Emerging U.S. EV Makers on the Move: Many announce plans to launch in 2021
Each company developing its own unique product and sales strategy to gain competetive edge
|Lucid Motors’ AMP-1 (Advanced Manufacturing Plant) in Arizona which will begin the production of luxury EV sedans in 2021
(Source: Lucid Motors)
With the background of activities to reduce carbon globally, major countries and regions have announced policy goals to limit the use of gasoline vehicles and introduce electric vehicles. Automotive companies have become increasingly active in the development of electric vehicle technologies and in their planning to expand the introduction and lineup of new EVs. Among the emerging EV ventures in the U.S. that have been established one after another since 2000, several major manufacturers that have been developing products and making production preparations have announced plans to start production of mass-market vehicles, many of them in 2021 and 2022.
In terms of product strategy, these emerging manufacturers will seek to differentiate themselves by creating uniqueness in their market introduction strategies, such as taking the ultra-luxury/high performance route or emphasizing practicality and efficiency, and in terms of sales strategy, they are pursuing such concepts as direct sales networks, manufacturer-direct sales, fleet customer focus, and subscription-only. There is also a marked contrast between manufacturers that focus on their proprietary technologies and in-house manufacturing and those that seek cost advantages by outsourcing components and manufacturing. Many companies are trying to secure and expand the scale of their operations by forming alliances with major fleet customers and selling components externally.
In addition, for emerging manufacturers, securing funds for technology development and production preparation has always been a major issue, and as a countermeasure, many EV manufacturers have listed or are planning to list on the stock market and raise funds using the Special Purpose Acquisition Company (SPAC) structure, which is now recognized as a new method of IPO (Initial Public Offering).
Emerging EV makers are aiming to secure a share of the growing electric vehicle market through their superiority in a target market, but the competitive environment is severe as major OEMs with strong production systems and sales networks are also planning to launch various new EVs at the same time.
This report is an update to our previous report (published April 27, 2020), which presented the trends of emerging EV manufacturers in the U.S., providing the latest developments of manufacturers that have announced specific market launch schedules.
U.S. Biden Administration to Enact Tougher Fuel Economy Regulations to Promote EVs (Jan. 2021)
OEM Operations in the U.S. in 2020 (Dec. 2020)
The Routes to Carbon-neutral Freight Transport (Dec. 2020)
Is Tesla an Auto Company or a Tech Company? (Nov. 2020)
Electric Powertrain Market Forecast in Major Countries (Oct. 2020)
OEM Measures to Expand Sales of SUVs and Pickups in the U.S. (May 2020)
Emerging U.S. EV makers: Full-fledged market entry from end-2020 (Apr. 2020)