Dublin, June 10, 2022 (GLOBE NEWSWIRE) -- The "North America Electric Vehicle Market by Vehicle Type (Passenger Vehicle, LCV, HCV, Two-wheeler, e-Scooters & Bikes); Propulsion Type (BEV, FCEV, HEV); Power Output (Less Than 100kW, 100 kW to 250 kW); End Use, Charging Standard, and Geography - Regional Forecast to 2029" report has been added to ResearchAndMarkets.com's offering.
The North America Electric Vehicle Market is expected to record a CAGR of 39.4% from 2022 to 2029 to reach $570.47 billion by 2029 from an estimated $55.81 billion in 2022. By volume, this market is expected to reach 7.62 million units by 2029 from an estimated 1.54 million units in 2022, at a CAGR of 25.7% during the forecast period.
The growth of this market is attributed to supportive government policies and regulations, rising environmental concerns, increasing adoption of electric mobility. The growing adoption of autonomous driving vehicles, increasing adoption of electric vans and trucks for delivery, and increasing trend of shared mobility offer lucrative growth opportunities for this market's growth.
Based on vehicle type, the light commercial vehicles segment is expected to grow at the highest CAGR during the forecast period. The high growth is mainly driven by the growing awareness regarding the role of electric vehicles in reducing emissions, increase in demand for electric vehicles to reduce fleet emissions, and stringent government rules and regulations towards vehicle emissions.
Electric LCVs are a key element of urban distribution and transport systems and offer a promising low-emission solution. They require low maintenance and have relatively lower operating costs, as there is no need to lubricate the engines nor the maintenance costs associated with gas engines. Electric LCVs contribute to reducing greenhouse gas emissions and reducing the dependence on fuels. These are the key factors driving the adoption of electric light commercial vehicles.
Based on propulsion type, the fuel cell electric vehicles segment is expected to grow at the highest CAGR during the forecast period. The high growth is mainly driven by the increasing demand for vehicles with low carbon emissions, strict carbon emission norms, a growing emphasis on the adoption of FCEVs due to advantages such as fast refueling and increasing government initiatives and investments for advancing fuel cell technology.
Fuel cells are lighter and smaller, more expensive than conventional electric cells and hybrid cells, and are suitable for medium-large and long-range vehicles. However, insufficient hydrogen infrastructure and high vehicle costs are the major factors restraining the growth of this segment. To counter this, governments across the region are investing in hydrogen fuel cell charging stations and technologies.
Based on power output, the more than 250kW segment is expected to grow at the highest CAGR during the forecast period. The growth of this segment is attributed to the increasing adoption of electric buses and trucks for heavy applications, the implementation of numerous wireless EV charging pilot projects for heavy commercial vehicles, and the increasing adoption of electric mobility in emerging economies.
Several companies are focused on ultra-high-power charging systems due to the growing need to produce new electric passenger vehicles, e-bus, and e-truck models. For instance, in 2019, Tesla, Inc. (U.S.) introduced the third generation of its superchargers called the ultra-fast "Supercharger V3," having a power output of up to 250kW. The supercharger allows for fast charging, reducing charging time by an average of approximately 50%.
Based on end use, the commercial use segment is expected to grow at the highest CAGR during the forecast period. The growth is mainly driven by the increase in fuel prices and stringent emission norms set by governments, the growing adoption of autonomous delivery vehicles, and the increasing adoption of electric buses and trucks.
Electric vehicles being used for commercial applications will be an increasingly common sight on roads in the future. Electric commercial vehicles help lower greenhouse gas emissions, reduce dependence on fossil fuels, ensure smooth operation, and meet the latest emissions regulations.
Based on country, Canada is expected to record the highest CAGR during the forecast period. The local government's policies majorly drive the Canadian EV market and incentives, increased driving range, and affordable vehicle prices due to increased spending of consumers on environment-friendly automobiles and developing infrastructure resulting in faster charging times.
Owing to these factors, in 2018, Canada registered a sale of 43,000 units of EVs, positioning itself among the top 10 leading countries in the global market.
Market Dynamics
Drivers
- Supportive Government Policies and Regulations
- Rising Deployment of EV Charging Stations by Shared Mobility Operators
- Increasing Investments in EV Ecosystem
Restraints
- Lack of Consumer Adoption of EVs
Opportunities
- Decreasing Prices of Batteries
- Fleet Electrification Target of Government across the Region
Challenges
- Range Anxiety of Electric Vehicles
- Lack of Fast-Charging Infrastructure
Trend
- Increasing Investments in R&D for Smart Charging Systems
The key players operating in the North American electric vehicles market are
- AB Volvo (Sweden)
- BMW Group (Germany)
- BYD Company Ltd. (China)
- Daimler AG (Germany)
- Faraday & Future Inc. (U.S.)
- Jaguar Land Rover Automotive PLC (U.K.)
- Ford Motor Company (U.S.)
- General Motors Company (U.S.)
- Honda Motor Co. Ltd. (Japan)
- Hyundai Motor Company (South Korea)
- Zero Electric Vehicles Inc. (U.S.)
- Nissan Motor Co. Ltd. (Japan)
- Rivian LLC (U.S.)
- Tesla Inc. (U.S.)
- Volkswagen AG (Germany).
For more information about this report visit https://www.researchandmarkets.com/r/gef3v
