Part 7/10:
A paramount concern is the regulatory landscape, pushing car manufacturers toward electrification. In the United States, regulations adopted in California—following the lead of 16 other states—will only allow 20% of newly sold vehicles to be plug-in hybrids by 2035. The European Union has even more stringent plans, intending to ban all fossil fuel vehicles, including hybrids, by the same year. This regulatory pressure, combined with the rapid advancements in EV technology and declining battery prices, poses a potential threat to the longevity of hybrid sales.