Hello! Thank you for checking out this weeks’ EV North Newsletter!

Welcome to The EV North - a weekly newsletter that brings together some of the biggest EV news stories and delivers it to your inbox. There is a focus on Canada & North America but you’ll also find EV news from around the world!

Also, be sure to check us out on X / Twitter and LinkedIn!

In this issue:

• Canada's Ambitious 2035 Zero-Emission Vehicle Mandate: Challenges and Implications.

• Potential Secures Additional $2M for AI-Powered Advanced Driver Assistance Systems (ADAS) Commercialization.

• Play in the Dirt: The Rigorous Testing Behind the Mustang Mach-E Rally.

• Weekly Chart: US electricity consumption: EV vs Rail

• Tesla Walkaround Video for the Model 3 Performance Featuring Tesla Executives.

• + more!

Canada

Canada's Ambitious 2035 Zero-Emission Vehicle Mandate: Challenges and Implications.

The Macdonald-Laurier Institute (MLI), an Ottawa-based think-tank has released their ‘Bumpy Road Ahead’ report, a critical assessment of Canada’s Electric Vehicle Availability Standard. The full paper can be found HERE.

In summary, the paper argues that Canada's plan to mandate that 100% of new vehicle sales be zero-emission vehicles (ZEVs) by 2035 under the Electric Vehicle Availability Standard is unrealistic and risky - the MLI asserts that Canada needs a more flexible approach to light duty vehicle emissions reductions - focusing more on GHG reductions rather than ZEV sales mandates.

While EVs promise clear advantages over internal combustion engine (ICE) vehicles, several concerns could hinder these ambitious goals.

Advantages and Challenges of EV Adoption

Advantages:
Environmental Impact: EVs contribute to reduced greenhouse gas (GHG) emissions during operation.

Efficiency: Increased use of lightweight materials like aluminum enhances EV efficiency and driving range.

Challenges:
Costs and Range Anxiety: High upfront costs and concerns over driving range and charging infrastructure persist.

Battery Production Emissions: Manufacturing batteries is carbon-intensive, affecting the overall environmental benefit of EVs.

Geopolitical and Economic Implications
The dominance of Chinese EV manufacturers introduces geopolitical and economic concerns for North America:

Mineral Control: China's control over critical minerals essential for EV production poses security risks.

Economic Threats: North American automakers face competitive pressure from Chinese counterparts.

Local Industry Challenges: Local automakers struggle to compete, impacting the North American auto sector.

Material Use and Environmental Impact
Aluminum's role in reducing vehicle weight and increasing efficiency comes with trade-offs:

Increased Carbon Footprint: The carbon-intensive process of aluminum production raises the life cycle GHG emissions of EVs.

Market Trends: Prioritizing smaller battery packs for compact EVs could maximize GHG reductions, but consumer preference for SUVs complicates this strategy.

Lessons from Norway
Norway, with the highest EVs per capita, demonstrates both the potential and the cost of extensive EV subsidies:

High Costs: Norway’s tax incentives cost over $1,800 per tonne of GHGs mitigated, much higher than Canada's estimated social cost of $266 per tonne.

Market Disruptions and Consumer Impact
The prescriptive nature of the Electric Vehicle Availability Standard could lead to several market disruptions:

Price and Availability: Misalignment among government, consumers, and dealers may result in higher prices and vehicle shortages.

Particulate Matter Emissions: Non-exhaust particulate matter emissions from EVs, including heavy metals and microplastics, pose health risks and potentially higher emissions than ICE vehicles.

Insurance and Maintenance Costs
Insurance and maintenance costs for EVs are significant factors in their overall affordability:

Insurance Costs: Limited collision data in Canada creates uncertainty, while the UK reports higher insurance rates for EVs.

Repair Costs: EVs often have higher repair costs due to sophisticated technologies, despite fewer moving parts in drivetrains.

Charging Infrastructure and Grid Capacity
Canada's charging infrastructure requires massive expansion to meet the 2035 mandate:

Current Status: As of 2023, Canada had 26,500 public charging ports.

