The electric vehicle market size is valued at USD 171.35 billion in 2020 and is expected to reach a value of USD 726.14 billion by 2027 at a CAGR of 27.19% during the forecast period 2022-2027. Plug-in Hybrid Electric Vehicles are modern electric propulsion, consisting of electric machines, power electronic converters, electric energy sources such as fuel cells and storage devices, and electronic controllers. The automotive Manufacturers have been driven to supply electric Zero Emission vehicles all over the world due to electric vehicle market trends such as rising demand for low-emission and governments encouragement towards long-range, zero-emission vehicles via subsidies and tax refunds which is estimated to boost the electric vehicle market size. Major players such as Tesla, ford, General motor and others are focused on the increase of investment towards EV production. For instance Ford is investing $1 billion in an electric vehicle production facility in Cologne, Germany; this investment will transform the existing vehicle assembly operations into the Ford Cologne Electrification Centre for the manufacture of electric vehicles. Moreover Indian government to boost electric mobility over Internal Combustion engine based vehicles in the country announced to support 15.62 lakh electric vehicles through subsidies and has implemented a budgetary support of ₹ 10,000 crores. APAC is expected to hold a large share in the electric car industry analysis estimation, with China accounting for half of the vehicle sales. The electric vehicle industry analysis, particularly the global electric commercial vehicle market will be driven by this rising investment.
The report: “Electric Vehicle Market Forecast (2022-2027)”, covers an in-depth analysis of the following segments of the Electric Vehicle Market Analysis.
Growing awareness towards the reduction of harmful emission and fuel efficiency is significantly driven by the global electric vehicle market during the forecast period 2022-2027.
The governments incentives such as cheap or no registration fees, as well as exemptions from import tax, sales tax, and road tax are estimated to spur the electric vehicle market size.
APAC is analysed to grow at the highest CAGR during the forecast period owing to the growing government involvement and presence of original equipment manufacturers.
The EV passenger Vehicle is set to have the largest market share globally. This is owing to the governments' considerable backing for passenger electric vehicles in the countries. An EV passenger vehicle is estimated to have a considerable share in the APAC market owing to the presence of original equipment manufacturers and other automaker. The adoption of EV passenger car is increasing due to the factors such as reduced emission, higher fuel efficiency.
Rear Wheel Drive EV demand has risen in all regions, particularly in the Asia Pacific and Europe. This is due to the fact that it is easier to drive and there is an increasing demand for these vehicles. North America has also experienced a faster increase in these vehicles, with Tesla Model 3 Standard, BMW i3, Volkswagen ID4, Porsche Tycan, and other models. The expansion of RWD electric vehicles is expected to accelerate in the future decade. Moreover the market for AWD is likely to increase as the demand for better ride handling and traction control grows. Continuous development of a three-motor AWD system for EVs is projected to boost the global electric vehicle market.
The Asia Pacific has the largest electric vehicle market for passenger automobiles, followed by Europe and North America. China being the world’s largest EV producer, around 90% of domestic OEMs currently dominate the Chinese EV market. To encourage residents to change to electric vehicles, the city of Beijing, for example, exclusively offers 10,000 registration licences for combustion-engine vehicles per month. Moreover MEA countries have begun to expand their electric vehicle markets, and they are likely to be the fastest-growing in the future years.
The demand for fuel-efficient automobiles has recently increased as the price of gasoline and diesel has risen. Petrol and diesel are non-renewable sources hence the concern for developing alternative source of fuel is increasing which is further expected to increase the production of electrical energy vehicle. The Stringent CO2 emission norms have increased the demand for electric vehicles; these vehicles are environment friendly which have zero emission technology. The factors such as higher fuel economy, low pollution rate, smoother driving experience, reduced engine sound are driving the market for an electric vehicle.
Government initiatives and steps toward investment in the Electric Vehicle market for promoting the reduction of vehicle emissions are paramount. For instance in 2017, the United States government spent $5 billion to develop electric vehicle infrastructure, such as charging stations. Several governments are offering a variety of incentives, including cheap or no registration fees, as well as exemptions from import tax, sales tax, and road tax. Furthermore, countries such as Germany are heavily investing in EV sales promotion such as an amount of 6.5 billion will be provided by Germany for electric-car charging infrastructure.
