The U.S. Is Way Behind In Driving EVs. How Do We Catch Up With the World?

Moves like renting vehicles, improving education and supporting new automotive legislation could help America take the lead in electric vehicle (EV) production and sales.

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ByBrendan P. Keegan

Opinions expressed by Entrepreneur contributors are their own.

If getting everybody to useelectric vehicles (EVs)were like theWorld Cup,players in the top bracketwould be pretty clear: With 51.7% of total EV sales for 2021, China would capture the tournament without breaking a sweat. Germany and the U.K. would still be in the game at 10.2% and 4.8%, respectively. At 9.3%, the U.S. would play, too.

But the U.S. is a bit of a wild card team, leaning perhaps too heavily onTeslato provide more thanhalf of its EV sales. Other areas of the world, such as France (4.7%) and Norway (2.3%), are still highly competitive, given theratio of sales to population, and Nordic Europe sells the most EVs as a share of total vehicle sales. For the U.S. to stave off these challengers and win the cup, it will have to improve its footwork with a few key strategies.

Related:Three Letters That Will Make Your Company More Successful and Sustainable

Why the U.S. doesn't dominate

Although Texas might be the state that's best known for loving big things, the entire U.S. has a general love affair with big vehicles and horsepower compared to areas like Europe. That's supported in other market and infrastructure areas, such as wider roads, more street parking and larger homes with multi-vehicle garages. Other areas of the world that don'thave this love affair have accepted smaller EVs as a logical solution to the space available.

Gas and electricity prices come into play, too. Althoughgas priceshave been volatile in recent months, the U.S. has been able to feed their cars — even the big ones — relatively affordably: The price ofa gallon of gas in Oslo, Norwayis $5, while theprice of a gallon of gas in New York Cityis $4.32.

But many countries are able to produce electricity at a cost far below that of gas, and their electricity expenses are less than those of the U.S. In Norway, thecost per 100 milesis $2.49. In the U.S., the cost per 100 miles is $4.02.

Geography affects EV adoption, as well. The U.S. has major cities, but people are more spread out overall compared to areas like Europe, which influencesthe demand and availability of EV chargers. This variance is noticeable during travel. I see a Prius every 10 to 20 vehicles on the east coast versus every five vehicles on the west coast. On my recent trip to Scotland over the Thanksgiving holiday, I saw more charging stations in a week than I do in a month in the U.S. There are signs in Europe that tell drivers wherecharging stationsare, and chargers are on main streets, at office buildings and even at hotels.

Finally, other regions have a greater sense of social responsibility that has made them faster than the U.S. to support EVs through partnerships,formal agreements, legislation and subsidies. The European Union has already mandated that all new cars and vans sold from 2035 onward are to have zero tailpipe emissions, compared to the U.S.'s target of having EVs represent 50% of light-duty vehicle (LDV) sales in 2030.Subsidies and incentives in Chinaplayed a key role in elevating the country's production well beyond that of the rest of the world.

Related:3 Old School Automakers Making Big EV Strides

How the U.S. can gain ground

Increasing EV sales in the U.S. requires an uptick in EV production along with a simultaneous development in the infrastructure necessary to make the use of the vehicles feasible. Although the U.S. is taking some positive steps, such as providing more funding through theBuild Back Better campaign, even greater government involvement and incentives can further support both of those areas. The more people that broadly support these types of moves, the easier it is for the government to make them. It's important for individuals to initiate and back new proposals.

There are many practices America could copy or make standard. In Norway,it's more costlyto register an internal combustion engine (ICE) vehicle than an EV. In Washington, D.C., people areallowed to use the HOV lane如果他们有电动车,这导致了一些人buy Priuses just because the use of those lanes reduced their commute time. Other practical considerations, such as putting EV parking and chargers closer to buildings, might improve adoption, too.

To get the change in attitude necessary for more support, people need toeducatethemselves about EVs. Learning about production, costs and technical maintenance can help consumers see the benefits of the vehicles. As part of this education, people can encourage each other to rent EVs. Trying out the vehicles will let consumers see for themselves that the cars perform well, which can alleviate worries about range, horsepower and comfort.

Related:Electrifying the future: Electric Vehicles can ensure Long-Term Sustainability

If we choose to win, we can

In many ways, the writing is already on the wall about ICEs and EVs. Countries around the world are changing policies to reduce ICE production in favor of EVs. Major manufacturers such asGeneral Motorsarecommitting to sustainable production changesthat meet new regulations, and they'reforming partnershipsto share technologies and accelerate the EV transition. These shifts mean it's going to get harder and harder for people to buy ICE vehicles, especially new ones with easy maintenance and low mileage.

Because America has been slow to read the ICE/EV message, we won't win the EV World Cup this time. But in the future, even as soon as the next cup, we could become finalists. By making a conscious, collective choice to embrace the advantages EVs offer, the U.S. has the potential not only to upset teams that have put in fantastic efforts but also to lead those best teams in ways that inspire the rest of the world.

Brendan P. Keegan

Entrepreneur Leadership Network Contributor

Chairman, CEO and President of Merchants Fleet

Brendan P. Keegan serves as Chairman, CEO and President at Merchants Fleet and was recently named the World’s Most Innovative CEO by CEO World Awards. Keegan is also the silver winner of Executive of the Year by Best in Biz Awards and a Stevie Awards bronze winner by American Business Awards.

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