Electric Vehicle Market

The global electric vehicle market is estimated to grow at a CAGR of more than 23% during the forecast period 2021-2027. The global electric vehicle (EV) market growth is attributed to various growth factors such as growing concerns related to carbon emissions and high investments from the government and electric vehicle manufacturers, among others. Investment in the development of EVs and related infrastructural growth such as wireless charging technology, charging stations with a wide range of product offerings attract a significant section of consumers and support the overall market growth over the forecast period. 

However, a lack of standardization in charging infrastructure and the high cost of EVs may hamper the overall growth of the global electric vehicle market during the forecast period. 

Government from across the world are promoting the use of electric vehicles across the globe by offering various subsidies and other benefits for both supply and demand sides. Reducing emissions of greenhouse gases such as CO2 and NOx is the major reason for the involvement of the government. Moreover, other economic benefits of technological edge are also taken into consideration. Without grants and subsidies, EVs are more expensive than Internal Combustion Engine (ICE) cars. Due to government aids, EV models are cheaper than their ICE counterparts. Thus, consumers are looking to benefit from government regulations that are attracted to EVs as they provide a cheap mobility solution in the recent period of high fuel prices. 

Some of the key initiatives taken and investments made by the government of different countries to boost the demand for EVs across the world are:   

• Canadian Tire and Petro-Canada’s networks received partial finance from the federal government through the Alternative Fuel Infrastructure Deployment Initiative and Natural Resource Canada’s Electric Vehicle.
• Through the Natural Resources Canada (NRCan) program, the federal government is investing $96.4 million in electric vehicle and hydrogen charging stations across the country.
• Another NRCan initiative, the Zero Emission Vehicle Infrastructure Program is investing $130 million in the construction of chargers on streets, at workplaces, and in multi-unit residential buildings between 2019 and 2024.
• The South Korean government announced their plans to invest a total of 200 billion won ($181 million) into building more public charging stations for electric vehicles, with an aim to nurture the growth of the local electric vehicle market.
• The government of India has de-licensed public charging stations business for EVs enabling individuals to extend such facilities but at a regulated tariff.

Rising Trend of Electric Vehicle Adoption 

Adoption of EVs is constantly increasing among users, especially in the U.S., Japan, and Western Europe. The major reasons supporting the significant adoption growth of electric vehicles, rising to a Y-o-Y rate of 64%, are rising government involvement for CO2 emission control and constant investments to provide subsidies for customers and manufacturers. The government of countries like India, China, and Indonesia has been striving to increase the adoption of electric vehicles for public transport.  Hence, a boost in demand for EVs and active participation of the regional and global government is boosting the revenue generation of the global electric vehicle market. 

Segmentation Overview of the Global Electric Vehicle Market 

The global electric vehicle (EV) market is categorized on the basis of component, vehicle type, vehicle class, propulsion type, power output, charging station, and sales channel. 

By Component 

• Vehicles (Cars)
• Parts and Accessories
• Battery Cells and Packs
• On-Board Charger
• Infotainment System
• Electric Motor
• Others

By Vehicle Type 

• Passenger Car (PC)
• Commercial Vehicles (CV)
• Two – Wheeler

By Vehicle Class 

• Mid-Priced
• Luxury

By Propulsion Type 

• Battery Electric Vehicle (BEV)
• Fuel Cell Electric Vehicle (FCEV)
• Plug-In Hybrid Electric Vehicle (PHEV)
• Hybrid Electric Vehicle (HEV)

By Power Output 

• Less Than 100 Kw
• 100-250 Kw
• Above 250 Kw

By Charging Station 

• Normal Charging
• Fast Charging

By Sales Channel 

• OEM
• Aftermarket

Regional Overview of the Global Electric Vehicle Market 

This market research study report studies the global electric vehicle market size in key regions like North America, Europe, Asia Pacific, Middle East, and Africa, and South America.   

The Asia Pacific electric vehicle Market is anticipated to witness rapid growth, followed by Europe and North America markets. The high population base of India and China coupled with increasing per capita income favors the affordability of EVs in the region. Also, government regulations to promote the adoption impact the growth rate of the APAC regional market.   

Competitive Landscape of the Electric Vehicle Market 

BMW Group, BYD Company Motors, Daimler AG, Energica Motor Company S.p.A, Ford Motor, General Motors, Nissan Motor Corporation, Tesla, Toyota Motor Corporation, and Volkswagen AG among others are major key players included in the research study of the electric vehicle market. Companies are aggressively investing in the development of EVs around the globe.