Rift forming Big Oil OEMs

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【Summary】The automotive industry and Big Oil have historically been aligned, but a rift may be forming. They collaborated in the past to build US road infrastructure and discourage electric vehicles (EVs), which were seen as expensive and disruptive. However, EV sales have been surging, and a 35% increase in unit sales is predicted for 2023. This suggests a potential disagreement between the two industries.

FutureCar Staff Aug 31, 2023 12:05 AM PT

For many decades, the automotive industry and Big Oil have been closely connected. In the 1950s, these two industries joined forces to expand the road infrastructure in the United States and promote a culture that heavily relied on private vehicles. They were also in agreement about electric vehicles (EVs) for quite some time, as they were seen as expensive, disruptive, and a threat to their profits.

However, the past five years have brought significant changes. The sales of EVs have been on a steady rise, defying the previous concerns. According to the International Energy Agency (IEA)'s Global EV Outlook 2023 report, there is a projected 35% increase in unit sales of EVs from 2022 onwards.