Market Trends of North America Automotive High Performance Electric Vehicles Industry
This section covers the major market trends shaping the North America Automotive High Performance EV Market according to our research experts:
Growing Demand for High Performance Electric Commercial Vehicles
The demand for long-range electric vehicles has been increasing in the North American region. This is due to the unavailability of a charging station for passengers traveling on highways in remote areas. Manufacturers have focused on improving the range of their products by increasing battery capacities.
The limited range of electric vehicles is a major factor that is restraining the growth of the market. To curtail this, numerous charging stations and outlets are being constructed across the North American region, with the United States possessing the highest number of outlets in 2021.
Truck manufacturers, such as Daimler, Tesla, and Navistar International Corp., are racing to overcome the challenges of replacing diesel engines with batteries, as international organizations have been improving and implementing stringent exhaust emissions and fuel economy norms. As a result, governments of different states and commercial vehicle makers are planning to invest in charging infrastructure development. For instance,
- In May 2021, a public engagement session conducted by the Minnesota Department of Transportation focused on improving the charging station facilities that can aid the services of electric delivery and freight trucks.
Vehicle manufacturing companies across the country have developed new products to cater to the demand from different end users. For instance;
- In April 2021, Daimler started accepting preorders on its Freightliner class-8 eCascadia and eM2 medium-duty electric trucks in the United States. The company claims to produce the trucks by the end of 2022.
United States Expected to Lead the Market
As the United States is one of the potential markets for high-performance electric vehicles, high-energy Li-ion batteries and advanced powertrain parts contribute a major role in propelling the market studied. Government initiatives are expected to improve the opportunities for the industry. For instance,
- In December 2021, the Government of the United States announced that all vehicles acquired by the government must be emission-free by 2035. These will replace the 600,000 United States government vehicles currently in use.
The demand for electric buses is also increasing gradually owing to its advantage of saving fuel costs without harming the environment. For instance;
- The adoption of electric buses is expected to save a lot of fuel costs for transit agencies in the country. In Chicago, the research found that two electric buses save nearly USD 24,000 of annual fuel expenses.
The Gigafactory set up by Tesla in Nevada, the United States, is another important step to reaching the global battery needs for different vehicles manufactured across the world. The factory is a huge 1.9 million sq. ft facility with recently ramped up mass production of Li-ion batteries that are seen as the most economical and efficient battery solutions for electric vehicles currently.
The tax credits offered by the government to electric vehicle buyers are a huge growth factor for the market. Multiple investments into developing the charging infrastructure to keep up with the projected increase in EV demand are being observed. For instance, Charge Point, a market leader in EV charging, partnered with Mercedes in June 2021 to establish an industry-leading EV Charging Experience to be set up and expanded across the North American region.
