FleetDrive 24 - August 2020 | Page 30

CARBON COPY HYBRID HIKE SURPRISINGLY STRONG The UK plans to essentially “copy and paste” European Union regulations on average carbon dioxide targets for cars once the country fully leaves the EU at the end of this year. This plan means nothing will change for carmakers on 1 January 2021, when the transition period for Brexit ends. When a small majority of British voters voted to leave the EU in 2016, they did so in the hope of introducing their own regulations, deviating from those imposed by the rest of Europe. However, car manufacturers have since made it clear they do not wish to adhere to a double set of standards – one for the UK, one for the European mainland. Another obstacle to introducing British regulations is to be found in Northern Ireland, which continues to follow EU single market rules under the terms of the EU Withdrawal Agreement. Carmakers will still face fines for every gram of CO2 they exceed the 95 grams per kilometre limit, but it will amount to £86 ($157 AUD) instead of €95 ($174 AUD). Sales of Volvo plug-in hybrids have increased by close to 80%, putting the carmaker well on its way to have its electrified models account for 20% of all global sales. Volvo Cars’ global sales during the first six months of 2020 fell by 20.8% to 269,962 cars, as governments in many key markets such as China, US and Europe implemented stay-at-home orders or other restrictions on movement. In spite of this fall, Volvo managed to take market share in China, the US and Europe, where Germany was among the strongest performing markets. It also saw an increase of 79.8% in demand for its plug-in hybrid models sold under the Volvo Recharge brand. The company returned to sales growth in China in the second quarter and made up much of the ground lost in the first quarter, as it recorded an overall sales drop of only 3.0% in the first half. The US also returned to growth in June, although sales fell by 13.7% year-on-year in the first half, while sales in Europe were 29.5% lower during the six-month period. “The downturn we saw in the first half is a temporary one,” said Volvo’s Chief Executive Håkan Samuelsson. “We expect to see a strong recovery in the second half of the year and our Recharge range of electrified cars puts us in a strong position to meet the emerging trends we are seeing.” New Zealand Motor Industry Association Chief Executive David Crawford says that July 2020 registrations came in at 3.1% over July 2019 with 12,263 vehicles registered, up 366 units on the same month this time last year. “Year to date the market is down 24.8% in a year that is heavily affected by the Covid-19 pandemic which makes July a surprisingly strong result given the worldwide economic conditions,” he said. “Sales of both passenger and commercial vehicles were up on the same month in 2019.” Across July there were 90 pure electric vehicles, 69 PHEV’s and 1,045 hybrid vehicles sold. The top three models for the month were the Toyota RAV4 (796 units), followed by the Ford Ranger (781 units) with the Toyota Hilux in third place (627 units). “Returning cashed up Kiwi’s and alternative spending to international travel is thought to be behind the July result,” Mr Crawford said. “However, as the year progresses the economic outlook is for a continuing tightening market.” 30 ISSUE 24 AUGUST 2020 / WWW.AFMA.ORG.AU