NEW YORK, July 19, 2024 /PRNewswire/ -- The
global electric sports utility vehicle (E-SUV) market
size is estimated to grow by USD
181.10 billion from 2024-2028, according to Technavio.
The market is estimated to grow at a CAGR of 35.85% during
the forecast period. Increasing demand and sales of BEVs in global
market is driving market growth, with a trend
towards emergence of wireless charging systems for EVs.
However, high cost of ownership of e-suvs poses a challenge.
Key market players include AEHRA, Bayerische Motoren Werke AG, BYD
Co. Ltd., Dr. Ing. H.c. F. Porsche AG, Ford Motor Co.,General
Motors Co., Honda Motor Co. Ltd., Hyundai Motor Co., KIA CORP.,
Mahindra and Mahindra Ltd., Maruti Suzuki India Ltd., Mercedes Benz
Group AG, Nissan Motor Co. Ltd., Pravaig Dynamics Pvt Ltd., Renault
SAS, Tata Motors Ltd., Tesla Inc., Toyota Motor Corp., Volkswagen
AG, and Volvo Car Corp..
![Technavio has announced its latest market research report titled Global electric sports utility vehicle (e-SUV) market 2024-2028 Technavio has announced its latest market research report titled Global electric sports utility vehicle (e-SUV) market 2024-2028](https://mma.prnewswire.com/media/2464387/Global_electric_sports_utility_vehicle.jpg)
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Forecast
period
|
2024-2028
|
Base Year
|
2023
|
Historic
Data
|
2017 - 2021
|
Segment
Covered
|
Propulsion (Battery
electric vehicle and Hybrid vehicle), Type (Small and medium size
and Large size), and Geography (APAC, North America, Europe, South
America, and Middle East and Africa)
|
Region
Covered
|
APAC, North America,
Europe, South America, and Middle East and Africa
|
Key companies
profiled
|
AEHRA, Bayerische
Motoren Werke AG, BYD Co. Ltd., Dr. Ing. H.c. F. Porsche AG, Ford
Motor Co., General Motors Co., Honda Motor Co. Ltd., Hyundai Motor
Co., KIA CORP., Mahindra and Mahindra Ltd., Maruti Suzuki India
Ltd., Mercedes Benz Group AG, Nissan Motor Co. Ltd., Pravaig
Dynamics Pvt Ltd., Renault SAS, Tata Motors Ltd., Tesla Inc.,
Toyota Motor Corp., Volkswagen AG, and Volvo Car Corp.
|
Key Market Trends Fueling Growth
The electrical vehicle charging infrastructure is crucial for
the sustainability of the Electric SUV market. Notable investments
are being made to enhance and develop EV charging infrastructure.
With the rising demand for sustainable transportation and higher
levels of autonomy in EVs, wireless charging systems are gaining
significant attention. These systems allow EVs to charge on the go,
ensuring they maintain an adequate range. Leading EV manufacturers
and charging system providers are collaborating to create efficient
wireless charging business models. In these models, EVs align
precisely over charging pads for optimal efficiency. Furthermore,
the connected technology in all-electric vehicles enables
communication between vehicles to swap charging pads and share
common pads based on time slots. For instance, Google is testing
wireless charging technology in its self-driving cars. By the end
of the forecast period, the commercial application of wireless
charging for EVs is anticipated, driving market growth.
The Electric Sports Utility Vehicle (E-SUV) market is witnessing
significant growth with key players like Tata Motors and
Mercedes-Benz leading the charge. Driving range and speed
optimization are top priorities, with companies focusing on LFP
batteries and regenerative braking for improved performance. Tata
Motors' new electrification strategy includes battery cost
reduction, while Mercedes-Benz explores lithium-sulfur batteries.
Gasoline-powered vehicles face competition from zero-emission EVs
and hybrid SUVs, leading to a shift in consumer preferences.
Companies like Lotus Cars, BMW Group, Kia Corporation, and Tesla
are investing in R&D operations to offer advanced features like
all-wheel drive and four-wheel drive in their electric models. The
DOE is working on charging infrastructure to support the growing
demand for EVs in the compact, midsize, and full-size segments. The
body, chassis, powertrain, electronics, and FAME system are being
optimized for fuel-efficient mobility solutions. Supply chain
disruptions and environmental awareness are driving the electric
vehicle ecosystem forward, making EVs a viable alternative to ICE
vehicles.
