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EU aims to accelerate NEV in corporate fleets

The European Commission aims to accelerate demand for electric vehicles in corporate fleets with an emphasis on ending tax breaks for petrol or diesel-powered company cars, according to a draft paper published on Wednesday. The EU executive announced its auto industry action plan after a month of discussions with sector executives to ensure EU car producers can electrify their fleets and compete with more advanced US and Chinese rivals. EU automakers argue they are bringing out new models, but consumer uptake is weak. The market share of EVs in Europe dropped by a percentage point to 13.6 percent in 2024, according to European association ACEA, but did pick up to 15 percent in January. The draft communication says that corporate fleets make up about 60 percent of new car registrations in the European Union.

Volkswagen unveils affordable EV model

Volkswagen unveiled a small electric car on Wednesday that will cost around 20,000 euros ($21,500) — a more affordable price-point than its current EV range — as the German auto titan seeks to turn around its fortunes. The ID. Every1, which is set to go on sale from 2027, will have a range of 250 kilometers and a top speed of 130 kilometers per hour, the manufacturer said as the vehicle was presented in Duesseldorf, Germany. The Europe's biggest carmaker has poured huge sums into the shift toward electric vehicles in recent years but has struggled amid weakening demand in Europe and fierce competition from rivals in the Chinese market. Its planned new model is more affordable than its previous electric cars, which started at around 35,000 euros, and is aimed at helping it gain ground in the mass-market EV segment.

Import numbers boom in South Korea

South Korea's imported car sales grew in double digits last month due to strong demand for German luxury models, industry data showed on Thursday. The number of imported vehicles jumped 24.4 percent from a year earlier to 20,199 in February, according to the Korea Automobile Importers and Distributors Association. For the first two months of this year, 35,428 foreign vehicles were sold domestically, up 20.8 percent compared with the same period last year. German automaker BMW ranked first in terms of automotive sales among foreign companies by selling 6,274 units in February. Another German carmaker Mercedes-Benz came next with the sale of 4,663 units, followed by US automaker Tesla with 2,222 units and Japanese carmaker Lexus with 1,137 units. The number of European models sold came to 15,017 last month, accounting for 74.3 percent of the total.

Tesla furthers plans to sell vehicles in India

US electric vehicle maker Tesla has signed a lease deal to open its first showroom in Mumbai, as it moves toward a goal to sell imported cars in India, registration papers show, after it dropped similar plans last year. Tesla did not immediately respond to a request for comment. The papers show the company has signed a five-year lease from Feb 16, 2025, and will pay rent of about $446,000 for the first year for 372 square meters, almost the size of a basketball court. While Tesla plans to sell imported cars from its India showrooms, tariffs of over 100 percent still weigh on the carmaker, with Musk repeatedly complaining that they are among the steepest in the world.

UK sees surge in BEV registration in February

Battery electric vehicle registrations in the United Kingdom surged by 41.7 percent in February, capturing 25.3 percent of new car sales, according to data released by the Society of Motor Manufacturers and Traders on Wednesday. Despite this growth, the overall new car market declined slightly by 1 percent to 84,054 units, marking the fifth consecutive monthly drop. Electrified vehicles led the market's expansion, with plug-in hybrids up 19.3 percent and hybrids rising 7.9 percent. The SMMT attributed the surge in BEV sales to buyers rushing to avoid upcoming tax changes, set to take effect in April. Despite the recent momentum, BEV uptake remains below the 28 percent target for 2025. Manufacturers have invested over 4.5 billion pounds ($5.8 billion) in discounts and market support over the past year, but the SMMT cautioned that such efforts are unsustainable. The organization urged policymakers to enhance incentives for private buyers, accelerate the rollout of charging infrastructure, and introduce greater flexibility under the Zero Emission Vehicle Mandate.

Motoring - Agencies