Construction on an EV battery plant was halted because of tariff fears Source: https://evlife.sg/blog/construction-on-an-ev-battery-plant-was-halted-because-of-tariff-fears Japanese battery company Envision AESC is pausing the electric-vehicle battery plant it announced for Florence, South Carolina, in late 2022, citing “policy and market uncertainty.” The company broke ground on the facility in late 2022, and has spent $1 billion on it already. Republican Gov. Henry McMaster, a supporter of President Donald Trump’s trade policies, told reporters, “We hate to see that happen, but a pause is OK.” He compared the decision to Volvo’s temporary suspension of production due to an auto-parts shortage earlier this week; that only lasted a couple of days. Restarting a billion-dollar-plus factory is a different animal, but McMaster urged his citizens to “relax.” The Envision AESC plant in Florence is expected to produce battery cells for BMW, which will assemble them in its own $700-million battery facility in nearby Woodruff, S.C. The German automaker also signed a deal with Envision AESC in 2022 to produce batteries for its plant in Spartanburg, S.C., where it will spend $1 billion to accommodate increased EV production. In an analyst call in April, BMW mused that it might increase production in South Carolina by 80,000 units. BMW plans for EVs to account for half its total production by 2030. Four months ago, weeks after President Trump took office, the Japanese battery-maker announced plans to scale back a further $1.5-billion expansion on a second South Carolina facility to provide batteries for a BMW plant in Mexico. BMW isn’t the only major EV manufacturer in the region. Volvo also has an EV plant in South Carolina, where it produces the EX90 and Polestar 3 EV SUVs, with talk of a new plug-in hybrid on the way; the company intends 90% to 100% of its products to be EVs or hybrids by 2030. In March, Hyundai opened its $7.6-billion EV plant in Georgia. All these moves have created a large market for secondary industries in the southeast, like auto parts—and batteries. These moves come at a moment of uncertainty for EVs in the U.S., and not just because of President Trump’s attacks on the industry or the end of EV tax credits in his “Big, Beautiful Bill,” or because Elon Musk’s behavior appears to be setting Tesla on fire. A survey this week from AAA found that only 16% of respondents were likely or very likely to choose an EV for their next car purchase. And yet: 2024 was a record year for sales of electric vehicles in the U.S.

