Global Electric Two-Wheeler Market - Growth, Trends, and Forecast to 2028

The global electric two wheeler market is experiencing significant growth, driven by the rising cost of fuel, the desire for more efficient transportation solutions and the need to reduce carbon emissions, and declining battery prices in the global lithium ion battery market. Governments all around the world are enacting laws and implementing policies to encourage the usage of electric vehicles, which is also boosting the market's expansion.

Electric two wheelers are plug-in electric vehicles with power being supplied by a rechargeable battery (battery type varies, but lithium batteries are most preferred) which drives the electric motor propelling the vehicle forward. As they do not combust fossil fuels, they are considered zero-emission vehicles. 

Motorized two-wheelers are an affordable form of individual transportation which is overwhelmingly utilitarian due to low prices and greater fuel economy. With the recent disruptions due to environmental regulations, government incentives, and economic viability, the two-wheeler segment is set for a complete electric transformation. 

The global electric two-wheeler market consists of electric Scooters, electric motorcycles, and electric motorbikes. In the current scenario, e-scooters dominate the electric two-wheeler market globally. The growing demand for energy-efficient commuting, declining battery prices, and government supporting electric mobility through subsidies and tax rebates have compelled the two-wheeler OEMs to explore beyond the conventional internal combustion engine (ICE) in two-wheelers.

India is the largest two-wheeler market; electric two-wheelers sales have increased significantly from 1,453 units in 2015 to 6,15,365 units in FY 2022. Some of the major models are Ola S1, Ather 450x, Iqube S, etc. The Indian electric two-wheeler market is expected to grow exponentially because of the support in terms of government policy. 

For instance, the FAME II policy provides an incentive of INR 15000 per kW for electric two-wheelers. The Indian electric vehicle market responded positively to this move since it helps reduce models' prices by INR 7000-20000. Besides that, many individual state policies make it a very lucrative segment for OEMs.

Micromobility (transportation over short distances by lightweight vehicles) schemes for personal transport, such as electric bikes and electric scooters, are now seen as an alternative to forms of transport such as buses and railways. Many cities have redesigned urban space during the pandemic to shift away from private cars to suit these forms of e-mobility. For instance, building on a successful electric bike sharing scheme, Paris is regulating operators who have now deployed thousands of electric bikes and e-scooters and established 2,500 stations with 15,000 parking spots reserved for e-scooters.

Electric micromobility surged in the second half of 2020, one of the consumer trends that accelerated during the Covid-19 pandemic, further boosted by the construction of bike lanes and other measures to promote mobility. As of February 2021, around 650 cities have shared micromobility services. In Europe, electric scooter services have increased rapidly, with more than 100 cities adding operations since July 2020.

Several major operators are introducing swappable lithium batteries to improve operational efficiency and reduce emissions. Although swappable batteries increase the number of total batteries needed to support a fleet, they can significantly reduce operational emissions and enable a longer lifetime of vehicles.

The global electric scooter and electric motorcycle market are dominated by start-ups currently. However, conventional motorcycle giants are diving into the electric segment. For instance, Hero moto corporation, the world's largest two-wheeler manufacturer, is actively expanding its presence in the electric segment.

Lack of charging infrastructure is a significant restraint to global electric vehicle Market, and electric two wheelers are no exception. Though most manufacturers are switching to lithium-ion battery system from hitherto used sealed lead acid batteries (enhancing battery capacity) and started providing charging facilities of their own. However, they are not enough to beat range anxiety and make the charging process hassle-free. Other major restraints are 

• High initial cost of the vehicle
• Supply chain issues due to lack of battery market localization

Concerns over street clutter, access to charging, and space use can create opposition to micromobility schemes from political and business stakeholders. Precise locations for storage and charging and clear road and pavement access rights for e-bikes, e-scooters, and micromobility schemes can take advantage of these exciting new technologies without undermining support for them.

Opportunities

The emergence of new business models such as battery as a service, vehicle as a service, etc., opens up new revenue streams. The charging infrastructure, which is in a nascent stage, is a great area to explore and diversify the revenue streams.

• The micro-mobility trend is picking up pace in the urban centres for which electric two wheelers are a preferred choice due to low cost and convenience.
• Growing demand for electric two-wheelers in last-mile delivery and logistics sector: With the growing trend of e-commerce and home delivery, electric two-wheelers are becoming an increasingly popular mode of transportation for last-mile delivery and logistics. Automobile manufacturers can focus on this market and provide electric two-wheelers for this purpose.
• Focus on shared mobility: With the growing popularity of shared mobility services and the increasing adoption of electric two-wheelers, the market for shared electric two-wheelers is also increasing. Automobile manufacturers can focus on this market and provide shared electric two-wheelers to meet the growing demand.

