More than three years have passed since Dieselgate and its after effects started to shake the automotive industry to its inner core. There has been extensive media coverage, rising uncertainty and even panic at times in particular among private Diesel car owners. We have received countless questions on the impact on remarketing potential and risks, in particular with regard to Diesel-powered and battery electric vehicles (BEVs). Is Diesel really “dead” and will the hitherto struggling BEV sector serve as the saviour for an automotive industry under pressure? While any attempt to draw a line under the discussion will be fruitless, we have collected enough data and conducted enough studies and interviews to draw a serious preliminary conclusion on the topic. Let us separate fact from fiction, there is no need to panic and uncertainty is much lower than you might think.
The main purpose of this report is to provide an objective assessment of the risk position of Diesel, Petrol and battery electric vehicles and to provide a residual value outlook for each powertrain type by segment and for each of the Big 5 European automotive markets. Key RV drivers (see the report for a more detailed explanation of which those are) are explored and used to explain historic RV development, but also to determine a forecast for two possible scenarios. While one scenario displays the most likely development, the second one is more conservative or even negative and can be considered less likely.
In general, the report covers the following questions:
How have the RVs of Diesel and Petrol cars developed over the past four years, particularly since Dieselgate erupted, and how does this differ by country and why?
Have BEV RVs benefited from this trend or are other trends affecting the development? How do BEV RVs differ by country and why?
Are further declines of Diesel RVs likely? If yes, by how much and in which countries and segments? How are Petrol RVs reacting?
Should we expect a downward correction of BEV RVs, once prices come down further, technology advances, vehicle supply rises or government incentives cease?
Diesel has become less popular in Europe, especially since the start of Dieselgate in 2015, leading to decreasing Diesel new car registrations in most Big 5 markets. Petrol, not BEVs, has been the “big winner” so far.
As a consequence there is a clear RV-trend visible in most Big 5 markets: Diesel RVs have been declining while Petrol RVs have been increasing
Great efforts have been undertaken in several countries to make BEVs more attractive. Still, particularly in Italy and Spain infrastructure and public perception of BEVs are poor. In Germany and the UK, the charging network is well-developed and perception of BEVs is positive…