The technological advancements in the electric vehicle sector such as the advancement in the production of EV batteries on a large scale as well as the decrease in the cost of these batteries have significantly incentivised people to invest more in this sector. This has led to an overall reduction in cost of electric vehicles as the battery is the most expensive component of an EV.
The prices of EV batteries are expected to decrease around $60 per kWh by the year 2030 which will reduce the cost of EVs making them cheaper and accessible to a wide range of population.
The EV sales in Europe saw a significant rise during the second quarter of 2021, the new car registrations from plug-in EV raised to 237,934 which was an increase by 157% year-over-year.
There has been a total of over 1 million car registrations for plug-in EV in the year 2021 in Europe which constitutes 16% of the total market out of which 7.6% constitute BEVs.
The sales of plug-in EV has surged in China as multiple models are being sold by several OEMs. June of 2021, alone recorded registration of 235,000 plug-in EVs which is approximately more than 160% compared to the year 2020. The market share has also increased to 15% where 12% are BEVs. For the year 2021, over 1.1 million EVs are sold which constitutes 11% of the total market with 9% BEVs.
The electric vehicle sales in 2021is expected to grow by 15%-20% as compared to 43% growth in 2020. The plugged-in vehicle market grew even after Covid mainly in Europe and China. Both the regions had the backing of government subsidies which helped them to shrug off the initial decline in sales in 2020 to grow.
The market is set to grow as multiple OEMs will be coming out with vehicles as well as improved technology. In the first 4 months of 2021, more than 1.5 Million plugged in vehicles were sold across the world.
Most of the electric vehicle battery manufacturers are trying to improve the energy density (Wh/kg)-the global average is 250Wh/kg at present) in the immediate future to further increase range (miles driven per charge). The safety aspects of various battery chemistries are also being looked into along with energy density
CATL, with the highest electric vehicle battery market share globally, claims to have reached levels of 304Wh/kg as of June 2019, whereas BYD and Tesla are still in the range of 240-260Wh/kg. CATL, LG Chem & Panasonic were the top 3 EV Battery producers in 2020. These 3 cumulatively account for ~65% of the market share.
The global electric car market size was estimated at $119 Billion in 2020 and is estimated to grow to $175 Billion in 2023 at a CAGR of 14%.
The below market share graph is valid for BEV+PHEVs only as Toyota remains the global leader in HEV sales with more than 70% share globally.
The market is diversified in 2021 with 49% being shared among the top 7 OEMs and 78% being shared with top 20 OEMs. As more players come into the market the diversification will increase and those who can’t keep up with the competition will have to quit the market
To know more about China Electric Vehicle Market, read our report
To know more about Europe Electric Vehicle Market, read our report
To know more about US Electric Vehicle Market , read our report
The electric vehicle market globally is predicted to grow from the year 2021 to the year 2026 at a CAGR of around XX%. The factors that are facilitating the growth of this industry are the growing demand for low emission vehicles, subsidies and tax benefits on zero-emission vehicles as well as governmental regulations for transportation.
Governments across the globe have increased their investments to develop EV charging stations and infrastructures along with incentives for buyers as well as OEMs to manufacture more products.
In China,we expect many long range BEV models with connected and semi-autonomous features to be introduced in the Chinese market post 2021 from all mainstream domestic brands like Geely , JAC, Great Wall Motors, SAIC, Geely etc ,many of them are under development right now. The A00 segments will see increased traction in semi urban areas as the battle it out without subsidies
The global automotive market for the automotive sector was affected significantly by the economic impacts of the COVID-19 pandemic. The first half of the year 2020 witnessed a drop in new car registrations which was about a third from the same half of the previous year due to the restrictions put in place and lockdowns across the world. The production and manufacturing units of OEMs were at a halt until the relaxation in COVID protocols which affected the business gravely.
However, the decrease was offset partially by the strong activity in the second half of the year 2020 which recovered the market and resulted in a low drop of 16% year-on-year overall basis. With the new car sales of conventional vehicles dropping, the global electric car sales rose to 4.6% after the pandemic.
After rapid growth in the automotive sector for over a decade, in the year 2020 the stock of electric cars globally hit the 10 million milestone with an increase of 43% over the year 2019.
The battery electric vehicles (BEVs) have accounted for approximately two-third of the new car sales in the year 2020. China has the largest fleet of electric vehicles with 4.5 million electric cars, though Europe recorded the largest annual increase in EVs to reach 3.2 million.
Several factors have contributed to the increase in registrations and recovery of the market in spite of the COVID-19 repercussions in the year 2020. Electric vehicles have gradually become more competitive in some of the countries as per the total cost of ownership. Governments across the globe have provided incentives that have buffered the purchases in the electric vehicle market.
The BMW i3 is a ground-breaking electric vehicle that was created to provide a really exceptional driving experience. Since its initial release in 2013, it has grown to be a well-liked option among those looking for an electric vehicle. A fully charged BMW i3 plug-in hybrid electric car (PHEV) has a range of up to 150 miles.
The BMW i3 stands out from other electric vehicles because of its unique design. Lightweight components like aluminum and carbon fiber were used in its design to increase efficiency and improve handling. The vehicle also has a futuristic appearance, with a dynamic exterior and a sophisticated interior.
The BMW i3 is very efficient thanks to a variety of cutting-edge technologies. When you slow down, it employs regenerative braking to collect energy and turn it into power. It also contains a number of intelligent features that can help you control your energy usage and keep your car operating as efficiently as possible.
The BMW i3 is a fantastic option for daily use thanks to a number of excellent features. Its numerous comfortable seating options and roomy interior make it ideal for family vacations. A number of safety measures are also included in it, including airbags and a rearview camera.
