The U.S. electric mobility industry was worth USD 28.5 billion in 2020 and is predicted to rise 19.8% from 2021 to 2028. The rising carbon emissions from conventional fuel-based automobiles have worried governments. Smart city sustainability is a major driver of eco-friendly and affordable transportation. Electric scooters emit no carbon or gases since they use batteries. This method is gaining popularity among eco-conscious commuters. Due to decreased automobile sales and lower new needs in the first half of 2020, the pandemic has hurt the electric mobility market.
Greenhouse gas emissions have prompted climate change measures
However, rising greenhouse gas emissions have prompted climate change measures, allowing politicians to prioritize electric cars. The climate change action plan reduces transportation emissions by embracing sustainable and eco-friendly transportation options including public transit and electric automobiles. The COVID-19 epidemic has slowed the growth. In the first half of 2020, global lockdowns and restrictions caused the temporary closure of many manufacturing sites and supply chain entities in North America.
The wide product range is likely to attract more end-users
Increased demand for electric vehicles will need significant carmaker investments to shape the electric mobility sector. General Motors, BMW, Nissan, Ford, Volkswagen of America, Inc., and Tesla have huge electric car R&D spending. OEMs are offering electric cars in several segments, including Tesla Model 3 and Nissan Leaf. In January 2018, Ford announced a USD 11 billion investment in electric cars by 2022. By 2025, the industry will provide 50 electric cars, 24 of which will be PHEVs and 16 entirely electric. The wide product range is likely to attract many end-users and boost electric car, scooter, motorbike, and bicycle sales.
Renewable energy to power charging stations
Solar panels and electric charging stations charge electric automobiles. The electric car charging business offers automakers a major opportunity to use renewable energy to power charging stations. Solar panels are easy to install and cheap, making solar-powered charging stations a realistic choice for business development along with households switching to electric automobiles.
Ten solar panels can fuel an electric vehicle for 21,000 miles per year
Shopping malls, residential buildings, theater parks, convention centers, complexes, and other institutions can install electric car charging stations. Ten solar panels can fuel an electric vehicle for 21,000 miles per year. Due to advances in solar panel designs and inventions, firms are building solar-powered charging stations to reduce transportation sector fossil fuel use.
The U.S. government’s zero-emission regulations
The U.S. government’s zero-emission regulations help close the carbon emission gap. Regional and national governments have proposed many measures to increase electric car adoption by offering manufacturers and customer rewards. In the U.S., the Corporate Average Fuel Economy (CAFÉ) requirements include many laws to promote energy-efficient cars and minimize fossil fuel use.
Products Insights
The electric car sector had 80.8% of the market in 2020. Electric car usage is rising faster than skateboards, bicycles, and wheelchairs, driving category growth.
Over the projection period, electric motorbike sales will grow 29.5%. By offering tax breaks on electric two-wheelers, the U.S. government and regulatory organizations hope to increase the electric mobility sector. Many firms have invested in the e-motorcycle market, which is likely to boost the electric motorbike segment and U.S. electric mobility. In July 2019, Harley-Davidson introduced Livewire, their first electric motorbike.
Battery Insights
Market segments include sealed lead acid, Li-ion, and NiMH batteries. Li-Ion batteries led the market in 2020 with a 55.8% share. Li-Ion batteries are in demand due to their environmental and performance benefits over NiMH and sealed lead-acid batteries. The estimate expects Li-Ion battery performance to make it a global mainstream battery technology for electric cars. In the future years, low-cost cathode composition will lower Li-Ion battery prices, lowering electric car costs.
Forecasted growth for the NiMH battery category is 19.9%. NiMH batteries work for 500 cycles before needing replacement. They last longer than lead-acid batteries and are lighter. As NiMH batteries degrade less and age faster, their market share will expand. Research is also underway to lower NiMH battery production costs by USD 150 per kilowatt per hour and increase energy density.
Voltage Insights
Voltage divides the market into 24V, 36V, 48V, and above. The 24V category generated 37.9% of 2020 revenue. These batteries are compatible with electric cars and provide more power, which could boost category growth during the projection period. However, rising customer demand for automobiles with long battery ranges to prevent frequent charging is projected to drive 48V battery category growth.
The 48V category will grow by 21.2% from 2021 to 2028. Scooters with 48V have improved efficiency, reduced energy consumption, and shown superior vehicle power. At affordable prices, these voltage systems cut CO2 emissions. These systems also have air conditioning compressors and turbochargers, which are difficult to install in 12V or 24V systems. High-voltage electric scooters will be in demand to reduce carbon footprint.
Market share insights for key companies
Accell Group, Airwheel Holding Limited, Derby Cycle, HARLEY-DAVIDSON, Honda Motor Co. Ltd., Invacare Corporation, Lohia Auto Industries, and Ninebot Ltd. are major players. Strategic partnerships, collaborations, and mergers and acquisitions are their focus. In December 2020, Harley-Davidson partnered with Hero MotoCorp, the leading two-wheeler manufacturer. The alliance sought to create a premium bike range spanning categories and engine sizes. The Dutch hotel group Fletcher Hotels ordered Sparta electric bikes from Accell Group in April 2019.
Market participants also focus on new product launches and cooperative partnerships to boost their position. In July 2020, Invacare Corporation introduced SMOOV One, a power assist solution. Users may enhance mobility and range while minimizing driving shoulder stress with SMOOV one. Lightning Motorcycles introduced the Lightning Strike, an electric motorbike with a 150-mile range, 35-minute DC fast charging, and 150 mph peak speed, in January 2019. Major companies in the U.S. electric mobility market include the following:
- Lohia Car Manufacturing
- 9bot Ltd.
- HARLEY-DAVIDSON
- Honda Motor Co.
- The Invacare Corporation
- Accell Group
- Airwheel Limited
- Derby Cycle.
Segments at a glance
The Grand View Research has segmented the U.S. electric mobility market as under based on the components that include product, battery, and voltage:
Voltage Outlook (Revenue, USD Million, 2018 – 2028)
- 24V
- 36V
- 48V
- Greater than 48V.
Product Outlook (Revenue, USD Million, 2018 – 2028)
- Electric Scooter
- Electric Bicycle
- Electric Skateboard
- Electric Motorcycle
- Electric Car
- Electric Wheelchair.
Battery Outlook (Revenue, USD Million, 2018 – 2028)
- Sealed Lead Acid
- NiMH
- Li-ion.
Electric Scooter by Product Outlook (Revenue, USD Million, 2018 – 2028)
- Retro
- Standing/Self-Balancing
- Folding
Concluding Remarks
Youth adoption of electric vehicles, especially e-scooters, rapid urbanization, and rising buying power are likely to boost the U.S. electric mobility demand and market growth. Concerns about the transportation and automotive sectors’ fast expanding carbon footprint and greenhouse gasses are also prompting state and country regulatory authorities to develop energy-efficient vehicle rules.
