Electric Vehicle Repair Service Market Size
| Study Period | 2019 - 2029 |
| Market Size (2024) | USD 33.85 Billion |
| Market Size (2029) | USD 78.64 Billion |
| CAGR (2024 - 2029) | > 18.36 % |
| Fastest Growing Market | Europe |
| Largest Market | Asia-Pacific |
| Market Concentration | High |
Major Players
*Disclaimer: Major Players sorted in no particular order |
Electric Vehicle Repair Service Market Analysis
The Electric Vehicle Repair Service Market size is estimated at USD 33.85 billion in 2024, and is expected to reach USD 78.64 billion by 2029, growing at a CAGR of greater than 18.36% during the forecast period (2024-2029).
Over the long term, the sale of electric vehicles is anticipated to increase due to various government initiatives. These initiatives will positively affect market growth. For instance, rapid electric vehicle uptake in underdeveloped auto markets has increased electric vehicle shares even more, which, in turn, will help the market expand.
Globally rising demand for sustainable transportation and cleaner energy has engaged the demand for battery electric vehicles. Promotional activities and government legislation solve consumer constraints such as vehicle range, more excellent upfront prices, limited model availability, and lack of knowledge. These variables will impact the demand for electric vehicles, which will drive the EV repair service market.
Asia-Pacific is expected to lead the market for EV repair services owing to rapid industrialization and urbanization, as well as the increasing demand for electric vehicles in countries like China and India. Other areas, such as North America and Europe, are also expected to experience significant growth in the market.
Electric Vehicle Repair Service Market Trends
Electric vehicle sales are expected to foster the demand of the target market during the forecast period
The rapid adoption of electric vehicles may have a significant impact on the target market. Electric cars are highly adopted because of government initiatives and support for improving the environment to reduce reliance on crude oil. It is anticipated that battery electric vehicle repair and maintenance costs will be comparatively lower than those of internal combustion engine (ICE) vehicles. Making operations and products more sustainable can give businesses a competitive edge by using reclaimed materials and developing a technical understanding of electric vehicle components. Governments worldwide are setting ambitious targets to reduce emissions, and promoting electric vehicles is a way to achieve these goals. For example, the European Union aims to reduce its greenhouse gas emissions by 55% by 2030. China has set a target to have 25% of new cars sold by 2025 be electric.
Lithium-ion batteries, used in most electric vehicles, have seen significant improvements in energy density, charging time, and overall performance. This has made electric cars more practical and appealing to consumers.
Global sales of electric cars increased by around 60% in 2022 compared to 2021, surpassing 10 million for the first time, even though car sales broadly were weak last year. According to the International Energy Agency (IEA), one in every seven passenger cars purchased globally in 2022 was an electric vehicle.
The cost advantages of electric vehicles over conventional cars and other factors will help the market expand during the forecast period. Another element anticipated to generate considerable development prospects for industry participants is a drop in battery pack prices. The cost of battery packs is predicted to decrease in the United States to USD 104/Kwh in 2025 and USD 72/Kwh in 2030, according to a study released by the International Council on Clean Transportation.
With the active participation of industry players and government organizations in EV industry development, the growth of electric vehicle adoption is expected to improve in the future. Thus, as the number of vehicles increases, so will the opportunity for electric vehicle repair service providers to generate revenue, facilitating overall market expansion.
North America is expected to witness a considerable share in the target market
The growing initiatives by the public and private sectors to encourage people to switch to electric vehicles can be attributed to market growth. These initiatives have boosted the sales of electric cars while also raising consumer awareness of the benefits of owning one.
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, have been plagued by poor air quality, which has resulted in respiratory diseases. Such conditions make survival in the current environment difficult.
Many electric vehicle original equipment manufacturers (OEMs), such as Tesla, Ford, and General Motors, offer a diverse range of electric vehicles that have piqued the interest of many consumers, resulting in an expanded market for electric cars.
Also, part of the country’s new infrastructure bill introduced in November 2021 significantly focused on improving the current electric vehicle charging infrastructure to better cater to the changing needs of many electric cars in the coming years.
As a result, major cities and their governing bodies have begun upgrading the existing stations or introducing new electric vehicle charging stations across the country. For instance,
- The Federal Transit Administration (FTA) of the United States Department of Transportation (DOT) announced nearly USD 1.7 billion in available funding through the Low or No Emission and Grants for Buses and Bus Facilities Competitive Programs FY2023 Notice of Funding Opportunity. The funds will help states and municipalities modernize aging transit fleets with low- and no-emission buses, renovate and build bus facilities, and support workforce development.
- In September 2022, the US Transportation Department approved electric vehicle charging station plans for all 50 states, Washington D.C., and Puerto Rico, covering roughly 75,000 miles of highways.
In addition, the demand for electric vehicles opens up new business opportunities for OEMs, suppliers of aftermarket parts and components, producers of tires, and other participants in the industry supply chain. As electric vehicles become more widely available, IC engine and vehicle parts and components service centers will expand into them.
