Electric Vehicle Charging System Market Size, Analysis 2031

Report Description

The global electric vehicle charging system market size was USD 6.80 Bn in 2022 and is likely to reach USD 54.8 Bn by 2031, expanding at a CAGR of 26.1% during 2023–2031. The market growth is attributed to increasing government initiatives to facilitate zero-emission transportation modes and subsequent incentives provided to electric vehicle buyers to support rising EV adoption.

Electric vehicle charging systems are conveniently used to charge electric vehicle batteries including cars, buses, trucks, and plug-in hybrids. EV adoption is set to rise phenomenally in the years to come. It is expected that the bulk of the charging of these vehicles takes place at offices and homes. Range anxiety is a major factor that worries EV owners, especially during long-distance travel. The EV owners are fearful about running out of batteries along sections of roads where EV charging facilities are few and far between.

Get Free Sample Report

Most vehicle owners can conveniently find a gas station without having to queue up for refueling. Various governments across the world expect similar dynamics to be seen in the evolution of EV charging options. The electric vehicle charging system serves as a viable charging option.

Electric vehicle adoption is imperative in the twenty-first-century world to achieve carbon neutrality. The policymakers are pushing for the electrification of transportation by providing tax rebates and credits to EV buyers. However, there is a significant need to build convenient and fast-charging equipment to support this transformation worldwide.

The market report finds that COVID-19 affected the electric vehicle charging system market. This is mainly as a result of a slowdown in production and a reduction in the deployment of workers at the manufacturing plants. Furthermore, the supply chain of raw materials required to manufacture the charging systems was hindered during the pandemic. However, in the post-pandemic era, the subsidies offered to EV buyers by the government and heightened consumer interest in EVs are fueling the market growth exceptionally.

Market Drivers, Restraints, and Opportunities

• The rising governments’ initiatives to incentivize EV adoption is one of the key factors driving the electric vehicle charging system market. Established and emerging economies such as the USA, UK, German, India, and China, among others have recognized the importance and growth potential of setting up EV charging system networks and are putting up efforts to build a robust and wider range of networks.
• The geopolitical uncertainty and its impact on the fossil fuels supply chain dynamics are driving the growth of EV adoption and by extension, EV charging systems. Major economies around the globe are giving preference to using alternative energy sources owing to the depletion of fossil fuel sources and geopolitical unrest in oil-rich countries.
• The ongoing Russia-Ukraine crisis has changed the perspective of European nations toward adopting renewable energy resources. This shift in consumer preference is driving the growth of the electric vehicle charging system market.
• The shift in consumer preference toward shared mobility is also expected to elevate the growth of the electric vehicle charging system market. Mobility as a service sector is growing exceptionally. The shared mobility operators are deploying electric vehicles in their fleet to avail of the incentives and provide emission-free traveling experiences to travelers.
• The high cost required for EV charging systems can act as a restraining factor for the market. Setting up electric vehicle charging systems is a costly proportion as it includes initial setup and subsequent maintenance costs. The EV owners have to bear the cost of sudden expenditures arising out of damage or improper handling of the equipment may further limit the growth of the market.
• Public transport systems are increasingly adopting electric modes of transportation to avoid tailpipe pollution. EV charging systems provide convenient, feasible, and economical charging options to transporters without having to worry about range anxiety is creating growth opportunities in this segment.
• The rising technological advancements in charging systems such as wireless electric vehicle charging or home charging methods such as TerraHome by ABB are also likely to create growth opportunities for key players in the market. The technology leaders are integrating Artificial Intelligence (AI) algorithms, innovative battery management systems, and fast charging technologies into EV charging systems to improve the user experience.
• The EV manufacturers are using varied standards for charging EVs. The EV charging stations are not necessarily compatible with every EV charging voltage range. The unification of charging methods by providing a common socket or customized sockets on a single system on electric vehicle charger systems for convenience provide opportunities for market expansion of EVs.

Get Free Sample Report

Scope of Electric Vehicle Charging System Market Report

The global electric vehicle charging system market research report includes an assessment of the market trends, market segments, and regional markets. Overview and dynamics have also been included in the report.

Electric Vehicle Charging System Market Segment Insights

Based on the product, the electric vehicle charging system market is divided into residential charging systems and commercial charging systems.The commercial charging systems segment is expected to expand at a significant growth rate during the projection period as a consequence of the readiness of commercial establishments to adopt EV charging systems at their premises and bear the cost of maintenance afterward. The commercial sector intends to provide locational convenience and feasibility to consumers by providing readily accessible charging options to its users at their premises.

