EV Output Is 45% Below What Carmakers Expected, Supplier Says

Carmakers are faced with significant overcapacity to make EVs because of softening demand with many turning back to development plans for combustion-engine cars, according to French auto parts supplier OPmobility SE.

US, German and French carmakers are producing EVs at levels currently 40% to 45% below initial expectations, “which means the capacity that had been put in place by our clients and by ourselves requires continuous adjustment,” OPmobility Chief Executive Officer Laurent Favre said. “We are adapting the way we work with our clients.”

Europe’s EV shift has faltered due to high prices and the removal of subsidies by ...