The Global Battery Swapping Charging Infrastructure Market size is expected to reach $542.6 million by 2028, rising at a market growth of 21.6 % CAGR during the forecast period.
An electric vehicle is powered by an electrical motor and differs from a combustion engine. That produces the power by combusting a mixture of gases and fuel. That’s why such vehicles are seen as the permanent replacement for the current generation vehicles, to save the environment from rising pollution, depleting natural resources, global warming, etc. Although the idea of electric vehicles has existed for a long time, it got its attention in the last decade due to the increasing carbon emission and various other environmental impacts of combustion engine vehicles.
Electric vehicles have lower running costs when compared to diesel or petrol cars. Electric vehicles are more efficient, and users have to only pay for the electricity they use for charging. And if renewable energy sources are used to charge the car, then EVs will become eco-friendlier. Acid, nickel, or lead metal hydride batteries are commonly used for electric vehicles. However, now the trend is shifting towards lithium-ion batteries due to their longer life span and better energy retention. Electric cars have low maintenance costs because they have fewer running parts and are also exceptionally eco-friendly as they use no or minimal fossil fuels.
There are two primary types of electric vehicles (EVs); fully electric and plug-in hybrids. Compared to an internal combustion engine, rechargeable batteries have 99% fewer running parts requiring maintenance. EVs create less noise and have no exhaust, spark plug, or gears. Hybrid electric vehicles operate on a mixture of battery and petrol (or diesel). These vehicles are ideal for long distances due to the benefit of switching to traditional fuels whenever needed.
Due to the impact of COVID-19, the automotive industry suffered huge losses as the demand for old and new vehicles decreased. The pandemic also hampered new vehicle production, further declining the whole automotive industry. COVID-19 has interrupted the potential supply chain of EVs and their batteries while weakening the investment. Due to the lockdown, EV manufacturers were forced to stop producing and holding their units. But it is also predicted that COVID-19 could also fasten up beneficial trends for battery swapping charging infrastructure market. Like there is an increase in electrification, which is believed to increase the sales of two and three-wheel vehicles. There was an increase in the EV market after the pandemic due to the realization by the people of the importance of conversing with the environment. Therefore, the battery-swapping charging infrastructure is expected to rise.
Due to their efficiency and eco-friendliness, the popularity of electric vehicles has increased significantly over the years. Moreover, the rise in the demand for minimum fuel consumption and maximum vehicle efficiency has also consistently led to advancements in electric vehicle technology. The need for EVs is also rising in developing countries due to the rise in the cost of fuel, together with strict governmental regulations to control carbon dioxide emissions. An EV can be described as a computer on wheels and, for that, the complete redesigning of the car’s internal architecture.
As a part of the measures to boost the shift towards the wide use of electric vehicles (EVs), the government is creating a comprehensive plan to build the necessary battery charging and swapping infrastructure along the highways. In addition, schemes like Faster Adoption and Manufacturing of Hybrid & Electric Vehicles by the government promote the adoption of electric/hybrid vehicles (xEVs) and numerous other schemes which provide incentives to the buyers, which helps in the cost reduction of EVs.
Large stocks of isolated and secure batteries are required to streamline battery swapping. Therefore, more batteries should be in the market than the total EVs. It is also advised to the customers to keep fully charged batteries ready to swap with them all the time. Swapping companies usually keep four fully charged batteries with themselves, and some big companies like Sun Mobility stations keep up to 15 batteries. However, with the increasing number of EVs on the road, these numbers will no longer be able to meet the requirement.
On the basis of Service Type, the Battery Swapping Charging Infrastructure Market is divided into Pay-per-use and Subscription. The Subscription segment recorded a significant revenue share in Battery swapping charging infrastructure market in 2021. It is because the subscription-based model allows the user to opt for the best technology for the best price, it is also time-saving. A better battery-swapping infrastructure will enable users to access finance with the shared responsibility of assets like original equipment manufacturers and battery service providers.
Based on the Vehicle Type, the Battery Swapping Charging Infrastructure Market is segmented into Two-Wheeler, Three-Wheeler, Passenger Vehicle and Commercial Vehicle. The commercial vehicle segment recorded a promising growth rate in Battery swapping charging infrastructure market in 2021. Due to factors like the growing demand for eco-friendlier means of transportation and the government supporting zero emission for commercial electric vehicles, including trucks, buses, vans, and pickups, tax rebates & subsidies are also motivating manufacturers to build more and advanced ECVs.
| Report Attribute | Details |
|---|---|
| Market size value in 2021 | USD 143.4 Million |
| Market size forecast in 2028 | USD 542.6 Million |
| Base Year | 2021 |
| Historical Period | 2018 to 2020 |
| Forecast Period | 2022 to 2028 |
| Revenue Growth Rate | CAGR of 21.6% from 2022 to 2028 |
| Number of Pages | 167 |
| Number of Tables | 259 |
| Report coverage | Market Trends, Revenue Estimation and Forecast, Segmentation Analysis, Regional and Country Breakdown, Companies Strategic Developments, Company Profiling |
| Segments covered | Service Type, Vehicle Type, Region |
| Country scope | US, Canada, Mexico, Germany, UK, France, Russia, Spain, Italy, China, Japan, India, South Korea, Singapore, Malaysia, Brazil, Argentina, UAE, Saudi Arabia, South Africa, Nigeria |
| Growth Drivers |
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| Restraints |
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Region-wise, the Battery Swapping Charging Infrastructure Market is analyzed across North America, Europe, Asia Pacific, and LAMEA. The Asia Pacific region acquired the largest revenue share in the battery-swapping charging infrastructure market in 2021. Due to the various government initiatives, the market is growing in the Asia Pacific region. The battery-swapping technology is viable partly due to the increasing adoption of EVs in the area. China is leading the marketing, with India is making significant advancements in the industry with government-led initiatives.
Free Valuable Insights: Global Battery Swapping Charging Infrastructure Market size to reach USD 542.6 Million by 2028
The market research report covers the analysis of key stake holders of the market. Key companies profiled in the report include Nio, Inc., Gogoro, Inc., Tesla, Inc., SUN Mobility Technology Center, BYD Company Ltd., BattSwap, Ltd., Kwang Yang Motor Company Ltd., Panasonic Corporation and Lithion Power Pvt. Ltd.
By Service Type
By Vehicle Type
By Geography
The global Battery Swapping Charging Infrastructure Market size is expected to reach $542.6 million by 2028.
Rising orders for electric vehicles are driving the market in coming years, however, Availability and maintenance of batteries restraints the growth of the market.
Nio, Inc., Gogoro, Inc., Tesla, Inc., SUN Mobility Technology Center, BYD Company Ltd., BattSwap, Ltd., Kwang Yang Motor Company Ltd., Panasonic Corporation and Lithion Power Pvt. Ltd.
The Pay-per-use market is leading the segment in the Global Battery Swapping Charging Infrastructure Market by Service Type in 2021; thereby, achieving a market value of $362.9 million by 2028.
The Asia Pacific market dominated the Global Battery Swapping Charging Infrastructure Market by Region in 2021; thereby, achieving a market value of $223.2 million by 2028.
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