Challenges & approaches for Cost modelling in off highway electric vehicles

The electrification of off-highway vehicles presents a complex landscape of challenges, particularly in the realm of cost engineering for motors. These challenges stem from technological complexities, use of specialty materials and processes, economics of scale, and operational factors, each requiring careful consideration to ensure accurate and efficient cost modeling. The lack of standardized cost data for specialty materials poses a significant barrier to accurate cost engineering. Furthermore, the cost of key materials and components, such as electrical steel and permanent magnets, can fluctuate due to supply chain disruptions, material shortages, introducing uncertainty into cost projections. The economies of scale play a crucial role in cost engineering for off-highway electrification. Many off-highway vehicles are produced in lower volumes compared to on-road vehicles, which can result in higher unit costs for electric motors and other. In this paper, we delve into the primary challenges, as well as probable solutions to accurately estimate and predict the cost of motors using first principle methodology and fact based analysis.