Industrial and Commercial Electric Vehicle Segments to Account For 50% of Total Plug-In Market From 2013-2023
A brand new report out of IDTechEx shows great promise for the EV industry. In a report published on Four Traders, IDTechEX makes a strong case for EV’s, but mostly those in the commercial sector.
The report explains why IDTechX thinks that 50% of the EV business will be commercial/industrial sales. Additionally, IDTechX contends that 35% market share will be in the private sector, and the remaining 15% will be military purchases.
As IDTechX sees it, commercial vehicles will succeed exactly because purchasing departments will see the long term cost benefit, whereas consumers will not see the savings over the long haul. “Upfront cost” weighs heavily for consumers, but not so much for commercial operators.
Within the commercial vehicle segment, several classes of vehicles exist and with that, varying degrees of assumed market growth over the next decade. For example, the commercial bus industry will most likely see the strongest growth, in part because the Chinese government has pushed the industry hard in that direction.
They also see growth in other EV’s, such as delivery vans, taxi’s, golf carts and forklifts, among others.
Conversely, Dr Peter Harrop, Chairman of IDTechEx stated,
“Manufacturers of industrial and commercial electric vehicles and their parts/services tend to be profitable whereas those making personal electric bikes and cars report most losses and bankruptcies.”
I look forward to the day when the busy city streets of our country become a little more quiet, and a lot more efficient. While this won’t happen overnight, I do see a lot of promise on the horizon.
Source: 4 Traders