The US plug-in vehicle (PHEV and BEV) market grew by 55.0% year-on-year to 654 000 units in the first six months of 2023, increasing its share of the overall light vehicle (LV) market to 8.5%. Other automakers have also announced plans to introduce electric vehicles in areas such as SUVs and pick-ups.

The US government’s policy of excluding electric vehicles powered by Chinese batteries from sales incentive payments has led to a growing trend to develop battery production facilities for electric vehicles in the US, and competition for investment incentives among state governments has also intensified. As a result, the development of production bases for electric vehicles on the scale of 10 million vehicles per year is expected to progress across the North American region by 2030, and a number of electric vehicle-related component production plans have also been announced.

In the first half of 2023, BEVs alone will account for just under 550,000 units, a 62% increase on the previous year, and car manufacturers are announcing plans to introduce electric vehicles in areas such as SUVs and pick-ups one after another. The US government’s policy of excluding electric vehicles with Chinese batteries from sales incentive payments has led to a growing trend to develop battery production bases for electric vehicles in the US, and competition for investment incentives among state governments has also intensified. As a result, the development of production bases for electric vehicles on the scale of 10 million units per year in the entire North American region by 2030 is expected to progress, and a number of electric vehicle-related component production plans have been announced.

In the eAxle sector, the expansion of factories manufacturing motor cores in Canada and Mexico has been increasing since the mid-2000s in order to avoid anti-dumping duties, and now, in line with major car manufacturers increasing their electric vehicle production capacity in the North American region, the number of Tier 1 component An increasing number of Tier 1 manufacturers are increasing their production of eAxle in Mexico as major automakers increase their electric vehicle production capacity in North America. Mexico is also expected to see a further concentration of component manufacturers in Mexico as Tesla prepares to produce low-cost BEVs.

The optimisation of the North American green supply chain is required to produce internationally competitive electric vehicles in North America while taking advantage of policy incentives, including the IRA Act and the USMCA, and avoiding regulations and restrictions. This report clarifies the green (electric component) supply chain in the North American region and looks at the green supply chain network of each company.