Will the pandemic put the brakes on demand for Sport Utility Vehicles (SUVs)?

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Will the pandemic put the brakes on demand for Sport Utility Vehicles (SUVs)?

While other SUV-makers are reeling from disrupted demand, Range Rover's parent company Jaguar Country Rover remains unfazed, and is accelerating towards electrification instead.

07 Aug 2022 06:30AM (Updated: 04 Jul 2022 07:31PM)

As the global pandemic rages on, bringing to fore climatic change concerns like never before, the automotive industry finds itself facing the greatest upheaval since German inventor Karl Benz officially created the world's outset modernistic car in 1886.

Modern society now knows what cities could look similar without cars congesting their streets, and a growing number of them – Paris, Milan and New York – are re-evaluating their relationship with automobiles.

Then, at that place's the dramatic reduction in pollution levels as a result of lockdowns, evidenced by satellite imagery from the European Space Agency.

What practice these mean for the viability of Sport Utility Vehicles (SUVs), which are known to be the biggest perpetrators of carbon emissions amongst automobiles? And the automotive industry, for that matter?

"There is no incertitude that the virus is rewriting the rules of urban life with both customer and corporate behaviour changing as a result. Nevertheless, we believe that at that place will ever exist a role for the car and the SUV," said Martin Limpert, Regional Managing director of Jaguar Land Rover Overseas Region.

For the uninitiated, Jaguar Country Rover is the U.k.'s largest automotive manufacturer congenital around two iconic British car brands: Premier luxury marque Jaguar and Land Rover, creator of the Range Rover, "the original luxury SUV", which celebrates its 50th anniversary this yr.

The Range Rover, "the original luxury SUV", celebrates its 50th anniversary this year. (Photo: Jaguar Land Rover)

In these v decades, the Range Rover has entered the history books for innumerable feats and accomplishments, which include crossing the notoriously impassable Darien Gap wood and mountainous region betwixt the North and South American continents; winning the countdown Paris-Dakar rally in 1979 and and so again in 1982; and being the start vehicle to always be displayed at the Louvre Museum in Paris in 1971.

"The Range Rover has evolved into the most desirable luxury SUV in the world," alleged Land Rover's Chief Creative Officer Professor Gerry McGovern, who was this year conferred the prestigious Officer of the Lodge of the British Empire championship by Her Majesty The Queen for his contributions to both land and industry.

By design or otherwise, the Range Rover has indeed transformed into an icon synonymous with luxury and is today a pop culture staple of music artistes and rappers, social influencers and, of course, the Kardashians.

The original Range Rover, circa 1970. (Photo: Jaguar Country Rover)

DISRUPTED Need

Demand for SUVs has soared in recent years, with even supercar brands like Lamborghini and Maserati joining the fray. At that place was no sign of abating – until COVID-xix came along.

"Society has been significantly impacted past the global pandemic, which creates both challenges and opportunities for the automotive industry, which was already going through a menstruum of extreme disruption," noted Limpert.

Global sales for the Country Rover family plummeted 37.9 per cent year-on-year, with the brand shifting 55,280 units worldwide between Apr and June, confronting the backdrop of the worst of the pandemic thus far. Acknowledged models this period were the Range Rover Sport and the Range Rover Evoque.

Company officials, however, appear unfazed.

The carmaker proceeded with the launch of new models in the by few months even as many countries were still under lockdown, and information technology noted a "positive response" to the releases.

These included the special edition Range Rover Fifty, limited to only i,970 vehicles in recognition of the model's launch twelvemonth (Singapore will go just two units) and said to be designed with "forensic attention to item", also equally the Land Rover Defender, which was swiftly named Car Blueprint News "Production Car of the Year" upon launch, and which will go far in Singapore on Aug 7.

Vintage vs modernistic. (Photo: Jaguar Country Rover)

"While the COVID-19 pandemic continues to impact the global machine industry, we are pleased to see initial green shoots of recovery," said Felix Brautigam, Chief Commercial Officer of Jaguar State Rover.

The company is also expecting demand to keep its recovery, pandemic notwithstanding.

"It is unlikely that people will want to use shared services or public transport following the pandemic. Every bit the world gradually returns to its 'new normal', they will want to get back on the road in their own class of private transport. This could potentially bring a renaissance of the car every bit customers crave a safe, clean space that they have control of," Limpert added.

READ> From Ferrari to Lamborghini, how luxury carmakers are responding to COVID-19

ACCELERATION TOWARDS ELECTRIFICATION

For an automaker that has put millions of SUVs on the planet for half a century, the pandemic is now accelerating the carmaker'southward mission to shape futurity mobility and reverse its carbon footprint through its Destination Zero initiative of "nix emissions, cypher accidents and nada congestion".

"People are starting to travel once more simply their focus has moved to wellness and well-being when considering their ship choices. Nosotros have the ambition to make our societies safer, and our surround cleaner," said Limpert.

The visitor is certainly leading the accuse in this regard with the all-electric I-PACE, making Jaguar the first brand to offer a premium all-electric performance SUV.

Its sister brands are besides hot on the electric trail, with the Range Rover Evoque and Land Rover Discovery Sport now bachelor with state-of-the-art plug-in hybrid electric vehicle (PHEV) technology that combines the brand'southward new one.5-litre 3-cylinder Ingenium petrol engine with a powerful electrical motor to deliver a total of 309PS and an all-electric range of up to 66km per charge.

The PHEV technology delivers an all-electrical range of up to 66km per charge. (Photo: Jaguar Land Rover)

But is it enough to sway motorists towards the adoption of electric vehicles (EVs) and justify their college price tags?

"In that location are pros and cons associated with all body designs. The challenge with an SUV is to combine all the attributes customers expect in terms of strength, durability and capability with a powertrain that delivers real-world range. After all, these vehicles are designed to assist customers reach and explore remote locations, where charging infrastructure may or may non be available," said Limpert, acknowledging the drawbacks of current electric SUVs.

At 66km per charge, that's more than than enough to cantankerous the length of Singapore. Just these PHEVs are not yet available locally anyway.

Will the pandemic put the brakes on demand for Sport Utility Vehicles (SUVs)?

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