Electric scooters and motorcycles are vehicles that run on electric motors instead of traditional internal combustion engines. Here is a brief description of each:
Electric scooter: An electric scooter is a two-wheeled vehicle that is powered by an electric motor. They are designed for short trips and are popular in urban areas. Electric scooters are often used for commuting or running errands and are an environmentally friendly alternative to gas-powered scooters.
Electric motorcycle: An electric motorcycle is a two-wheeled vehicle that is powered by an electric motor. Electric motorcycles are designed for longer trips and higher speeds than electric scooters. They can be used for commuting, touring, or recreational riding. Like electric scooters, electric motorcycles are an environmentally friendly alternative to gas-powered motorcycles.
Both electric scooters and motorcycles have become increasingly popular in recent years as people look for more environmentally friendly transportation options. They offer several benefits over traditional gas-powered vehicles, including lower operating costs, reduced emissions, and quieter operation.
The Global Electric Scooter and Motorcycle Market by value was 24.75 billion USD in 2022. It is projected to reach 88.11 billion USD by 2030 with a CAGR of 32.4% in the forecast period of 2023-2030. There are several drivers for the electric scooter and motorcycle market:
Environmental concerns: As people become more aware of the impact of climate change, they are looking for greener transportation options. Electric scooters and motorcycles offer a more environmentally friendly alternative to gas-powered vehicles.
Rising fuel prices: With fuel prices on the rise, electric scooters, and motorcycles offer a cost-effective alternative. They have lower operating costs than gas-powered vehicles and can help people save money on fuel.
Urbanization: With more people living in urban areas, electric scooters, and motorcycles are becoming popular transportation options. They are easier to maneuver in congested cities and can help people avoid traffic jams and long commutes.
Government incentives: Many governments are offering incentives for people to switch to electric vehicles, including electric scooters and motorcycles. These incentives can include tax credits, rebates, and other financial incentives.
Technological advancements: As technology improves, electric scooters and motorcycles are becoming more efficient, reliable, and affordable. Battery technology, in particular, is improving, which is increasing the range and performance of electric vehicles.
Key market players in the global Electric scooters and motorcycles market are Hero Electric (India), Vmoto Limited (Australia), The Electrotherm, Group, Inc. (India), Jiangsu Xinri E-Vehicle Co., Ltd. (China), Energica, Motor Company (Italy), Piaggio & C. SpA (Italy), Niu International. (US), Mahindra & Mahindra Ltd (India), H-D, AIMA TECHNOLOGY CO., LTD (China), Avan Motors India (India), Cezeta (Prague), Dongguan Tailing Electric Vehicle Co., Ltd (China), GOVECS AG (Germany), Gogoro Inc. (Taiwan), Johammer e-mobility GmbH (Austria), Zhejiang Luyuan Electric Vehicle Co.,Ltd. (China), Zero Motorcycles, Inc. (US), Okinawa Autotech Pvt. Ltd (India), Shandong Incalcu Electric Vehicle Co., Ltd (China), and Emflux Motors (India).
In order to increase its production capacity to 4 million electric two-wheelers annually by 2026, Hero Electric Ltd. announced in November 2022 that it will invest INR 2600 crore (USD 312 million), including the establishment of a manufacturing plant in the Indian state of Rajasthan.
Okinawa Autotech debuted its brand-new R30 electric scooter in August 2020. With a 25 km/h speed limit, the scooter travels at low speeds.
Due to China's increasing production and uptake of electric scooters and motorcycles, the electric scooter industry analysis projects that Asia Pacific will dominate the global market for electric motorbikes and scooters in terms of volume. In nations like China, Japan, India, and Taiwan, the demand for electric motorbikes and scooters is anticipated to increase due to the implementation of strict rules to reduce carbon emissions and the availability of government subsidies to purchase electric vehicles.
Since Europe is predicted to be the second-largest market throughout the projected period, it offers a substantial opportunity for growth in the electric motorcycle and scooter industries. The development of electric scooters and motorcycles by European two-wheeler manufacturers in response to growing concerns about the carbon emissions produced by conventional ICE two-wheelers and the effectiveness of this mode of transportation has fueled the growth of the electric scooter and motorcycle market.
The electric scooter and motorcycle market can be segmented based on various factors. Here are some common segments and their growth prospects:
Vehicle type: The market can be segmented by vehicle types, such as electric scooters and electric motorcycles. The electric scooter segment is expected to grow at a faster rate than the electric motorcycle segment due to its lower cost, smaller size, and ease of use.
Battery type: The market can be segmented by battery types, such as lead-acid, lithium-ion, and others. The lithium-ion battery segment is expected to grow at a faster rate than the lead-acid battery segment due to its higher energy density, longer lifespan, and faster charging times.
End-use application: The market can be segmented by end-use applications, such as personal use and commercial use. The commercial use segment is expected to grow at a faster rate due to the increasing use of electric scooters and motorcycles for last-mile deliveries, ride-sharing, and rental services.
The electric scooter and motorcycle market is growing rapidly due to several factors, including environmental concerns, rising fuel prices, and technological advancements. The market can be segmented based on vehicle type, battery type, end-use application, and region, with the Asia Pacific region expected to dominate due to the increasing demand for electric scooters and motorcycles in countries like China, India, and Vietnam. The market is expected to continue to grow in the coming years, driven by the increasing availability of charging infrastructure, improving battery technology, and government incentives for the adoption of electric vehicles. As people become more environmentally conscious and seek out more cost-effective transportation options, electric scooters and motorcycles are likely to become an increasingly popular choices.