Fossil fuels are depleting substantially in every blinking second. The world either has to come up with a source of renewable energy that gives fossil fuels a run for its money or come up with drastic changes that would not require or distinctly reduce the amount of dependency on the same. One such revolutionizing development has taken shape in the form of electric vehicles market.
So what makes electric vehicles such a hoot? Firstly and most certainly, it gives up on the need for petrol or diesel or CNG as fuels to drive its mobility on the road. Moreover, the globe is now amidst a worldwide evolution of the systems of energy, with increasing focus on making energy cleaner and rapidly decentralized by making its generation, storage and distribution closer in proximity to the final consumers. Coupled with digitalization that will only act in favor of electric vehicles that incorporate systems based on wireless connectivity and communication, development of new business strategy models in on the rise. These running trends have the capacity to reinforce one another, and actively part takes in designing the cities smarter and hand-in-hand, expand the global electric vehicles market.
Additionally, a world that has now been turning its attention toward the safekeeping of its environment over the last few years, electric vehicles ushers in a grand hope of extensively reducing greenhouse gas emissions through vehicular combustion. They are being viewed as a smart way of improving the quality of the air and subsequently, meet the climate goals. Even the big automotive players in the global market are planning on huge changes to suit the environmental consciousness; each Volvo is set to have an electric motor from the year 2019, while the Ford has decided to increase its investments in the electrification department to eleven billion US dollars by 2022.
Read the report published by Inkwood Research on “Global Electric Vehicle market“
Increasing focus on the electrification of the vehicle industry has led to the important point on the affordability of the same. The progress in easy access and availability of low-cost Li-ON batteries has tried to make a difference in the prices of an otherwise expensive electric driving vehicle.
With the given drivers, it is no wonder that the global electric vehicles market is estimated to grow at a CAGR of 21.40% from 2018-2026.
Hindrances and the Future Outlook
The electric vehicle global market by both the vehicle types – commercial as well as personal, has registered a promising growth given its positives that lead to the solid foundations of sustainable growth. However, the high purchasing costs and the difficulty in their maintenance might simply turn out to be a turn off for the consumers.
The prime challenge is to ensure enough charging stations for these revolutionizing electric vehicles. Furthermore, it is required of the governments to incorporate an inclusive role of domestic as well as foreign electric vehicle companies in setting up charging points in the charging stations. This will ensure that the foreign companies need not invest extra to design massive changes in their vehicles to fit the domestic requirements. Thus, the countries can open up more to the foreign investments in the same market and ease out on the transition from petrol-driven cars to electric ones.
It is hopeful that with increasing competition in the market and subsequent betterment in the development of the electric vehicle industry, the costs of the same shall witness a plummet in the coming years and encourage the otherwise not so interested part of the population to contribute in the expanding global electric vehicle market.
It is safe to wrap up, “Electric is the future”.
Author: Clive Cooper
Senior Digital Marketing Manager at Inkwood Research