Involution or evolution? China wants to stop the EV price war, but analysts are doubtful Source: https://evlife.sg/blog/involution-or-evolution-china-wants-to-stop-the-ev-price-war-but-analysts-are-doubtful As China’s electric vehicle price war intensifies, its top leaders have sounded the alarm with high-profile calls to halt excessive competition, known colloquially as “neijuan” or involution. While the buzzword has taken on various meanings in China to imply a race to the bottom, the term was mentioned in Chinese Premier Li Qiang’s annual work report in March. The market regulator’s meeting last month also called for “comprehensively rectifying ‘involutionary’ competition.” Earlier this week, senior executives of several Chinese EV makers were summoned to Beijing to “self-regulate,” Bloomberg reported. However, industry players and analysts have predicted that the competition will only increase. “A certain automaker has taken the lead in launching significant price cuts and many companies have followed suit, triggering a new round of ‘price war’ panic,” the China Association of Automobile Manufacturers said in a Chinese-language statement Saturday, translated by CNBC. The government-linked body was taking shots at EV giant BYD , which sparked the latest round of discounts on May 23, including a more than 30% price cut on one of its car models. “Disorderly ‘price wars’ intensify vicious competition,” the association said, warning of further pressure on profit margins and consumer safety risks. It called for companies to abide by fair competition and not monopolize the market or “dump” goods at prices below the cost of production. ″‘Price wars’ have no winners, much less a future,” People’s Daily, the official newspaper of the ruling Chinese Communist Party, subsequently said in an article, citing the Ministry of Industry and Information Technology. That’s according to a CNBC translation of the Chinese. The ministry will increase regulation of non-productive competition and cooperate with other departments to enforce laws promoting fair competition, the report said. The ministry did not immediately respond to a request for comment. BYD referred CNBC to its comment to China’s state media, in which the automaker said it firmly supports the manufacturing association’s calls for fair competition and creating a healthy market. Involution or evolution? Analysts noted that BYD’s latest markdowns are actually formalizing discounts that consumers would have likely received previously under China’s trade-in subsidy program, which aimed to boost consumption. Despite nearly a 30% market share, BYD faces competitive pressure as well, Nomura analysts pointed out in a report Monday. The automaker, which counted Warren Buffett as an early investor, reported 14% growth in sales last month, a slowdown from 19% year-on-year growth in April. “Given the current oversupply situation in the China auto market, we believe the most intense competitive phase is yet to come, until if we can see a meaningful market consolidation in the future,” the Nomura analysts said. Despite the rhetoric, there isn’t much that can be done about market competition, Zhong Shi, an analyst with the China Automobile Dealers Association, said last week. He added that other countries are also watching the intense competition in China’s car market and what it could mean for their local auto industries. The average price of a car exported from China has fallen since 2023, reversing an upward trend previously, according to figures published on social media by the China Passenger Car Association’s Secretary-General Cui Dongshu. For China auto sales to Germany, the average export price per vehicle has fallen to $21,000 as of this year, down from $30,000 in 2023, the data showed. In Mexico, the top destination for Chinese car exports, was an exception, with the average price rising to $13,000, up from $12,000 two years ago. In China, the average car retail price has fallen by around 19% over the past two years to around 165,000 yuan ($22,900), according to Nomura, citing industry data from Autohome Research Institute. There are other signals that the rush into electric cars has created oversupply. A “strange phenomenon” of secondhand cars being sold with zero mileage has emerged, Great Wall Motor Chairman Wei Jianjun said in a Sina Finance interview conducted in Mandarin on May 23. He added that around 3,000 to 4,000 vendors on Chinese used car platforms were selling such cars. Vehicles were registered as sales or deliveries for automakers, only to be sold on the secondhand market almost immediately, which inflated sales volumes. But this created “too much chaos”, prompting Wei to call for better regulation within the industry. Just an ‘appetizer’ China’s fast-growing market of battery-only and hybrid-powered cars has seen several price cuts over the last two years. The price war has yet to reach its peak, and “competition will become more intense in the next five years,“ EV startup ’s CEO He Xiaopeng told Chinese media last week, which the company verified with CNBC. “This is just an ‘appetizer’ of what is to come,” he added. He said that rather than competing on price, Xpeng would compete on technology and expand beyond China to the rest of the world. The startup has focused on making its driver-assist system a selling point and has delivered more than 30,000 cars a month for the past seven months. Last week, Xpeng released the Max version of its Mona 03 at 129,800 ($18,020), nearly 17% cheaper than when the lower-priced model was initially revealed in August. Like most electric car startups, Xpeng reported losses attributable to shareholders in the first quarter of around $90 million. Nio , which has focused on more premium vehicles, on Tuesday reported a loss of $949.6 million in the first quarter. However, Chinese smartphone company Xiaomi on Tuesday predicted its electric car business would turn a profit in the second half of the year, a company spokesperson confirmed to CNBC. The company entered the EV market last year with its SU7 sedan priced cheaper than Tesla’s Model 3, and is expected to take on the Model Y with a YU7 SUV this summer.

EV ecosystem urgently needed Source: https://evlife.sg/blog/ev-ecosystem-urgently-needed With electric vehicle (EV) adoption among Malaysians beginning to kick off, the need for a EV battery recycling ecosystem is more crucial than ever, say stakeholders. This is to prevent the irresponsible disposal of depleted batteries. “By recycling EV batteries, we can recover valuable materials like lithium, cobalt and nickel which can then be reused for other purposes or to make other batteries, making it less expensive to dispose of them. “This also reduces our reliance on mining (for these materials) while supporting a circular economy,” he added. To support such a recycling ecosystem, the government could consider implementing a mandate on manufacturers to only make EV battery designs that can be easily disassembled, he said. He added that a second-life policy for depleted EV batteries should also be considered, which would allow these devices to be repurposed for other energy storage applications. “This can include being used in stationary energy storage systems to support the national electricity grid, helping to stabilise the grid during peak periods or emergencies. “This will require investment in training programmes for battery recycling and repairs as EV producers look to extend the lifespan of EV batteries beyond their original purpose,” Chuah said. “Challenges such as the lack of localised recycling facilities or unclear accountability among stakeholders could hinder the setup of such an ecosystem. “This could lead to the public finding it too difficult or pointless to recycle EV batteries – either due to inconvenience or feeling no social pressure or responsibility to do so,” he said. To overcome this, he said the government should look into setting up a national recycling centre which would mandate that EV battery recyclers meet international standards. By having a centralised body and system, this would help provide assurance and confidence to the public while also making it easier to track EV batteries in the country – from the moment of production to end-of-life. “Education on safe disposal and take-back options must also be driven into the public to better ensure higher compliance,” Farhan added.

