Ineos, owned by Sir Jim Ratcliffe, has delayed the release of its Fusilier electric vehicle. The company blames a lackluster consumer demand as well as uncertainty over government policies.
Ratcliffe announced its plans to manufacture the low-emission vehicle in February. Production is expected to start in 2027.
On Wednesday, however, it was revealed that the Fusilier project, which would have been marketed as a hybrid plug-in and electric vehicle (EV), has been postponed indefinitely.
Ratcliffe, founder and CEO of Ineos (the fracking-to-chemicals group), is a highly respected businessman. The company has also invested in the Premier League football team Manchester United, and is pushing forward into new industries such as electric car manufacturing.
Ratcliffe said that the Fusilier, a vehicle smaller than Grenadier’s 4×4 currently in production, would have an electric motor powered via a battery. It will also come with a range-extender using a small gasoline engine to maintain the battery.
The company has said that regulatory changes may affect the viability and sales of its range-extender with gas engine.
The company stated: “We’re delaying the launch for two reasons: a reluctant consumer uptake of EVs and industry uncertainty about tariffs, timings and taxation.” They added that policymakers need to provide long-term clarity to achieve net zero targets.
Bloomberg, the first to report the delay, reported that Ineos Automotive’s spokesperson stated that the gas-powered extender would be banned from Europe and the UK by 2035.
The Labour Party has promised to ban the sale of petrol vehicles by 2030 if it wins the general elections on Thursday.
The EU’s decision to impose new duties on the import of Chinese-made EVs has sparked fears of a trade war centered on EVs.
Tariffs up to 38% will be imposed on the imports of Chinese EVs on Thursday, barring a U-turn at the last minute. The tariffs will be added to the 10% levy already imposed on imported cars into the EU. This means that Chinese-made EVs could face a total of up to 48 percent.
Oliver Zipse, BMW’s chief executive, criticized the move on Wednesday. He said that the introduction of extra import duties would lead to a dead-end. “It doesn’t strengthen the competitiveness for European manufacturers.”
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