Page 15 - Bullion World Volume 4 Issue 10 October 2024
P. 15
Bullion World | Volume 4 | Issue 10 | October 2024
Net Zero: Automakers and
Consumers Putting Up Resistance
Ms Rhona O’Connell
Head of Market Analysis, EMEA and Asia Region, StoneX Financial Ltd
The significance to the PGM is their use in emission
control catalysts in gasoline-fuelled cars, plus platinum’s
importance in treating diesel particulate emissions.
Autos account for 40-42% of global industrial platinum
fabrication and 80-82% of palladium. The US EPA
estimates that greenhouse gas (GHG) emissions from
transportation account for ~28% of US GHG; the
European Commission pegs its equivalent at ~19%.
Europe rules require a 100% cut in CO2 emissions from
new cars sold, i.e. no new fossil fuel vehicles, by 2035.
There are already signs of slippage, however, with the
EU planning a 2026 review and the rightward shift in
some European nations is potentially disruptive. The
European Automobile Manufacturers Association called
in September for urgent action over “a continuous trend
of shrinking market share for battery electric cars…
sends an extremely worrying signal to industry and
policymakers. European auto manufacturers… call on
the EU institutions to [provide] urgent relief measures
before new CO2 targets for cars and vans come into
Ms Rhona O’Connell
effect in 2025 and to accelerate the CO2 regulation
reviews for light-duty and heavy-duty vehicles, currently
scheduled for 2026 and 2027 respectively, to 2025”.
Proposed global Net Zero The onward march of hybrid vehicles is due not least
emissions target schedules to consumers’ concern about BEV ranges and slow
implementation of charging infrastructure globally.
have been debatable
from the outset due to the The United States has set a 2035 target for 100% clean
electricity by 2035, and net zero by 2050; this may of
number of stakeholders course come under review after November.
involved, from government Electric vehicles continue to increase market share in
China, and cost-cutting is bringing prices down locally
bodies to consumers wary and in Europe.
of change. Some of this More than one auto company is changing tack. Most
is now becoming outright recently Volvo announced that it is to drop its plan to sell
pressure. only BEVs by 2030, shifting to a combination of BEV and
PHEV. (Note hybrids include ICE engines, ususally with
heavier loadigs than 100% ICE vehicles).
15