Brazil sues China's BYD over alleged slave-like labour at EV plant site Source: https://evlife.sg/blog/brazil-sues-china%27s-byd-over-alleged-slave-like-labour-at-ev-plant-site Brazilian prosecutors are suing Chinese electric car giant BYD and two contracting companies for human trafficking and alleged slave labour conditions at a build site, according to legal documents seen by AFP Thursday. The case concerns 220 Chinese workers found last December in conditions "analogous to slavery" at a BYD plant under construction in Camacari, in the northeastern state of Bahia. Bahia's regional ministry for works (MPT) said in December it had found "degrading working conditions" at the site being built, expected to be BYD's largest electric car plant outside Asia. Workers slept without mattresses and, in one case, 31 people had to share a bathroom, it said. Laborers had "visible signs of skin damage" from working long hours under the sun. The MPT said it also suspected "forced labour," with illegal clauses in workers' contracts, passports confiscated and the employer withholding as much as 70 per cent of their salary. Workers were monitored by armed guards. After the allegations were made public, BYD's Brazilian subsidiary said it had broken its contract with the Jinjiang contractor responsible for work on the site. Jinjiang denied the slavery allegation. The MPT is now seeking 257 million reais (US$45.3 million) for "collective moral damages," as well as individual payments for each worker. The civil suit against BYD, Jinjiang and Tonghe Intelligent Equipment (now Tecmonta) was filed after the companies refused to sign a "conduct adjustment agreement" proposed by Brazilian authorities, the MPT said. On Thursday, BYD said in a statement it had collaborated with the MPT from the beginning, and "reaffirms its non-negotiable commitment to human and labour rights, guiding its activities by respecting Brazilian legislation and international labour protection standards." Chinese foreign ministry spokeswoman Mao Ning told reporters Beijing "places great importance on protecting and safeguarding workers' legitimate rights and interests," and requires Chinese companies to "operate in compliance with laws and regulations."

Here's Why EV Batteries Won't Just Go To Landfills Source: https://evlife.sg/blog/here%27s-why-ev-batteries-won%27t-just-go-to-landfills It's one of the most common counter-arguments to EVs: Isn't that big, toxic battery just going to end up in a landfill after a few years. The answer, of course, is no. Here's why. The first reason is obvious. These batteries don't just last a couple of years. They have clearly proven that they can outlast the average lifetime of a car. Sure, some companies had teething issues with their battery designs, but once you work through those it's relatively easy to consistently produce high-quality packs. Not only that, but manufacturers have strong incentives to make them last. EV batteries in the U.S. must be warrantied for eight years and 100,000 miles. Since battery replacements are so expensive, car companies cannot afford to have a significant number of failures within the warranty period, so they must overbuild them to ensure their longevity. That's a win for you. But there's a bigger reason why EV batteries won't end up in landfills. They're too valuable. While the ultra high-demand application of an electric vehicle may lead you to replace a pack that still has 70% of its original capacity, that same battery will still be plenty useful elsewhere. The outlet spoke to Australian engineer Francisco Shi. Shi has started getting EV batteries from scrapyards and hooking them up to a disused grid connection at a former industrial building. Using the grid and solar panels, Shi can charge up the batteries when the sun is shining and grid prices are low, then sell it back during peak demand hours. He wins, because he makes a couple grand in profit every month, Australia wins because its lumpy power production curve gets smoothed out and the scrapyard wins because they can sell batteries to other consumers who want to do the same thing. It's not hard to imagine this type of system scaling. Our ability to produce solar panels and, thus, clean energy is increasing constantly. But in the sunniest places with the most solar penetration, we're already producing so much power that it can't all be used. The grid—which was built around consistent sources of energy—needs far more storage to take advantage of renewable sources like solar and wind. EV batteries will help it do that. That should lead to lower electricity prices for everyone, and far fewer carbon emissions. If, however, nobody wants the battery, it's still not going to end up in a landfill. The raw materials inside are far too valuable to be discarded, which is why a battery recycling supply chain is spinning up across the world. It's not all there yet—there just aren't enough batteries being thrown out at this point—but countless businesses are working on figuring out the economics of large-scale automotive pack recycling. Point is, battery waste shouldn't be much of a problem. Batteries are valuable, and when society values something, it's far less likely to waste it.