In terms of connector type, the global market is segmented into CHADeMO, SAE combo charging system, supercharger, GB/T0. The SAE combo charging segment is anticipated to dominate the market through the projection period as it is easily available, convenient to use, and installed easily. In major economies, almost every other EV can be charged through the SAE combo charging system. The growing acceptance of the SAE combo charging system by EV customers is likely to drive segment growth significantly.

Get Free Sample Report

Based on application, the global market is divided into public and private. The public segment is projected to register a considerable CAGR during the forecast period as a result of growing sales of electric vehicle charging systems at multi-unit residential complexes, commercial establishments, and public parking spaces. It is estimated that the installers appointed by the EV original manufacturers and dealers are likely to serve as an important channel for providing the systems.

On the basis of vehicle type, the electric vehicle charging system market is segmented into passenger car, light commercial vehicle, medium & heavy commercial vehicle. The medium & heavy commercial vehicle segment is expected to register a robust growth rate during the forecast period owing to the significant rise in the adoption of EVs in the transport sector. The high investment and technological advancements by electric vehicle industry players to provide standardized and uniform charging systems to EV owners are likely to further elevate the growth of the segment.

Get Free Sample Report

In terms of mode of charging type, the electric vehicle charging system market is bifurcated into plug-in charging system and wireless charging system. The wireless charging system is anticipated to register considerable growth during the projection period owing to the convenience and feasibility it provides to EV owners. The growth of this segment is further attributed to the increase in the manufacturing of wireless charging systems with enhanced power transfer rates and a reduction in energy loss during the charging of the vehicle.

On the basis of charging power type, the electric vehicle charging system market is segmented into less than 100 kW, 100-200 kW, and greater than 200 kW. The less than 100 kW segment is anticipated to register a robust compound annual growth rate during the forecast period owing to the high acceptance rate of electric vehicles in the transport sector to avail incentives for carbon-free transportation and growing electric charging requirements of less than 100 kW charging systems. The segment growth is further fueled by factors including the increased preference given to EV charging systems for feasibility and convenience.

Based on vehicle pads, the electric vehicle charging system market is bifurcated into base pads and vehicle pads. The vehicle pads segment is expected to register considerable growth during the projection period as a result of its feasibility to be fitted in the existing fleet of private and commercial electric vehicles. The transporters and shared mobility providers are increasingly putting up efforts to modify the vehicle fleet by integrating vehicle pads to check the feasibility of retrofitting charging systems.

On the basis of technology, the electric vehicle charging system market is segmented into CWEVCS (Capacitive Wireless EV Charging Systems), PMWEVCS (Permanent Magnet Gear Wireless EV Charging Systems), IWEVCS (Inductive Wireless EV Charging Systems), and RIWEVCS (Resonant Inductive Wireless EV Charging Systems). The IWEVCS (Inductive Wireless EV Charging Systems) segment is projected to register substantial growth during the forecast period owing to the efficacy and enhanced performance of IWEVCS technology as primary and secondary coils in the charging system are closely coupled.

The growth of the segment is also attributed to high power transfer from the system to the vehicle because of the low heat generation during the charging of the vehicle. The loss of power is significantly low as heat buildup and by extension power loss is low.

Get Free Sample Report

In terms of distribution channel, the electric vehicle charging system market is bifurcated into aftermarket and original equipment manufacturers. The original equipment manufacturer segment is projected to register substantial growth during the forecast period. The segment growth is owing to the capability of OEMs to produce a relatively large number of charging systems. The OEMs have the existing infrastructure in place to build charging systems to support the EV expansion.

Regional Analysis of Global Electric Vehicle Charging System Market

In terms of region, the global electric vehicle charging system market is classified as Asia Pacific, North America, Latin America, Europe, and Middle East & Africa. North America is expected to dominate the market during the projection period as a consequence of accelerated EV adoption and supportive government policies. The market growth in the region is further credited to rising consumer interest in EVs and the growing focus of investors in developing efficient and robust electric vehicle charging systems.

Europe is projected to grow at a rapid pace in the EV charging system market as a result of growing concerns about the disruptions in supply chain dynamics of fossil fuels resulting from the Russia-Ukraine geopolitical crisis and increasing reliance on alternative energy resources for transportation.