Depreciation by powertrain: plug-in curves have moved closer to conventional ones
The report tracks how residual values of light-duty vehicles have evolved for conventional and advanced powertrains, holding market segment, size class and country of assembly in view. Plug-in vehicles historically depreciated faster; the report describes their depreciation curves as having become similar to conventional ones.
Depreciation is not a side note in ownership cost — it is one of its largest components, and the report treats it as a determinant of purchase behaviour as well as of cost. That is why a change in depreciation curves matters more to a cost comparison than a change in fuel or electricity prices of the same size.
The report examines residual values over time across powertrain types, accounting for market segment, size class and country of assembly, so that a difference between technologies is not confused with a difference between the kinds of car each technology is sold in.
It also compares two ways of deriving depreciation trends — a snapshot method and a time-series method — and looks at how the choice changes a total-cost-of-ownership calculation when data availability differs. That comparison is a caution about the numbers themselves: a cost of ownership figure carries the method that produced it.
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Vehicle Residual Value Analysis by Powertrain Type and Impacts on Total Cost of OwnershipOpen the original ↗Related category
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