Electric Mobility Market Size, Share & Industry Analysis, By Product (Electric Car, Electric Motorcycle, Electric Scooter, Electric Bike, and Others), By Voltage (Less than 24V, 24V, 36V, 48V, and Greater than 48V), By Battery (Sealed Lead Acid, NiMH, and Li-ion), and Regional Forecast Period, 2025-2032

The global electric mobility market size was valued at USD 603.60 billion in 2024. The market is projected to grow from USD 768.56 billion in 2025 to USD 4,496.68 billion by 2032, exhibiting a CAGR of 28.7% during the forecast period. Asia Pacific dominated the global market with a share of 61.23% in 2024. Electric Mobility Market in the U.S. is projected to grow significantly, reaching an estimated value of USD 391.54 Billion By 2032

Electric Mobility includes a variety of Electric Vehicles (EVs), including Battery Electric Vehicles (BEVs), Plug-In Hybrid Electric Vehicles (PHEVs), and Hybrid Electric Vehicles (HEVs). Additionally, it includes the infrastructure and technologies necessary to support the adoption and use of electric vehicles, such as charging stations, battery technologies, and renewable energy sources. Government policies and incentives play an essential role in shaping the electric mobility market. Incentives such as tax credits, rebates, and subsidies for electric vehicle purchases can help stimulate demand. In contrast, regulations, such as emissions standards and fuel economy requirements, drive the growth of the electric mobility market during the forecast period.

Sales growth has been driven by government initiatives offering subsidies and tax benefits on electric vehicle purchases. For instance, incentives offered in Europe on EV purchases in 2023 have fueled the EV sales in the region and boosted the global e-mobility market. Moreover, shifting consumer preference from conventional to electric vehicle purchase due to environmental concern and strict emission norms worldwide has also influenced electric mobility market growth.

The COVID-19 pandemic caused disruption in production and made it difficult to forecast the demand for electric vehicles, affecting the growth of the electric vehicle market. Supply constraints of specific components, mainly the semiconductor chips, had highly impacted the production of vehicles. Due to this, companies experienced delays in vehicle production, impacting the sale and demand for electric mobility. However, the electric vehicle market is booming after the COVID-19 pandemic. Government regulations on emissions from conventional vehicles and implementation of various schemes to encourage the adoption of electric vehicles are driving the growth of the electric mobility market. Additionally, various startups and small & medium-sized enterprises have been introduced in the electric vehicle segment, focusing on developing an efficient long-range, lightweight electric mobility that provide better performance for electric vehicle owners on the road. With government interest and technological developments from companies, the market will foresee significant growth in the forecast period.

Electric Mobility Market Trends

Emergence of Solid State Batteries To Act As A Major Technological Trend

Solid-state batteries play a key role in the advancement of battery technology, especially regarding electric mobility. In comparison with conventional lithium-ion batteries which use liquid or gel electrolytes, solid-state batteries feature a solid electrolyte. These batteries offer advantages such as higher energy density, safety improvements, and longer life span.

For example, solid-state batteries could store two to ten times more energy compared to traditional lithium-ion batteries, significantly increasing electric vehicles' (EVs) range and efficiency. Many major OEMs are heavily investing in the solid-state battery technology. The front runner in this space is Toyota, which plans to introduce solid-state batteries to the market by 2026. These batteries are expected to offer extended range of up to thousand kilometers on a single charge, with rapid charging capabilities of only 10 minutes.

 This technology is likely to eliminate the range anxiety that often deters consumers from buying electric vehicles, making them more attractive. Another key player is BMW, which has partnered with Solid Power to develop solid-state battery technology for its future electric models.

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Market Drivers

Increasing Demand for Emission Free Vehicles to Drive Market Growth

Governments across the globe are enforcing stringent emission norms to reduce carbon emissions and fight climate change. Additionally, they introduce various scrapping policies for conventional or fossil fuel-powered vehicles. Therefore, due to increasing insecurity regarding the adoption and future use of conventional or fossil fuel-powered vehicles, consumers’ preference is shifting toward electric vehicles, which is expected to drive the electric mobility market growth during the forecast period.

Lower Lithium-ion Batteries Cost to Fuel Market Growth

The high cost of electric vehicles is one of the major obstacles to the adoption of electric mobility. However, recent technological developments and automakers’ focus on the mass production of lithium-ion batteries have reduced the cost of li-ion batteries over the years, resulting in a significant decline in EV cost. The drop in lithium-ion batteries’ cost is expected to continue in the coming years, further influencing market growth.

