In addition, the electric vehicles offer a higher CO2-saving potential in all phases of the product cycle. Furthermore, the company said, it is of crucial importance for CO2 emissions whether the propulsion energy is generated from fossil or regenerative sources. In summary, the current Golf TDI (Diesel) emits 140g CO2/km on average over its entire life cycle, while the e-Golf reaches 119g CO2/km. In the vehicle with an internal combustion engine, most of the emissions occur during the use phase—i.e., in the supply chain of the fossil fuel and the combustion. Here the Diesel reaches 111 g CO2/km. A corresponding vehicle with electric drive emits only 62 g CO2/km during this phase, which results from energy generation and supply. In contrast, most emissions from the battery-powered electric vehicle are generated in the productions phase. According to LCA, a diesel here generates 29 g CO2/km, while 57 g CO2/km were determined for a comparable e-vehicle. The battery production and the complex extraction of raw materials are responsible for this.
These emissions account for almost half of the CO2 emissions of the entire life cycle. During the use phase, CO2 emissions depend on the sources of energy production. They decrease all the more, the more regenerative energies are available. Life cycle assessment as a tool for holistic analysis. Life cycle assessment is an intricate, complex, and internationally standardized procedure to research the ecological balance sheet of vehicles. The emissions generated by the extraction of raw materials, the production of components, and the assembly are included in the production. The use phase includes both the emissions of the fuel and electricity supply, and especially those of vehicle operation over 200,000 km. Recycling evaluates dismantling and potential savings through recycling. With the findings from the life cycle assessment, Volkswagen can derive additional emission-reducing measures for life cycle engineering and specifically optimize the CO2 balance. Improvements in lithium-ion battery technology and supply chain optimizations will lower the carbon footprint during battery manufacturing for the first ID.
2020 by more than 25% per kilowatt hour (kWh) of battery capacity compared with the e-Golf. By far the greatest potential for reducing CO2 emissions arises from the source of energy applied during the use phase. If electricity for driving during the use phase is obtained exclusively from renewable sources, CO2 emissions of 62 g CO2/km in today’s EU electricity mix will drop to just 2 g CO2/km. With this as context, since the beginning of the year, in Germany the subsidiary Group Elli (Electric Life) has been offering customers and third parties “Volkswagen Naturstrom”, which exclusively comes from renewable energy sources. Recycling the vehicle offers further opportunities to reduce CO2 emissions through the circular economy. Thus, a pilot plant for recycling is currently being built at the Volkswagen location Salzgitter. There, from end-of-life batteries—that is, batteries that no longer store enough energy due to aging—a new raw material (black powder) for the cathodes of new batteries is to be obtained. The decarbonization index (DKI) measures the CO2 emissions of an average vehicle of the Volkswagen Group over its life cycle. The DKI is measured in tons of CO2 equivalent per vehicle.
The catalyst appears to be some respite in US-China trade anxiety as President Trump holds off on additional tariffs and remains optimistic that the 2 sides will reach an agreement down the line. The part reversal in sentiment has also helped the DXY recover some poise, albeit indirectly as a firm rebound in Usd/Jpy and Cable retreat combine to nudge the index back up from near 97.000 lows into a 97.270-390 range. 100 and 200 DMAs (at 1.3011 and 1.2959 respectively) on the way down to a fresh mtd base (sub-1.2930) before paring some losses and largely shrugging off mixed UK jobs and earnings data. Similarly, the Aussie is lagging either side of 0.6950 following a downbeat NAB business sentiment survey overnight. Usd/Try nearer 6.0500 than 6.1120 at the earlier high. Morning (or actually evening from the previous night) from the US West Coast where I’ll be speaking to CFOs/CEOs of major tech companies at a DB conference over the next couple of days.
It also gives me a chance to escape from any heart thumping middle of the night encounters at home with the rat colony that our building work seems to have stirred. Indeed, since around the middle of last week it’s become clear that it would be hard to quickly de-escalate this latest US/China trade spat as the war of words and actions on both sides became incrementally more entrenched. As such risk assets were clearly vulnerable. As we discussed yesterday the weekend news continued on this theme and markets yesterday caught up to the reality of an extended battle that will likely continue to pressure risk assets. The only good news is that the two sides continue to talk with meetings planned and that Mr Trump and President Xi Jinping’s relationship hasn’t been obviously scarred yet - at least not in public. 300bn more of Chinese imports. That followed comments from Secretary Mnuchin, who stated that negotiations with China are currently ongoing. Ultimately though, the market seems to be getting a bit more nervous of the more positive comments and rallying much less off the lows than it did last week.
