The electric two- and three-wheeler industry was valued at US$ 46,619.4 million in 2021, and by 2030, it is anticipated to reach US$ 1, 53,622.6 million. Over the projection period, or 2022-2030, the global market for electric two and three-wheelers is expected to develop at a 14.2% annual compound growth rate (CAGR).
The electric two and three-wheeler market will expand in volume at a 14.2% annual compounded growth rate (CAGR) over the projected year.
Due to the expanding demand for energy-efficient computers, ongoing government subsidies, and ongoing tax breaks granted on purchasing battery-powered cars, the global market for electric two- and three-wheelers are anticipated to experience enormous growth.
Governments worldwide are investing significantly in the electric vehicle industry because it may help reduce pollution. The public’s demand for electric vehicles is also fueled by their additional advantages, which include reduced noise pollution, low fuel costs, improved efficiency, low maintenance costs, etc.
Due to the constantly expanding number of initiatives to speed up the power sector’s transition, which presents potential for electric vehicles, renewable and sustainable energy is anticipated to be the positive revolution of the energy industry.
There will likely be a gradual phase-out of gas-powered automobiles because of government planning. For instance, California intends to outlaw gasoline-powered automobiles entirely by 2035, which will inevitably increase the popularity of electric and hybrid vehicles.
Additionally, it is seen that advances in the electric vehicle market are accelerating in the United States, France, Germany, and China. These countries have also enacted tough legislation to reduce car emissions, which makes it more difficult for manufacturers.
In addition, encouraging tax breaks and regulatory policies in nations like China, India, etc., will persuade people to buy electric cars. According to the vehicle class, the two-wheeler category commands a significant market share.
The two-wheeler category continues to hold the largest market share in automobile type, while the sub-segment for e-bikes is dominating and will continue to dominate by growing at the fastest rate. The main factor in e-bikes’ good market position is the uptick in sales brought on by good incentives.
Additionally, the three-wheeler market will develop at the fastest rate because of the increased focus on electrifying public transportation in China, India, the United States, and the United Kingdom.
According to end users, the individual segment has the highest revenue. Due to people’s increasing preference for electric two and three-wheelers, the individual category is leading in the number of final users. It will also display the highest CAGR during the projected period.
Additionally, the advantages of electric two- and three-wheelers, including their affordability and renewability, are expanding their market share.
The market for electric two and three-wheelers is most dominant in the Asia-Pacific region. Due to China becoming the world’s largest EV producer, the Asia-Pacific region now has the most market share for electric two- and three-wheelers. It will continue to hold this position during the projected period.
China, Japan, and South Korean governments are also making significant contributions to the market for electric vehicles by installing more EV charging stations. The size of the Asia-Pacific market for electric two- and three-wheelers will also be further defined by strict emissions regulations and deadlines for banning internal combustion engines (ICE).
