How to invest in electric cars if you are afraid of buying a Tesla

Today, electric cars account for only 4% of the global passenger car market, according to EV-Volumes. But last year's figures and analysts' forecasts suggest that their market share is set to grow. In 2020, global passenger car sales will fall by 14%, but the market for electric and hybrid cars (i.e., cars with electric and petrol engines) will grow by 43%.

By 2030, sales of electric vehicles will increase tenfold and account for more than a third of the car market, Deloitte predicts. The company's analysts cite four factors that will make this happen.

It is more than just the desire for an eco-friendly lifestyle. Electric cars are virtually silent, accelerate quickly, and are cheaper to run: they have fewer parts that need regular maintenance or repair. In many countries, electricity is more affordable than petrol, so consumers save money.

However, the cost of electric cars is still higher than that of internal combustion engine (ICE) cars. This is holding back demand. However, as technology develops and production capacity increases, the cost of electric vehicles will come down. The best-selling electric car in China in the second half of 2020 was the Wuling HongGuang Mini EV, which cost only $4,500. The Tesla Model 3, which came in second, costs $39,000. Of course, Tesla's technical specifications are a notch higher, but price is the deciding factor for many consumers.

Read the full material on the website secretmag.