New Car Registrations: Sale Of New Cars – March 2020

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This Is A Time For Reflection. For Us, As Individuals And Businesses, To Evaluate Our Relationship With Mobility, And In Particular, Find Ways To Reduce Ownership Of Cars! 

Despite the impact of the Coronavirus predicament on the sale of new cars in the UK, we believe there is a silver lining for us, as a broader society.  For March 2020, compared to the same period last year, registrations were down a significant 40.4% for private cars and 47.4% for fleet.  Year-to-date there has been a decrease of over 30% for private and fleet registrations.  

Diesel and petrol internal combustion engine (ICE) vehicles have seen the most significant decline in March 2020. In March 2020, compared to March 2019, diesel registrations are down by 61.9% and petrol registrations down 49.9%.  

New Car Registrations March 2020 SMMT
New Car Registrations: March 2020 (SMMT)
New Car Registrations March 2020 SMMT
New Car Registrations: March 2020 (SMMT)
New Car Registrations March 2020 SMMT
New Car Registrations: March 2020 (SMMT)

Not surprisingly, sale of battery-electric vehicles (BEVs) have continued to defy the broader market sentiment.  All-electric cars or pure electric cars increased by a phenomenal 197.4% in March 2020 compared to March 2019.  Year-to-date BEVs are up 204%, an astounding performance, given the overall automotive market.  These figures reinforce an important narrative, which companies like e-zoomed have been labouring.  

The underlying fundamental trend is strongly in the favour of green cars, as consumers seek cleaner solutions for transportation.  This trend will only continue to increase, till such time, zero-emission electric cars replace polluting internal combustion engine cars.  The upcoming ban on petrol and diesel cars will certainly play a role in expediting this process, such that we move to a lower carbon road transportation economy in the UK.  Of course, keep in mind, the sooner we migrate to large-scale emission free electric driving, the sooner we can achieve long-term targets of improved air quality levels.  

We urge all government authorities (local, regional and national) to identify learnings from the current crisis to execute a transportation framework and strategies, that can achieve long-term sustained benefit to society.  We urge the following:

  • Reduce personal ownership of cars in cities by 75% in the next 24 months.
  • Provide better public transportation solutions and shared mobility solutions, to include e-cars, e-bikes and e-scooters. 
  • Ban all diesel vehicles from city centres with immediate effect.  

We also urge all consumers, private and fleet, to reduce their ownership of vehicles.  To create transportation strategies that increase utilisation rates of vehicles, reduce vehicles (fleet size), lower transportation costs and lower pollution levels (air and noise).  We urge all consumers to target a 50% reduction over the next 24 months.  Of course, we also encourage replacing incumbent ICE fleets with zero-emission battery-electric vehicles (BEVs)

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Ashvin Suri

Ashvin has been involved with the renewables, energy efficiency and infrastructure sectors since 2006. He is passionate about the transition to a low-carbon economy and electric transportation. Ashvin commenced his career in 1994, working with US investment banks in New York. Post his MBA from the London Business School (1996-1998), he continued to work in investment banking at Flemings (London) and JPMorgan (London). His roles included corporate finance advisory, M&A and capital raising. He has been involved across diverse industry sectors, to include engineering, aerospace, oil & gas, airports and automotive across Asia and Europe. In 2010, he co-founded a solar development platform, for large scale ground and roof solar projects to include the UK, Italy, Germany and France. He has also advised on various renewable energy (wind and solar) utility scale projects working with global institutional investors and independent power producers (IPP’s) in the renewable energy sector. He has also advised in key international markets like India, to include advising the TVS Group, a multi-billion dollar industrial and automotive group in India. Ashvin has also advised Indian Energy, an IPP backed by Guggenheim (a US$ 165 billion fund). He has also advised AMIH, a US$ 2 billion, Singapore based group. Ashvin has also worked in the real estate and infrastructure sector, to including working with the Matrix Group (a US$ 4 billion property group in the UK) to launch one of the first few institutional real estate funds for the Indian real estate market. The fund was successfully launched with significant institutional support from the UK/ European markets. He has also advised on water infrastructure, to include advising a Swedish clean technology company in the water sector. He is also a member of the Forbury Investment Network advisory committee. He has also been involved with a number of early stage ventures.

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