According to the latest report from Japanese automaker Toyota , the company has cut its electric vehicle production plan for 2026 by one-third. This is considered the latest move by a major automaker to cut electric vehicle production amid the recent slowdown in demand for electric vehicles.
Global sales of electrified vehicles, including both pure electric and plug-in hybrid vehicles, are expected to grow 20% in the first half of 2024. This is slower than expected, with Europe growing just 1% over the same period, according to data from market research firm Rho Motion. Meanwhile, hybrid vehicle sales have increased significantly.
Here are the automakers that have lowered expectations for electric vehicles, in chronological order from most recent to oldest.
Toyota
According to Nikkei on September 6, the world's largest automaker from Japan has adjusted its plan to produce 1 million electric vehicles by 2026, compared to the previously announced target of 1.5 million vehicles.
Toyota previously said there would be no change to its plan to produce 1.5 million electric vehicles per year by 2026, and 3.5 million by 2030. However, the company said these figures were not targets, but benchmarks for shareholders.
Volvo
Swedish automaker Volvo has now scrapped its goal of going all-electric by 2030, saying it will still offer some hybrid models by then. Volvo had previously set a target of 90% to 100% of its cars sold by 2030 being pure electric or plug-in hybrids, with 10% being mild hybrids.
Volkswagen
Volkswagen - Europe's largest carmaker - still maintains its goal of electric vehicles accounting for 70% of sales in Europe and 50% in the US and China by 2030. Although the company has previously reported that demand for electric vehicles is slowing down.
However, last August, the group's chief technology officer said that Volkswagen's plan to build a battery factory had not been finalized, as it depended on the demand for electric vehicles.
Ford
Also in August, Ford cut its planned annual capital spending on pure electric vehicles from 40% to 30%, in order to focus on hybrids. The company said it would cancel plans to build an electric SUV and delay the launch of an electric version of its best-selling pickup truck.
Porsche
The German luxury carmaker downplayed its electric ambitions in July, saying its goal of 80% pure electric sales by 2030 could only be achieved if demand and growth in the electric vehicle sector warranted it.
Renault
At the beginning of 2022, Renault CEO Luca De Meo had targeted that all of the company's sales would be entirely electric by 2030. But that target has now changed, with brand CEO Fabrice Cambolive saying Renault will pursue a dual strategy with both electric and internal combustion engine vehicles in the next 10 years, that is, after 2030.
Previously, in July 2024, De Meo said he was unsure about the timeline for completely switching production to electric vehicles in Europe.
General Motors (GM)
In June 2024, GM cut its electric vehicle production forecast for 2024, and in July it also declined to elaborate on its forecast of producing one million electric vehicles in North America by the end of 2025.
Mercedes
In February 2024, the German luxury carmaker said that sales of electric vehicles, including hybrids, would account for 50% of its total by 2030, five years later than the company's forecast for 2021.
The company has also delayed plans to increase the battery capacity of its vehicles, as demand for electric vehicles has not increased.
Bentley
Bentley has set a goal of producing only pure electric cars by 2030, but CEO Adrian Hallmark said in March that hybrids would likely still be sold after that.
Aston Martin
The British carmaker has postponed the launch of its first electric car in February 2024 due to low demand.
