Global EV market to reach $2,108 billion by 2033: Report
What's the story
According to a report by Axis Securities, the global electric vehicle (EV) market is all set to experience some serious growth over the next decade.
The study predicts that the market will jump from its value of $255 billion in 2023, to a whopping $2,108 billion by 2033.
This surge represents a compound annual growth rate (CAGR) of 23% from 2024 through 2033.
Market expansion
India's EV market to hit 10 million units by 2033
The report predicts a big boom in India's EV market, anticipating it will hit 10 million units a year by 2033. That's a massive jump from the 1.7 million units seen in FY24.
What's fueling this change? Well, it's a mix of supportive government policies, fresh product rollouts, falling bill of materials (BoM) costs, and swift tech progress.
EV adoption
India to lead EV revolution across key vehicle segments
India is all set to be the trailblazer in the EV scene over the next decade.
The report forecasts a big jump in adoption across key vehicle types, like three-wheelers (3W), two-wheelers (2W), electric buses, and passenger cars.
As the charging stations and other infrastructure get better and the prices of these models get more wallet-friendly, these sectors are only going to get bigger.
Funding allocation
Government subsidies and funds for EVs
To give a real push to the adoption of EVs, the government has set aside ₹10,900 crore in subsidies for the next two years.
This scheme is aimed at supporting the sale of 24.79 lakh e-2Ws, 3.16 lakh e-3Ws, and 14,028 e-buses.
Each electric two-wheeler will get a subsidy of ₹10,000, while electric three-wheelers will receive ₹50,000 until March 2025.
EV incentives
Incentives for electric trucks and ambulances
The government has earmarked ₹500 crore to boost the adoption of electric trucks, with incentives linked to scrappage certificates from authorized scrapping centers.
Also, another ₹500 crore has been allocated for rolling out e-ambulances, hybrids included. This highlights the government's commitment to modernizing emergency services across the country.
Charging infrastructure
Government commits ₹2,000 crore for EV charging stations
To tackle the challenge of a sturdy charging network, the government has committed a whopping ₹2,000 crore to establish public charging stations for EVs all over India.
This budget will facilitate the setup of 22,100 fast chargers for electric four-wheelers, 1,800 chargers for electric buses, and 48,400 chargers for electric two-wheelers and three-wheelers.