China is considered the largest market for electric vehicles in the Asia Pacific. By the forecasted period, China is to witness growth in the adoption of electric buses, as over 30 Chinese cities have made plans to achieve 100% electrified public transport by 2020. According to the report titled, ‘Asia Pacific Electric Vehicle Market Outlook, 2025‘ by Actual Market Research, the region grew as the highest contributor with over 50% of the global market since 2017 and is expected to the same through the forecasted period. The region’s electric vehicle market is likely to grow over a value CAGR of 28% and cross USD 200 Billion by the end of the forecasted period. The South Korean government aims to become more self-sufficient and competitive in the green car market and less reliant on China, where most of the components are made.
China and Japan had 150000 and 40000 charging stations respectively, other countries in the region are far behind as far as charging stations are concerned. The region has a high dominance of the normal or the slow charging station, holding a share of approximately 60% in the year 2019. The lack of a reliable public charging infrastructure limits drivers with access to a dedicated parking spot. Public DC fast chargers are required to meet charging demand from the region that do not have access to dedicated Level 2 charging at home or the workplace.
BEVs are highly demanded across the region owing to the cost-effectiveness of the vehicles, and the segment is expected to grow at a value CAGR over 25% during the forecast period. PHEV sale is slow in Asian countries because of the huge initial investments as the vehicle supports both plug-in electric energy and fuel-based electrical energy input. The integrated mobility and ride-sharing services are improving the acceptance of electric vehicles in this region. The market is to incline towards the commercial vehicles with the volume share increasing to nearly 10% by the end of the forecasted period and reaching a value of less than USD 25 Billion.
Toyota Motor Corporation, Mercedes-Benz, BMW, Hyundai, Nissan, and Kia are the most prominent players in the high-performance electric vehicles market. Owing to the increasing sales of plug-in hybrid vehicles in the Asia-Pacific region, especially in China, Toyota planned to introduce more plug-in-hybrid versions of the existing vehicle models. General Motors’ joint venture with SAIC is likely to be the manufacturing plant for plug-in-hybrid vehicles in the region.
The manufacturers such as Mercedes-Benz, Volvo, BMW, Volkswagen, Ford, Mitsubishi,etc have already launched the plug-in-hybrid versions of the existing conventional vehicle models, which registered a considerable portion of the sales of the overall plug-in vehicle sales. China is the largest manufacturer of plug-in hybrid vehicles in the region. The country is also the largest market for these vehicles, with manufacturers, such as BYD, SAIC, and BAIC, leading the market.