Based on the factors above, the target market is expected to witness significant growth during the forecast period.
Electric Vehicle Repair Service Industry Overview
The target market is concentrated, as major players hold significant market shares. Also, some companies promote either the expansion of their footprint or awareness of electric vehicle repair. This will contribute to the firm gaining a large share of the market.
- In March 2024, Meineke Car Care Center announced its first-ever electric vehicle service center, which aims to meet growing demand in the Carolinas, in Indian Land, South Carolina.
- In December 2023, GoMechanic announced the launch of electric vehicle services for India’s key fleet operators in the EV space. Under its new expansion strategy, GoMechanic will enlarge its service portfolio from internal combustion engines to electric vehicles for leading Industry fleet leaders.
- In July 2022, General Motors launched a program to educate car shoppers about electric vehicles and target first-time buyers as the automaker seeks to catch up with and outperform rival Tesla.
Electric Vehicle Repair Service Market Leaders
-
Robert Bosch GmbH
-
LKQ Corporation
-
The Hybrid Shop
-
HEVRA Europe OÜ
-
Hyundai Motor Company
*Disclaimer: Major Players sorted in no particular order
Electric Vehicle Repair Service Market News
- March 2023: Earthling Automotive, formerly Luscious Garage, announced its expansion to provide electric vehicle and hybrid repair services in the San Francisco Bay Area.
- November 2022: Sono Motors, a Munich-based solar mobility OEM, and Bosch, a well-known German company, agreed to collaborate on a joint Europe-wide network of car repair shops. Sono Motors, based in Munich, and Bosch, a long-established German company, will collaborate to service and repair the Sion through the Bosch Car Service Workshop Concept. During the German launch phase, 50 Bosch Car Services will be trained and qualified as Authorized Service Centers for Sono Motors' Sion Solar Electric Vehicle. More European countries are expected to take part in the rollout.
- October 2022: SK launched the "EV My Car Management" service in collaboration with SK Rent-a-Car and Macarong Factory. Users can now quickly check the mileage and charging history of their electric vehicle (EV) batteries, the deterioration status, and the distance to empty them based on weather conditions. In addition, users can now have their EVs repaired themselves.
Electric Vehicle Repair Service Market Report - Table of Contents
1. INTRODUCTION
1.1 Study Assumptions
1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET DYNAMICS
4.1 Market Drivers
4.1.1 Rising EV Sales To Fuel EV Repair Service Demand
4.1.2 Government Initiatives To Promote The Use of EVs
4.2 Market Restraints
4.2.1 Skilled Technician Shortage May Hamper The Market Growth
4.3 Industry Attractiveness - Porter's Five Forces Analysis
4.3.1 Threat of New Entrants
4.3.2 Bargaining Power of Buyers/Consumers
4.3.3 Bargaining Power of Suppliers
4.3.4 Threat of Substitute Products
4.3.5 Intensity of Competitive Rivalry
5. MARKET SEGMENTATION (Market Value in USD Billion)
5.1 Electric Vehicle Type
5.1.1 Battery Electric Vehicle
5.1.2 Plug-in Hybrid Electric Vehicle
5.1.3 Hybrid Electric Vehicle
5.1.4 Fuel Cell Electric Vehicle
5.2 Component Type
5.2.1 Mechanical
5.2.2 Exterior and Structural
5.2.3 Other Component Types
5.3 Service Provider
5.3.1 Franchise General Repairs
5.3.2 OEM Authorized Service Centers
5.3.3 Other Service Providers
5.4 Vehicle Type
5.4.1 Passenger Car
5.4.2 Commercial Vehicle
5.5 Geography
5.5.1 North America
5.5.1.1 United States
5.5.1.2 Canada
5.5.1.3 Rest of North America
5.5.2 Europe
5.5.2.1 Germany
5.5.2.2 United Kingdom
5.5.2.3 France
5.5.2.4 Italy
5.5.2.5 Spain
5.5.2.6 Rest of Europe
5.5.3 Asia-Pacific
5.5.3.1 China
5.5.3.2 Japan
5.5.3.3 India
5.5.3.4 South Korea
5.5.3.5 Rest of Asia-Pacific
5.5.4 South America
5.5.4.1 Brazil
5.5.4.2 Argentina
5.5.4.3 Rest of South America
5.5.5 Middle East and Africa
5.5.5.1 United Arab Emirates
5.5.5.2 Saudi Arabia
5.5.5.3 South Africa
5.5.5.4 Rest of Middle East and Africa
6. COMPETITIVE LANDSCAPE**
6.1 Vendor Market Share
6.2 Company Profiles*
6.2.1 Robert Bosch GmbH
6.2.2 Hyundai Motor Company
6.2.3 LKQ Corporation
6.2.4 The Hybrid Shop
6.2.5 Certified Service
6.2.6 HEVRA Europe OU
6.2.7 YCC Service Center
6.2.8 RAD AIR COMPLETE CAR CARE
6.2.9 SK Innovation Co. Ltd
6.2.10 Axalta Refinish
7. MARKET OPPORTUNITIES AND FUTURE TRENDS
7.1 Growing Market For Aftermarket EV Parts And Acessories
Electric Vehicle Repair Service Industry Segmentation
Electric vehicles, mechanical and electrical inspections, and repair are all offered in automotive services. The service sector includes routine and non-routine services like rustproofing and exterior painting. Routine services include tire repair, air conditioning, and oil changes.
