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The impact of EVs on Service Centres

Updated: Aug 30, 2023

Electric cars are expected to have a significant impact on traditional car service centers. As these cars use completely different technology compared to traditional gasoline or diesel cars, technicians and service centers will need to be trained and equipped to service and maintain electric cars.

While electric cars have fewer moving parts, they still require regular maintenance such as brake inspections and tire rotations. However, they do not require oil changes, spark plug replacements, or other routine maintenance that traditional cars do. This could lead to a decrease in revenue for traditional service centers, as they may not have as many customers requesting routine maintenance tasks.

On the other hand, electric cars have complex battery systems that require specialized skills and knowledge to maintain and repair. As a result, it provides an opportunity for technicians who specialize in working with electric vehicles to emerge. Service centers and technicians who can effectively service and repair electric cars may find themselves in high demand as the adoption of electric cars continues to grow.

According to industry analysts, the global electric vehicle market is expected to experience significant growth in the coming years. The market is projected to grow at a CAGR of around 22% from 2021-2026. Factors contributing to this growth include increasing environmental awareness, government incentives, and advances in technology resulting in lower costs for electric vehicles.

In addition, many governments around the world have set ambitious targets for phasing out gasoline and diesel vehicles in favor of electric vehicles. For example, the European Union has set a target of reducing carbon emissions by 55% compared to 1990 levels by 2030. To achieve this, they have proposed a Euro 7 emissions regulation that would essentially phase out the internal combustion engine in new vehicles, accelerating the transition to electric cars.

China and the United States are also important markets for electric vehicles, with both governments offering incentives to increase adoption rates. It's worth noting that the COVID-19 pandemic has slowed sales of electric cars, but analysts still remain optimistic about growth in the coming years.

The impact of EVs on Service Centres

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