DETROIT -Swiss bank UBS predicts that the battle for dominance in electric-vehicles will heat up over the next few years, with one company rising to join Tesla in the top two companies for global EV sales.
Forget Nio, XPeng, and other flashy electric-vehicle stocks, because it will be legacy auto giant Volkswagen competing with Tesla for the global-EV-sales crown, UBS said.
The Swiss bank recently increased its forecast for how quickly electric vehicles will be adopted and is now predicting that EVs will penetrate 100 percent of the automobile market by 2040. That means the battle to be the most dominant car maker is worth hundreds of billions of dollars.
UBS analysts said in a call with members of the media on Tuesday that they predict that, within the next few years, Tesla and Volkswagen will be the two global leaders in electric-vehicle sales. The analysts expect that Volkswagen will catch up with Tesla in terms of total volume of cars sold as soon as next year, when the two companies could deliver around 1.2 million cars each.