Changing EV dynamics

Issue # 219, Oct 3, 2023

The electric vehicle (EV) industry continues to be dynamic across the entire ecosystem: from the customers doorstep to the factory and charging station. On the factory side, Toyota is redesigning its factories with six radical steps that are integrated with digital technologies, for EV manufacturer. On the home front, with 80% of charging taking place at home, the decision to upgrade from a standard Level 1 charger to a Level 2 charger is a big investment decision. Even before a sufficient number of charging stations are setup, they have started ageing to become obsolete, posing a new challenge specifically in Japan. It is not just the number of charging stations, but the speed of charging that is also important. Investment companies linked to some of China's biggest automakers have formed an alliance to bolster their supply chain for semiconductor devices and other core components of EVs. In its efforts to lead autonomous driving, Japan is pushing for 50 locations with driverless services in place within three years. But fully autonomous vehicles remain nearly nonexistent in the country. Below are some recent updates in the dynamic EV industry.

Toyota EV manufacturing with digital technologies

Toyota is embarking on an urgent and radical reboot of its famed production machine. The overhaul hinges on a host of breakthrough technologies that are firmly rooted in its Toyota Production System, but turbocharged with digital tools for the EV era. EVs by their simplicity in structure lend themselves well for new-age manufacturing methods. - Automotive News and other sources

EV purchase decision beyond the car model

As all-electric vehicles become more popular and incentives for renewable energy proliferate, many early EV adopters may be reconsidering their home charging needs. The decision to upgrade from a standard Level 1 charger to a Level 2 charger at home is on many owners’ minds. It can be an important decision given that about 80% of all charging takes place at home, according to Department of Energy estimates. But upgrading isn’t necessarily a slam-dunk personal finance decision. Consumers need to take into account several factors, including usage, vehicle type, the number of EVs in the family and cost versus potential incentives. - CNBC

Chinese alliance for EV semicons

Investment companies linked to some of China's biggest automakers have formed an alliance to bolster their supply chain for semiconductor devices and other core components of EVs. The Chinese group is part of a new effort to boost chip self-sufficiency in the country's auto industry. - Nikkei Asia

Ageing EV charging infra

EV chargers have a service life of eight to 10 years and tend to malfunction if used longer. Installations rose across Japan in 2014 and 2015 under a 100 billion yen subsidy program run by the Ministry of Economy, Trade and Industry. Now, many chargers are being shut down. The number of chargers per 10,000 people remained almost unchanged at 2.3. The government hopes to raise the share of EVs to 100% of new car sales by 2035. To reach that goal, the economy ministry proposed raising the number of charging ports to 300,000 by 2030. One approach to mitigate the risk of obsolescence is ongoing monitoring of the key parameters and sharing them, to ensure upkeep of charging stations.

EVs and charging speed

Charging speed is “very important” for EV uptake, especially as EVs start to gain ground in the market against gas-powered cars, says Jiayan Shi, an analyst for BNEF, an energy research firm. The US added about 6,300 fast chargers to its stock in 2022, bringing the total to around 28,000, according to the IEA. It’s a big number, but not nearly enough—by 2025, the country will need to quadruple the total number of installed chargers (including both fast and slow varieties) from 2022 levels to meet expected demand from all the EVs coming onto the roads, according to a report by S&P Global. - MIT Technology Review

Autonomous driving in Japan

Japan is pushing for 50 locations with driverless services in place within three years, but fully autonomous vehicles remain nearly nonexistent in the country. So far, Fukui prefecture on the main island of Honshu is the only place with vehicles featuring level-4 capabilities — defined when they can handle all driving tasks — but only under specific conditions with the option for humans to take over. In the town of Eiheiji, the seven-seater golf carts are only allowed to navigate a 2 kilometer (1.2 mile) course. Maximum speed: 12 kilometers per hour. - Nikkei Asia