After abnormal years due to the Covid-19 pandemic and problems in production chains that affected the supply of parts, the automotive industry experienced a year of return to normality in 2023, which was somewhat reflected in the values of registered vehicles across Europe: In the first eleven months of the year, all European Union markets except Hungary grew, according to data from the European Automobile Manufacturers’ Association (ACEA).
With data still missing for the month of December, 2023 will also be a year of solid growth in the Portuguese market: between January and November there was an increase of 27.8% according to values compared to the same period last year. of the Automobile Association of Portugal (ACAP), with its general secretary Helder Pedro, who emphasizes that “the year 2023 is in fact a year of recovery, although still below the values of 2019, that is the year we had before the pandemic have compared. But we are on par with other countries in Europe – the situation is similar to, let’s say, a trend towards market stabilization.”
In this sense, the person responsible for ACAP understands, based on ACEA estimates, that the coming year will also be a year of growth, but not at the rates of 2023, that is to say that we will have a certain stabilization of the market shall see.
Driving this growth movement, electrification “is the order of the day, it is a situation that has grown exponentially in Portugal and also in Europe”, and is expected to remain so in 2024. It is important to maintain incentives for purchasing electric vehicles, given the political will to regulate the transition to zero emissions.
“At ACAP we remain committed to the position that the issue of electrification also somehow stems from a political basis, that is, we are in the European Union and what is happening is that, or the Commission, the Parliament or the Council, all decision-making bodies have invested in the decarbonisation targets we know: reducing emissions by 55% by 2030 and having only zero-emission vehicles by 2035. Therefore, a fast path must be taken. followed and what we have said is that the automotive industry is part of the solution and is launching new electric and electrified models every day. This also cannot be done without efforts from the public side, as it is, let’s say, the politicians who also wanted to give Europe a boost,” he notes.
Financial support for the purchase of trams is therefore seen as necessary to actually focus on the transition to emission-free mobility. “We believe that not everyone has access to electrification yet and that there should continue to be support for the purchase of these vehicles. This year it happened [o apoio] it would be for charging, but what was said, and this is what is on the table, is the continuation of incentives for the purchase of electric vehicles. We do not know what kind of incentives, because the amount allocated is already insufficient compared to the market for these vehicles, but support must continue,” he emphasizes.
UVE highlights electric record
In the same line, Henrique Sánchez, president of the Association of Users of Electric Vehicles (UVE), highlights the year 2023 as the year in which “all sales records for new electric vehicles in Portugal and the world were broken”, which translates into This is next a very positive balance, which justifies this with facts such as the entry of new manufacturers into the market and the conversion of many existing manufacturers to the path of ‘pure’ electrification.
“There has been a very significant increase in the supply of new brands and new electric models on sale in Portugal, with greater autonomy – the average of 100% electric cars on sale in the country is more than 400 kilometers – and an increasingly comparable price compared to combustion engine equivalents,” he emphasizes. In fact, this effort by the automotive industry currently translates into the existence of more than 200 electric models sold on the national market.
Like Helder Pedro, the president of UVE also highlights the issue of incentives for the purchase of zero-emission vehicles, which “were another factor in the decision of many citizens when purchasing a new car, amounting to 4000 euros for private individuals and 6000 euros for companies”, in addition to the fact that the “public charging network has had a very significant expansion, both in terms of capillarity and available power, with 10,000 charging points, of which 3000 are fast, super-fast and ultra-fast.” fast chargers,” says Sánchez.
Maintaining incentives next year with a lower maximum sales price ceiling “will allow those with lower purchasing power to access these incentives, as it will eliminate applications with higher sales values,” the person in charge stressed. Another point that stands out is the shift of companies to the tram market, highlighting “the fleets of numerous electrified companies, of which CTT is an example, with 650 electric vehicles at its disposal, in addition to approximately 300 electric buses that connect the fleets of the various concessionaires”.
There is plenty of optimism for 2024, with Sánchez stating that “the indications we have are even more optimistic, given the arrival of new brands with a more affordable offer, with more accessible models between 20,000 and 30,000 euros, giving more and more citizens the opportunity to buy an electric car.” However, this optimism is complemented by other factors, such as the “entry into force, in April, of the Alternative Fuels Infrastructure Regulation (AFIR), making mandatory roaming a reality across the European Union, allowing electric car travel across the entire territory,” he recalls.
“The forecasts we have indicate a widespread acceleration in electric vehicle sales by 2024, due to the increase in supply across all categories. In addition, there are increasing concerns about the environment from citizens and companies and the absolute need to reduce the consumption of electric vehicles. fossil fuels through the electrification of road transport and the decarbonisation of the economy,” he concludes.
Used could also be an option
In a country where purchasing power is not equivalent to that of other European countries, the second-hand car sector is often the fallback solution for Portuguese motorists. After supply and prices stabilized following the peaks recorded during the pandemic, the used car market had a positive year in 2023, as noted by Nuno Silva, President of the Portuguese Automobile Commerce Association (APDCA), but “ the fall of the government and some delay in implementing some of the suggestions we have made which are continuing to deteriorate the sector itself, causing it concern.”
Here too, the issue of incentives is a relevant topic, with Nuno Silva saying it would be important to include used cars up to six years old in a proposal to encourage the purchase of more recent models rather than owners of cars from before 2007 with an increase in the IUC, as proposed in the state budget for 2024.
“Being [os novos automóveis] is greener, it is normal that we all want people to modernize their vehicles, for reasons of safety, pollution and all kinds of things. But for this there must be a different kind of incentives and what we have proposed to the government, and we hope that this issue will be addressed in the next elections, is not an increase in the IUC, but that conditions be created for the exchange of the number of vehicles “We understand that vehicles can be used for a maximum of six years because they already had Euro 6 engines that once also benefited from scrapping aid.”
Source: DN
