The global electric scooter market is experiencing a profound transformation, driven by various factors shaping the mobility landscape. As emerging economies witness increased localisation of electric scooter manufacturing and consumer acceptance rises globally, the market is poised for substantial growth.
According to a recent report by Research and Markets, the electric scooter market is projected to reach a staggering $408.1 billion by 2031, growing at a CAGR of 21.6% from 2024 to 2031. In terms of volume, this translates to an estimated 298.5 million units by 2031, reflecting a robust CAGR of 18.1% during the forecast period.
Challenges, Opportunities
While the market outlook is promising, challenges persist. Reliability issues and safety concerns among consumers, compounded by inadequate investment from legacy two-wheeler manufacturers, pose hurdles to market growth. However, Government initiatives aimed at reducing traffic congestion and pollution offer significant growth opportunities. Yet, the lack of charging infrastructure remains a critical challenge, necessitating comprehensive solutions for sustained market expansion.
Regional Dynamics
The North American market is expected to witness the highest growth rate, fueled by rapid urbanisation, environmental consciousness, and the demand for sustainable transportation options. Cities in the US and Canada are increasingly embracing electric scooters to address traffic congestion and last-mile commute challenges.
Segment Insights
The electric motorcycles segment is projected to register the highest CAGR, driven by Government policies promoting electric mobility and increasing consumer awareness. Among electric scooter segments, the 3.6 kW to 7.2 kW category is expected to see significant growth due to rising adoption in emerging economies and favourable incentives.
Technological Trends
Innovations in battery technology, particularly lithium-ion polymer batteries, are driving efficiency and range improvements in electric two-wheelers. Additionally, hub motors are gaining traction, supported by Government initiatives and increasing adoption.
Leading players in the global electric scooter market include Yamaha Motor Co, Yadea Group Holdings, Niu Technologies, Hero MotoCorp, and others. Their contributions to innovation and sustainability are shaping the future of urban mobility.
In conclusion, the global electric scooter market presents immense opportunities for growth and innovation, driven by technological advancements, evolving consumer preferences, and supportive Government policies. Navigating this dynamic landscape requires proactive strategies and collaborations to address challenges and unlock the market's full potential.
Courtesy: Research and Markets. Photo is representational; courtesy: Ampere.
Also Read: