Rift between Big Oil and OEMs forming

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【Summary】The automotive industry and Big Oil have historically been aligned, but a rift may be forming. The rise of electric vehicles (EVs) has caused a shift in attitudes, as EV sales continue to increase. The International Energy Agency predicts a 35% growth in EV unit sales from 2022. This suggests a potential divergence between the two industries.

FutureCar Staff Aug 23, 2023 6:26 AM PT

For many decades, the automotive industry has been closely connected to Big Oil. Back in the 1950s, these two industries joined forces to develop the road infrastructure in the United States and promote a reliance on private vehicles. They were also in agreement for a while when it came to electric vehicles (EVs), as they were seen as expensive, disruptive, and a threat to their profits. However, a lot has changed in the past five years.

The sales of EVs have been steadily increasing, defying the initial concerns of the automotive and oil industries. According to the International Energy Agency (IEA)'s Global EV Outlook 2023 report, there is a projected 35% growth in unit sales from 2022. This surge in demand for EVs indicates a significant shift in consumer preferences and attitudes towards more sustainable transportation options.