Automakers Commitment to Become Carbon Neutral to Propel Market Growth

Almost all leading automakers have already pledged to become carbon neutral in the near future. They intend to stop manufacturing fossil fuel-powered vehicles and electrify their entire product portfolio. For instance, in February 2021, Ford Motors Company announced that its European division would soon phase out fossil fuel-powered vehicle production, and with pans to offer electric and plug-in hybrid electric vehicles by 2026. Moreover, by 2030, all passenger vehicles will be powered by batteries only. Therefore, automakers’ focus on rapid electrification is anticipated to boost market growth during the forecast period.

MARKET RESTRAINTS

Operational Hindrances to Restrains the Growth of the Market

Several operational barriers are impeding the growth of the electric mobility market, with one of the most significant being the inadequacy of charging infrastructure. There are insufficient numbers of charging stations, and particularly outside urban centers and suburbs, which exacerbates "range anxiety“ for potential EV adopters.

For example, while India plans to add 46,397 EV charging stations by 2030, the ratio of chargers to electric vehicles remains inadequate, hampering consumer confidence in the practicality of EVs for long-distance travel.

Another major issue is the initial cost of electric vehicles compared to conventional internal combustion engine vehicles. Even though the cost of batteries is decreasing, the premium pricing of EVs discourages most customers from buying it. Battery technology itself has its own limits; traditional lithium-ion batteries cab restrict range and performance under varying conditions.

The global shortage of the semiconductor chip has also disrupted EV production lines, causing standstill for several automakers and extending wait times for customers. Additionally, a lack of consumer awareness about electric vehicle advantages, such as lower running costs and other environmental benefits. Lastly, the regulatory and trade barriers are complicating supply chain issues for the EV component sources.

MARKET OPPORTUNITY

Increasing R&D For Electric Mobility And Green Mobility Initiatives By Governments Present Major Opportunities for Players

This surge in electric mobility is primarily driven by growing environmental awareness and the need for reducing carbon footprints through sustainable transportation options. Both consumers and businesses are actively seeking cleaner alternatives, aligning with sustainability goals.

Government policies are significant in this growth, with most countries imposing stringent emission regulations and providing incentives such as tax credits and subsidies to promote the use of EVs. India has an ambition of having 30% of the vehicles in the country by 2030. Meanwhile, the European Union experienced a two-fold increase in the EV sales, with more than 1.5 million new registrations in 2023. Such policies increase demand and spur investment in charging infrastructure, necessary to ease range anxiety in potential users.

Technological innovations also propel the market forward. The integration of renewable energy sources into electric mobility solutions creates cleaner transportation ecosystems. Additionally, commercial transport vehicles such as buses, trucks, and delivery vans are shifting to electrification as companies begin to make significant investments in these alternatives. This shift will lower operation costs and significantly reduce emissions. Therefore, electric mobility is poised for significant growth due to a confluence of factors: rising demand for electric vehicles, supportive government policies, advances in technology, and an increased focus on sustainability. These elements collectively create a powerful future for expansion in electric mobility, ensuring its strong performance in the coming years.

MARKET CHALLENGES

Lack of Infrastructure May Hamper the Market Growth

The uneven distribution of EV charging stations remains a major barrier, especially in rural and semi-urban areas. For instance, U.S. states such as Alaska and Arkansas face significant geographic and investment challenges, while urban areas such as  California dominate charging infrastructure. Many households without private parking rely on public chargers, which are often expensive and less accessible. Insufficient power grid capacity to support widespread EV adoption creates bottlenecks. Upgrades to grids are necessary to handle increased electricity demand.

Segmentation Analysis

By Product

Rapid Adoption of Electric Car to Drive Its Segmental Growth

Based on product, the market is segmented into an electric car, electric motorcycle, electric scooter, electric bike, and others.

The electric car segment held the largest electric mobility market share in 2024 and is expected to continue its dominance during the forecast period. Some of the factors supporting the segment growth include government policy support for purchasing plug-in hybrid & electric vehicles, stringent automotive emission norms, rising fuel prices, and lowering the cost of EVs due to technological advancement. Moreover, the high penetration of electric cars in key markets such as the U.S., Europe, China, and others compared to electric two-wheelers further fuels the segment’s growth.

