Urban Science has released data that indicates the US EV market soared in Q1 25, with EVs essentially making up nearly 1 in 4 vehicles sold. According to the latest retail sales report, total sales across all powertrains reached 3,076,573 units, a 5.8% increase from Q1 24. March 2025 was particularly strong, with 1,270,589 units sold, marking a 12.5% increase vs March 2024. Electrified vehicles, including battery electric vehicles (BEVs), plug-in hybrid electric vehicles (PHEVs), and hybrid electric vehicles (HEVs), drove much of this growth, with sales rising 29.6% to 750,698 units, securing a 24.4% market share. HEVs were the fastest-growing segment, with a 44.1% sales increase, outpacing BEVs (15.4%) and PHEVs (16.5%). Interestingly, brands such as Toyota, Honda, Hyundai, Ford, Lexus, and Kia dominated HEV sales, representing 97% of the market. Unsurprisingly, Tesla's BEV market share slightly declined from 45.1% in Q4 2024 to 44.2% in Q1 2025, while non-Tesla BEV sales surged by 47%. Compact SUVs led EV segments with a 5.9% share of total vehicle sales. Furthermore, California remained the top state for EV sales, whilst Washington joined the top 5 states, reflecting broader EV adoption. This robust performance underscores the accelerating shift toward electrification in the American automotive market.
A consortium comprised of Centrica, Heidelberg, ITM Power, JCB, Johnson Matthey, and National Gas has announced plans to build 1GW of green hydrogen production capacity across the UK by 2030. Led by JCB, this consortium, named Hyspeed, has submitted proposals to the government, aiming to produce green hydrogen at a strike price of £5.96/kg ($7.84/kg) through aggregated procurement, optimised power purchase, and low-cost financing. This is significantly lower than the government’s first hydrogen allocation round subsidy of £9.50/kg ($12.50/kg). The project plans to build around 16 plants across the UK, ranging from under 50MW to over 300MW. The hydrogen produced will be supplied to mobility, green chemicals production, construction equipment, industrial gas users, and manufacturing. The consortium anticipates attracting £6.5bn of private investment and creating at least 12,150 UK jobs while reducing 1 million tonnes of CO2 emissions per year. Mr. Jo Bamford emphasised that hydrogen offers the UK an opportunity to be energy secure and independent. This initiative comes as the UK Government shortlisted 765MW of green hydrogen projects for its 2nd Hydrogen Allocation Round.
The UK Department for Transport (DfT) has announced it has allocated an additional £37.8m to support the purchase of 319 zero-emission buses in England. This funding is part of the 2nd round of the ZEBRA 2 scheme, which will benefit 12 local authorities. The West of England Combined Authority receives the largest share, nearly £19.9 million, to fund 160 buses, with First West of England contributing £70 million. Other recipients include Hull City Council, Nottinghamshire County Council, Brighton and Hove City Council, and several others. The funding will facilitate the procurement of both new and repowered zero-emission buses, with the vehicles expected to be in service by Q2/Q3 2027. The DfT emphasises that UK-based manufacturers are well-positioned to benefit, with 60% of previous orders procured from domestic builders. For every £1 of public funding, at least £3 of private investment will be made. This initiative aims to enhance sustainable public transport and reduce carbon emissions across England.
Scania has announced it has acquired Northvolt's heavy industry battery packs unit following Northvolt's bankruptcy. The deal, initially proposed in February 2025, was finalised for an undisclosed amount. Scania's acquisition includes Northvolt Systems Industrial, which produces battery systems for construction, mining, and other heavy industry applications. The unit operates a factory in Poland and an R&D centre in Sweden, employing c.260 people. This purchase aligns with Scania's strategy to enhance its electrification offerings for off-road applications. The acquisition is expected to continue Northvolt Systems Industrial's operations without disruption. Scania aims to leverage this acquisition to boost its long-term competitiveness in the EV sector. Northvolt had been attempting to sell non-core businesses to save its core operations, which focus on producing battery cells for EVs. This strategic move by Scania underscores the growing importance of battery technology in the heavy industry and EV markets.
