Does the UK really have the opportunity to capitalise on the global shift to electrification?
Ian Constance, CEO
| Advanced Propulsion Centre
We have a once in a generation opportunity to protect and grow a manufacturing supply chain, capitalise on the imminent global transition to clean technologies and ensure that manufacturing and industry remain a key thread in the fabric of British Society, says APC UK.
In 2017 the UK produced over 1.6m cars, with a car rolling off an assembly line approximately every 18 seconds, this included the manufacturing of over 2.7m engines of which almost 60% of them were exported. However, our automotive sector is facing seismic global change as we transition from the Internal Combustion Engine (ICE) to Electric Vehicles, we need a plan to both protect the £8.5bn of export revenues and 30,000 jobs generated by engine production and maximise our share of the new markets that are created. With an expectation that 50% of the UK passenger car market to be zero emission capable by 2035, this shift needs to be viewed as an opportunity for holistic growth that could offer the UK a chance to lead the race with the development and integration of future propulsion systems, developing the batteries, advanced electric motors and power electronics that these solutions will require.
What is paramount here is that this isn’t a unique challenge to our automotive sector but has wider ramifications on sectors including aerospace, energy, rail and advanced manufacturing. By focusing on the growth of the fundamental technologies of Power Electronics, Motors and Drives (PEMD). The materials, manufacturing processes and production facilities that PEMD will deliver are the vital building blocks on which the next generation of robotics and automation, electric cars and planes, hybrid trains, smart renewables and grid distribution technologies will be built.
Globally PEMD are at an inflection point, with countries across the globe competing to establish leadership before the market explodes. The UK has the opportunity to incubate our existing knowledge and capability in both industry and academia to grow a supply chain that could support many international markets, delivering cost effectively manufacturing efficient low-carbon products across multiple sectors. Investment in these technologies, without the support of a UK PEMD supply chain, will once again result in core manufacturing being lost abroad.
Growth of technologies that fit within the capabilities of PEMD offer lucrative rewards as they are the cornerstones of the electrification revolution. Transport, manufacturing and energy generation and distribution are industry sectors all working towards new modalities, operating with greater efficiencies and responding to the need to decarbonise.
Engaging Industry and academia to deliver this capability by developing cross-sector collaborative research and development programmes creates an opportunity for the UK to build £5bn more PEMD products by 2025. Government support today would display the commitment and vision needed to build a platform for long term industrial growth which has the potential to deliver more than £80bn in GVA by 2050 (from £7bn today).
Government support is a vital catalyst in achieving these forecasts it will bring companies from multiple sectors together. Working collaboratively to develop a robust supply chain and enabling businesses to leverage their investments, creating competitive advantage resulting in a strong dynamic UK supply base with greater export potential and increased economic impact through jobs and skills.
PEMD is the hidden power behind next generation electric vehicles, ships, trains, aeroplanes, automated factories, and clean, efficient energy production and distribution systems. Leadership in PEMD technologies will ensure that the UK delivers on both its Clean Growth and Future Mobility Industrial Strategy Grand Challenges. We have a once in a generation opportunity to protect and grow a manufacturing supply chain, capitalise on the imminent global transition to clean technologies and ensure that manufacturing and industry remain a key thread in the fabric of British Society.
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