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How smaller, more affordable electric cars can accelerate the green transition
(theconversation.com)
this post was submitted on 18 Jan 2025
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Correct me if I'm wrong, but isn't part of the problem that the auto industry wants to chase the higher profit margins on larger vehicles? As long as the perverse incentive is present it's going to be an uphill battle to get them to produce more compact, cost effective cars.
EPA rules also play a part. Why we can't have small trucks:
https://www.google.com/search?client=firefox-b-1-d&q=Why+we+can%27t+have+small+trucks
Pick any source ya like.
That's exactly the problem — in the US there's an extra tariff on larger vehicles, so the manufacturers face less competition and therefore earn greater profits if they only make big vehicles.
An argument I heard was that larger and luxurious cars finance the technology development necessary to produce more economic cars. Which I guess is true to some extend.
But there are also many other aspects that favor large and expensive cars over cheap and economic. We still should demand tighter regulations on cars.