Product Overview:
The automotive
industry is changing rapidly, substantially more rapidly than anytime over the
most recent 20 years. There's a shift towards green developments and expanded
mileage driven by both regulations and consumer demand. Over the next 5 to 10
years, every car on sale will offer fully electric, plug-in or hybrid variant
as the adoption rate of these vehicles and technology is increasing intensely.
Electric vehicles
are cleaner than oil energized vehicles and are viewed as a promising answer
for an unnatural weather change. Electric vehicle uses one or more electric
motors for momentum. The major types of EV’s are Battery Electric Vehicle
(BEV’s), Plug-In Hybrid Electric Vehicle (PHEV’s), Hybrid Electric Vehicles
(HEV’s) and Fuel Cell Vehicles
Small Electric
Vehicle Manufacturers:
Global Small
Electric Vehicle Market overview:
Small EV’s includes
passenger cars (Hatchback) and Light commercial vehicles. Among these electric
vehicles hatchback segment of passenger car holds the largest share in Global
Small Electric Vehicle market. In 2016, small electric vehicles registration
recorded sales of around 4,00,000 vehicles globally.
China holds the
largest share in small electric vehicle market in 2016. Small Electric Vehicle
sales in China were more than double the volume in the United States. In 2016,
In Europe, most of the small electric vehicles sold were registered in six
countries: Norway, Germany, the Netherlands, the United Kingdom, France and
Sweden.
Globally, 90% of
the small electric vehicles sales are taking place in country like China,
United States, Canada, Japan, Norway, Germany, the Netherlands, the United
Kingdom, France and Sweden.
Electric vehicles
make up more than 1% of the fleet in seven countries, including China. Norway had
the highest share of electric cars, at 23%, followed by the Netherlands, at
10%. The other countries are Sweden, Denmark, France, China and the United
Kingdom. A decline in sales pulled the U.S. EV market share down to 0.7%.
Global Small
Electric Vehicles Forecast:
Rolling investment in lithium-ion batteries, increasing manufacturing
capacity of OEM’s globally and rising consumer demand for electric vehicles is
expected to boost the demand of small electric vehicles.
What drives the
Small Electric Vehicle Market?
Government
incentives :
-
China: The country provides strong financial and non-financial incentives
for the adoption of Electric Vehicles as the country owns the largest CO2
emission in the world. According to International Energy Agency (IEA),
China exempts electric cars from acquisition and excise taxes worth $6000
to $ 10,000per car. The government of China also said that it will deploy
1,00,000 public charging stations in 2017 alone.
-
United States: The American Recovery and Reinvestment Act of 2009 established tax
credits for purchasing electric vehicles (between $2,500 and $7,500 per
vehicle, depending on the battery capacity) and conversion kits to
retrofit conventionally powered vehicles with electric vehicle capability
($4,000 per vehicle, maximum)
-
The Netherlands: EVs are exempt from road tax. Since mid-2006, to encourage the
sales of hybrid vehicles have qualified for a substantial
bonus/registration tax reduction. The bonus is dependent on the energy
efficiency label of the car which reflects the fuel economy of the car
(i.e., for the highest fuel-economy label A: €5,000; label B: €2,500).
-
United Kingdom: The UK Government has created a subsidy program called the Plug-In
Car Grant to empower the purchase of ultra-low carbon vehicles. Under the
program, qualifying ultra-low emission cars will receive a grant of 25%
toward the cost of the vehicle up to a maximum of £5,000.
-
India: Government of India has implemented FAME India Scheme [Faster
Adoption and Manufacturing of (Hybrid &) Electric Vehicles in India],
with the objective to backing hybrid/electric vehicles market development.
The scheme has 4 focus areas i.e. Technology development, Demand Creation,
Pilot Projects and Charging Infrastructure.
Globally, governments’ policy support is the main
driver of electric vehicle sales success.
Average Price of
Battery is Declining: The average battery pack price is
price go down from about $1,000/kWh to roughly $227/kWh since 2010
Rising
Infrastructure for Electric Vehicles:
In addition to electric car sales, infrastructure for
EVs also rose abruptly, in 2016, Electric vehicle charging outlets surpassed 2
Million. The charging outlets in thousands in given below:
Conclusion: The Global Small Electric
Vehicles market is expected to grow at a CAGR of over 8% backed by the support
from different government and regulatory institution mandate, coupled with
growing concern over pollution and declining battery pack prices globally.
Moreover, maturing charging infrastructure, cost reduction of electric
vehicles, increased model choice and energy efficient benefits provided by
small electric vehicles expected to drive the Small Electric Vehicle market
over the next five years.
In a market
research report by TechSci Research, “Global
Small Electric Vehicle Market by Battery Type (Nickel-Metal-Hydride
& Lithium Ion), By Vehicle Type (Passenger Car, Light Commercial Vehicle),
By Technology (PHEV, BEV), By Region, Competition, Forecast &
Opportunities, 2025”, the global small electric vehicle market is
anticipated to show a robust growth from its previous standing at 2.2 million
units in 2020 and is anticipated to grow at a double-digit CAGR to reach 3.2
million units by 2026. The market growth can be attributed to the factors like rising
awareness and governmental impose on clean energy, and thereby implied stricter
emission norms. Moreover, the longer life span of the electric vehicles over
the diesel run counterparts are one of the major reasons why the market is anticipated
to be positively influenced. On account of increasing air pollution levels and
inclination of consumers towards cleaner automobiles, global small electric
vehicle market is projected to grow at a CAGR of 23.20%, in value terms, during
2016-2026. Growing affordability and rising need for automobiles are some of
the prominent factors expected to drive the global small electric vehicle
market during forecast period.
Electric Vehicle Market in India
In another market research report by TechSci
Research, “India
Electric Vehicle Market By Vehicle (Passenger Cars,
Commercial Vehicles, Two- and Three-wheelers), By Vehicle Class (Mid-priced
& Luxury), By Propulsion (BEV, PHEV & FCEV), By EV Sales (OEMs/Models),
By End User (Shared mobility providers, Government organizations, Personal
Users, Others), By Company, By Region, Forecast & Opportunities, FY2027”, the India
electric vehicle market is anticipated to show a robust growth in the upcoming
five years of forecast on the account of continuous technological advancements
such that current infrastructure related to the market is improving along with
the new inventions in the automotive industry. Moreover, growing greenhouse gas
(GHG) emissions leading to increasing air pollution levels have portrayed the
petroleum-based transport as a major concern at a global scale, as a fair number
of fuels used in vehicles include gasoline and diesel. Owing to the harmful
effects of GHG, policymakers are pondering upon an alternative low-emission
vehicle the factor is also effective in the Indian market.