Worldwide growth in electric car sales estimated to directly impact the sales of electric car battery chargers
The electric car battery chargers segment by product type is estimated to account for a revenue share of more than 75% in the overall market by 2017 end. This segment is projected to gain more than 300 BPS between 2017 and 2027 and is expected to retain its dominance throughout the forecast period. This segment is projected to reach a market value in excess of US$ 1,900 Mn by 2027 end, expanding at a CAGR of 7.5%. The electric car battery chargers segment is likely to create total incremental opportunity of US$ 984.8 Mn between 2017 and 2027. The Japan electric car battery chargers segment is anticipated to account for nearly 20% share of this incremental opportunity during the same period. In terms of value, the electric car battery chargers segment is projected to continue its dominance over the period of forecast. This is primarily due to growth in demand by consumers for electric cars, owing to stringent government regulations and environment friendly operations of electric cars.
A growing electric cars market is projected to fuel growth in demand for electric car battery chargers
Encouraging signs observed in cost and performance developments and other benefits such as energy diversification, climate change mitigation, and pollution reduction is expected to be factors driving the sales of electric cars, which directly impacts the sales of electric car battery chargers. The stock of electric cars has witnessed growth since 2010, with an uptake of battery electric vehicles slightly ahead of the plug-in hybrid vehicles uptake. A boom in sales of electric cars has been witnessed in China. This rise in the sales of electric cars is likely to fuel the growth in demand for electric car battery chargers.
High customer purchasing power has boosted the growth of conventional vehicles on road
The governments of several countries have taken initiatives to bring down pollution levels by imparting rules on the usage of conventional vehicles, increasing taxes associated with it, and several other regulations. On the other hand, governments are also boosting the rise of hybrid and electric vehicles by offering attractive incentives and subsidies to the owners of such vehicles. For instance, major cities such as Beijing and Shanghai offer free registration plates to the customers of electric vehicles. In the U.S. the government has granted incentives to the customers of electric vehicles in the form of tax credits amounting to a maximum of US$ 7,500 based on the type of battery the electric vehicle uses. Such systematic efforts by the governments of various countries are boosting the growth of the electric cars market, and hence upping the demand for electric car battery chargers.
The electric car battery chargers market is rapidly growing in APEJ countries such as China – the largest market for electric car batteries in the region, India, South Korea and ASEAN countries. Electric car manufacturers are investing in increased research and development activities to spur the sales of electric cars. Efforts by manufacturers in enhancing the charging or fuelling experience is also creating a positive impact on the demand for electric car battery chargers.
Electric car battery chargers segment likely to grab high market share in Japan followed by APEJ
The electric car battery chargers segment is estimated to account for more than 90% value share in the Japan car battery chargers market by the end of 2017 and is anticipated to gain 80 BPS between 2017 and 2027. In APEJ, the electric car battery chargers segment is anticipated to account for more than 80% value share in the overall market by the end of 2017 and is likely to gain more than 200 BPS between 2017 and 2027.