Electric Vehicle Market

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

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

Government worldwide are promoting the use of electric vehicle across the globe by offering various subsidies and other benefits for both supply and demand side. 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 significantly more expensive than Internal Combustion Engine (ICE) cars. Due 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 across the world are: 

• Canadian Tire and Petro-Canada’s networks received partial finance from the federal government through 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 EV market.
• The government of India has de-licensed public charging stations business for electric vehicles enabling individuals to extend such facilities but at a regulated tariff.

Rising Trend of Electric Vehicle Adoption

Adoption of electric vehicles is constantly increasing among the users, especially in the U.S., Japan, and Western Europe. The main reasons of the significant growth in the adoption of electric vehicles, rising to Y-o-Y rate of 64%, are the increasing government involvement for CO2 emission control and constant investments to provide subsidies for the 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.

Segmentation Overview of the Global Electric Vehicle Market

The global electric vehicle 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 & Accessories
  • Battery Cells & 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 & Africa and South America. 

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

Competitive Landscape of the Electric Vehicle Industry

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 other 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.