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Market Challenges
- The electric sports utility vehicle (e-SUV) market presents
unique challenges, particularly in price-sensitive developing
markets. While e-SUVs offer advantages such as improved
socio-economic conditions, developed EV infrastructure, and
government incentives in developed automotive markets, their cost
remains higher than conventional SUVs for many consumers. This is
due to factors such as the cost of designing and manufacturing
BEVs, the lack of EV-friendly infrastructure, and high import costs
for advanced electronic components. The starting price of
entry-level e-SUVs is often more expensive than their ICE
counterparts, making them less accessible to price-sensitive
consumers in emerging markets. Additionally, after-sales services
for e-SUVs can be costly due to the immature local market and
limited availability of EV service parts. These factors may hinder
the growth of the global e-SUV market, especially in developing
regions. However, affordable options such as the Tesla Model 3 and
Chevrolet Volt exist in developed markets, making e-SUVs a viable
and increasingly popular choice for consumers.
- The Electric Sports Utility Vehicle (E-SUV) market is
witnessing significant growth as automakers like Tata Motors and
Mercedes-Benz prioritize their electrification strategies. However,
challenges persist in areas such as driving range and speed
optimization. Regenerative braking and accelerating technologies
are being explored to address these issues. LFP batteries, an
alternative to lithium-ion batteries, are being considered for cost
reduction. The Department of Energy (DOE) is also investing in
next-generation batteries like lithium-sulfur. Tier-1 suppliers are
collaborating to improve charging infrastructure, with companies
like Lotus Cars introducing models like the Eletre. The compact,
midsize, and full-size segments are seeing increased focus in the
E-SUV market. Manufacturers are redesigning bodies, chassis,
powertrains, and electronics to accommodate batteries and motors.
FAME system incentives and the shift towards zero-emission mobility
solutions are driving demand. However, challenges remain in battery
cost reduction, supply chain disruptions, and R&D operations.
Competition is intensifying with players like Kia Corporation, BMW
Group, Tesla, and others introducing electric SUVs, hybrid SUVs,
all-wheel drive, and four-wheel drive models. The ICE vehicle
market is under pressure as environmental awareness grows, and the
electric vehicle ecosystem continues to evolve.
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challenges - Download a Sample Report
Segment Overview
This electric sports utility vehicle (e-suv) market report
extensively covers market segmentation by
- Propulsion
- 1.1 Battery electric vehicle
- 1.2 Hybrid vehicle
- Type
- 2.1 Small and medium size
- 2.2 Large size
- Geography
- 3.1 APAC
- 3.2 North America
- 3.3 Europe
- 3.4 South America
- 3.5 Middle East and
Africa
1.1 Battery electric vehicle- The battery electric
vehicle (BEV) segment in the global electric sports utility vehicle
(e-SUV) market is experiencing significant growth due to increasing
consumer preference for eco-friendly and cost-efficient
alternatives to traditional gasoline-powered SUVs. This trend is
driven by various factors, including government incentives such as
tax breaks and rebate programs, infrastructure development, and
technological advancements. For instance, the US offers a tax
credit of up to USD7,500 under
Internal Revenue Code Section 30D for purchasing a new, qualified
plug-in electric vehicle (PEV) or fuel cell electric vehicle
(FCEV). The Inflation Reduction Act of 2022 modified the rules for
this credit for vehicles purchased from 2023 to 2032. Several
automobile manufacturers have responded to this growing demand by
launching new BEV SUVs. For example, Tesla's Model X, a full-size
electric SUV, offers up to 371 miles of range and impressive
acceleration capabilities. Other leading automotive brands, such as
Ford, Audi, Jaguar, Mercedes-Benz, BYD Co. Ltd., and Toyota Motor
Corp., have also introduced battery-powered SUVs in various
markets. Toyota Motor Corp.'s first BEV, the bZ4X, is an electric
SUV that can seat up to five passengers and has a range of up to
405 km. It features a new BEV-specific platform, the latest motor
generator and battery technology, and advanced safety and connected
technologies. The bZ4X also has a 150 kW DC fast charger that can
recharge the battery from 0-80% in 30 minutes. Toyota plans to
develop the next generation of BEVs by 2026 with fully optimized
components, batteries, platforms, and manufacturing methods. The
demand for BEVs in the e-SUV market will continue to grow due to
their environmental advantages, lower costs, and technological
advancements. The increasing popularity of zero-emission vehicles,
decreasing battery prices, and government initiatives worldwide
will drive the growth of the BEV segment of the global electric
sports utility vehicle market during the forecast period.
For more information on market segmentation with geographical
analysis including forecast (2024-2028) and historic data (2017 -
2021) - Download a Sample Report
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The global ATV market is experiencing robust growth driven by
increasing recreational activities and agricultural applications.