Lucid Group has won the bankruptcy auction for Nikola's Arizona factory and other assets. Lucid committed c.$30 million in cash and non-cash considerations to acquire the factory, Nikola's lease on its Phoenix headquarters, and various machinery, equipment, and inventory. This acquisition will support Lucid's production ramp-up of its Lucid Gravity and upcoming midsize platform vehicles. Lucid plans to offer employment to more than 300 former Nikola employees, including roles in manufacturing, engineering, software, assembly, vehicle testing, and warehouse support. The acquisition does not include Nikola's hydrogen trucking assets or customer base. Lucid emphasised that this strategic expansion will enhance Lucid's manufacturing, warehousing, testing, and development facilities while supporting the local Arizona community. The bankruptcy auction saw Lucid outbid 3 other unnamed competitors. Nikola had been attempting to sell its entire business since filing for bankruptcy protection in February. Lucid's acquisition of these assets aligns with its goal to strengthen its operations in the EV industry. This move is expected to bolster Lucid's capabilities and provide continued employment opportunities for skilled workers in Arizona.
First Bus has announced the introduction of 24 new Wrightbus electric buses in Aberdeen as part of a £12.7m investment. These StreetDeck Electroliner double-deckers are now operational on routes 1 and 2 in the city. This investment also includes 12 electric repowers, contributing to First Bus's goal of achieving a fully zero-emission fleet by 2035. The new buses are part of a broader £100m investment in First Bus fleets for 2024/25. Aberdeen's fleet now has one of the highest proportions of zero-emission vehicles in the UK. This initiative follows the delivery of 24 Yutong E12 electric single-deckers in July 2023 and 15 hydrogen-powered buses in 2021. Students from Robert Gordon University, whose campus is served by these routes, attended the launch. This investment aims to improve air quality and reduce carbon emissions in Aberdeen, aligning with First Bus's sustainability goals.
Deals
Ottometric, a Boston-based Advanced Driver Assistance Systems (ADAS) validation startup, has secured $10m in a Series A financing round led by Schooner Capital. Investors such as Rally Ventures, Proeza Ventures, PS27, and Somersault Ventures also participated. This funding will help accelerate Ottometric's growth and the development of its AI-powered ADAS validation platform. ADASs include safety-critical features such as Automatic Emergency Braking and Lane Departure Warning, as well as driver-assistance features such as Adaptive Cruise Control and Traffic Sign Recognition. More traditional ADAS validation is costly and time-consuming, often taking over a year. Ottometric's platform automates this process, reducing validation costs and timelines by over 50%. The platform utilises proprietary data distillation technology to classify sensor data into structured insights, thereby enhancing system accuracy and ensuring that critical safety scenarios are accurately captured. This funding will help Ottometric meet growing demand from Tier-1 suppliers and OEMs.
Parallel Systems, a Los Angeles-based autonomous battery-powered freight technology startup, has secured $38m in a Series B funding round led by Anthos Capital. This new capital will support the commercialisation of their technology, with plans for an initial commercial launch in 2026. Parallel Systems aims to shift freight movement from trucks to rail, addressing inefficiencies and high costs associated with traditional rail systems. Their technology allows freight cars to attach and detach autonomously, making rail transport more flexible and cost-effective for smaller deliveries. The company has received approval from the Federal Railroad Administration to pilot its technology in Georgia, testing along a 160-mile stretch between the Port of Savannah and various distribution sites. This pilot program will demonstrate the system's capabilities and integration with existing rail infrastructure, promising quicker braking and compatibility with current rail operations. By leveraging underutilised rail networks, Parallel Systems' innovation could significantly reduce carbon emissions and improve supply chain efficiency.
Blue Water Autonomy, a Boston-based technology startup building autonomous ships for the US Navy, has raised $14m in a Seed funding round. Investors such as Eclipse, Riot, and Impatient Ventures participated. Blue Water Autonomy aims to create fully unmanned, highly producible ships for various missions, enhancing America’s navy's capabilities. The startup has developed a full-stack autonomy suite and concept ship designs within a year and is currently testing a 100-ton autonomous vessel. The funding will help expand the engineering team and accelerate testing. Blue Water Autonomy's technology promises to disrupt the maritime industry, providing solutions for the Navy and, potentially, commercial markets. This development comes amid increasing geopolitical tensions, highlighting the need (and demand) for advanced maritime capabilities.
Nuro, a Californian-based autonomous driving technology company, has announced it has raised $106 million in a Series E funding round. This funding will help support its shift from building delivery robots to licensing its autonomous driving technology. The company, which previously focused on creating delivery robots for partners such as Domino's, is now pivoting to license its self-driving tech to automotive OEMs, commercial delivery fleets, and ride-hail companies. Nuro emphasised that this new strategy is more capital-efficient and aligns with advancements in AI. The fresh funding will extend Nuro's operational runway and support commercial expansion plans through to 2027. This pivot aims to accelerate the adoption of autonomous technology across various industries.