PUBLISHER: KBV Research | PRODUCT CODE: 1374002
PUBLISHER: KBV Research | PRODUCT CODE: 1374002
The Global Electric Vehicle Charger Market size is expected to reach $53.1 billion by 2030, rising at a market growth of 28.6% CAGR during the forecast period.
Many European automakers are working on initiatives to provide home charging solutions to EV buyers. These automaker-branded chargers are designed to be compatible with their vehicles. Thus, the European region registered $2,011.7 million revenue in the market in 2022. Efforts are underway to facilitate cross-border charging interoperability, which makes it easy for EV owners to travel between European countries without worrying about compatibility issues. European EV charger manufacturers continuously innovate to provide higher-power chargers, significantly reducing charging times. Fast-charging options are especially crucial for long trips. All these factors will give momentum to the segment's expansion in the future.
The major strategies followed by the market participants are Mergers & Acquisition as the key developmental strategy in order to keep pace with the changing demands of end users. For instance, In June, 2023, BorgWarner, Inc. came into an agreement to acquire the Electric Hybrid Systems (EHS) business segment of Eldor Corporation. Through this acquisition, the products included in the EHS segment of Eldor were added into BorgWarner's product portfolio and supplemented its capabilities in the engineering of compact and efficient 400V and 800V on-board chargers. Additionally, In May, 2022, ABB Group acquired the E-mobility division of Numocity. Through this acquisition, ABB Group strengthened its position across India.
Based on the Analysis presented in the KBV Cardinal matrix, Siemens AG is the forerunner in the Market. Companies such as ABB Group, BorgWarner, Inc., Robert Bosch GmbH are some of the key innovators in the Market. In March, 2023, Robert Bosch GmbH teamed up with University of Cambridge. Through this collaboration, several innovative component designs based on silicon carbide were enhanced and new material systems like the ultra-wide bandgap semiconductor gallium oxide were explored. Additionally, designs and simulation models were invented to upgrade the performance of related components.
Market Growth Factors
Rising adoption of electric vehicles worldwide
As more people purchase electric vehicles, the market naturally expands. The demand for home chargers, in particular, rises significantly as EV owners seek convenient and reliable options for charging their vehicles. This increased market size provides a robust and growing customer base for charger manufacturers. A thriving market encourages innovation and competition among charger manufacturers. Since they can be charged overnight at home, EV owners aren't concerned as much about the availability of public charging infrastructure. Increasing EV usage favors the environment, encouraging more people to consider driving an electric car. Consumers are more willing to invest in EVs and home chargers because they are contributing to reducing greenhouse gas emissions. These factors are expected to drive the expansion of the market in the coming years.
Increasing growth of charging at home facility
The demand for residential chargers results in increased sales and installation services. Charger manufacturers and installation professionals' benefit from a growing demand for residential chargers, leading to greater revenue opportunities and job creation within the charger installation sector. Residential chargers have the potential to generate consistent, long-term revenue for charger manufacturers. Once installed, these chargers typically remain used for many years, contributing to a steady revenue stream as more households adopt electric vehicles. Residential chargers can integrate with smart home energy management systems, enabling homeowners to optimize their energy use. This integration can lead to cost savings and greater interest in residential chargers as part of a comprehensive home energy strategy. These factors will boost the demand for electric vehicle chargers in the upcoming years.
Market Restraining Factors
Rising confusion due to lack of charging standardization
Chargers that support fewer common standards may become stranded or underutilized if the corresponding EV models are not widely adopted. This can result in a suboptimal utilization rate for some chargers, making them less financially viable for operators. The lack of standardization can deter investment in charging infrastructure by charger operators and network providers. They may wait for a dominant standard before committing significant resources to expansion efforts. Charger operators who offer multiple standards must invest in maintaining and upgrading various chargers. This complexity can increase operational costs and reduce profitability. As a result, these factors will hinder the expansion of the market in the coming years.
Vehicle Type Outlook
Based on vehicle type, the market is segmented into battery electric vehicle (BEV), plug-in hybrid electric vehicle (PHEV), and hybrid electric vehicle (HEV). The battery electric vehicle (BEV) segment garnered a significant revenue share in the market in 2022. One of the primary drivers of BEV chargers' growth is the increasing adoption of battery-electric vehicles. As BEVs become more affordable, with longer ranges and improved performance, consumers are choosing them as their preferred mode of electric transportation. Growing environmental awareness and stricter emissions regulations push automakers to invest heavily in BEVs.
End user Outlook
On the basis of end user, the market is divided into residential and commercial. The residential segment recorded the maximum revenue share in the market in 2022. Advances in charger technology have led to faster home charging solutions. Level 2 chargers, which offer faster charging speeds than standard Level 1 chargers, have become increasingly popular for residential use. Many residential EV chargers now have smart features, allowing homeowners to monitor and control their charging sessions remotely through mobile apps. These chargers can also be integrated with home energy management systems. Therefore, the residential segment will witness increased growth in the coming years.
Charging Type Outlook
Based on charging type, the market is segmented into on-board chargers and off-board chargers. The on-board chargers segment held the largest revenue share in the market in 2022. On-board chargers are designed to cater to various types of electric vehicles, including battery electric vehicles (BEVs) and plug-in hybrid electric vehicles (PHEVs). This diversity in vehicle types has led to various charger configurations and specifications. Advancements in battery technology have resulted in EVs with larger battery capacities and longer driving ranges. To accommodate these higher-capacity batteries, on-board chargers with greater power output are required, further boosting market demand. All these factors will increase the demand in the segment.
