Saudi Aramco defends gasoline engines amid surge in EVs
(MENAFN) In a world that is steadily transitioning toward electric vehicles, Saudi Aramco, the largest oil company globally, remains steadfast in its belief in the enduring relevance of gasoline engines. Despite the global push for sustainability and the rising popularity of electric vehicles, Saudi Aramco sees a profitable future in supporting Horse Powertrain, a company dedicated to developing fuel-powered engines.
Saudi Aramco’s optimism is rooted in the belief that internal combustion engines will continue to play a significant role in the automotive industry for many years. Factors such as cost-effectiveness and ongoing technological advancements contribute to the longevity of these engines, which, according to Saudi Aramco Executive Vice President Yasser Mufti, will remain prevalent "for a very, very long time."
Initially, the outlook for internal combustion engines appeared bleak, with significant commitments from automakers and governments to phase out petrol and diesel engines by 2035 or 2040. However, the situation has shifted. Sales of electric vehicles have hit a plateau, and geopolitical factors have demonstrated the resilience of internal combustion engines in certain markets.
Matthias Giannini, CEO of Horse Powertrain GmbH, shares this perspective, anticipating that internal combustion engines, including hybrids, will continue to dominate the automotive market in the coming years. Horse Powertrain, a joint venture between Geely, Renault, and Saudi Aramco, seeks to leverage this by supplying engines to automakers who are moving away from in-house engine development.
This venture addresses a critical need as automakers increasingly prioritize electric vehicles, offering them a ready-made solution for hybrid vehicles without requiring substantial investments in new engine development. Giannini highlights the versatility of Horse Powertrain, capable of producing 80 percent of the engine types currently available, making it an attractive option for major automakers and smaller companies aiming to comply with evolving regulations without sacrificing performance or efficiency.
Beyond engine production, Saudi Aramco is also expanding its global network of fuel stations, reinforcing its commitment to sustaining demand for conventional fuels. This strategic approach underscores Saudi Aramco's belief in the continued significance of gasoline engines amidst the growing momentum for electric vehicles.
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