Japan EV Charging Stations Market Size
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| Market Size (2024) | USD 0.52 Billion |
| Market Size (2029) | USD 1.27 Billion |
| CAGR (2024 - 2029) | 19.78 % |
| Market Concentration | High |
Major Players
*Disclaimer: Major Players sorted in no particular order |
Japan EV Charging Stations Market Analysis
The Japan Electric Vehicle Charging Equipment Market size is estimated at USD 0.52 billion in 2024, and is expected to reach USD 1.27 billion by 2029, growing at a CAGR of 19.78% during the forecast period (2024-2029).
The Japanese EV charging stations market is experiencing significant growth driven by the country's ambitious goals for reducing greenhouse gas emissions and promoting sustainable transportation solutions. With a strong focus on environmental sustainability and technological innovation, Japan has emerged as a global leader in electric vehicles and the development of charging infrastructure.
Japan boasts one of the largest EV markets globally, with a growing number of electric vehicles on the roads. The EV charging stations market has witnessed substantial growth in recent years, with an increasing number of charging infrastructure installations across the country. This growth is expected to continue as Japan accelerates its transition toward a low-carbon transportation system.
Advances in EV battery technology, including improvements in battery range and charging speeds, have made electric vehicles more practical and appealing to consumers. The development of fast-charging infrastructure further enhances the attractiveness of electric vehicles by reducing charging times and increasing convenience for EV owners.
Japan's government offers major subsidies to promote the use of EVs with the aim of becoming carbon neutral by 2050, which led to subsidizing the charging stations in the country. This is likely to drive the market's growth during the forecast period. The Japanese government is boosting the sales of green fuel vehicles and has an ambitious plan to power all new vehicles sold by 2035 with electricity, both electric and hybrid electric vehicles. This will enhance the demand for electric vehicle charging equipment during the forecast period.
Japan EV Charging Stations Market Trends
Public Charging is Expected to Fuel Market Growth in Upcoming Years
Public charging stations are essential for meeting the charging needs of electric vehicle owners, particularly those without access to home charging facilities. In Japan, where many residents live in urban areas or apartments with limited parking space, public charging is often the primary option for EV owners. Additionally, tourists and visitors require public charging infrastructure to support their electric vehicles while traveling around the country.
The rise in carbon emissions produced by the transportation sector has propelled the focus on the environment across Japan. Thus, the Japanese government is encouraging the adoption of electric vehicles, like HEVs, PHEVs, and BEVs. As a result, the number of EVs on the road has been constantly increasing. This is expected to drive the demand for EV charging infrastructure.
Public charging stations are strategically located in high-traffic areas such as shopping centers, restaurants, tourist attractions, and transportation hubs. This ensures that EV owners have easy access to charging facilities while carrying out their daily activities or traveling. Public charging stations are often integrated into existing infrastructure, such as parking lots or service stations, maximizing convenience for users.
China, the United States, Germany, India, and Japan are the five largest passenger car markets globally. Japan, and several other countries globally have committed to net zero-emission passenger car sales. In December 2020, the Japanese government introduced a green growth strategy to make Japan carbon-neutral by 2050. This strategy includes promoting the adoption of EVs, FCEVs, PHEVs, and hybrid vehicles.
With these implementations, Japan aims to reduce the impact of emissions by the transportation sector to achieve the GHG (green house gas) reduction goals under the Paris agreement.The concentration of charging stations in Japan is lesser than other developed countries, which indicates massive growth potential in the coming years.
DC Charging Stations is Dominating the Market
DC charging stations are known for their rapid charging capability enabling electric vehicle owners to recharge their vehicles quickly and conveniently. Unlike AC (alternating current) charging, which typically takes several hours to fully charge an EV battery, DC fast chargers can deliver a significant charge in a much shorter time frame, making them ideal for on-the-go charging needs.
