Electric Sports Utility Vehicle (E-Suv) Market Size to grow by USD 181101.3 million between 2024-2028
According to a research report “ Electric Sports Utility Vehicle (E-Suv) Market” by Propulsion (Battery electric vehicle, Hybrid vehicle) Type (Small and medium size, Large size) Geography (APAC, North America, Europe, South America, Middle East and Africa)- Global Forecast to 2028 published by Technavio, the market size is estimated to grow by USD 181101.3 million, at a CAGR of 35.85% during the forecast period. The electric vehicle (EV) market experienced substantial growth in 2021, with global deliveries surpassing 7 million units, a year-on-year increase. Notably, battery electric vehicles (BEVs) accounted for over 60% of these sales, with China leading the way in terms of volume. In Europe and the US, BEV sales also saw significant gains, contributing to the global growth trend. The last five years have witnessed a remarkable increase in BEV sales, with China, Europe, and the US being the top markets..
Browse market data tables, figures, and in-depth TOC on “Electric Sports Utility Vehicle (E-Suv) Market” by Propulsion (Battery electric vehicle, Hybrid vehicle) Type (Small and medium size, Large size) Geography (APAC, North America, Europe, South America, Middle East and Africa) Global Forecast to 2028. Download Free Sample
By Propulsion, the Battery electric vehicle segment is projected to dominate the market size in 2024
The electric sports utility vehicle (e-SUV) market's BEV segment has experienced significant growth due to increasing consumer preference for eco-friendly, efficient, and cost-effective alternatives to traditional gasoline-powered SUVs. This trend is driven by various factors, including government incentives such as tax breaks, rebate programs, and infrastructure development. In the United States, for example, the Internal Revenue Code Section 30D offers a tax credit of up to USD7,500 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, extending it for vehicles purchased between 2023 and 2032. These incentives have significantly boosted the adoption of e-SUVs, making them an attractive investment for both consumers and businesses.
By Type, Small and medium size segment is expected to hold the largest market size for the year 2024
The small and medium-sized electric SUV (e-SUV) market is poised for significant expansion during the forecast period. This growth can be attributed to the increasing consumer preference for more sustainable and efficient transportation solutions, without sacrificing style, space, or performance. The segment's popularity is driven by environmental concerns, technological advancements, and government incentives. The rise of e-SUVs in this size bracket is also fueled by their growing affordability and practicality, making them increasingly attractive alternatives to traditional small and medium-sized sedans. The last five years have seen a surge in demand for SUVs due to their versatility and appeal to consumers seeking more practical and spacious vehicles.
APAC is forecasted to hold the largest market size by region in 2024
The Electric Sports Utility Vehicle (E-SUV) market represents a significant growth opportunity for automotive businesses. With increasing consumer awareness towards sustainable transportation and government initiatives to reduce carbon emissions, the demand for eco-friendly E-SUVs is surging. Market projections indicate a compound annual growth rate of 20% from 2021 to 2026. Leading players in the sector are investing heavily in research and development to launch innovative, high-performance E-SUV models, further fueling market expansion.
The Electric Sports Utility Vehicle (E-Suv) Market growth and forecasting report also includes detailed analyses of the competitive landscape of the market growth and forecasting and information about 20 market companies, including:
.
For insights on company offerings- Request a sample report!
Research Analysis Overview
The Electric Sports Utility Vehicle (E-SUV) market is experiencing significant growth as automakers shift their focus towards fuelefficient mobility solutions and environmental awareness. The market can be segmented into Full-size, Midsize, and Compact segments. The body and chassis of E-SUVs are designed to provide the same utility as their gasoline-powered counterparts, while offering zero-emission capabilities. Key players in the market include Mercedes-Benz, which has announced plans to launch an E-SUV with an LFP (Lithium Iron Phosphate) battery. Charging infrastructure is a crucial factor in the adoption of E-SUVs, and the Department of Energy (DOE) is investing in research to reduce the cost of lithium-ion batteries and lithiumsulfur batteries through its electrification strategy. R&D operations are ongoing to improve the performance of motors and batteries, and supply chain disruptions are being addressed to ensure a steady flow of components. Hybrid SUVs with combustion fuel engines and electric motors are also gaining popularity. Four-wheel and all-wheel drive E-SUVs are available, offering the same driving experience as gasoline-powered vehicles. The future of the E-SUV market looks promising, with continued innovation and advancements in technology.
Market Research Overview
The Electric Sports Utility Vehicle (E-SUV) market is witnessing significant growth with major players like Tesla, Kia Corporation, BMW Group, Lotus Cars, Mercedes-Benz, and Tata Motors leading the charge. Tesla's Model X and Kia Corporation's Eletre are popular choices in the Full-size segment, while BMW Group's iX3 and Mercedes-Benz's EQC lead in the Midsize segment. Compact E-SUVs like Lotus Cars' upcoming model and Tesla's Model Y are also gaining popularity. E-SUVs use advanced electronics, including FAME system for powertrain and chassis control, and lithium-ion batteries for power storage. Companies are focusing on reducing battery costs through R&D operations and supply chain optimizations. Tesla is exploring lithiumsulfur batteries, while BMW Group and Mercedes-Benz are using LFP batteries. Charging infrastructure is a critical factor in the E-SUV market. Companies are investing in charging solutions to address range anxiety. The DOE is supporting the electrification strategy by funding research on fuel-efficient mobility solutions, including motors and batteries. Gasoline-powered vehicles face increasing competition from zero-emission E-SUVs, with features like accelerating performance, regenerative braking, and speed optimization offering better driving experiences. Hybrid SUVs and combustion fuel engine SUVs are also adapting to electric powertrains to meet environmental awareness and fuel efficiency standards. Tata Motors is a key player in the electric vehicle ecosystem, focusing on the Indian market, where demand for fuel-efficient mobility solutions is high. The E-SUV market is expected to continue growing as consumers seek sustainable, high-performance vehicles.
Contacts
Technavio Research
Jesse Maida
Media & Marketing Executive
US: +1 844 364 1100
UK: +44 203 893 3200
Email: media@technavio.com
Website: www.technavio.com/