VinFast Finds Strategic Opening in Gulf’s EV Shift Source: https://evlife.sg/blog/vinfast-finds-strategic-opening-in-gulf%E2%80%99s-ev-shift The Gulf nations offer more than growth potential. For VinFast, it presents a well-timed opportunity to expand into a region that’s actively investing in clean transportation while remaining open to new players. Gulf countries are reinventing themselves, quickly. They are now investing in cleaner energy, modern infrastructure, and long-term economic resilience. National strategies like UAE Vision 2031 and Qatar Vision 2030 are pushing change across energy, transport, and technology. Electric vehicles can play an important part in this shift. They support environmental goals and open up new industrial opportunities, helping to build new value chains and attract long-term investment. What's more, people in the region are already warming up to EVs. In the UAE, for example, 63% of residents want EVs to be their main way of getting around by 2025, according to a YouGov survey. Around 73% believe that by 2028, charging stations will be available every few kilometers. These findings show that consumers are ready for change and already have expectations for the infrastructure. They're looking for reliable options, and they're open to new brands that can deliver quality and long-term support. Governments are playing an active role in speeding up this transition, in part to prepare for a post-oil future. Countries across the Gulf are investing in EV strategies as part of their broader economic diversification plans. Qatar's EV Strategy 2021 is already showing results. Over 70% of its public buses are now electric, and its policies promote local assembly, training, and infrastructure partnerships. Oman is also making progress, with initiatives like Net Zero 3 aimed at cutting emissions and reducing fuel use. The country plans to have at least 22,000 EVs on the road by 2040 and to phase out fossil fuel vehicles by 2050. From a bird's eye view, these policies reflect broader national and regional goals to diversify the economy and reduce reliance on fossil fuels. Meeting those goals requires partners who can contribute to more than just car sales, leading governments to look for companies that will help build service networks, support local jobs, and stay for the long term. The call for growth in untapped markets is proving irresistible to international brands. One of them is VinFast, the best-selling car brand in Vietnam. It is stepping into this space with the right offer at the right time, bringing more than ambition. The company has already opened a dealership in downtown Dubai and launched a showroom in Muscat. Its models are smart, practical, and priced to attract high-paying consumers. The Gulf's EV market is still developing, which gives early entrants like VinFast a real advantage. There's space to build customer trust, establish brand recognition, and help shape the expectations of a new generation of EV buyers. By coming in early and backing up its presence with reliable service and local engagement, VinFast can stand out in a space that is filling up fast. For VinFast, a global brand that has established a presence in more than a dozen countries, the Gulf nations and the broader Middle East region are not merely another stop on the map. They represent a strategic move that aligns with both what the company offers and what the region needs. Demand is rising. Policies are in place. And the door is wide open.

Source launches its first UK ultra-rapid EV charging hub Source: https://evlife.sg/blog/source-launches-its-first-uk-ultra-rapid-ev-charging-hub UK-based EV charging provider Source, a joint venture between global energy companies SSE and TotalEnergies, has opened its new ultra-rapid charging hub, located at Ocean Terminal in Edinburgh, Scotland, to the public. The 12-bay hub, featuring six 160 kW chargers, is supplied with renewable energy and infrastructure from SSE, as well technology from TotalEnergies. Source plans to open more than 300 EV charging sites in the UK and Ireland over the coming five years. “Our ambition,” said Source Managing Director Deepa Chandrasekaran, “is to capture 20% of the UK and Ireland’s ultra-rapid market by delivering hubs that are easy to find, easy to use and built for the future.”

Chinese EV trucks poised to build the cities of the future Source: https://evlife.sg/blog/chinese-ev-trucks-poised-to-build-the-cities-of-the-future IF you think the world is starting to get used to surging sales of Chinese-made electric cars, the next wave of exports is going to be bigger, and more powerful. That’s because the construction machinery giants that grew fat off the country’s property bubble are looking for new markets to offset the downturn at home. Combined with looming electrification, the effects could be quite as dramatic as the other Made-in-China export booms which have so troubled trading partners. In 2020, 83% of its business was selling excavators, cranes, concrete mixers and the like to domestic developers. In the space of just four years, China’s property crash has caused its turnover in that market to shrink by two-thirds. Overseas markets now account for more than 60% of revenue. It’s hoping to raise US$1.5bil via a Hong Kong initial public offering to help it double international sales to 100 billion yuan (US$14bil), the South China Morning Post reported. Sany isn’t alone. Its local rivals XCMG Construction Machinery Co, Zoomlion Heavy Industry Science & Technology Co and Guangxi LiuGong Machinery Co are all facing the same collapse of activity on the home front, where housing starts in the first four months of 2025 fell to their lowest level since 2003. That’s left dismal returns on all the assets they built to service a market that’s since disappeared – below 5%, less than half what Caterpillar Inc manages and well below the 7.7% at Komatsu Ltd. The best way out is to find export markets to get the production lines for all those diggers, dozers, lifters and trucks humming again. Zoomlion’s international sales have followed Sany’s in becoming the largest element of its revenue. XCMG and LiuGong aren’t far behind.