Recent developments

• VoltUp, an electric vehicle startup based in Mumbai, made an announcement in January 2023 regarding its plans to deploy almost half a million high-speed electric two-wheelers within the next five years in order to expedite the transition to e-mobility.
• Taiwan's Gogoro and India's Belrise signed a non-binding agreement to invest USD 2.5 billion in Maharashtra state of India for battery swapping infrastructure.
• In Jan 2023, Omega Seiki Mobility (OSM), a subsidiary of the Anglian Omega Group, established a joint venture with iM3NY (a major participant in the US battery technology industry) in order to introduce battery cell technology to the Indian market
• Hero motocorp partnered with Gogoro Inc (a Taiwanese EV specialist with the world's largest battery-swapping network). This partnership will be critical for the propagation of charging technology and network. Hero also has a 38% stake in Ather Energy (Invested INR 84 Cr).
• Ampere Vehicles, a wholly-owned electric mobility subsidiary of Greaves Cotton Ltd., announces its partnership with Autovert Technologies, a Fintech specializing in EV subscription products. The collaboration led to a unique Battery subscription plan through an IoT-backed platform that will make electric scooters even more affordable.

The new report from Blackridge Research on Global Electric Two-Wheeler Market comprehensively analyses the Electric Two-Wheeler Market and provides deep insight into the current and future state of the industry.

The study examines the drivers, restraints, and regional trends influencing Global Electric Two-Wheeler Market demand and growth.

The report also addresses present and future market opportunities, market trends, developments, and the impact of Covid-19 on the Global Electric Two-Wheeler Market, important commercial developments, trends, regions, and segments poised for the fastest growth, competitive landscape, and market share of key players.

Further, the report will also provide Global Electric Two-Wheeler Market size, demand forecast, and growth rates.

What Do We Cover in the Report?

Global Electric Two-Wheeler Market Drivers & Restraints

The study covers all the major underlying forces that help the market develop and grow and the factors that constrain global market growth.

The report includes a meticulous analysis of each factor, explaining the relevant, qualitative information with supporting data.

Each factor's respective impact in the near, medium and long term will be covered using Harvey balls for visual communication of qualitative information and functions as a guide for you to analyze the degree of impact.

Global Electric Two-Wheeler Market Analysis

This report discusses the overview of the market, the latest updates, important commercial developments and structural trends, and government policies and regulations.

This section provides an assessment of COVID-19 impact on Global Electric Two Wheeler vehicle Market demand.

Global Electric Two-Wheeler Market Size and Demand Forecast

The report provides Global Electric Two-Wheeler Market size and demand forecast until 2028, including year-on-year (YoY) growth rates and CAGR.

Global Electric Two-Wheeler Market Industry Analysis

The report examines the critical elements of the Global Electric Two-Wheeler industry supply chain, its structure, and the participants

Using Porter's five forces framework, the report covers the assessment of the Global Electric Two-Wheeler industry's state of competition and profitability.

Global Electric Two-Wheeler Market Segmentation & Forecast

The report comprehensively analyses the electric two-wheeler market by segmenting it based on vehicle type (e-Scooter, e-Motorcycle, and e-Bike). A detailed summary of the current scenario, recent developments, and market outlook will be provided for each segment.

Further, market size and demand forecasts will be presented along with various drivers and barriers for individual market segments.

Effective market segmentation enables you to identify emerging trends and opportunities for long-term growth. Contact us for "bespoke" market segmentation to better align the research report with your requirements.

Regional Market Analysis

Our diligent research methodology covers detailed profiles of major countries across the world. Each country's analysis covers the current market scenario, market drivers, government policies & regulations, and market outlook.

In addition, region forecast for, market size, demand, and growth rates will be provided for all regions.

Following are the notable countries covered under each region.

North America - United States, Canada, Mexico, and the Rest of North America

Europe - Germany, France, United Kingdom (UK), Russia, and the Rest of Europe

Asia Pacific - China, India, Japan, South Korea, and the Rest of APAC

Rest of the world - Middle East, Brazil, Nigeria, South Africa, and other countries

Key Company Profiles

This report presents detailed profiles of Key companies in the Global Electric Two-Wheeler industry. Some of the major players include Hero Electric, Ather Energy, Ola Electric, Okinawa Autotech, Bajaj Auto Ltd, TVS Motor Co., etc. Generally, each company profile includes - an overview of the company, relevant products, upcoming electric bikes, and services, a financial overview, and recent developments.

Competitive Landscape

The report provides a comprehensive list of notable companies in the market, including mergers and acquisitions (M&As), joint ventures (JVs), partnerships, collaborations, and other business agreements.

The study also discusses the strategies adopted by leading players in the industry.

Executive Summary

Executive Summary will be jam-packed with charts, infographics, and forecasts. This chapter summarizes the findings of the report crisply and clearly.

The report begins with an Executive Summary chapter and ends with Conclusions and Recommendations.

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