturers and governments worldwide joined hands to accelerate the development of EVs to lower greenhouse gas emissions and stay below the 1.5\u00b0C &hellip;<\/p>\n","protected":false},"author":40,"featured_media":44173,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"om_disable_all_campaigns":false,"_uag_custom_page_level_css":"","footnotes":""},"categories":[5395,10518,6503],"tags":[3931,167,9783,6501],"class_list":["post-44172","post","type-post","status-publish","format-standard","has-post-thumbnail","","category-automakers-suppliers","category-bev","category-mercedes-benz","tag-battery","tag-ev","tag-germany","tag-mercedes-benz"],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v22.6 (Yoast SEO v27.3) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>Mercedes CTO Says EVs won&#039;t be Cheap as Gas Cars Anytime Soon<\/title>\n<meta name=\"description\" content=\"It looks like EVs might take a little longer to compete with ICEs&#039; prices, according to Mercedes CTO, Markus Sch\u00e4fer!\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.emanualonline.com\/blog\/mercedes-cto-says-evs-wont-be-cheap-as-gas-cars-anytime-soon\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Mercedes CTO Says EVs won&#039;t be Cheap as Gas Cars Anytime Soon\" \/>\n<meta property=\"og:description\" content=\"It looks like EVs might take a little longer to compete with ICEs&#039; prices, according to Mercedes C.T.O., Markus Sch\u00e4fer! There&#039;s no denying that the\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.emanualonline.com\/blog\/mercedes-cto-says-evs-wont-be-cheap-as-gas-cars-anytime-soon\" \/>\n<meta property=\"og:site_name\" content=\"eManualOnline Blog\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/www.facebook.com\/EmanualOnline\/\" \/>\n<meta property=\"article:published_time\" content=\"2022-04-10T06:20:22+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/cdm.emanualonline.com\/blog\/wp-content\/uploads\/2022\/04\/Mercedes-CTO-EV-battery-cost-2.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"1200\" \/>\n\t<meta property=\"og:image:height\" content=\"675\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"Pranav Anand\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:creator\" content=\"@sheldock221b\" \/>\n<meta name=\"twitter:site\" content=\"@eManualOnline\" 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