Daimler CEO: Electric cars are still niche models for ten years

While the world’s major car makers are ramping up to enter the electric car, the CEO of the Daimler Group, the car giant, has admitted that it is not optimistic about the future of electric vehicles.

A few days ago, when Zechet made a speech in Stuttgart, Germany, he bluntly stated that he was not optimistic about the prospects for the future of electric vehicles. Electric vehicles are still a niche model for ten years. In the conversation, he even used "single digits" to predict the overall market share of electric vehicles in the next decade.

Cai Che believes that high prices are the culprit of the electric vehicle's occupation of the market. In fact, in recent days, despite the enthusiasm for electric vehicles in various countries, the high prices have hampered the industrialization of electric vehicles. The investment in high R&D expenditures will inevitably lead to high prices. Regardless of the developing markets in Europe, the United States, Europe, or the automotive industry, prices are the most important factor for most consumers when they purchase cars. "It can be expected that in the future electric vehicles will be the cheapest to be more expensive than ordinary fuel-powered cars. Thousands of euros are available."

Cai Che turned his attention to the government and hoped that the government’s car subsidy could ignite the enthusiasm of consumers for near-indifferent electric vehicles. “The government must provide subsidies for the purchase of electric vehicles to compensate the car manufacturers for the cost of developing electric vehicles.” Cai Che said, “Overall, we need appropriate consumption stimulus policies.”

Although high-profile claims that the prospects for electric vehicles are not promising, Cai Che’s helm at the helm of the Daimler Group is clearly unwilling to fall behind in the electric car. In the Chinese market, as early as the end of May this year, Daimler and BYD, the Chinese auto industry's own brand, "flash marriage", for the development and production of electric vehicles. The first electric car jointly produced by both parties will be officially listed in 2013.