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LAEDC report: California and SoCal EV Industry is growing, giving region global competitive advantage

By March 1, 2020 No Comments

Southern California EV industry grows to 120,000 direct jobs; 276,000 in California, according to LAEDC report:

EV report cover imageVibrant industry ecosystem and global competitive advantage define California’s EV Industry, as industry locus shifts west.

The Electric Vehicle (EV) industry growth in California has positioned the state as a globally leading researcher, designer, manufacturer and exporter of transportation-related products, services and technologies, creating 275,600 direct EV industry jobs statewide and shifting the EV industry’s U.S. footprint from Michigan to California.

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Moreover, the state’s residents are supporting this “hometown” industry with accelerating purchases of EVs, with potential to meet California’s lofty target of 5 million EVs on the road by 2030, according to the report by the Los Angeles County Economic Development Corp (LAEDC), titled, “Energizing an Ecosystem: The Electric Mobility Revolution in Southern California.”

(Above) LAEDC’s Tyler Laferriere EV report briefing at the Capital in Sacramento

(Above) Electric bus manufacturing in Los Angeles County at BYD Motors

(Above) LAEDC’s Tyler Laferriere briefs VELOZ attendees on the EV report in Sacramento

The report explores the size of the market, a landscape analysis of the industry, its workforce, key assets and drivers of the EV industry in the Southern California region and the state of California as a whole.

The report found that:

  • In California, the average increase of new registrations of Zero Emissions Vehicles (ZEVs) between 2007 and 2018 was 82 percent. Further analysis suggests that with the proper conditions, adoption can reach Southern California Edison’s goal of 7.5 million EVs on the road by 2030, well above California’s goal of 5 million EVs by 2030.
  • In the five-county region of Southern California, 119,200 workers are employed in the EV industry, or 43.4 percent of all statewide jobs (275,600) in the EV industry.
  • In California, the EV industry pays an average annual wage of $91,300, well above the average annual wage across all industries of $68,500.
  • In Southern California, jobs in the EV industry pay well — an average annual wage of $80,900, well above the average annual wage across all industries of $60,400.
  • Southern California has a significant cluster of EV companies including software, design studios, and full production sites that include passenger, shared mobility, truck, drayage and passenger bus vehicles.
  • EV industry “clustering” is also supporting geographically concentrated growth in jobs, innovation and commerce, as suppliers and related businesses locate nearby. For example, workers are employed in activities related to charging networks and installation of related infrastructure.

“There’s no other ecosystem like this in the US, and we need to protect, support and build good policy to ensure this ecosystem thrives and continues to create great jobs,” said Judy Kruger, Senior Director of Advanced Transportation at the LAEDC.

“Clean energy investments, including electrifying transportation, mean thousands of stable, good-paying jobs across the value chain—from skilled and craft to high-tech and innovation positions—for Southern Californians,” said Michael Backstrom, managing director of Energy and Environmental Policy for Southern California Edison, one of the five organizations that funded the study.

Read related SCE story, Boom in Electric Transportation Means Jobs for SoCal

“Our goal at Metro is to transform Los Angeles County into a world-renowned transportation center of excellence. Two important pillars of that objective are innovation and sustainability. EVs are on the cutting edge of both,” said Phillip A. Washington, CEO, Los Angeles County Metropolitan Transportation Authority. “That’s why Metro is proud to sponsor this report and to continue exploring innovations that improve opportunity and the environment for the people of Southern California.”

The LAEDC report also highlights the growing economic, environmental and equity importance of the Southern California region’s EV Industry, which is directly addressing the global climate change crisis, reducing emissions that disproportionately affect local economically disadvantaged communities, creating well-paying jobs accessible to a diverse workforce, creating exportable products and technologies that bring revenue into California, and setting the stage for California and Southern California to lead an industry poised for massive growth today and for many years to come.

The report offers recommendations to enable increased adoption of EVs and support the state’s industry so that it continues to grow and create jobs.

The report was made possible through sponsorship by Southern California Edison (SCE), City of Los Angeles Department of Water and Power (LADWP), the Los Angeles County Metropolitan Transportation Authority (LA Metro), Southern California Association of Governments (SCAG), and South Coast Air Quality Management District (SCAQMD).

More details on the industry landscape, specific occupations, forecasts and analysis are available in the report.

About LAEDC   www.laedc.org

Los Angeles County Economic Development Corporation (LAEDC) works collaboratively to advance opportunity and prosperity for all in the Greater Los Angeles region. This is achieved via economic development leadership, objective economic research and analysis, strategic assistance to business, education and government partners, and targeted public policy. LAEDC was established in 1981 as a private, non-profit, public benefit corporation.  LAEDC hosts the e4 Mobility Alliance which serves as the industry council for the region’s EV and advanced transportation businesses, as well as hosting the California SmartMatch program which helps align local supply chain partners with industry manufacturers.

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