Transition to EVs Will Lead to Fundamental Transformation of Global Auto Industry, IMF Says [Video]

As part of its most recent World Economic Outlook, the International Monetary Fund (IMF) has said the transition to electric vehicles will have “far-reaching” effects on production, investment, global trade and employment.

The new analysis was released in tandem with annual meetings of the World Bank and IMF this week, where efforts to finance the transition to green energy, enhance global growth and tackle debt distress were on the agenda, reported Reuters.

“The rising adoption of electric vehicles (EVs) represents a fundamental transformation of the global automotive industry,” the IMF said in the report.

The shift from fossil fuel-powered vehicles to EVs has been accelerating and is an important part of countries’ climate targets around the world.

According to the IMF, transportation was responsible for 36 percent of U.S. greenhouse gas (GHG) emissions in 2022, eight percent in China and 21 percent of those in the European Union.

Subsidies and charging stations for EVs provided by the U.S. …