Key players are innovating with electric and hybrid models to meet
sustainability demands. The automotive service industry continues
to expand with rising vehicle complexity and demand for
maintenance, repairs, and aftermarket parts globally. Technological
advancements like AI and IoT are reshaping service delivery. The
luxury SUV market is thriving, buoyed by consumer preference for
comfort, performance, and advanced features. Automakers are
focusing on hybrid and electric SUVs to align with sustainability
goals and regulatory requirements.
Research Analysis
The Electric Sports Utility Vehicle (E-SUV) market is
experiencing significant growth as consumers shift towards
fuel-efficient mobility solutions and prioritize environmental
awareness. E-SUVs offer the spacious interiors and robust
capabilities of traditional SUVs, but with the added benefits of
zero-emission technology. Unlike combustion fuel engine SUVs,
E-SUVs run on batteries and motors, making them a cleaner
alternative. Hybrid SUVs also exist, which combine a gasoline
engine with an electric motor for improved efficiency. All-wheel
and four-wheel drive capabilities are available in some E-SUV
models, ensuring optimal performance in various driving conditions.
R&D operations in the EV industry are focused on reducing
battery costs, with advancements in LFP (Lithium Iron Phosphate)
and lithium-ion batteries. Supply chain disruptions and the need
for charging infrastructure are ongoing challenges, but the DOE and
other organizations are working to address these issues. E-SUVs
come in various sizes, including compact, midsize, and full-size
options, catering to diverse consumer needs. The body and chassis
designs of E-SUVs are evolving to accommodate larger batteries and
advanced technology. Lithiumsulfur batteries are a promising new
development in the EV industry, offering potential for longer
ranges and lower costs. The electrification strategy of major
automakers, such as Mercedes-Benz, is a significant factor driving
the growth of the E-SUV market. Gasoline-powered vehicles continue
to dominate the market, but the trend towards electrification is
undeniable. The future of SUVs lies in the zero-emission realm,
with E-SUVs poised to lead the charge towards a more sustainable
future.
Market Research Overview
The Electric Sports Utility Vehicle (E-SUV) market is
experiencing significant growth as consumers shift towards
zero-emission mobility solutions. E-SUVs offer the spacious
interiors and robust performance of traditional SUVs, but with the
added benefits of electric power. Unlike Combustion Fuel Engine
(ICE) vehicles, E-SUVs produce no tailpipe emissions and are more
fuel-efficient. Hybrid SUVs, which use both electric motors and a
gasoline engine, also contribute to this trend. All-wheel and
four-wheel drive capabilities are available in some E-SUVs,
ensuring optimal performance in various driving conditions. The
electric vehicle ecosystem includes key components such as
batteries, motors, and charging infrastructure. R&D operations
are ongoing to improve driving range, speed optimization, and
regenerative braking. Lithium-ion batteries remain the most common
choice for EVs due to their energy density and long life. However,
research into alternative battery technologies like LFP and
lithium-sulfur batteries continues. Supply chain disruptions and
battery cost reduction are major challenges in the industry.
Manufacturers like Tata Motors, Mercedes-Benz, BMW Group, Kia
Corporation, Lotus Cars, and Tesla have announced electrification
strategies to meet growing demand. Models like Tata Motors'
upcoming E-SUV, Mercedes-Benz EQC, BMW iX3, Kia Niro EV, Lotus
Eletre, and Tesla Model X are shaping the future of the compact,
midsize, and full-size E-SUV segments. Body, chassis, powertrain,
and electronics design are crucial aspects of E-SUV development.
Government initiatives like the FAME system support the adoption of
EVs. The EV ecosystem continues to evolve, offering consumers a
sustainable and technologically advanced alternative to
gasoline-powered vehicles.
Table of Contents:
1 Executive Summary
2 Market Landscape
3 Market Sizing
4 Historic Market Size
5 Five Forces Analysis
6 Market Segmentation
- Propulsion
-
- Battery Electric Vehicle
- Hybrid Vehicle
- Type
-
- Small And Medium Size
- Large Size
- Geography
-
- APAC
- North America
- Europe
- South America
- Middle East And Africa
7 Customer Landscape
8 Geographic Landscape
9 Drivers, Challenges, and Trends
10 Company Landscape
11 Company Analysis
12 Appendix
About Technavio
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trends and provides actionable insights to help businesses identify
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Technavio's comprehensive coverage, extensive research, and
actionable market insights to identify opportunities in existing
and potential markets and assess their competitive positions within
changing market scenarios.
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Email: media@technavio.com
Website: www.technavio.com/
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