EV manufacturing jumps in UK, total manufacturing sinks to 65-year low

A Nissan Leaf on the forecourt of a dealership in Lincoln, UK

Chris Ratcliffe | Bloomberg | Getty Images

Car production in the UK slumped by 6.7% to just 859,575 units in 2021, new figures published by the Society of Motor Manufacturers and Traders show.

In a statement Thursday, the SMMT said the output represented the “worst total since 1956” and was 34% lower than 2019, the year before the Covid-19 pandemic struck.

While the headline figures for 2021 are disappointing — the SMMT pinpointed the semiconductor shortage as being the “principal cause of the decline” — the low and zero-emission segment of the sector provided some light amid the gloom.

The SMMT said that British factories manufactured a record amount of battery electric, hybrid electric and plug-in hybrid vehicles in 2021, with a total of 224,011 being made. This represents a 26.1% share of all cars produced last year.

“More positively, the shift to electrified vehicle manufacture continued apace as BEV production surged 72.0%,” the SMMT said, “while hybrids rose 16.4%, as the UK industry — like the market — transforms into a low and, ultimately, zero- carbon industry.”

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The UK wants to stop the sale of new diesel and gasoline cars and vans by 2030. It will require, from 2035, all new cars and vans to have zero tailpipe emissions. The task is huge and the sector is still dominated by vehicles running on fossil fuels.

Although the market has been significantly affected by the pandemic, customers’ habits could nevertheless be on the verge of a significant change.

A record 190,727 new battery electric cars were registered in the UK last year, according to the SMMT, with Tesla’s Model 3 the best-selling battery electric model. Indeed, the Model 3 was the second most popular new car overall behind the Vauxhall Corsa, the industry body says.

In a release earlier this month, the SMMT described 2021 as the “most successful year in history for electric vehicle uptake.” It said that more new battery electric vehicles had been registered in 2021 than over the five previous years combined.

China to take away overseas funding restrict passenger automotive manufacturing

New cars for export await shipment at a seaport in Yantai, China, on September 7, 2021.

Feature China | Barcroft Media | Getty Images

BEIJING – Chinese authorities will allow full foreign ownership of car production in the country from January 1, 2022.

This is after a release Monday from the Ministry of Commerce and the National Development and Reform Commission, the country’s leading economic planning agency. The document was one of the government’s regular publications on industries prohibited from foreign investment.

The version 2021 published on Monday did not contain any car production. The 2020 edition of the list had promised the change would take place in 2022.

China has gradually lifted foreign ownership restrictions in its domestic auto industry.

However, Monday’s release still covered 31 areas where foreign investment is prohibited or restricted, including rare earths, film production and distribution, and tobacco products. In industries such as medical facilities, foreign companies have to set up joint ventures with local partners, who usually hold a majority stake.

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Effingham Man Sentenced to 58 Months in Jail for Manufacturing Counterfeit Cash | USAO-SDIL

A man from Effingham was sentenced yesterday to four years and 10 months in prison and a fine of $ 1,000 for making counterfeit money.

According to court documents, counterfeit banknotes made by Jared Sapp, 29, have been seized in Madison, St. Clair and Effingham counties and as far as Colorado. The forgery of Sapp goes back at least to the year 2016. A number of companies in Effingham, Illinois reported being paid counterfeit money in 2017 and 2018, which was later traced back to Sapp. Sapp would also use counterfeit money to pay for used goods on websites or applications such as letgo.com and craigslist.com. In total, law enforcement agencies recovered at least 201 counterfeit banknotes made by Sapp with a total face value of $ 4,715.00. The operation ended when Sapp was arrested in April 2020 with two printers / scanners and a stack of counterfeit $ 20 in the trunk of his car.

The investigations were conducted by the US Intelligence Service, the Effingham City Police Department, the Granite City Police Department and the Caseyville Police Department.

U.S. Assistant Attorney Peter Reed is pursuing the case.

Jefferies on the carbon challenges in electrical car manufacturing

According to Jefferies’ Simon Powell, electric vehicle manufacturing is currently facing the “embedded carbon” challenge.

“To get the environmental dividend that governments are seeking, users will need to store it longer and drive it further than a traditional combustion-energy vehicle,” said Powell, director of global thematic research for the company. said CNBC’s “Road signs Asia” On Wednesday.

He explained that a “large amount” of carbon is released when materials like steel, aluminum and glass are made and put together to make vehicles. He said the problem is exacerbated with electric vehicles, which are currently heavier on average than their gasoline-powered counterparts.

“When they leave the factory, these (electric vehicles) are at a disadvantage,” he said. “They contain more steel. The brakes are bigger. The batteries are certainly heavier.”

The relatively higher weight of electric vehicles today is the result of manufacturers’ focus on the range of these cars, Powell said. In contrast to cars, which have been powered by combustion engines for decades, the charging infrastructure for electric vehicles is much less developed worldwide.

Meaning of “green steel”

However, Powell predicted that the “embedded carbon” in electric vehicles is expected to decrease to levels comparable to conventional vehicles.

“The way this whole thing is being resolved is green steel,” he said. “The use of hydrogen in the steel manufacturing process must also be examined.”

“I don’t think many people are talking about greening the steel industry,” the analyst said, admitting that decarbonising the sector around the world will be “very challenging.”

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Most of the metal today is made from coking coal, while making low-carbon steel is both more resource-intensive and more expensive.

“I think it’s going to take a long time. We’re talking about big investments with … long paybacks, long time horizons,” said Powell.

In the meantime, investors should also monitor battery technology development as more energy dense cells will help reduce the weight and potentially embedded carbon of electric vehicles, Powell said.