Electric Car Market is Badly in Need of a Charge - The Detroit News
SEE ALSO: ELECTRIC VEHICLES-SOLUTION OR DIVERSION?
Washington DC October 19, 2012; The AIADA newsletter reported that according to The Detroit News the electric vehicle industry is in serious trouble, or at least far behind where its proponents had hoped it would be.The Detroit News reported that on Tuesday, one of the nation's largest electric car battery companies – A123 Systems Inc., which has 1,000 workers and contractors in Michigan – filed for bankruptcy.
It has lost $900 million since 2007 amid sluggish electric vehicles sales. After years of promises that electric cars would end the nation's reliance on imported oil, the bad news has been steady in recent weeks, with reports of lagging sales and projects being pushed back. Despite high gas prices, established automakers and start-ups are struggling to convince Americans to buy the cars.
In Washington, the political consensus in favor of electric vehicles has (deservedly-TACH) evaporated. Electrics remain far more expensive than gasoline-powered vehicles, despite hefty government tax credits. Recharging stations remain limited. That's part of the reason why plug-in hybrids, like the Chevrolet Volt, which have an auxiliary gasoline engine, are doing better in the marketplace than battery-electrics.