Driven by the increased demand for low emission commuting and governments supporting long-range, zero-emission vehicles through subsidies and tax rebates, the global E-Mobility market is projected to reach 34,756 thousand units by 2030.
According to the recent report by MarketsandMarkets, due to the disruption in electrification, opportunities worth about $26 billion are opening up in the E-Mobility industry, as Li-Ion battery sales are likely to touch about $70 billion by 2025.
The research report noted that leading OEM's strategic commitments towards electric vehicles will help reduce time to the EV tipping point. New models have been announced, production targets increased, and sales targets moved forward and multiplied by leading OEMs.
According to the analysis, there are about $26 billion potential opportunities within E-Mobility ecosystem, more than half of which is contributed by various EV components, including batteries, motors, and chargers.
The E-Mobility industry represents an opportunity worth $18-26 billion for the companies operating in the entire EV value chain.
The fuel cell is one of the emerging segments and was one of the most talked-about trends in the auto industry in 2021.
Despite the COVID-19 pandemic, EV sales registered a sprawling growth rate of over 94% in 2021 compared to 2020, the report noted.
Considering the unaffected sales of EV in 2021, the outlook in 2022 is expected to remain positive despite the third wave of the pandemic.
Besides, the growing EV sales across all major regions are expected to create huge EV charging stations market opportunities. Also, the growing electric trends would make a shift in revenue mix in the coming years, the report noted.
At present, businesses have low access to primary intelligence to clarify some unknowns and adjacencies in these opportunity areas. As a result, the adoption levels of E-Mobility is low as compared to ICE, and at present, it ranges between 5-10% globally. However, it is approaching 15% - 20% in some countries. Moreover, as electric vehicles help reduce vehicle emissions, it is getting the push from the governments, the report said.
Currently, Battery Electric Vehicles (BEVs) in the passenger car segment are largely sold for personal transportation. However, increasing focus on commercial electric transportation drives the adoption of electric trucks and electric buses. In addition, government investments in public transportation will offer a massive opportunity for electric buses, the research firm said.
Adjacent markets such as electric vehicle components, batteries, electric vehicle charging stations and required services will provide immense growth opportunities.
Battery technology is changing rapidly, and the introduction of new battery technology such as Sodium Ion, Lithium-Air, and Solid-state batteries is expected to disrupt the EV market.
Some of the growth problems encountered by companies in the EV ecosystem include customer prioritisation and assessing unmet needs, the report said.
Courtesy: MarketsandMarkets. NB: Photo is representational; courtesy: Volvo Cars.