AUTONEWS

Analysts warn of potential for a recession to affect demand in the electrified segment

Yesterday's decision by Tesla to raise the price of its electric vehicles by up to 5% coincided with a drop in the company's share price by nearly 9%, but the matter was not limited to that - other companies in the sector with access to the US stock market also lost in capitalization. Analysts have raised concerns about the potential for a recession to affect demand in the electric vehicle segment.

The second factor that negatively affected corporate share prices was the dynamics of the refinancing rate in the US. At the same time, experts at Credit Suisse said that in the case of Tesla, the demand margin is so large that previous price increases will not be able to reduce sales of electric vehicles of that brand. In fact, the company will be hurt more by shortages of components and materials than by weakness in demand for its products.

Jefferies experts this week considered the need to lower the forecast for sales of electric vehicles in the global market not only this year, but also next. According to them, this year it will not be possible to sell more than 8.7 million electric vehicles instead of the previously planned 9 million, and next year the sales volume will only grow to 11.5 million electric vehicles instead of 11.8 million. million units predicted earlier.

At the same time, the general decline in demand for passenger cars will allow electric vehicles to increase their share of the sales structure. This year the number will increase from 10% to 11%, and next year it will increase from 13% to 14%. By the middle of the decade, according to experts, the capacity of the electric car market will reach 19 million units per year, and by the end of the decade it will increase to 36 million units. Rivian shares were down 9.15% yesterday, while Lucid Group shares were down 11.24%. Since the beginning of the year, Tesla shares have lost more than a third of their original value.

Image source: Tesla