Future Needs: Projections call for 455,500 public ports by 2035, requiring the addition of 98 new ports daily for 12 years.

Grid Challenges: Upgrading the distribution grid to handle increased demand is critical but may not meet the tight timeline.

A Call for a Flexible Approach
Given these challenges, the MLI suggests a more flexible strategy for reducing light-duty vehicle emissions is essential:

Rescind Mandates: Replacing zero-emission vehicle sales mandates with stringent GHG emission standards could allow for market adjustments.

Alignment with Industry: Aligning standards with industry efforts to source critical minerals and develop cost-effective EVs is crucial.

The MLI argues that Canada's current EV adoption timeline is ambitious, risky, and may not achieve the desired emissions reductions. The Institute is pushing for a balanced approach that considers market dynamics, industry capabilities, and infrastructure readiness to better support Canada's transition.

Are you on Reddit? Check out our subreddit at https://reddit.com/r/evcanada 

Potential Secures Additional $2M for AI-Powered Advanced Driver Assistance Systems (ADAS) Commercialization.

Potential has successfully secured an additional $2M CAD in a seed round extension, bringing their total funding to $8.5M CAD since May 2020. This new investment will help progress the commercialization of Potential’s innovative AI-powered terrain perception technologies, bringing them toward production-scale deployment.

The extension round saw participation from returning investors Brightspark Ventures, Build Ventures, and the New Brunswick Innovation Foundation (NBIF), with Farpointe joining for the first time. They join a roster of esteemed investors, including Marc Benioff’s TIME Ventures.

Potential is progressing to the commercialization of AI-powered perception solutions across multiple sectors, including automotive, powersports, mining, and defense. Following years of intensive R&D and strategic technical recruitment, they are now ready to transition from development to large-scale implementation.

Potential has partnered with a leading manufacturer of recreational off-road vehicles and completed their first innovation project for a global automotive brand. Potential is currently in discussions with five other major automotive companies for innovation programs slated for 2024. Additionally, another pilot project in the automotive sector is set to commence in Q2, marking a significant step toward full-scale deployment in production vehicles.

Potential’s core technology, Terrain Intelligence, leverages forward-facing sensors such as cameras, radar, and lidar to interpret terrain characteristics including shape, incline gradient, surface type, and obstacles. This platform provides a range of outputs, from data presentation to proactive vehicle control adjustments such as drive mode, suspension, differential settings, and torque levels.

Unlike current driver assistance systems that rely on reactive technologies, Terrain Intelligence offers proactive control, anticipating hazards before they are encountered.

Potential’s technology has been designed to be compatible with conventional hardware, like onboard cameras already present in most modern vehicles. Impressively, 75% of Terrain Intelligence’s feature set can be activated with a single, standard onboard camera. Their AI-driven system becomes smarter with each mile driven and is versatile enough to function across various vehicle sizes.

EV Around the World 🌏

Play in the Dirt: The Rigorous Testing Behind the Mustang Mach-E Rally.

What started as an idea in an engineering breakroom evolved into the impressive Mustang Mach-E Rally. This journey demonstrates the power of combining passion with cutting-edge design and engineering.

“Can we make a rally-inspired version of the Mustang Mach-E?”

This was the question that product planners Peter Schultz and Craig Migliori faced one early morning in 2022. To find the answer, they took a hand-me-down Mach-E GT, fitted it with off-road wheels and tires, and headed to Ford’s Michigan Proving Grounds to test its capability on dirt laps. The result? A resounding success.

A 1-inch lift from the normal Mach-E GT suspension height, paired with RallyCross-tuned shocks and springs, allows the Mustang Mach-E Rally to tackle uneven and rough terrain.

Added protection against grime and debris common in rallycross conditions. Contrasting accents, a front splitter, rear spoiler, black painted steel roof, and rally-inspired fog lights highlight its high-performance persona.