By region, the market is segmented into North America, Europe, Asia Pacific, and LAMEA. The Asia Pacific segment procured the highest revenue share in the market in 2022. Governments in the Asia-Pacific region have played a pivotal role in driving the growth of EV chargers. Incentives, subsidies, and policies to promote the installation of residential chargers have been implemented in countries like China, Japan, and South Korea. Local and international electric vehicle charger manufacturers are expanding their production and distribution networks in the Asia-Pacific region in response to the growing demand. Companies like ABB, Siemens, and local players actively participate in this growth. Therefore, the Asia Pacific segment will grow rapidly in the coming years.
The market research report covers the analysis of key stake holders of the market. Key companies profiled in the report include ABB Group, Robert Bosch GmbH, AeroVironment, Inc, BorgWarner Inc, Silicon Laboratories, Inc., BP p.l.c., ChargePoint, Inc, Schaffner Holding AG, Siemens AG, and Chroma ATE Inc.
Recent Strategies of Electric Vehicle Charger Market:
Partnerships, Collaborations, and Agreements:
Mar-2023: Robert Bosch GmbH teamed up with University of Cambridge, a public collegiate research university in Cambridge, England. Through this collaboration, several innovative component designs based on silicon carbide were enhanced and new material systems like the ultra-wide bandgap semiconductor gallium oxide were explored. Additionally, designs and simulation models were invented to upgrade the performance of related components.
Mar-2023: BP p.l.c. came into an agreement with Uber, provides ride-hailing services, food delivery, and freight transport, to boost Uber's goal of becoming a zero-emission mobility platform in the US, Canada, and Europe. In a groundbreaking collaboration between a ride-hailing service and an integrated energy company, they will leverage their worldwide presence to support drivers in transitioning to electric vehicles. This involves offering access to dependable and convenient charging solutions, including ultra-fast options.
Nov-2022: ChargePoint Holdings, Inc. partnered with Nikola Corporation, a global leader in zero-emissions transportation and energy supply, to expedite the rollout of electric vehicle charging infrastructure for U.S. fleets. This collaboration allowed Nikola and its Sales and Service Dealer Network to offer ChargePoint's array of charging infrastructure and software solutions to their fleet clients, ensuring a cohesive technology interface and unified sales strategy.
Sep-2022: Hertz is teaming up with oil giant BP to build a new network of electric vehicle charging stations throughout the United States. Under the deal, BP Pulse, the oil company's EV-charging arm, will install the chargers and provide software and services to help Hertz manage its fast-growing fleet of EVs. The two companies plan to build chargers that will be available to the public, taking advantage of Hertz's high-traffic locations throughout the country.
Apr-2022: BP P.L.C partnered with Volkswagen, a German automobile manufacturer, to set up 8,000 fast-charging points across Europe by 2024, aiming to boost electric vehicle demand. These fast chargers, with a capacity of up to 150 kW, can provide a significant charge for approximately 160 kilometers (100 miles) in just over 10 minutes, potentially addressing range anxiety and supporting EV adoption.
Acquisition and Mergers:
Jun-2023: BorgWarner, Inc. came into an agreement to acquire the Electric Hybrid Systems (EHS) business segment of Eldor Corporation, a multinational leader in the Automotive industry. Through this acquisition, the products included in the EHS segment of Eldor were added into BorgWarner's product portfolio and supplemented its capabilities in the engineering of compact and efficient 400V and 800V on-board chargers.
Mar-2023: BorgWarner Inc. acquired the Electric Vehicle Charging Solution and the Smart Grid and Smart Energy businesses of Surpass Sun Electric, an established high-tech group company. Through this acquisition, BorgWarner enhanced its position in Europe and North America and expanded its electrification business in Asia.
Aug-2022: BorgWarner, Inc. completed the acquisition of Rhombus Energy Solutions, developer, and manufacturer of advanced energy management systems. Through this acquisition, BorgWarner strengthened its electric vehicle business in North America and bettered its European charging business. Additionally, the acquisition supported the Charging Forward strategy and boosted the electric vehicle positioning.
May-2022: ABB Group acquired the E-mobility division of Numocity, a software company that promotes sustainable transportation. Through this acquisition, ABB Group strengthened its position across India. Additionally, ABB Group captured the rising demand for three-wheelers, cars and light commercial vehicles in Southeast Asia and the Middle East, the target regions of Numocity.
Aug-2021: ChargePoint Holdings, Inc. acquired ViriCiti, a top electrification solutions provider. ViriCiti integration enhanced ChargePoint's fleet solutions, along with operational efficiency through route electrification insights, comprehensive monitoring, and seamless vehicle management.
Product Launches and Product Expansions:
Apr-2023: ABB Group launched CogniEN for regulating the performance of low and medium voltage electrical devices. CogniEN works in cognitive electrical networks using data intelligence and helps the operators to determine issues arising in the electrical equipment and therefore making it easier to send for the maintenance teams with 24/7 monitoring.
Oct-2022: ChargePoint Holdings, Inc. announced the launch of the CP6000, ChargePoint's most flexible and serviceable global AC EV charging solution now available for vehicles of all types and sizes. CP6000 is a complete charging solution for businesses and fleets that want to prepare for the future of electric mobility confidently and efficiently. The CP6000 is designed for scalability, flexibility, reliability, and a best-in-class driver experience, and offers reliable AC charging for 1 or 3 phase power at an adaptable output of 3.7 to 22kw per port.
Sep-2021: ABB Group introduced the all-in-one Electric Vehicle (EV) charger, Terra 360, providing faster charging experience on the market. Terra 360 charges up to four vehicles simultaneously with dynamic power distribution. Terra 360 fits a variety of needs, satisfies demand for e-vehicles, and accelerates e-mobility adoption across the world.
Market Segments covered in the Report:
By End User
By Vehicle Type
By Charging Type
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