One of the major challenges in the Zero emission vehicle market is the Inadequate E.V charging infrastructure. The rise of the electric car market, as well as variations in charging loads, have highlighted the need for electric car charging station uniformity. Certain electric vehicle charging stations may only work with a specific voltage. For example, level 1 charging stations provide a voltage of 120V AC, whereas level 2 charging stations provide a voltage of 208/240V AC. DC charging stations, on the other hand, use 480V AC to provide quick charging. Fast charging requirements range from country to country. CHAdeMO is used in Japan, while CCS is used in Europe, the United States, and Korea, and GB/T in China. Both CHAdeMO and CCS procedures were required by the Indian government. Hence due lack of uniformity across countries may impact the installation of charging stations and hamper the growth.
Technology launches, acquisitions and R&D activities are key strategies adopted by players in the Electric vehicle Market. The market for Electric Vehicle has been consolidated by the major players -Tesla, Volkswagen AG, Nissan Motors, BMW Group, BYD Company motors, General Motors, Chevrolet, Toyota Motor Corporation, Ford Motor, and Mercedes.
In September 2020 Volkswagen with its local Chinese joint ventures FAW Group, SAIC Motor, and JAC, invested USD 17.4 billion in the Electric Vehicles market to support new product releases of Battery Electric and Plug-in Hybrid Electric Vehicles in the market.
In December 2020 the United States, Nissan has revealed the Leaf model for 2021. The car is available with a battery capacity ranging from 40 to 62 kWh. Per charge, the mileage varies between 149 and 226 miles.
In November 2019 BYD debuted the e3 electric vehicle. It has two battery capacities of 35.2 kWh and 47.3 kWh, as well as a single electric motor of 70 kW. The vehicle's range is approximately 252 miles.
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Report Coverage
The report: “Electric Vehicle Market Forecast (2022-2027)”, covers an in-depth analysis of the following segments of the Electric Vehicle Market Analysis.
- By Vehicle Type - Passenger Cars, Commercial Vehicles
- By Components - Motors, Electric Engine, Drivetrain, Power Conditioner, Battery, Controller, Other components
- By Vehicle Class - Luxury, Mid-priced
- By Vehicle Drive Type - Front-Wheel Drive, Rear Wheel Drive, All-Wheel Drive
- By Geography - North America (U.S, Canada, Mexico), Europe (Germany, UK, France, Italy, Spain, Belgium, Russia and Others), APAC(China, Japan India, SK, Aus and Others), South America(Brazil, Argentina and others), and RoW (the Middle East and Africa)
Key Takeaways
Growing awareness towards the reduction of harmful emission and fuel efficiency is significantly driven by the global electric vehicle market during the forecast period 2022-2027.
The governments incentives such as cheap or no registration fees, as well as exemptions from import tax, sales tax, and road tax are estimated to spur the electric vehicle market size.
APAC is analysed to grow at the highest CAGR during the forecast period owing to the growing government involvement and presence of original equipment manufacturers.
Electric Vehicle Market Segment Analysis - By Vehicle Type
The EV passenger Vehicle is set to have the largest market share globally. This is owing to the governments' considerable backing for passenger electric vehicles in the countries. An EV passenger vehicle is estimated to have a considerable share in the APAC market owing to the presence of original equipment manufacturers and other automaker. The adoption of EV passenger car is increasing due to the factors such as reduced emission, higher fuel efficiency.
Electric Vehicle Market Segment Analysis - By Vehicle Drive Type
Rear Wheel Drive EV demand has risen in all regions, particularly in the Asia Pacific and Europe. This is due to the fact that it is easier to drive and there is an increasing demand for these vehicles. North America has also experienced a faster increase in these vehicles, with Tesla Model 3 Standard, BMW i3, Volkswagen ID4, Porsche Tycan, and other models. The expansion of RWD electric vehicles is expected to accelerate in the future decade. Moreover the market for AWD is likely to increase as the demand for better ride handling and traction control grows. Continuous development of a three-motor AWD system for EVs is projected to boost the global electric vehicle market.
Electric Vehicle Market Segment Analysis - By Geography
The Asia Pacific has the largest electric vehicle market for passenger automobiles, followed by Europe and North America. China being the world’s largest EV producer, around 90% of domestic OEMs currently dominate the Chinese EV market. To encourage residents to change to electric vehicles, the city of Beijing, for example, exclusively offers 10,000 registration licences for combustion-engine vehicles per month. Moreover MEA countries have begun to expand their electric vehicle markets, and they are likely to be the fastest-growing in the future years.
