Asia Light Electric Vehicle Market Set to Reach USD 52.8 billion by 2024

The Asia light electric vechile market is predicted to grow at 7.0% CAGR during the forecast period with the market size reaching USD 52.8 billion by 2024. The market is driven by the factors such as technological advancements, government support, rapid urbanization and low maintenance requirements of these vehicles.

E-rickshaws gaining huge traction in the region

The increasing inclination towards e-mobility, and adoption of electric three-wheelers for public transport are the key trend observed in the Asian market. In the developing economies of Asia, large population is depended on the public transport for their daily commute.

Auto rickshaws are the major mode of transport in the major urban cities of these countries such as India and Thailand. Auto rickshaw provide a cheaper and faster intracity transport in these countries; therefore, large population depends on it for the transport.

Conventional autorickshaw owners are adopting these e-rickshaw and e-auto for public transport as it saves the cost of maintenance. The urban population in Asia prefers scooters and motorcycle for their daily commute as it saves them time and cost, which fuels the growth of the Asian market.

Read more at qmolding.com

Government support is the key driving force for the Asian light electric vehicle industry

Governments in the Asian countries are taking initiatives to replace the petroleum based automotive fleet with electric powered vehicles. Countries such as India and China provide incentive to boost electric vehicles adoption. In China, electric vehicles are exempt from purchase taxes during 2014–2017, Chinese government has further extended it to 2020. For battery electric vehicles, subsidies were around 40 to 60% of the vehicle cost.

In 2018, Indian government confirmed subsidies for all type of electric vehicles. Faster Adoption and Manufacturing of (Hybrid &) Electric Vehicles II (FAMEII) scheme has been finalized in April this year. As per the scheme the government will invest INR 5,500 crores (~ USD 784 million) in the next five years.

The governing panel decided that the subsidiary will be provided for all kinds of electric vehicles including light electric vehicles. As per the scheme the government will provide incentives of INR 1,800 to INR 29,000 (~USD 24 to USD 390) for battery operated electric scooters and motorcycles and INR 3.300 to INR 61,000 (~USD 44 to USD 820) for electric three wheelers.

Electric two-wheelers lead the EV adoption in Asia

Based on product, the market is categorized into two-wheeler, three-wheeler and four-wheelers, of which two-wheelers hold the largest share in the Asian light electric vehicle market. Due to the congestion in traffic of major cities or urban areas two-wheeler are mostly preferred by consumers, and with the shifting trend to electric vehicles consumers are rapidly adopting electric two-wheelers.

Light electric two-wheelers market is further categorized into e-scooters, e-bikes, e-motorbikes and others. E-scooters hold the largest share in the market due to the increasing popularity of electric scooters among younger generation especially working professionals and students.

Light electric three-wheelers market is segmented into e-rickshaw, e-auto, and others. Most of the manufacturers are producing low speed rickshaws with top speed of 25km/hr. The high cost of development of high power/ high speed electric auto still leaves the category at nascent stage.

On the basis of voltage, the market is 24V, 36V, 48V, 60V, 72V. Of all, 48V light electric vehicle hold the largest share in the Asian light electric vehicle market. Most of the e-rickshaws and e scooters are being developed with a battery of 48V thus leading to the largest share of the category.

Motor Technology

There are different types of electric motors used in electric vehicles including DC brushed motors, DC brushless motors, Induction (Asynchronous) motor, Synchronous motor, Switched Reluctance motor. Of all brushless DC motors are found to be most commonly used in these vehicles as these motors require less maintenance and higher efficiency.

In BLDC mechanical commutation is replaced with electrical commutation. BLDC motor is a rotating self-synchronous machine with a permanent magnet rotor and known rotor shaft positions for electronic commutation. These motors operate better at higher speed which makes them popular among electric vehicles. Asynchronous motors are preferred for high efficiency and speed regulation.

Chinese manufacturers dominate the Asian light electric vehicle market

Among different countries, China dominates the market with more than 90% of light electric vehicle fleet size based in the country. India is the fastest growing market for light electric vehicles, owing to the rapid adoption of electric three-wheelers over last few years and increasing government support.

Market players in the light electric vehicle industry are investing capital to develop low cost light electric vehicles with better performance to provide them distinctive advantage. Most of the manufacturers use brushless DC motors in these vehicles as these motors require less maintenance and higher efficiency.

Some of the key players operating in the Asian light electric vechile market are AIMA Technology co., Ltd., Clean Motion AB, Eclimo Sdn. Bhd., Ningbo MYWAY Intelligent Technology Co. Ltd., UDA Motor Co. Ltd., Xiaomi Inc., Changzhou Yufeng Vehicle Co. Ltd., Zhejiang Luyuan Electric Vehicle Co., Ltd., Electrotherm India Ltd., Honda Motor Company Ltd., Jiangsu East YonslandVehicle Manufacturing Co., Ltd., Jiangsu Xinri E-Vehicle Co.,Ltd. (SUNRA), Viar Motor Indonesia, Yadea Technology Group, STAR 8 AUSTRALIA PTY LTD, Jiangsu Kingbon Vehicle Co., Ltd, Hero Electric Vehicles Pvt. Ltd., Terra Motors Corporation, and TukTuk Factory.

About VynZ Research

VynZ Research is a market research firm offering research, analytics, and consulting services on business strategies. The company focuses on providing valuable insights on various technology verticals such as Chemicals, Automotive, Transportation, Energy, Consumer Durables, Healthcare, ICT and other emerging technologies.

VynZ Research assists enterprises to take strategic decisions for helping their businesses to grow. The reports developed by VynZ are based on market facts that includes comprehensive analysis and quantification of market drivers, industry dynamics, opportunities, challenges, threats, market shares and anticipated new trends & technologies arising across wide range of industries.