The electric motorcycle segment is expected to witness the fastest growth rate during the forecast period. Increasing demand for electric micro-mobility for short-distance commutes due to disrupted public transport amid pandemic is expected to drive market growth. Additionally, the low cost of electric motorcycles compared to electric cars and significant travel range are further expected to increase their popularity in emerging economies. Moreover, rising level of urban traffic, coupled with emission norms and rising fuel prices, is expected to boost the demand for electric motorcycles in the coming years.

The electric scooter segment is also expected to witness significant growth during the forecast period. Increasing preference for electric scooters for short-distance commutes coupled with automaker’s effort to design affordable electric two-wheelers tailored to emerging economies, is expected to propel the segment growth in the coming years. The electric bike segment is also anticipated to register a significant growth rate over the forecast period due to the rising number of health-conscious populace and ease of use.

The others segment, which includes electric skateboards and electric wheelchairs, is expected to witness notable growth due to the growing popularity of electric skateboards among children. Additionally, the increasing demand for electric wheelchairs, driven by the need for for comfort and convenience for individuals with disabilities and the elderly, contributes to the segment’s growth during the forecast period.

By Voltage

Increasing Demand for Efficient Electric Vehicles Boosted 24V Segment Growth

Based on voltage, this market is segmented into less than 24V, 24V, 36V, 48V, and greater than 48V.

The 24V segment led the market in 2024 due to its high compatibility across a wide range of electric vehicles. The 24V battery system provides significant power output to cater to various functional requirements in electric vehicles. Moreover, the use of smaller and lighter wiring harnesses with 24V battery systems enhances vehicle efficiency. Therefore, increasing demand, high compatibility and efficient vehicle functioning is likely to accelerate the segment growth.

The greater than 48V segment is anticipated to witness the fastest growth rate and is likely to dominate the market by 2028. Increasing demand for higher voltage systems for modern electric vehicles is expected to boost the segment growth over the forecast period. It offers efficient performance and high power output, resulting in improved travel range. Moreover, their increasing preference among automakers, alongside continuous research & development in higher voltage systems, is expected to bolster market growth in the coming years.

The 36V and 48V segments are also expected to witness a significant growth rate during the study period due to their increasing adoption in electric two-wheelers. These systems offer better efficiency and long-range compared to low volt battery systems.

The less than 24V battery segment is also expected to witness a considerable growth rate due to its adoption in electric vehicles for other functionalities such as communication, door locks, and others.

By Battery

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Lithium-ion Battery Led due to Technological Developments

Based on battery, the e-mobility market is segmented into sealed lead acid, NiMH, and Li-ion.

The Li-ion segment dominated the market with a leading market share in 2024 and is expected to retain its position throughout the forecast period. Increasing demand for lithium-ion batteries in electric vehicles due to their compactness, lightweight, and high capacity is expected to boost segment growth during the forecast period. Technological advancement in lithium-ion batteries and manufacturers’ efforts to reduce the cost of a lithium ion battery are expected to influence the segment growth. Moreover, rapid automotive electrification will support the segment growth in the near future.

The sealed lead-acid battery segment held the second-largest market share in 2024. High adoption of lead-acid batteries in electric vehicles as a supplement for other loads, such as headlight, communication, and others, is anticipated to accelerate the segment growth. Moreover, their high compatibility with a wide range of EVs is expected to drive the segment growth.

The NiMH segment is expected to witness considerable growth during the study period due to its increasing demand for hybrid electric vehicles, owing to its high charge density, lightweight, and efficiency.

Electric Mobility Regional Outlook

In terms of region, the market is categorized into Europe, North America, the Asia Pacific, and the rest of the world.

Asia Pacific

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Asia Pacific dominated the global electric mobility market in 2024, with market size of USD 369.56 billion and is expected to retain its leading position throughout the forecast period. The high adoption of electric vehicles in China fueled the market growth. According to the International Energy Agency (IEA), China accounted for 80% of the growth in global electric vehicle (EV) sales in 2024, compared to 2023. Moreover, increasing penetration of electric vehicles in emerging countries of Asia Pacific including India, South Korea, Japan, and others is expected to boost market growth in future.

