By 2040, all newly sold passenger cars will be electric, according to ExxonMobil CEO Darren Woods, who spoke to CNBC on Monday. For instance, just 9% of passenger car sales worldwide in 2017 were electric vehicles, including plug-in hybrids. Even if there was a 100% rise from the previous year, the amount is still quite little.
Exxon Mobil is not only a significant oil producer; it also controls three of the top ten refineries in the United States, two of which, according to the EIA, have daily capacities of over a million barrels apiece.
For the duration of the shift, Exxon will need to concentrate on chemicals, according to Woods. Quite honestly, he remarked, ” That change will not make or break this business or this industry, quite frankly.”
With 83% of Americans claiming they have never driven or ridden in an electric vehicle, Wood’s prediction for all new EVs by 2040 will face significant obstacles. Other nations already have a significant EV presence, including Norway, Iceland, and Sweden.
According to Exxon, oil demand will return to 2013 or 2014 levels by 2040.