2020 ‘turning point’ for Volkswagen EV sector with record sales

German carmaker Volkswagen Group delivered 212,000 electric cars in 2020, a 158% increase from a year earlier and a record high for the company despite a challenging market environment and an overall drop in sales due to the economic fallout of the Covid-19 pandemic, it said on Tuesday January 12.

The company reported total sales across all drive systems of around 5.328 million vehicles, a decline of 15% year on year.

Volkswagen launched nine new electric and plug-in hybrid models during 2020 and total deliveries of EV in Europe rose to 12.4% in 2020 compared with 2.3% in 209.

“2020 was a turning point for Volkswagen and marked a breakthrough in electric mobility,” Ralf Brandstatter, chief executive officer for Volkswagen’s passengers cars division, said.

Demand from the electric vehicle (EV) sector is rapidly increasing and appetite for lithium – a key ingredient in the manufacturing of lithium-ion batteries that power EVs – is growing.

Europe is set to become an increasingly important market for EV uptake, especially given European governments’ emphasis on green and sustainable infrastructure for the coming years.

Fastmarkets’ lithium hydroxide monohydrate 56.5% LiOH.H2O min, battery grade, spot price ddp Europe and US stood at $9-11 per kg on Thursday January 14, steady since early December 2020.

Market participants expect demand for lithium hydroxide to increase in the coming years, coinciding with the development of higher-performance batteries and vehicles with longer driving ranges.

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