Global Electric Vehicle Market Overview
Electric Vehicle Market accounted for USD 162.34 Billion in 2020 and is estimated to be USD 973.49 Billion by 2030 and is anticipated to register a CAGR of 19.8%.
An electric vehicle (EV) is a vehicle that is propelled by one or more electric motors. It can be powered by a collector system that uses electricity from outside the vehicle, or it can be self-powered by a battery (sometimes charged by solar panels or by converting fuel to electricity using fuel cells or a generator). Road and rail vehicles, surface and underwater watercraft, electric airplanes, and electric spacecraft are all examples of electric vehicles. Electric vehicles (EVs) originally appeared in the mid-19th century, when electricity was one of the favored ways for motor vehicle propulsion, offering comfort and ease of operation that the gasoline car could of time. For nearly a century, internal combustion engines were the primary propulsion system for cars and trucks. However, electric power was still widely used in other vehicle types, such as railroads and smaller vehicles. EVs have witnessed a comeback in the twenty-first century due to technological advancements, a greater focus on renewable energy, and the possibility of reducing transportation's influence on climate change and other environmental challenges. According to Project Drawdown, electric vehicles are one of the 100 best current ideas for combating climate change.
Global Electric Vehicle Market Drivers & Restraints
Growing Adoption of Electric Buses during the Forecast Period
Electric vehicles are propelled by one or more electric motors or traction motors. Electric cars are charged via self-charging technologies such as regenerative braking systems, turbochargers, or a collector system using electricity from setting station deployments. The expansion of the electric vehicle market is aided by factors such as rising demand for fuel-efficient, high-performance, and low-emission vehicles and strict government emission restrictions and regulations. Furthermore, high production costs, low fuel economy, and serviceability are predicted to hamper the electric vehicle market. However, factors such as technological advancements and proactive government initiatives drive the growth of the electric vehicle market during the forecast period.
Reducing the cost of EV batteries
Over the last decade, the cost of EV batteries has decreased due to technological improvements and large-scale production of EV batteries in massive quantities. As EV batteries are one of the more expensive aspects of an electric car, this has reduced their cost. An electric vehicle battery cost roughly USD 1,100 per kWh in 2010. However, by 2020, its cost had dropped to around USD 137 per kWh, while in China, it was as low as USD 100 per kWh. This is due to lower battery manufacturing costs, lower cathode material prices, and higher production volumes, among other factors. By 2030, EV battery prices are predicted to drop to roughly USD 60 per kWh, significantly lowering the cost of EVs and making them more affordable than traditional ICE vehicles.
Global Electric Vehicle Market Segmentations & Regional Insights
Electric Vehicle Market is segmented based on type, vehicle type, vehicle top speed, vehicle class, and region.
Based on type, the Electric Vehicle Market is segmented into Battery Electric Vehicles, Hybrid Electric Vehicles, and Plug-in Hybrid Electric Vehicles. Based on the vehicle's top speed, the target market is segmented into <125 mph >125 mph. The target market is segmented based on vehicle type: Front Wheel Drive, Rear Wheel Drive, and All Wheel Drive. The target market is segmented into Mid-Priced and Luxury based on vehicle class.
Regional Insights:
In the region, the Electric Vehicle Market is segmented into North America, Europe, Asia Pacific, Latin America, and Middle East & Africa. The market in Asia Pacific is expected to hold the largest share of the Electric Vehicle Market. China, Japan, and South Korea lead the Asia Pacific electric vehicle market. China the world's top EV producer, and user have a stranglehold on the region's EV market. Their government has taken steps such as providing subsidies to EV buyers, enacting mandatory laws requiring all vehicle manufacturers to produce EVs in proportion to the number of vehicles produced, providing substantial support for installing EV charging stations throughout major cities, and enacting regulations against polluting vehicles. Japan and South Korea have seen rapid electric vehicle market growth. Their governments have aided the increase of EV demand by providing EV charging stations, establishing pollution standards, and establishing deadlines for switching from ICE vehicles to full or hybrid EVs, among other things. India is also attempting to increase demand for electric cars in the industry. The country's new vehicle policy, which allows old vehicles to be scrapped in exchange for low-emission vehicles and other planned rules, will help it become the region's fastest-growing EV market in the following years.
Report Scope:
Attribute |
Details |
Base year for estimation |
2020 |
Forecast period |
2020 – 2030 |
Market representation |
Revenue in USD Billion & CAGR from 2020 – 2030 |
Market Segmentation |
By Type- Battery Electric Vehicles, Hybrid Electric Vehicles and Plug-In Hybrid Electric Vehicles By Vehicle Top Speed– <125 mph >125 mph By Vehicle Type– Front Wheel Drive, Rear Wheel Drive and All Wheel Drive By Vehicle Class– Mid-Priced and Luxury |
Regional scope |
North America - U.S., Canada Europe - UK, Germany, Spain, France, Italy, Russia, Rest of Europe Asia Pacific - Japan, India, China, South Korea, Australia, Rest of Asia-Pacific Latin America - Brazil, Mexico, Argentina, Rest of Latin America Middle East & Africa - South Africa, Saudi Arabia, UAE, Rest of Middle East & Africa |
Report coverage |
Revenue forecast, company share, competitive landscape, growth factors, and trends |
Segments Covered in the Report:
This report forecasts revenue growth at global, regional, and country levels and provides an analysis of the latest industry trends and opportunities in each of the sub-segments from 2020 to 2030. For the purpose of this study, has segmented the Electric Vehicle Market report based on type, vehicle top class, vehicle type, vehicle class and region.
Electric Vehicle Market, By Region:
- North America
- Middle East & Africa
- GCC
- Israel
- South Africa
- Latin America
- Brazil
- Mexico
- Rest of Latin America
- Asia Pacific
- China
- India
- Japan
- South Korea
- Rest of Asia Pacific
- Europe
- Germany
- UK
- France
- Russia
- Italy
- Rest of Europe
- U.S.
- Canada
- Middle East & Africa
Global Electric Vehicle Market Competitive Landscape & Key Players
Some of the key players in the Electric Vehicle Market, such as Tesla (US), BYD (China), Volkswagen AG (Germany), BMW Group (Germany), and Nissan Motors (Japan), lead the electric vehicle market. These corporations have extensive global distribution networks and invest extensively in R&D to generate new products. These businesses also provide a wide range of products and services to the automotive sector. A fixed percentage of the segmental revenue for each company mentioned above was used to calculate the market ranking.
Global Electric Vehicle Market Company Profile
- Tesla
- BYD
- Volkswagen AG
- BMW Group
- Nissan Motors
Global Electric Vehicle Market Highlights
FAQs
Electric Vehicle Market is segmented based on type, vehicle type, vehicle top speed, vehicle class and region.
Reducing the cost of EV batteries is the major factor driving growth of the global market
The market in Asia Pacific is expected to hold the largest share in the Electric Vehicle Market.
Some of the key player of Electric Vehicle Market such as Tesla (US), BYD (China), Volkswagen AG (Germany), BMW Group (Germany), and Nissan Motors (Japan) lead the electric vehicle market.