Electric Vehicle Market Drivers
Increase in demand for fuel-efficient and low emission vehicles
The demand for fuel-efficient automobiles has recently increased as the price of gasoline and diesel has risen. Petrol and diesel are non-renewable sources hence the concern for developing alternative source of fuel is increasing which is further expected to increase the production of electrical energy vehicle. The Stringent CO2 emission norms have increased the demand for electric vehicles; these vehicles are environment friendly which have zero emission technology. The factors such as higher fuel economy, low pollution rate, smoother driving experience, reduced engine sound are driving the market for an electric vehicle.
Initiatives by the government to promote electric vehicles
Government initiatives and steps toward investment in the Electric Vehicle market for promoting the reduction of vehicle emissions are paramount. For instance in 2017, the United States government spent $5 billion to develop electric vehicle infrastructure, such as charging stations. Several governments are offering a variety of incentives, including cheap or no registration fees, as well as exemptions from import tax, sales tax, and road tax. Furthermore, countries such as Germany are heavily investing in EV sales promotion such as an amount of 6.5 billion will be provided by Germany for electric-car charging infrastructure.
Electric Vehicle Market Challenges
Inadequate uniformity of E.V charging infrastructure
One of the major challenges in the Zero emission vehicle market is the Inadequate E.V charging infrastructure. The rise of the electric car market, as well as variations in charging loads, have highlighted the need for electric car charging station uniformity. Certain electric vehicle charging stations may only work with a specific voltage. For example, level 1 charging stations provide a voltage of 120V AC, whereas level 2 charging stations provide a voltage of 208/240V AC. DC charging stations, on the other hand, use 480V AC to provide quick charging. Fast charging requirements range from country to country. CHAdeMO is used in Japan, while CCS is used in Europe, the United States, and Korea, and GB/T in China. Both CHAdeMO and CCS procedures were required by the Indian government. Hence due lack of uniformity across countries may impact the installation of charging stations and hamper the growth.
Electric Vehicle Market Landscape
Technology launches, acquisitions and R&D activities are key strategies adopted by players in the Electric vehicle Market. The market for Electric Vehicle has been consolidated by the major players -Tesla, Volkswagen AG, Nissan Motors, BMW Group, BYD Company motors, General Motors, Chevrolet, Toyota Motor Corporation, Ford Motor, and Mercedes.
Acquisitions/Technology Launches/Joint Venture
In September 2020 Volkswagen with its local Chinese joint ventures FAW Group, SAIC Motor, and JAC, invested USD 17.4 billion in the Electric Vehicles market to support new product releases of Battery Electric and Plug-in Hybrid Electric Vehicles in the market.
In December 2020 the United States, Nissan has revealed the Leaf model for 2021. The car is available with a battery capacity ranging from 40 to 62 kWh. Per charge, the mileage varies between 149 and 226 miles.
In November 2019 BYD debuted the e3 electric vehicle. It has two battery capacities of 35.2 kWh and 47.3 kWh, as well as a single electric motor of 70 kW. The vehicle's range is approximately 252 miles.
This product will be delivered within 2 business days.
Table of Contents
1. Global Electric Vehicle - Market Overview2. Executive Summary18. Appendix19. Abbreviations20. Sources21. Research22. Methodology23. Expert Insights
3. By Countries
4. Electric Vehicle Market Outlook - By Type and Segment
5. Electric Vehicle Market Outlook - By Battery Technology
6. Electric Vehicle Market Outlook - By Component
7. Electric Vehicle Market Outlook - By Plug-in EVSE
8. Electric Vehicle Market Outlook - By Wireless Electric Vehicle Charging
9. Electric Vehicle Market Outlook - By Infotainment
10. Electric Vehicle Market Outlook - By High Power Electronics
11. Electric Vehicle Market Outlook - By Light weighting Material
12. Electric Vehicle Market Outlook - By HVAC
13. Electric Vehicle Market Outlook - By Energy Harvesting
14. Electric Vehicle Market Outlook - By Organic and Flexible Electronics
15. Electric Vehicle Market Outlook - Evolution of New Financial Business Models
16. Electric Vehicle Market Outlook - Strategic Insights
17. Electric Vehicles Market, By Geography
Methodology
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