Battery electric vehicles market set to hit $425 billion by 2025
The North American battery electric vehicle (BEV) market will grow considerably at over 13 per cent from 2019 to 2025, owing to the presence of multiple market players.
The battery electric vehicles (BEV) market has been estimated to rise from around $150 billion in 2018 to over $425 billion by 2025, according to a 2019 Global Market Insights, Inc. report.
Increasing prevalence of greenhouse gases along with rising concerns associated with carbon emissions are driving the market growth, combined with incentives, tax reductions and free charging facilities that encourage customers to opt for BEVs.
Manufacturers are concentrating on driving their businesses in countries which have significant policies for encouraging the electric vehicles adoption.
Electric automakers are increasingly adopting Lithium-ion batteries for powering BEVs, owing to benefits including higher energy density, lower maintenance, self-discharge, and no requirements for priming. Electric automakers are also investing in R&D to significantly boost the amount of energy a battery cell can store and bring an electric vehicle’s performance range in line with a gasoline-powered vehicle.
Several countries are focusing on replacing their public transportation fleet with newer vehicles based on electric technology for improving efficiency whilst minimising carbon emissions. These developments provide significant opportunities for manufacturers to improve their presence in the BEV market.
However, the higher costs associated with BEVs along with concerns associated with long-term reliability and driving ranges of such vehicles may limit the market growth over the projected timeframe. However, industry players are investing in R&D for launching advanced vehicles with higher driving ranges and lower charging times.
The North American BEVs market will grow considerably at over 13 per cent from 2019 to 2025. This is attributed to the presence of multiple players focusing on offering a wide range of electric vehicles. Favourable government policies, stringent pollution norms and supported charging infrastructure play an important role in the regional share expansion. U.S. states are aiming to reduce greenhouse gases by 25 per cent by 2025; positively influencing the market growth over the study timeframe.