The former CEO and current President of Toyota boldly claims that “Internal Combustion Engines will always be in style.” In a country like Pakistan, where electric vehicles are surrounded by numerous misconceptions, it seems like the electric revolution is still far off in the future.
Toyota’s Outlook for 2023
As a major player in the Asian auto market, Toyota made a significant impact by selling 11,233,039 units worldwide. Surprisingly, electric vehicles only accounted for 0.9% of this sales figure, with Toyota and Lexus combined selling 104,018 electric cars. This has led the company to focus on producing more Internal Combustion Engines in the future. According to Chairman Akio Toyoda, the decision is based on the fact that the company operates in a global market where many people lack access to electricity. Therefore, a complete shift to electric vehicles could undermine the trust of their buyers.
Challenges Facing Electric Vehicles
The President believes that battery electric vehicles will never surpass a 30% market share due to the slow development of charging infrastructure worldwide. This is one of the reasons why automotive giant General Motors reversed its decision to focus on plug-in hybrids in North America.
Lexus Embraces Electric Vehicles
Despite Toyota’s emphasis on Internal Combustion Engines, it continues to dominate the market. However, the premium brand Lexus, a subsidiary of Toyota, has announced that it will stop producing gasoline cars, signaling a shift towards electric vehicles.
Toyota’s Commitment to Hydrogen-Burning Combustion Engines
Although Toyota has been a leader in hybrid and plug-in hybrid technology since the launch of the 1997 Prius, the company is not rushing into an all-electric future. In fact, it believes that Hydrogen-burning Combustion Engines have a greater potential to outshine Electric Vehicles. The automaker also emphasizes the importance of offering buyers a variety of options, including gasoline, hybrid, and fuel-cell electric vehicles.
