29 May 2012 12:07 [Source: ICIS news]
LONDON (ICIS)--The use of plastics in electric vehicles (EVs) is expected to grow over the next six years as production of these vehicles is set to rapidly increase, business research and consulting firm Frost & Sullivan said on Tuesday.
Frost & Sullivan said electric vehicle production is set to grow at a compound annual growth rate (CAGR) of over 80% until 2017, while plastics used in these vehicles will also see major increases.
“The need to increase electric vehicle mile range, paralleled by the inherent advantages of plastics – particularly that of lightweight – will drive penetration rates,” it added.
The consulting firm said its analysis found that plastics in the electric vehicles market earned revenues of $500,000 (€400,000) in 2010 and estimates this to reach $73m in 2017.
It added that the analysis covers power train plastics, battery casing plastics, thermal management system materials and wire and cable plastics materials.
Frost & Sullivan said as the electric vehicles market takes off, it is set to have a positive ripple effect on the uptake of plastics.
“Plastics for EVs are driven by lightweighting trends which, in turn, are fuelled by the need to improve EV mile range,” said Frost & Sullivan research analyst Shree Vidhyaa Karunanidhi.
“EVs are typically characterised by huge batteries which add to the overall weight of the vehicle and affect the mile range. To compensate for the battery weight, metals are increasingly being substituted by plastic,” she said.
($1 = €0.80)
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