Author: Li Yuanyuan
“China is leading the race for EVs, that’s a fact. And they’re working very hard to try and keep that pace for the future. But I want to tell them, they’re not going to win. We’re not going to let them win.”
On May 18th, President Biden visited the Ford Rouge Electric Vehicle Center in Michigan and test drove the soon-to-be-released Ford F-150 electric pickup truck. He delivered a speech at the center, reaffirming his administration’s commitment to EVs and determination to surpass China.
Ten years ago, in Michigan, then-President Obama visited a General Motors factory and test drove the star model of the American EV industry at the time, the Chevy Volt, to show his support for EVs. In 2019, the last Volt rolled off the production line, marking the end of its short life and the decline of EV development in the United States compared to the past.
Today, the Biden administration is promoting the F-150 electric version, with the hope of leveraging the star power of the gas-powered model and new high investment to rejuvenate the American EV industry. However, it is not an easy task to catch up with and surpass China and Europe’s rapid pace of EV development.
“The Chinese EV market shouldn’t be bigger than the US.”
On May 18, as scheduled, Biden visited the Ford Rouge Electric Vehicle Center in Michigan and test drove the soon-to-be-released Ford F-150 electric pickup truck Lightening.
When asked about his driving experience, Biden exclaimed, “This thing is fast!”
After the test drive, he spoke for five minutes. Biden made it clear that the future of the automotive industry is electric, and there is no turning back. The United States is at a crossroads, and the question is whether it can lead the future of EVs or fall behind other countries.
“Other countries” primarily refers to China.
Biden said it’s an undeniable fact that China is currently leading the electric vehicle race. While the US used to rank first in R&D investment globally and China was only ninth, now the US has fallen to eighth while China has become number one. “We can’t let that be sustained,” he said. “We have to pick up the pace.” Other countries are also accelerating their efforts, and time won’t wait for the US.
Biden pointed out that the US must set a new development pace and clear goals for the electric vehicle industry. “America is coming back. The future of the 21st century electric vehicle must be built in America.”
According to the White House website on the day, after the tour of the Ford factory, White House Press Secretary Jen Psaki answered media questions. She said President Biden believes that the U.S. electric vehicle market should be bigger than it is now, and the Chinese electric vehicle market should not be bigger than the American market.
At the same time, she pointed out that it will take some time to accelerate the development of the US electric vehicle industry, which is why President Biden needs to make the “largest-ever” historic investment in the electric vehicle industry.
The investment referred to by Jen Psaki is the $2.25 trillion infrastructure and economic recovery plan announced by Biden on March 31, which includes $174 billion in investment that will be implemented in the next eight years to help the US win back the electric vehicle market.
This $174 billion will mainly be used to strengthen the electric vehicle supply chain, provide tax incentives for consumers to purchase American-made electric vehicles, fund local governments to install 500,000 electric vehicle charging stations across the US by 2030, and complete the “oil change to electric” transition for the federal government fleet and 20% of the national school bus fleet.
President Biden personally test drove an electric vehicle to promote the electric car industry, and he’s not the first. In 2011, then-President Obama test drove a Chevrolet Volt.In July 2011, then President of the United States, Obama, visited the General Motors factory in Michigan and test drove a brand new Volt for 12 meters, becoming the first head of state to test drive an electric car in public. Obama also promised to buy a Volt after he left office.
That year, the Obama administration also released a series of subsidies and other preferential policies aimed at electric vehicles and related industries. As the star model created by General Motors to counter the Prius, the Volt became a political legacy of the Obama administration.
We don’t know whether Obama bought a Volt after leaving office. However, when his successor, Trump, came to power, he implemented a non-supportive strategy for electric vehicles. In 2019, the last Volt was off the production line. Its ten-year lifespan came to an end, and its performance was obviously not up to the expectations of the Obama administration.
Today, Biden has test driven the yet-to-be-released all-electric Ford F-150 Lightning, reminiscent of Obama’s experience with the Volt back in the day.
However, unlike the emerging Volt extended-range electric vehicle, the Ford F-150 has a strong user base in the United States. Since its launch in the United States in the 1970s, the gasoline version of the F-150 has been America’s best-selling pickup truck. Therefore, it has been chosen by Ford as an important vehicle model for accelerating electrification.
As Bill Ford, Chairman of Ford Motor Company, said, providing an electric version of America’s most popular vehicle (the F-150) is a huge boost to the industry. Biden’s visit to Ford also shows the U.S. government’s commitment to the electrification of automobiles. According to plans, the F-150 Lightning will be mass-produced and launched in mid-2022, and its sales are also expected to be high.
According to statistics from the International Energy Agency (IEA), as of the end of 2020, the global stock of electric vehicles exceeded 10 million units. Among them, 4.5 million are in China, 3.2 million are in Europe, and 1.7 million are in the United States, with the remaining electric vehicles scattered in other countries and regions.
Currently, the development of electric vehicles in the United States is far behind that of China and Europe.
Biden’s “largest investment in history” is huge, but whether he can serve two presidential terms and ensure the eight-year plan is implemented is still a question. The slogan of “not allowing China to win the electric car race” is also not something that can be achieved merely by throwing money at it.
This article is a translation by ChatGPT of a Chinese report from 42HOW. If you have any questions about it, please email bd@42how.com.