Global electrified car market to boom to 69.3 million units by 2028: Report

With every passing month, the electrified car market around the world is expanding rapidly. Lower cost of ownership, rising fossil fuel prices, growing awareness about global warming, tightening emission norms, several governments imposing strict deadlines for phasing out ICE vehicles are igniting the demand for electric vehicles. The electrified car market around the world is expected to grow to 69.3 million units by 2028, claims a report by ResearchAndMarkets.

The electrified car market will grow at a CAGR of 36.2 per cent between 2021 and 2028, claims the report. It also forecasts that the market size will reach $1.9 trillion by 2028, growing at an annual rate of 37.1 per cent. Electrified cars comprise battery electric vehicles, different types of hybrid vehicles and fuel cell vehicles as well.

The research also states that the growth projection is based on supportive government policies, increasing investments in zero-emission vehicles by the OEMs. Rising environmental concerns and decreasing battery prices too are aiding the growth of electrified cars around the world.

While among all electrified vehicles, battery electric vehicles still draw the most attention with the maximum number of sales and investment, fuel cell vehicles are expected to witness a massive surge in demand in the coming days, claims the study.

The battery-electric powered car market is currently segmented in terms of battery capacity - less than 100 kWh and 100 kWh-250 kWh. Currently, the less than 100 kWh battery segment sees most of the sales. However, during the 2021-2028 period, the 100-250 kWh battery segment is projected to see substantial growth in demand.

This could be because of the slumping battery price and EVs becoming more affordable. The increasing number of incentives by the governments around the world will aid this growth, while a surge in investment by the vehicle manufacturers and other stakeholders of the ecosystem too will help in the growth.

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