The rush to all-electric motoring may be the current generation's version of the space race. World leaders are promising millions of new electric cars; for example, the German Chancellor has set a goal of a million electric cars in that country by 2020. President Obama matched this promise with a statement that American roadways would see a million new electric cars by 2015. With world leaders clamoring for cleaner transportation, the onus falls on global electric car manufacturers to deliver these promises, but so far, electric car manufacturing in America has been hit and miss.
One of the biggest current stories in American electric car manufacturing involves Fisker Automotive. The company, which was backed by millions of dollars in government investments, has failed to make loan payments or meet production deadlines. It doesn't look like new electric cars will be coming off Fisker production lines any time soon: the company's founder has quit, and its employees are on unpaid furlough or have been laid off.
Recent news stories have been filled with other issues with the electric car business. Coda Automotive is also filing for bankruptcy, although the company may fare better than Fisker. Coda's parent company reports that it is going to concentrate on energy storage for the near future; the manufacturer only sold one hundred electric cars during its four-year run in the market. With companies such as Fisker and Coda backing out of the niche, businesses that count on electric car manufacturers as customers are struggling. Manufacturers of batteries and other parts designed for use in new electric cars are facing financial worries and bankruptcy. To stay current with manufacturing news in the electric car niche or other industries, check out the Nexxt manufacturing community.
It's not all doom and gloom for the electric car market, however. As with any manufacturing innovation, where one company fails, another learns from those lessons and thrives. Manufacturers such as Toyota and Chevy, which have preexisting infrastructures and the ability to support vehicle lines that are not profitable in their early years, are doing well with electric-petrol hybrids. Chevy's Volt and GM's Spark EV are also smashing preconceived notions about plug-and-drive vehicles. These new electric cars deliver comfort, horsepower, and long-range driving between charges.
You don't have to be one of the major auto manufacturers to achieve success in the electric vehicle market. Tesla Motors, which provides a sporty electric car as well as a sedan, reported a modest profit for the first quarter of 2013 and repaid a loan of more than $450 million from the U.S. government. Launched in 2003, Tesla Motors has not previously turned a profit; experts are crediting the improvement to the critical success of the company's Model S sedan.
The success of some manufacturers in the electric car space is leading others to experiment with green transportation. As new electric cars hit the market and the crop of manufacturers grows, the manufacturing world is likely to develop new opportunities in this field. The lessons for now seem to be to tread lightly and avoid placing all your manufacturing eggs in an electric basket.
(Photo courtesy of -Marcus- / freedigitalphotos.net)
Become a member to take advantage of more features, like commenting and voting.
Register or sign in today!