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Global Automakers Declare Defense of Internal Combustion Engines…Sustainable Internal Combustion Cars in the Electrification Era



As environmental regulations tighten globally, the automotive industry has reached a critical juncture where they must choose between internal combustion engine (ICE) cars and electric vehicles (EVs). While many countries are increasing their emphasis on electrification and declaring an end to ICE vehicles, some automakers like BMW and Toyota have announced their intention to continue producing ICE vehicles.


Oliver Zipse, CEO of BMW, recently criticized the European policy of banning ICE vehicle sales after 2035 during a press conference in New York. He stated, “Considering both profitability and the environment, it is reasonable to develop fuel-efficient ICE vehicles alongside EVs,” and warned of the risks of hastily pushing electrification, emphasizing the lack of consumer purchasing power and necessary infrastructure.


In this context, the EU Commission decided to effectively ban the sale of ICE vehicles in Europe from 2035. Following this, Volkswagen announced plans to transition half of its new car sales to EVs by 2030, and General Motors (GM) plans to convert all its vehicle models to EVs by 2035. Other global companies like Jaguar and Volvo also plan to cease ICE vehicle production by 2030-2040.


However, BMW has not yet announced a complete electrification plan. Zipse expressed significant concerns over increasing dependence on China for raw materials and batteries. Currently, many companies, including Mercedes-Benz and Tesla, source batteries from China’s CATL, which has established itself as the world’s leading EV battery supplier.


Toyota is also implementing a strategy to protect ICE vehicles. Toyota has announced an investment of 4 trillion yen (approximately 40 trillion won) in EV development by 2030, but at the same time, it is investing billions in ICE development. Toyota plans to invest 4 trillion yen in various powertrains, including hybrids, plug-in hybrids (PHEVs), and fuel cell electric vehicles (FCEVs).


Ford has chosen a strategy to separate its EV and ICE divisions. Ford Model E focuses on EV-related technologies, while Ford Blue focuses on ICE vehicle production and cost reduction. Hyundai Motor Group plans to cease ICE production by 2045 but will pursue a dual-track strategy of hydrogen and electric power.


While there are clear challenges associated with the transition to EVs, many global automakers continue to strive to achieve profitability and environmental protection simultaneously by balancing ICE and EV production.


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