Toyota Challenges Viability of EVs in Australia

Abdullah

03 Nov 2023

482 Toyota

Toyota Challenges Viability of EVs in Australia

Toyota has once again raised concerns about the practicality of electric vehicles (EVs) in the Australian context. The automaker claims that EV are not yet ready for Australian roads, questioning their green credentials and asserting that they remain "impractical for the vast majority of Australian motorists." This critique, however, has ignited a spirited debate within the country's automotive sector.

Toyota's Controversial Stance Draws Strong Reactions

Toyota's comments have been met with skepticism by popular electric car brands and industry groups, labeling the critique as a "cynical" attack by a company they perceive as "too slow off the mark." These detractors argue that Toyota risks lagging in the race for the future of the automotive industry.

Electric Vehicle Market on the Rise Despite Toyota's Concerns

Despite Toyota's reservations, the electric vehicle market in Australia has been on the rise, with sales more than doubling. Additionally, impending legislation promises to boost the supply of EVs in the country.

Toyota's Hybrid Alternative: Sean Hanley, the vice president of sales at Toyota Australia, made the controversial statements during the Japan Mobility show. He suggested that hybrid vehicles are "a better fit" for Australian motorists and might offer greater environmental benefits.
Tesla's Swift Response to Toyota's Claims: Hanley's comments, however, prompted a swift response from Tesla's vice president of public policy, Rohan Patel. Patel pointed to Australia's growing use of renewable electricity, stating that thousands of drivers were using "100% clean energy from the sun" to power their EVs. Australia's renewable energy sources generated 32% of the country's electricity in the previous year, mainly from solar, wind, and hydropower.
Impact on the Local Industry and Economy: Behyad Jafari, the chief executive of the Electric Vehicle Council, emphasized that Toyota's comments could potentially harm a thriving local industry. In 2022, Australia produced more lithium, a key element in EV batteries, than any other nation. Jafari argued that Toyota's stance goes against the best interests of Australian consumers and the country's economy.

Evolving Market Dynamics

While Toyota remains the top-selling brand in Australia, its market share has been dwindling, with electric vehicle market share on the rise. Electric rival Tesla, in particular, has seen substantial growth in sales. The Electric Vehicle Association's national president, Chris Jones, noted that the increasing popularity of EVs is due to the arrival of more electric models that are cost-competitive and environmentally friendly. Jones explained that in many cases, the cost difference between a hybrid vehicle and a full-electric model is relatively small, making EVs a more financially appealing choice over time.

Electric Vehicles Gain Momentum in Australia

Despite some exceptional use cases, such as towing extremely heavy loads in challenging driving conditions, the consensus among industry experts is that electric cars now meet the needs of the majority of Australian motorists and are an increasingly attractive option. The debate ignited by Toyota's comments reflects the evolving dynamics of the Australian automotive market as electric vehicles gain traction.

Toyota Electric Vehicles EVs in Australia Australian Automotive Market Tesla Electric Vehicle Viability Toyotas Critique Teslas Response Automotive Industry Hybrid Vehicles Renewable Energy Electric Vehicle Council Australian Economy Toyota vs Tesla EV Debate in Australia

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