Market research
on electric vehicles

This study presents a comprehensive analysis of the electric vehicle market. Specifically, it uncovers the issues faced by electric car owners, peculiarities of electric transport policies, and prospects for the development of this sector.

Electric Vehicle Initiative

The Electric Vehicle Initiative (EVI) is an intergovernmental political forum established in 2010 within the framework of the Clean Energy Ministerial. EVI aims to accelerate the adoption of electric vehicles worldwide and facilitates discussions among policymakers and other partners. Crucial topics addressed at the forum include charging infrastructure, integration into the grid, and battery supply chains for electric vehicles.

In 2022, the EVI launched the Zero Emission Vehicle (ZEV) Pledge, committing governments to transition to 100% zero-emission vehicles in their state procurements.

The International Energy Agency acts as the coordinator for this initiative. Governments actively participating in EVI during the period of 2022-2023 include Canada, Chile, the People's Republic of China, Finland, France, Germany, India, Japan, the Netherlands, New Zealand, Norway, Poland, Portugal, Sweden, the United Kingdom, and the United States. Canada, China, and the USA serve as co-leaders of the initiative.

Trends and development in the electric vehicle markets

In 2022, electric vehicle sales reached record highs despite macroeconomic and geopolitical uncertainties, as well as high prices for raw materials and energy. Electric car sales grew amidst a global contraction in the automotive markets, with overall sales decreasing by 3% compared to 2021.

However, electric car sales surpassed 10 million units, representing a 55% increase from 2021. China experienced an 80% surge in sales, accounting for 60% of global growth

Sales in Europe remained high (up 15%) and accelerated in the USA (up 55%).

Early data for the first quarter of 2023 indicates market optimism, supported by cost reductions and increased political support in key markets, such as the USA.

Consequently, nearly 14 million electric vehicles are expected to be sold worldwide in 2023, raising the global share of electric car sales to approximately 18%.

Of course, there are negative risks for the 2023 forecast, including a sluggish global economy and the gradual phasing out of subsidies for Neighborhood Electric Vehicles (NEVs, a U.S. category for battery electric vehicles typically designed for a maximum speed of 40 km/h and a mass of 1400 kg) in China, which could dampen global electric vehicle sales growth in 2023. On the other hand, new markets might open up faster than anticipated, given the sustained high oil prices, which further bolster the case for electric vehicles.

Development of electric mobility policies

The transition from internal combustion engines to electric vehicles is a priority for achieving zero-emission goals, regardless of the vehicle's size. However, mitigating the consequences of larger batteries will also be significant.

In France, Germany, and the United Kingdom in 2022, the average weight of an electric SUV was 1.5 times greater than that of a small electric car, requiring more steel, aluminium, and plastic. As a result, CO2 emissions associated with material processing, production, and assembly could be estimated to be more than 70% higher.

Of course, more compact vehicles generally require less energy to operate and use fewer materials for construction, but electric SUVs still distinctly outperform internal combustion engine vehicles in this regard.

Charging infrastructure

Public charging points are becoming necessary for a wider adoption of electric vehicles. While most of the current demand for electric power is met through home charging, the need for public charging points is increasing to provide the same level of convenience and accessibility as refueling conventional cars. In dense urban areas, where access to home charging is limited, public charging infrastructure is a key factor driving the adoption of electric cars.

By the end of 2022, there were 2.7 million public charging points worldwide, with over 900,000 installed in 2022, approximately 55% more than in 2021 *.

*Source: International Energy Agency, "Global EV Outlook 2023: Catching up with climate ambitions".

Market research on electric vehicles

Experts from the strategic marketing agency MIM:AGENCY also conducted an analysis of the electric car market in Europe

Below are the conclusions drawn during the research:

  1. The number of public charging stations will continue to grow, and their share among all charging stations will increase.

According to expert estimates, by 2030, there will be around 5 million fast and about 8 million slow public charging stations worldwide
Number of charging stations

2. The market is not monopolized, allowing users to choose specific networks or charging locations.

The growth of public charging stations

3. When charging within the user's daily route, there are no issues since the user understands the conditions of that particular operator and adapts to them, for example, by downloading the required application.

Problems arise during long-distance trips, where it becomes necessary to combine charging stations from different operators.

4. After analysing the charging networks for electric vehicles in Europe and the UK, the following methods of finding and paying for charging stations were identified:

  • Aggregator applications, for example, Charemap, lusurfin;
  • Applications from individual companies (Toa, Smoov app, or Allego);
  • Payment cards for specific charging station companies, which can be recharged;
  • Some stations allow payment with a bank card without using a smartphone. However, this method often incurs higher tariffs compared to payment through smartphones or subscriptions.
Application aggregator:
Company application (Tao)

5. Several aggregators already exist in the market, utilizing different payment and interaction models.

The electric vehicle market is rapidly developing, driven by the current demand for environmentally friendly transportation. This is a result of government policies and people's desire to reduce their impact on the planet. In the coming years, we will witness electric cars gradually replacing internal combustion engine vehicles.

The electric vehicle market is rapidly developing, driven by the current demand for environmentally friendly transportation

This is a result of government policies and people's desire to reduce their impact on the planet. In the coming years, we will witness electric cars gradually replacing internal combustion engine vehicles.

Of course, there are currently challenges hindering the transition to "green" transportation, such as charging difficulties, limited driving range, and other drawbacks. However, these issues are solvable. Hence, there is no doubt about the prospects of this industry.

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