Europe

Europe is the fastest-growing market for electric mobility. With the increasing number of government policies and incentives for new EV purchases and shifting preference of the populace toward electric mobility due to stringent emission norms and environmental concerns, Europe is expected to register a promising CAGR of 28.2% during the forecast period. Moreover, the well-established automotive industry in major European countries, such as Germany, the U.K., and others, coupled with charging infrastructure availability, is further expected to fuel market growth in the coming years.

North America

North America is also expected to witness a significant growth during the forecast period. Significant EV sales in the U.S. are driving market growth. Additionally, technological advancement in North America and the presence of leading EV manufacturers, such as General Motors, Tesla Inc., and others, are expected to fuel the electric vehicle market in the region, resulting in a surge in the adoption of electric mobility.

Rest of the World

The rest of the world, including the Middle East & Africa and Latin America, is expected to register a considerable CAGR from 2025 to 2032. Increasing adoption of electric two-wheelers in the regions coupled with expanding automotive industry in Latin America is expected to fuel market growth in the coming years.

Competitive Landscape

Key Industry Players

Focus on Early Development of Electric Vehicle Battery Technology to Drive Competition Among Market Players

The market is fragmented with various players globally. Companies are expanding their business geographically to grab untapped opportunities in emerging markets. For instance, in January 2021, Tesla announced its global expansion plans, which included entering China and opening new manufacturing facilities in Germany and Texas.

Tesla is one of the leading manufacturers of pure electric vehicles headquartered in California, U.S. The company designs, develop, manufactures, and sells fully electric vehicles, energy generation, and storage systems. It also provides vehicle service centers, charging stations, and self-driving technologies. In 2023, Tesla sold the highest number of electric cars compared to any other manufacturer. Moreover, the Tesla Model 3 was the best-selling electric passenger car worldwide, with roughly 772,364 units sold during the year.

LIST OF KEY ELECTRIC MOBILITY COMPANIES PROFILED

• BYD Company Ltd (China)


• SAIC-GM-Wuling Automobile (China)


• HYUNDAI MOTOR (South Korea)


• Tesla INC. (U.S.)


• Volkswagen (Germany)


• Merida Industry Co., Ltd. (Taiwan)


• Trek Bicycle Corporation (U.S.)


• Giant Bicycles (Taiwan)


• Accell Group (Netherlands)


• Pon (Netherlands)


• Ola Electric (India)


• TVS Motors (India)


• Ather Energy (India)


• Yadea (China)


• Gogoro Inc (China)

KEY INDUSTRY DEVELOPMENTS

• January 2024- Tesla announced plans to make an inexpensive robotaxi and an entry-level USD 25,000 electric car based on the same vehicle architecture in 2025. The model, which includes an entry-level car, would allow it to compete with cheaper gasoline-powered cars and a growing number of inexpensive EVs, such as those made by China's BYD.


• December 2024- Rivian and Volkswagen (VW) formed a USD 5.8 billion joint venture to advance electric vehicle technology for various car types, blending Rivian's software prowess with VW's global platform expertise.


• October 2023- Stellantis N.V. signed a MOU to establish a joint venture focused on recycling end-of-life electric vehicle batteries and scrap from gigafactories in Enlarged Europe and North America. The joint venture capitalizes on Orano’s innovative, low-carbon technology, which allows the recovery of all materials from lithium-ion batteries,  including the manufacturing of new cathode materials.


• October 2023- Toyota Motor signed a supply agreement with LG Energy Solution for use in the Japanese automaker's battery electric vehicles assembled in the U.S. LG Energy Solution would supply Toyota with 20GWh of high-nickel NCMA battery modules annually from 2025. The battery maker would invest about USD 3 billion in its Michigan facility to establish new production lines for battery cells and modules dedicatded to Toyota ‘s rquirement.


• February 2023 –  BYD announced two new dealer partnerships in the Europe region. Motor Distributors Ltd (MLD) is active in Ireland and would offer BYD models at select locations, including Dublin and Cork. RSA, a BYD dealer partner in Norway, expands its coperation and would offer the Chinese EVs in Finland and Iceland. BYD initially launched three electric vehicle models in select European countries in 2022, with plans to add two more series in 2023.

REPORT COVERAGE

The global market research report provides a detailed analysis of the market and focuses on key aspects such as leading companies, product types, and leading product applications. Further, the report offers insights into the market trends and highlights key industry developments. In addition to the factors above, the report encompasses several factors that have contributed to the market growth in recent years.

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