PwC sees electric-vehicle output potentially overtaking conventional cars in 2027

Production crossover could come in 2027

Global production of electric vehicles could overtake output of conventional cars as early as 2027, according to a PwC forecast reported by Autopro.hu. The projection identifies 2027 as a possible turning point in the balance between powertrains, rather than presenting the crossover as a guaranteed outcome.

The forecast follows another quarter of significant growth in global electric-vehicle sales. That expansion gives manufacturers a stronger reason to review how quickly demand is moving toward electric models and whether their production networks are prepared for a change in the global vehicle mix.

A production crossover would be significant because it would affect more than final assembly volumes. Automakers would need to coordinate model launches, factory utilization and capital spending with a market in which electric vehicles account for an increasingly large share of output. Decisions made before 2027 will therefore influence which companies can raise production efficiently if the forecast materializes.

Suppliers face a changing order book

The consequences would extend through the automotive supply chain. Companies serving both electric and conventional vehicles may have to adjust their product mix, while suppliers tied closely to conventional powertrains face a more direct exposure to lower production demand. The pace of the shift will matter for investment timing: capacity added too slowly could constrain growth, while capacity built ahead of demand could remain underused.

For machinery and component producers, the forecast points to a potential redistribution of manufacturing expenditure. Electric-vehicle programs require automakers to organize different combinations of production equipment and components than conventional-car programs. Suppliers will have to judge where firm orders justify additional capacity and where manufacturers are still keeping several powertrain options open.

The global nature of the forecast does not mean that every national market or factory will cross the threshold simultaneously. Production decisions depend on regional demand, existing plants and automakers’ model strategies. A worldwide crossover could therefore coexist with continued conventional-car dominance in some markets and a much faster electric shift in others.

Sales growth must translate into sustained output

The central question is whether recent sales growth can be maintained strongly enough to support the production volumes implied by PwC’s outlook. Automakers generally plan manufacturing capacity before vehicles reach customers, so they must commit spending while future demand remains uncertain. A forecast of a 2027 crossover raises the cost of waiting, but it does not remove the risk of investing too early.

Manufacturers also need to manage the transition without losing control of existing operations. Conventional vehicles will remain part of the production mix even if electric output becomes larger globally. Companies must therefore finance and operate two major manufacturing systems during the change, with suppliers required to serve both.

For investors and market analysts, the 2027 threshold is best treated as a test of production readiness. Sales growth shows the direction of demand, while factory allocation, supplier contracts and manufacturing investment will determine whether output can follow. The companies most exposed are those whose capacity plans assume either a much slower transition or an uninterrupted acceleration.