Market Trends of Electric And Autonomous Vehicles Wiring Harness Industry
Passenger Car Segment is Anticipated to Register Highest Growth Rate
Global EV sales were marked at 10 million units during 2022, which was significantly higher compared to sales figures in 2021. The volume includes all segments, like passenger vehicles, light commercial vehicles, light trucks, and all propulsion types.
The movement to accelerate the adoption of light-duty passenger electric cars (EVs) and phase out traditional vehicles with internal combustion engines is gaining traction around the world. The increase in average fuel prices reflects the fact that Europe holds a higher share of new electric car registrations than other parts of the world. Hence, mass adoption of electric vehicles, owing to rising fuel prices, is expected to increase the business globally.
The market studied is furthermore driven by the increasing sales of BEVs and PHEVs globally, which also remained a major cause for bolstering electric vehicle demand. Manufacturers around the globe consistently drove the demand for EVs.
China also witnessed a steady rise in the BEV segment driven by top Chinese manufacturers, including Wuling HongGuang, Tesla, BYD, Nissan, Toyota, and Honda. The Chinese government constantly provided regulated incentive programs to elevate EV sales.
The government of India undertook multiple initiatives to promote the manufacturing and adoption of electric vehicles in India, reduce emissions from international conventions, and develop e-mobility in the wake of rapid urbanization.
Electric vehicles became a hot topic these days as automakers are announcing their ambitious electrification plans. The sales of electric vehicles are attributed to shifting customer preference toward energy-sustainable mobility, improving charging infrastructure, rising fuel prices, and decreasing fuel prices.
India is the second-largest two-wheeler market, which subsequentially channelizes the demand for the two-wheeler segment in the country. In context to this, many tier-2 manufacturers, for instance, Okinawa Motors, UltraViolette Automotive, and Revolt Motors entered the market to take the early mover's advantage.
With the development mentioned above across the globe, the demand for electric vehicles is likely to enhance during the forecast period.
North America is Leading the Market
The growing initiatives taken by both the public and private sectors to encourage people to switch to electric vehicles can be attributed to market growth. These initiatives boosted the sales of electric vehicles while also raising consumer awareness of the benefits of owning one.
The United States, although a tad behind in the electrification of heavy-duty commercial and public transport vehicles as compared to Europe, witnessed a significant increase in electrification as a direct influence of Tesla's electric cars.
In view of the same, the United States is implementing aggressive emission reduction policies and regional initiatives to reduce atmospheric CO2 concentrations. Many major cities, including New York City, Los Angeles, and Houston, are plagued by poor air quality. It resulted in respiratory diseases. Such conditions make survival in the current environment difficult.
Further, key electric vehicle Original Equipment Manufacturers (OEMs), such as Ford and General Motors, offer a diverse range of electric vehicles that piqued the interest of many consumers. It resulted in an expanded market for electric vehicles. For instance,
General Motors announced plans in June 2021 to invest USD 35 billion in developing and increasing its EV production capacity to more than one million by 2025. Furthermore, General Motors announced in January 2022 that it planned to invest approximately USD 6.6 billion in its home state of Michigan by 2024 to increase electric pickup truck production and build a new EV battery cell plant.
Further, regional bodies are taking severe initiatives like approving charging stations to ramp up electric vehicle adoption across the country. For instance, in September 2022, the US Transportation Department announced the approval of electric vehicle charging station plans for all 50 states, Washington, DC, and Puerto Rico, covering roughly 75,000 miles of highways.
The movement to accelerate the adoption of light-duty passenger electric cars (EVs) and phase out traditional vehicles with internal combustion engines is gaining traction around the world. The increase in average fuel prices reflects the fact that Europe holds a higher share of new electric car registrations than other parts of the world. Hence, mass adoption of electric vehicles, owing to rising fuel prices, is expected to increase business globally.
The market studied is further driven by the increasing sales of BEVs and PHEVs globally, which also remained a major cause for bolstering electric vehicle demand. Manufacturers around the world consistently drove the demand for EVs. For instance:
- In January 2023, the all-new Volvo EX90 was unveiled in North America for the first time at the Consumer Electronics Show (CES) in Las Vegas. It highlighted the technological collaborations that make the Volvo EX90 the company's smartest and safest vehicle yet. The Volvo EX90 is an all-electric SUV with seating for up to seven passengers.
With the development mentioned above across the region, the market is anticipated to boost during the forecast period.