For those looking for an electric vehicle that provides a distinctive driving experience, the BMW i3 is a fantastic option. It is an effective and dependable vehicle that can get you wherever you need to go thanks to its cutting-edge technology and effective design.
For those who wish to experience the future of electric vehicles, it is a fantastic alternative because of its variety of features.
GM and Honda have announced intentions to take their partnership to the next level by co-developing a line of cheap electric vehicles based on a new global design and next-generation Ultium battery technology.
The two businesses are collaborating to enable global manufacture of millions of electric vehicles, particularly tiny crossovers, starting in 2027, by combining their technology, design, and sourcing methods. The firms will also collaborate to standardise equipment and processes in order to achieve world-class quality, increased throughput, and lower costs. With yearly sales of more than 13 million vehicles, the compact crossover market is the world’s largest.
GM and Honda will also examine future EV battery technology partnership prospects to lower the cost of electrification, increase performance, and reduce emissions.
In order to meet the growing demand for electric vehicles in the last-mile delivery segment, EV manufacturer Omega Seiki Mobility has created a strategic agreement with Grip Invest for lease financing to retail investors.
According to Omega Seiki, Grip Invest, a digital platform for supporting new-age investments, would finance the company’s Rage+ Rapid e-three-wheelers, with ambitions to grow EVs by the.
The low total cost of ownership of commercial electric cars is driving strong demand for leasing, which is being fueled further by e-commerce companies expanding their EV fleet.
The collaboration with Grip Invest will focus on establishing a stronger EV footing in the existing market and speeding up the electrification process.
Electric three-wheelers are a viable option where leasing out the vehicle appears to be a beneficial preposition for both ends.
One notable partnership in the electric car market involves Ford and Volkswagen. The two automotive giants announced a collaboration to develop electric and autonomous vehicles.
Under this partnership, Ford agreed to use Volkswagen’s Modular Electric Toolkit (MEB) platform to produce at least one high-volume fully electric vehicle in Europe. This partnership enables both companies to share development costs and leverage their respective expertise to bring new electric models to market more efficiently.
Another significant partnership is between General Motors (GM) and LG Chem, a leading battery manufacturer. The companies unveiled a joint venture called Ultium Cells LLC to mass-produce battery cells for electric vehicles.
The partnership aims to leverage GM’s expertise in vehicle manufacturing and LG Chem’s advanced battery technology to drive down costs and increase the availability of high-quality battery cells. This collaboration is crucial for scaling up electric vehicle production and making EVs more accessible to a wider range of consumers.
Beyond traditional automakers, technology companies are also entering the electric car market through strategic partnerships. Apple, known for its consumer electronics, has been reportedly exploring collaborations with various automakers to develop an electric vehicle.
While the details of these partnerships remain undisclosed, Apple’s entry into the electric car market could bring significant disruption and innovation to the industry.
In addition to industry players, governments and utilities are actively participating in partnerships to support the electric car market. For instance, several utility companies have teamed up with automakers to develop charging infrastructure networks.
In the United States, the Electrify America initiative, a subsidiary of the Volkswagen Group, has partnered with major automakers like Ford, General Motors, and others to build a nationwide network of fast-charging stations.
These partnerships help address “range anxiety” concerns and promote widespread adoption of electric vehicles.
Furthermore, international collaborations are playing a crucial role in the growth of the electric car market. For example, the European Union launched the European Battery Alliance (EBA) to support the development and production of advanced batteries for electric vehicles.
The EBA brings together various stakeholders, including automakers, battery manufacturers, and research institutions, to foster collaboration and innovation in battery technology.
In conclusion, partnerships are becoming increasingly important in the electric car market, as they enable stakeholders to pool resources, expertise, and technology to overcome challenges and accelerate the adoption of electric vehicles.
Automakers are investing huge amounts of money which is expected to cater the increasing demand for EVs. OEMs have started to offer electric vehicles in different sectors which range from high-end sedans such as Tesla Model 3 and hatchbacks such as Nissan Leaf.
Tesla Inc. has surpassed $1 billion in its quarterly profit for the April-June quarter of 2021 for the first time setting a milestone. Its revenue nearly doubled to about $12 billion from the last year earning $1.02 per share. It now boasts a market value of approximately $630 billion which is greater than any automaker. Its Model Y LR has been sold out for new car registrations for the third quarter of 2021.
The company BYD has reported delivery of over 40,000 plug-in EVs in China during June of 2021 setting a record in the automobile sector. The units were 207% more than the units sold a year ago with plug-in vehicles constituting about 81% of the total sales of BYD.
The Volkswagen group reported deliveries of more than 342,000 BEV as well as PHEV slit 50/50 in the second quarter of 2021. The figures have increased at a tremendous rate of over 260% for BEVs and 227% for PHEVs. They have sold the maximum number of cars in Europe acquiring 26% of the market share followed by the US and China for the year 2021.
The BMW group has reported more than doubled the sales volume to 83,000 in the second quarter of 2021 and 153,000 in the first quarter of 2021. The share of the plug-in EVs has increased by a whopping 11.85% of the total BMW volume. With 36,089 BEVs and 117,178 PHEVs sold in the first half of the year 2021, the sales for the group has been up by 183.9% and 139.4% respectively during this year.
Panasonic Corp, which supplies electric vehicle battery packs to some of the key automakers had a surging operating profit in the first quarter of this year which was more than 27 times. It rose to $950 million (104.4 billion yen) from 3.8 billion yen which is 505 higher than the market expectations.
The Electric vehicle sector is dominated by players established globally such as Tesla Inc, Daimler AG, BYD, Volkswagen, Toyota and Nissan. There are other global players that have now started to compete with these players focusing on the geographical location. For example,
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