Net Zero News Issue 4

Turning the automotive supply chain green with electric vehicles

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Turning the automotive supply chain green with electric vehicles

  • Publish Date: Posted over 2 years ago
  • Author: Marketing Team

​The UK’s automotive industry dates back to the 1880s and has seen endless innovation across the supply chain. No more so than in recent years as manufacturers turn to electric vehicle design to meet the race to net zero - with the UK Government planning to end the sale of new diesel and petrol cars and vans by 2030, with petrol and diesel powered hybrid vehicles following shortly after in 2035.

The switch to green alternatives has pioneered initiatives across the sector. From Shell opening their first all-electric vehicle charging forecourt with no petrol or diesel in sight, to clever options to charge an electric vehicle on the street using charging stations built into lamp posts. Whilst a £450 million electric battery manufacturing investment by AESC UK in Sunderland, will create hundreds of jobs and place the UK on the map for electric vehicle battery production.

Vehicle emissions from public transport are also on the target list for the Government, with 12 regions of England being awarded funding to bring almost 1,000 electric and hydrogen buses to the road as a green transport alternative. Together with promises from HS2 that the next generation of train travel will provide carbon-free commuting.

Changing the face of the UK automotive industry

Insight from The Society of Motor Manufacturers and Traders (SMMT) shows change is most definitely on the horizon, as more people opt to purchase hybrid or electric vehicles. 

Reporting for 2021 vehicle registrations show that in the big switch to electric, plug-in hybrid vehicles accounted for more than one in six registrations. Whilst fully electric powered vehicles increased from 2020 figures, accounting for one in nine registrations.

Government statistics from the Department of Transport show there are now more than 250,000 electric vehicles on the UK roads. Welcome news for automotive companies and the entire supply chain, as demand continues for fuel alternative options.


A supply chain wide focus

When it comes to the shift to electric though, it’s not just workers on the production and assembly lines that are benefitting from employment prospects. No more so than in the built environment sector, where construction and engineering companies are bringing large-scale projects to life to build battery gigafactories.

New building regulations that came into effect on 15th July, now require new homes and buildings to have 7kW electric vehicle charging points installed. This places more demand on project builds, as adequate power supply and cable routing installation is needed to meet the change - which the Government hopes will encourage future uptake for electric car purchases. These new regulations also cover the major renovation of existing residential and non-residential buildings, where a considerable percentage of the building envelope is planned for renovation.


Did you know?

The bestselling battery electric vehicle sold last year in the UK, in figures reported by SMMT, was the Tesla Model 3 – racking up 34,783 registrations. When it came to more compact cars, 11,032 registrations for Volkswagen’s ID.3 model were recorded, as well as 9,052 for Nissan’s Leaf – one of the longest-standing electric vehicles to be manufactured in the UK.  

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