The electric vehicle repair service market has been segmented by electric vehicle type, component, service provider, vehicle type, and geography. By electric vehicle type, the market is segmented into battery electric vehicles, plug-in electric vehicles, and fuel-cell electric vehicles. The target market is segmented by component type into mechanical, exterior, structural, and other components. The market is divided into franchise general repairs, OEM-authorized service centers, and other service providers. The market is divided into passenger cars and commercial vehicles based on vehicle type. The market is segmented by region into North America, Europe, Asia-Pacific, South America, the Middle East, and Africa.
The market value will be provided in USD for all the mentioned segments.
| Electric Vehicle Type | |
| Battery Electric Vehicle | |
| Plug-in Hybrid Electric Vehicle | |
| Hybrid Electric Vehicle | |
| Fuel Cell Electric Vehicle |
| Component Type | |
| Mechanical | |
| Exterior and Structural | |
| Other Component Types |
| Service Provider | |
| Franchise General Repairs | |
| OEM Authorized Service Centers | |
| Other Service Providers |
| Vehicle Type | |
| Passenger Car | |
| Commercial Vehicle |
| Geography | ||||||||
| ||||||||
| ||||||||
| ||||||||
| ||||||||
|
Electric Vehicle Repair Service Market Research FAQs
How big is the Electric Vehicle Repair Service Market?
The Electric Vehicle Repair Service Market size is expected to reach USD 33.85 billion in 2024 and grow at a CAGR of greater than 18.36% to reach USD 78.64 billion by 2029.
What is the current Electric Vehicle Repair Service Market size?
In 2024, the Electric Vehicle Repair Service Market size is expected to reach USD 33.85 billion.
Who are the key players in Electric Vehicle Repair Service Market?
Robert Bosch GmbH, LKQ Corporation, The Hybrid Shop, HEVRA Europe OÜ and Hyundai Motor Company are the major companies operating in the Electric Vehicle Repair Service Market.
Which is the fastest growing region in Electric Vehicle Repair Service Market?
Europe is estimated to grow at the highest CAGR over the forecast period (2024-2029).
Which region has the biggest share in Electric Vehicle Repair Service Market?
In 2024, the Asia-Pacific accounts for the largest market share in Electric Vehicle Repair Service Market.
What years does this Electric Vehicle Repair Service Market cover, and what was the market size in 2023?
In 2023, the Electric Vehicle Repair Service Market size was estimated at USD 27.64 billion. The report covers the Electric Vehicle Repair Service Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the Electric Vehicle Repair Service Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
What are the key trends in the Electric Vehicle Repair Service Market?
Key trends in the EV Repair Service Market are a) The integration of digital tools for diagnostics b) Rise of mobile repair services c) Increased focus on sustainability d) Development of specialized service centers dedicated to EVs
Electric Vehicle Repair Service Industry Report
The Electric Vehicle Repair Service Market Report is segmented by electric vehicle type, component type, service provider, vehicle type, and region. The report offers market size and forecasts for the E-Bike tire market in value for all the above segments. The EV repair service market is poised for significant expansion, driven by the global surge in electric vehicle adoption, fueled by environmental concerns and government initiatives promoting electric mobility. As EVs become more prevalent, the demand for specialized repair services is increasing, necessitating skilled technicians and advanced diagnostic tools.
The market caters to various segments, including passenger and commercial vehicles, offering services from routine maintenance to complex battery diagnostics and software updates. Technological advancements require continuous learning and adaptation by service providers to effectively handle new challenges. Additionally, the market benefits from collaborations between repair service providers and original equipment manufacturers, enhancing service capabilities and customer satisfaction.
Regional dynamics vary, with areas of higher EV adoption experiencing greater demand for repair services. The market's growth is further supported by the expansion of service networks and the integration of technologies like predictive maintenance systems, which boost service efficiency and effectiveness. For detailed insights into the market share, size, revenue growth rate, and a forecast outlook of the EV repair service market, access a free report PDF download from Mordor Intelligence™ Industry Reports.
The industry analysis highlights the importance of understanding market trends and market growth. Industry reports provide valuable industry information and industry outlook, essential for market leaders to stay competitive. Market data and market review are critical for making informed decisions. The market segmentation offers a detailed view of the market value and market predictions.
The industry research emphasizes the significance of industry size and industry statistics, which are crucial for evaluating market forecast and market overview. The report example and report PDF serve as useful tools for research companies to analyze market dynamics comprehensively. The industry sales and market outlook reflect the ongoing developments and future potential of the EV repair service market.
Electric Vehicle Repair Service Market Report Snapshots
