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Hexagon Releases New Report: “Recharging the Automotive Market”

Industry research finds sustainability challenges remain for automakers in the electric vehicle market

Published: Wednesday, May 11, 2022 - 11:57

(Hexagon Manufacturing Intelligence: North Kingstown, RI) -- Hexagon’s Manufacturing Intelligence division today announced it has released a comprehensive report entitled “Recharging the Automotive Market.” The body of work was produced by Hexagon and draws from the original research conducted with Wards Intelligence and its parent, Informa Tech Automotive Group (ITAG).

The wide-ranging survey engaged 416 e-mobility design and manufacturing decision-makers across the global automotive supply chain. The full results of the research are presented in the paper, as well as current efforts to define and eliminate roadblocks hindering the transition to electric vehicles (EV). Additionally, the report forecasts where the industry is headed in the next two decades. Also covered are smart manufacturing strategies being employed to advance product development, a key area of focus for Hexagon, whose technology touches 95 percent of all cars produced every year. The free report can be downloaded here.

The new report reveals the current focus and significant challenges faced by the electric vehicle market and how Hexagon is balancing priorities. Only 38 percent of automakers are increasing their investment in more sustainable EV designs, which appears to be a much lower priority than attributes that appeal to consumers on the forefront. At this point in the EV evolution, companies are hitting other obstacles to achieving greener EVs. The majority of carmakers (56%) identify a lack of alternatives to rare-earth metals for batteries as the major barrier. Nearly half (49%) are also concerned about the lack of recyclable battery materials, closely followed by the lack of recycling programs and infrastructure (47%).

“Our new report, ‘Recharging the Automotive Market,’ is well worth a read,” says Ignazio Dentici, vice president of the global e-mobility industry for Hexagon’s Manufacturing Intelligence division. “The research reflects a welcome recognition by the auto industry that sustainability involves more than merely reducing road emissions, revealing an understanding of the whole-lifecycle manufacturing and material impact of vehicles. However, the study shows even with this knowledge, carmakers are feeling more pressure to compete for consumer sales than to ensure EVs will accomplish their core purpose of reducing the environmental impact of road transport.

“The industry is moving at unprecedented speed to innovate improvements in range, production costs, and sustainability. This progress is happening in an increasingly competitive environment while facing significant supply chain challenges. To deliver on the promise of a net zero automotive industry while balancing consumer demands, intelligent data-driven manufacturing processes must be embraced to support the development of sustainable solutions for every vehicle part, as well as creating recyclable cars. We can only reduce demand for energy and materials in the coming years by designing for a circular economy—from factory to consumer and beyond.”

About Hexagon

Hexagon is a global leader in digital reality solutions, combining sensor, software, and autonomous technologies and putting data to work to boost efficiency, productivity, quality and safety across industrial, manufacturing, infrastructure, public sector, and mobility applications. Hexagon’s technologies are shaping production and people-related ecosystems to become increasingly connected and autonomous—ensuring a scalable, sustainable future. Hexagon’s Manufacturing Intelligence division provides solutions that use data from design and engineering, production, and metrology to make manufacturing smarter. For more information, visit hexagonmi.com.

Hexagon has approximately 22,000 employees in 50 countries and net sales of approximately 4.3 billion euros ($4.5 billion). Learn more at hexagon.com and follow us @HexagonAB.

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