DC charging stations are strategically located in high-traffic areas such as highways, major thoroughfares, commercial centers and rest stops, providing convenient access to fast charging for electric vehicle owners. This widespread deployment of DC fast chargers ensures that EV drivers can recharge their vehicles quickly and efficiently while traveling or running errands, which addresses range anxiety, therby promoting the adoption of electric vehicles.
Advancements in EV charging technology have contributed to the proliferation of DC fast chargers in Japan. The introduction of standardized charging protocols such as CHAdeMO and CCS (combined charging system) ensures interoperability and compatibility among different EV models and charging networks. The integration of smart charging features enables real-time monitoring, payment options, and reservation systems, enhancing user experience and convenience.
The three types of chargers available for EVs include the standard 120V plug (often used for home appliances and charges slowly but can fill a battery to near-full capacity in about 8 to 12 hours, the 240V level-2 chargers, which generally provide 20 to 25 miles worth of charge in an hour, with a shortened charging time to eight hours or less, and level-3 direct current (DC) fast chargers that can charge a battery up to 80% in 30 minutes.
At homes, level-2 chargers need the same type of outlets required for clothes dryers or electric ovens.
Auto manufacturers use all three different varieties of DC fast chargers as per their requirements. The SAE combined charging system (CCS) is used by most manufacturers. Nissan and Mitsubish use the CHAdeMO variant. The Tesla Supercharger is used by only Tesla cars. This lack of vehicle compatibility restricts universal vehicle access to charging stations and could hinder market growth.
Deploying high-powered energy chargers must be done carefully to ensure stations have high utilization. The profit potential of charging stations is quite low in the current scenario. The profitability may only increase when there are enough electric cars on the road, so the infrastructure could have a high utilization rate.
Collaborative efforts among stakeholders and continued innovation in charging technology are key to realizing the full potential of DC charging stations in supporting Japan's transition to a sustainable transportation system driven by EVs.
Japan EV Charging Stations Industry Overview
The electric vehicle charging station market is relatively consolidated, and a major market share is covered by a few companies. Major players in the market include ABB, Delta Electronics Inc., and Toyota. Major players in the country are engaging in joint ventures with other players to develop the latest technology. Various automakers also provide home charging solutions to their customers along with electric vehicles.
• In January 2022, Here Technologies and Digital Charging Solutions GmbH entered a strategic collaboration to provide a seamless charging experience for electric vehicles. DCS has expertise in authenticating the charging process, access to charging stations, payment, Booking, and billing services, and more than 280,000 charging points across Europe and Japan.
Japan EV Charging Stations Market Leaders
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ABB
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Tesla Inc.
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Delta Electronics Inc.
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Toyota Connected Corporation
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Aoyama Elevator Global Ltd.
*Disclaimer: Major Players sorted in no particular order
Japan EV Charging Stations Market News
- September 2023: Japan's government has chosen to increase its existing EV charger installation goal to 300,000 by 2030, doubling the current target. However, the current number of publicly accessible EV chargers in the country does not exceed 30,000 units.
- September 2023:Terra Motors Corp. revealed plans to install 150-kilowatt chargers in the parking lots of supermarkets, convenience stores and various commercial establishments throughout the capital.
- These chargers, which are about 7.5 times faster than the commonly found 20-kilowatt chargers in Japan, have the capability to provide a typical electric vehicle with a range of 100 kilometers after just a six-minute charge. The company intends to position 1,000 fast chargers for electric vehicles across Tokyo.
- In July 2023, Japan's Environment Minister, Akihiro Nishimura, inaugurated the inaugural electric vehicle charging station in Dangrina, Thimphu, established under a project supported by the Japanese government. The deployment of these charging stations is part of a project titled "Utilizing nationally determined contributions to achieve net-zero emissions and climate-resilient development in response to the climate emergency."
- As part of this initiative, 19 Nissan Leaf electric vehicles have been acquired, and 16 charging stations are being installed. These include six stations in Thimphu, one each in Wamrong and Tingtibi, with the remaining distributed across government offices in Phuentsholing and Paro.
