After a decade of powerful expansion, the worldwide electric car stock reached ten million units in 2020, a 43 percent increase over 2019 and a 1% stock share. With 4.5 million electric vehicles, China had the largest fleet, but Europe had the fastest yearly growth, with 3.2 million by 2020.
The growth of EV industry in the year 2020-2030
The electric vehicle market over globe was valued at $163.01 billion in 2020. It is expected to increase to $ 823.75 billion by 2030, with a compound annual growth rate of 18.2% from 2021 to 2030.
The factors contribute to the electric vehicle market’s rise are increased desire for fuel-efficient, high performance and low emission automobiles, and strict government rules and regulations on vehicle emissions, and lower battery costs and rising fuel costs. In addition, obstacles such as a lack of charging infrastructure, high production costs, range anxiety, and serviceability are projected to hamper the EV market’s growth.
Furthermore, technical developments, proactive government initiatives, and the development of self-driving electric vehicle technology are likely to provide lot of chances for the electric vehicle market’s main players.
Impact of Covid-19 on EV market
The pandemic had a minor influence on the EV charging business in early 2020 due to lockdowns. The demand for EV charging stations surged in 2021 because of increasing demand for EVs and related markets during the pandemic due to government incentives around the world. The COVID-19 pandemic, on the other hand, had a negative impact on the mining of resources including steel, copper, and aluminium. Top EV manufacturers, on the other hand, have quickly boosted their EV sales in the last two years.
Why the EV industry is important?
EV is important as electronic vehicles have the following benefits.
The cost of charging is comparatively low than fuel, so directly the e-vehicles saves the money.
Electronic vehicles are requires electricity. It does not require any fuel. So it does not emit any harmful gas. It is 100% eco-friendly.
Low maintenance and convenience
Electronic vehicles do require lubricant or any such type of material for maintenance. E vehicles are easy to maintain. Recharging the vehicle is easy. So it is convenient.
Due to various advantages as listed above, electronic vehicles are very popular now.
Help to reduce pollution
E-vehicles indirectly help to reduce the air and noise pollution.
Apart from advantages, electronic vehicles have some challenges that have to overcome for further development and growth.
- Availability of recharge point
- The initial investment is large
- Electricity cost
- The driving range and speed is short
- Recharge time is more
By 2030-2050, countries all around the world have set goals to reduce car emissions. They’ve begun to promote the production and marketing of electric vehicles, and the charging infrastructure that goes with them. For example, in 2017, the US government spent $5 billion to encourage electric vehicle infrastructure, such as charging stations. Several governments are offering cheap or no registration costs, and exemptions from import taxes, sales taxes, and road charges, to encourage people to buy electric vehicles. Norway and Germany are making considerable investments to promote electric vehicle sales. As a result of the strong incentives and subsidies in Europe, there is a rapid increase in the sale of electric vehicles.
E-vehicle industry is one of the fastest growing industries in the world. The article represents the importance and future growth of electronic vehicles industry.