Commercial Light EV Market Is Expected to Grow to Nearly $10 Billion in 2031
Key drivers for demand include growth of e-commerce, increasing urbanization, declining technology costs, and government incentives
A new report from Guidehouse Insights analyzes the global market for commercial light EVs (CLEVs), including the outlook for commercial e-bikes, e-cargo bikes, seated e-scooters, and e-motorcycles. Electric three-wheelers (E3Ws) are also included in the analysis of the Indian market.
The increasing demand for last mile and food delivery services and the need for nimble, emission-free modes of transportation with low operating costs are driving the CLEV market. According to a new report from Guidehouse Insights, the CLEV market is forecast to show steady growth in annual sales revenues, rising from $3.4 billion in 2022 to $9.9 billion in 2031, representing a compound annual growth rate (CAGR) of 12.7%.
“As the demand for delivery services increases, light duty commercial vehicles are increasing urban congestion and are further contributing to transportation emissions,” says Sagie Evbenata, senior research analyst with Guidehouse Insights. “In response, CLEVs are considerably lighter, have a smaller carbon footprint than conventional light goods vehicles, lower operating costs, and can carry cargo in addition to the driver, providing a compelling market opportunity for manufacturers and fleet operators for last mile deliveries.”
Increasing urbanization and congestion, combined with the proliferation of city access restrictions for ICE vehicles, is resulting in greater demand for CLEVs. Further increasing the demand, battery technology has advanced to help reduce prices and improve performance, resulting in CLEVs becoming an attractive proposition for applications such as transporting staff and goods on government fleets. Furthermore, police and military forces are seeing the benefits of CLEVs as agile and stealthy patrol vehicles, according to the report.
The report, Commercial Light EVs, analyzes the global potential for CLEVs and evaluates how the market for these technologies will evolve. The report features an overview of the various types of CLEV, current applications and an examination of the key drivers for future demand. Global market estimates through 2031 are included for unit sales and sales revenue generated by the major CLEV technologies including e-bikes, e-cargo bikes, seated e-scooters, e-motorcycles, and E3Ws. An executive summary of the report is available for free download on the Guidehouse Insights website.
*The information contained in this press release concerning the report, Commercial Light EVs, is a summary and reflects the current expectations of Guidehouse Insights based on market data and trend analysis. Market predictions and expectations are inherently uncertain and actual results may differ materially from those contained in this press release or the report. Please refer to the full report for a complete understanding of the assumptions underlying the report’s conclusions and the methodologies used to create the report. Neither Guidehouse Insights nor Guidehouse undertakes any obligation to update any of the information contained in this press release or the report.