London: The automobile sector is slowly shifting towards electric propulsion. Some automakers have already announced their plans to sell only electric vehicles (EV) in the near future.
This is expected to cause thousands of job losses related to engine manufacturing, according to a report by Nikkei Asia.
The Japanese outlet reported that popularity of EVs will lead to job losses of over 84,000 individuals by 2050 or 10 per cent of jobs in auto parts production.
Honda is shutting a powertrain factory in Moka, Japan in 2025. Around 900 employees will be relocated to other sites as the company is shifting towards EVs. Over 2,000 have accepted early retirement.
Internal combustion engines reportedly require 30,000 components while electric vehicles need half of that as they do not have injectors, pistons, springs, sensors, etc related to engines.
It takes 10 people to produce a fuel-injection unit while just one person is needed for a whole motor, Volkmar Denner, CEO of Robert Bosch had stated.
Germany, another hotbed of automobile manufacturing, is expected to see over 2 lakh job losses by 2030.
