Published: February 2020 | Report Code: AT11834 | Available Format: PDF | Pages: 134
The e-bike market revenue stood at $14.4 billion in 2019, and the market is predicted to progress at a CAGR of 10.3% from 2020 to 2025, to generate $25.9 billion revenue by 2025. This is mainly attributed to the government subsidies and financial incentives for clean automobiles, strong environment protection and health concerns, and increasing problem of urban road congestion.
In volume terms, the fastest rise in the sales of e-bikes will be seen in North America till 2025, on account of the rising preference for these two-wheelers for short-distance traveling and off-road activities, such as mountain biking. Additionally, the procurement of e-bikes by the shared mobility companies in the continent is set to increase at a 27.2% value CAGR between 2020 and 2025.
A major trend being witnessed in the e-bike industry is the surging integration of smartphones into such vehicles. This provides rear views and offers real-time information about the battery status, speed, location and route, and other aspects to riders.
A key growth driver for the market is government subsidies and financial incentives. Additionally, reductions or discounts in the cost of these bikes inspire individuals across the world to purchase them. For example, the Swedish government approved a subsidy of 25% (up to $1,119) in 2018 per e-bike for its citizens for the next three years. This boosted the sales of e-bikes to 100,000 units in 2018 from 67,000 units in 2017.
The adoption of such two-wheelers in shared mobility fleets offers several e-bike market growth opportunities. Governments across the globe are introducing targets and putting in efforts to integrate these electric vehicles into private and public bike-sharing services. For example, Mexico City has set a goal of incorporating 30% e-bikes by 2030 into bike sharing systems.
In 2019, the personal category, under the ownership type segment, held the larger volume share, of around 95.0%, in the market for e-bikes. This is attributed to the high adoption of e-bikes for personal usage. Additionally, there are few operators providing e-bike sharing services across the world.
During 2020–2025, the lithium-ion (Li-ion) battery category is projected to record the higher growth rate, in terms of both volume and value, in the market. This can be attributed to the higher energy density and lower weight of Li-ion batteries, which additionally offer an increased range per charge than other battery types.
The pedal-assist category dominated the industry, with an about 85.0% volume share, in 2019, under the propulsion type segment. This is ascribed to the fact that pedal-assisted e-bikes do not need licensing and registration and are subject to fewer regulations than throttle-based variants.
Geographically, the Asia-Pacific (APAC) region led the e-bike market between 2014 and 2019, in terms of volume, and it is projected to continue witnessing the same trend in the coming years. This is attributed to the increasing sales of these electric vehicles in APAC nations such as Japan, China, and Indonesia.
On the other hand, the North American market for e-bikes is projected to record the fastest growth till 2025, in terms of volume. This can be ascribed to the surging fondness for e-bikes for short-distance transportation and off-roading.
In recent years, major players in the e-bike market are majorly engaged in product launch and several other business activities to gain the competitive edge. For instance, in October 2019, Giant Manufacturing Co. Ltd. introduced bike FastRoad E+ EX Pro. The company has installed an advanced motor system, a battery pack, and a control unit in it to make it more convenient to the rider.
Similarly, in September 2019, Hero Cycles Ltd., under its partnership with Yamaha Motor Co. Ltd. and Mitsui and Co. Ltd., launched Lectro EHX20 brand of electric bikes at about $1,811 price in India. Hero Cycles Ltd. will manufacture the Lectro bikes at its Ghaziabad, India, manufacturing unit.
The electric bike market report offers comprehensive market segmentation analysis along with market estimation for the period 2014–2025.
Based on Ownership Type
Based on Battery
Key Questions Addressed in the Report
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