Global Battery Electric Vehicle (BEV) Market 2023-2030

Global Battery Electric Vehicle (BEV) Market 2023-2030

Global battery electric vehicle market is estimated to grow at a CAGR of 20.0% during the forecast period. Significant growth in the electric vehicle market has been witnessed in the last decade while in the last couple of years, a trend of shifting from hybrid electric vehicles & plug-in hybrid electric vehicles to BEVs has been observed. As per the International Energy Agency, around 2 million electric cars were sold in 2018 and out of this more than 1.3 million were BEV.

The major factor contributing to the growth of the battery electric vehicle market includes encouraging government regulations, the financial backing of the electric vehicle by the government, the development of charging infrastructure, and stringent target to curb carbon emission. Moreover, increasing the traveling range of the BEV due to the technological advancement of the batteries is another major factor for the adoption of BEV globally. Besides, the high prices of the BEVs and lack of charging infrastructure in developing economies such as India and Brazil are some of the major restraining factors for the market. In addition, the emergence of alternative technology such as Fuel cell electric vehicles can also challenge the growth of the market in developed economies such as the US and Japan.

Segmental Outlook

The market is studied based on vehicle type and battery type. Based on vehicle type, the market is further segmented into commercial vehicles, passenger cars, and others. The passenger battery electric vehicle market is expected to hold the largest share during the forecast period. Based on battery type, the market is sub-segmented into NiMH, Li-Ion, and others. Li-ion battery cars is projected to cover a major market share during the forecast period.

Regional Outlooks

The global electric vehicles market is further segmented based on geography, including North America (the US and Canada), Europe (Italy, Spain, Germany, France, and others), Asia-Pacific (India, China, Japan, South Korea, and others), and the Rest of the World (the Middle East & Africa and Latin America). During the forecast period, Asia Pacific is estimated to be the largest market with a lucrative growth rate. China holds the largest market share whereas Japan, South Korea, and India are significantly contributing to the market.

In addition, a significant growth rate is expected in Europe as the economies such as Norway, Germany, the UK, and Spain, are significantly providing subsidies on BEVs. As per the European Automobile Manufacturers Association, in 2019, Europe has shown a growth of 80% in the sales of BEV on a YoY basis whereas some countries have registered a growth of more than 100% YoY including Denmark, Finland, Greece, Italy, the Netherlands, Romania, Sweden, and Switzerland.

Market Players Outlook

Major companies contributing to the global BEV market include SAIC Motor Corp. Ltd., BAIC Group, BYD Auto Co., Ltd., Hyundai Motor Co., Kia Motors Corp., Toyota Motor Corp., Tesla Inc., Jaguar Land Rover Ltd., Nissan Motor Co., Renault Group, Volkswagen AG, Daimler AG, Mitsubishi Motors Corp. and so on. The market players are considerably contributing to the market growth by adopting various growth strategies including new product launches, mergers and acquisitions, collaborations with the government, and technological advancements to stay competitive in the market. For instance, in January 2023, Assurant, Inc., announced an agreement with Altelium. The partnership enables Assurant to leverage Altelium’s artificial intelligence (AI)–driven battery data and electric vehicle (EV) insights to create an array of innovative electric vehicle solutions, including vehicle service contracts that protect EV owners from costly battery repair and replacement.