For one thing, it’s really easy to call for an end to subvention of your product when there’s not a government in the world that’s even, and is promising to keep the EV gravy train rolling until at least 2032. It’s pretty easy to virtue-signal something when you know there’s not a chance in Hell you’re going to actually have to act on it.
But wait, as Ron Popeil used to say, there’s more. BMW is also promising a simultaneous 30-per-cent improvement in range, most of that increase — about two-thirds, says— the result of the increased density of those new 46-millimetres cells. In plain terms, BMW is saying its extended range results from packing more of those raw materials — which, as I said, account for half of the total cost of the battery — into its cars.
Nonetheless, much of the extra cost of the BEV version comes down to electrification. In this case, that includes a 78-kilowatt-hour battery. Going by the last consensus on battery-pack pricing — back in 2021, by the way — of costs being US$131 per kilowatt-hour, that puts the manufacturing cost of the XC40’s battery somewhere in the range of US$10,000, which, at today’s exchange rate, works out to about 13,500 Can-bucks.
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