To ensure the Mach-E Rally could handle true rallycross driving, Ford off-road attributes engineer Chris Berchin and vehicle engineering supervisor Jay Kistler spearheaded rigorous testing. The vehicle underwent a grueling 500-combined mile torture test at Ford’s Michigan Proving Grounds, simulating the equivalent of 10 years of monthly rallycross racing.

The team transformed an unused field at Ford’s Michigan Proving Grounds into a rallycross testing course. To ensure authenticity, they attended rallycross events and interviewed drivers. This preparation was critical in designing a course that truly mirrored real rallycross environments.

Using computer-aided engineering (CAE) analysis, Ford’s engineers meticulously mapped out the course, considering elevation, expected speeds, and timing. Equipped with sensors and measuring tools, they validated the course’s design to ensure it met rallycross standards.

Developing both the course and vehicle in-house allowed for cost-effective, secretive project management. This effort earned the team a Vehicle Engineering Validation award from Ford, celebrating the success of the entirely in-house designed Mustang Mach-E Rally project.

The Mustang Mach-E Rally’s modifications include:

• Powertrain Calibration and Traction Control: Tuned for dirt-track and rallycross capability.

• MagneRide® Suspension: Optimized for dirt-track performance.

• RallySport Drive Mode: This mode unleashes the full capability of the Mach-E Rally, offering added yaw for bigger slides, a linear throttle response for better control, and aggressive damping for improved handling on loose corners.

The Mustang Mach-E® Rally, born from a simple question over two years ago, is now ready for customers and, more importantly, the dirt track.

Weekly Chart: US electricity consumption: EV vs Rail.

According to a recent report by the US Energy Information Administration (EIA), the electricity consumption of EVs in 2023 surpassed the consumption of electric rail transport for the first time.

Historically, rail has been the largest consumer of electricity within the US transportation sector. However, with the explosion of EV sales - now making up 16% of new vehicles sold - light-duty electric vehicles are now tops in consumption with California accounting for 40% of the total EV load.

👋 Hello, one quick thing!
If you’re enjoying this, can you do me a favour and forward it to a friend? Thank you!

Tesla Walkaround Video for the Model 3 Performance Featuring Tesla Executives.

Tesla has released a new video for the recently launched Model 3 Performance. The video features insights from two of Tesla's top executives, highlighting the vehicle's advanced design and engineering.

In the video, Tesla Chief Designer Franz von Holzhausen discusses the meticulous design choices that went into crafting the Model 3 Performance. Von Holzhausen delves into the vehicle’s sleek exterior, emphasizing the refined front and rear bumpers. He also explores the premium interior features that enhance both aesthetics and functionality.

Lars Moravy, Tesla's Vice President of Vehicle Engineering, provides an in-depth look at the engineering marvels of the Model 3 Performance. Moravy highlights the advantages of the forged wheels, which offer increased stiffness and tighter handling, contributing to a superior driving experience.

The video also features contributions from Tesla engineers Giulio and Nathan. They explain the innovative design of the new seats and the integrated aero caps, detailing how these elements work in harmony with the front fascia to optimize airflow around the tires.

To get a comprehensive understanding of the design and engineering prowess behind the Model 3 Performance, watch the full video below.

You can configure your Model 3 Performance, starting at $69,990 CAD (before rebates), at the following LINK.

QuickEV

• Peugeot extends its 8-year warranty to its entire electric car line-up.

• [VIDEO] Rivian R1T Owner Reflects On His First Two Years With The Truck.

• New Teslas might lose Steam.

• [VIDEO] Jeep compares electric Wagoneer S to Tesla’s Model Y.

• VinFast secures nearly 30K pre-orders for new VF 3 in under 3 days.

• [VIDEO] Tesla's Viral Cybertruck Vs. Porsche 911 Drag Race to the test!

• More Than 7,500 People Applied to Buy the $325,000 Ford Mustang GTD.

• BYD’s $10,000 Seagull EV worrying rivals as it hits new markets.

EV Tweet of the Week

What are you so devoted/passionate about that you’d get the logo tattooed on you? For most, I’d say maybe a hockey team logo… what else?