Chinese EV stocks tumble as BYD slashes prices up to 35% Source: https://evlife.sg/blog/chinese-ev-stocks-tumble-as-byd-slashes-prices-up-to-35%7C BYD Co led Chinese electric vehicle (EV) stocks lower in Hong Kong on Monday, as investors digested the auto giant’s sweeping price cuts of as much as 35% late last week. Shares of China’s No 1 selling car brand tumbled as much as 8.3%, while peers Li Auto Inc, Great Wall Motor Co and Geely Automobile Holdings Ltd dropped more than 5% amid investor concern about intensifying competition in the sector. BYD offered discounts on 22 of its electric and plug-in hybrid models until the end of June, fanning the flames of a renewed sector-wide price war. While EV sales have overall reached new annual highs, growth has been decelerating. To kickstart sluggish consumer demand — made worse by China’s broader economic malaise — automakers in the world’s biggest car market have slashed sticker prices. Even so, stock levels at dealerships last month reached 3.5 million cars, or 57 inventory days, the highest since December 2023, according to data shared last week by the China Passenger Car Association. Revisions by BYD include paring the price of its Seagull hatchback to 55,800 yuan (US$7,780 or RM32,609), a 20% reduction to a model that was already the carmaker’s cheapest and one that had garnered global attention for its sub-US$10,000 price tag. The Seal dual-motor hybrid sedan saw the biggest price cut at 34%, or by 53,000 yuan to 102,800 yuan. In recent months, BYD has attempted to clear inventory of older models, including ones without the new driver assist features — which the automaker announced in February would be added to its models for free. The pivot hasn’t been without problems, further hurting the struggling dealerships it does business with. “While some of these discounts have been in place since April, the official announcement sends a strong signal of how tough the end market is,” Morgan Stanley analysts including Tim Hsiao wrote in a note. BYD’s latest cuts are expected to have a knock-on effect, as rival automakers further trim their prices, slicing deeper into already thin margins. The intense pricing pressure is straining many carmakers’ bottom lines, leading to mounting financial losses and industry consolidation. “We anticipate peers to follow BYD’s price cut,” analysts at Citi Research wrote, noting that Chongqing Changan Automobile Co announced a cash discount of 25,000 yuan for its Deepal S07 model over the weekend while Zhejiang Leapmotor Technologies Ltd adjusted prices for its C16 full-size crossover sport utility vehicle (SUV) and mid-sized SUV C11. Citi estimated that after the weekend’s discounts, BYD dealership traffic may have surged between 30% to 40% week-on-week. Should that foot traffic translate into sales, BYD’s May volumes could keep their upward trajectory. The Shenzhen-based group posted its best month of sales yet for 2025 in April, a further sign that despite the broader industry pain, it’s on track to hit its full-year target of 5.5 million deliveries. BYD is also gaining ground overseas. It sold more EVs in Europe than Tesla Inc for the first time last month, overtaking the American brand that long led the continent’s EV segment.

Thailand widens EV perks as Japan-China auto rivalry heats up Source: https://evlife.sg/blog/thailand-widens-ev-perks-as-japan-china-auto-rivalry-heats-up With Thailand’s auto sales plunging by more than 25 per cent amid geopolitical headwinds and regional rivals nipping at its heels, Bangkok is racing to secure its status as South-east Asia’s electric vehicle (EV) hub – rolling out broader tax incentives to keep both Chinese and Japanese carmakers onside. The Thai government recently sweetened the pot of tax and other incentives to cover all types of EVs, including hybrid EVs (HEVs), plug-in hybrid EVs (PHEVs), and mild hybrid EVs (MHEVs). Observers said the latest policy enhancement that cover a wide range of electric and hybrid vehicles – known as xEV – is intended in part to placate non-Chinese players in the market, particularly Japan’s auto giants. Amid Thailand’s ambitious push to become a leading electric vehicle (EV) hub in Southeast Asia, several Chinese manufacturers are drawn to the region’s enticing incentives and burgeoning market. However, these companies are now grappling with the stark challenges of local competition and a complex regulatory landscape.