Japan EV Charging Stations 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 Government Support and Regulations Is Expected To Drive The Market Growth
4.2 Market Restraints
4.2.1 Interoperability and Lack Of Standardization Is Anticipated To restrain the Market Growth
4.3 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
5.1 End Use
5.1.1 Home Charging
5.1.2 Public Charging
5.2 Charging Station
5.2.1 AC Charging Station
5.2.2 DC Charging Station
6. COMPETITIVE LANDSCAPE
6.1 Vendor Market Share
6.2 Company Profiles*
6.2.1 ABB Ltd
6.2.2 Delta Electronics Inc.
6.2.3 e-Mobility Power Inc.
6.2.4 Toyota Connected Corporation
6.2.5 Tesla Inc.
6.2.6 Aoyama Elevator Global Ltd
6.2.7 Tritium Charging
6.2.8 NEC Telecommunication and Information Technology Ltd
7. MARKET OPPORTUNITIES AND FUTURE TRENDS
Japan EV Charging Stations Industry Segmentation
A charging station, also known as electric vehicle charging station, electric recharging point, charging point, charge point, electronic charging station (ECS), and electric vehicle supply equipment (EVSE), is a machine that supplies electric energy to charge plug-in electric vehicles, including cars, trucks, buses, and others. Charging stations provide connectors that conform to a variety of standards. For common direct current rapid charging, chargers are equipped with multiple adaptors such as combined charging system (CCS), CHAdeMO, and AC fast charging.
The Japanese electric vehicle charging infrastructure is segmented by end use and charging station type. By end use, the market is segmented into home charging and public charging. By charging station type, the market is segmented into AC charging station and DC charging station.
For each segment, market sizing and forecast have been done on the basis of value (USD billion).
| End Use | |
| Home Charging | |
| Public Charging |
| Charging Station | |
| AC Charging Station | |
| DC Charging Station |
Japan EV Charging Stations Market Research FAQs
How big is the Japan Electric Vehicle Charging Equipment Market?
The Japan Electric Vehicle Charging Equipment Market size is expected to reach USD 0.52 billion in 2024 and grow at a CAGR of 19.78% to reach USD 1.27 billion by 2029.
What is the current Japan Electric Vehicle Charging Equipment Market size?
In 2024, the Japan Electric Vehicle Charging Equipment Market size is expected to reach USD 0.52 billion.
Who are the key players in Japan Electric Vehicle Charging Equipment Market?
ABB, Tesla Inc., Delta Electronics Inc., Toyota Connected Corporation and Aoyama Elevator Global Ltd. are the major companies operating in the Japan Electric Vehicle Charging Equipment Market.
What years does this Japan Electric Vehicle Charging Equipment Market cover, and what was the market size in 2023?
In 2023, the Japan Electric Vehicle Charging Equipment Market size was estimated at USD 0.42 billion. The report covers the Japan Electric Vehicle Charging Equipment Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the Japan Electric Vehicle Charging Equipment Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
What are the main challenges facing the Japan EV Charging Equipment Market?
Key Challenges in the EV Charging Equipment Market in Japan are a) High installation costs b) Technological limitations c) Need for standardization across charging equipment
Japan EV Charging Stations Industry Report
The electric vehicle (EV) charging station market in Japan is witnessing a significant surge, fueled by the increasing adoption of EVs and HEVs, environmental concerns, rising fuel costs, and supportive government policies. This growth is complemented by a diversification in charging infrastructure, including AC, DC, and inductive options, catering to a wide range of needs. Stations are conveniently located in areas like parking lots near supermarkets, workplaces, and residential zones. Government initiatives, such as subsidies and investments in public charging solutions, alongside the integration of advanced technologies like telematics devices, are propelling market expansion. The market, segmented by type, vehicle, installation, charging level, connector, and application, aligns with Japan's sustainable transportation goals, indicating a promising outlook. For detailed insights and a forecast outlook, Mordor Intelligence™ offers a comprehensive analysis and free report PDF download on Japan's EV Charging Stations market, which is crucial for understanding its impact on related sectors, including the bikes market share in India.
