On-Board Charger Market Overview
The global on-board charger market is estimated to witness high growth rate during the forecast period (2020–2030), owing to the growing demand for electric vehicles across the world. The on-board charger takes alternating current (AC) input from a charging point and converts it to direct current (DC) in order to charge a vehicle battery. The growing installation of AC charging stations in developing countries is further boosting the growth of the on-board charger industry.
The on-board charger market in terms of vehicle type is categorized into battery electric vehicles (BEV) and plug-in hybrid electric vehicles (PHEV). Of these, the BEV category is estimated to attain the faster growth during the forecast period. The increasing government support in different countries for the adoption of BEVs in form of tax credits, grants, and subsidies is boosting the BEV sales. For instance, the federal government of California offers a significant tax credit for new BEV purchase, ranging from $2,500 to $7,500, depending on the capacity of the electric vehicle’s battery. Such factors are propelling the production and sales of BEVs and hence, driving the category’s growth in on-board charger market.
The on-board charger market on the basis of power output is categorized into below 7.2 kW, 7.2 kW–15 kW, and above 15 kW. Among all, below 7.2 kW category dominated the market in 2019. This is majorly due to the large number of private chargers, including home chargers. Almost every electric vehicle comes with an AC charger, which is used at homes and other places for electric vehicle charging. These residential chargers are the least expensive charging option and hence are the reason for market domination.
On-Board Charger Market Dynamics
Drivers
Development in electric vehicle charging system boosts the growth of the on-board charger market. This is due to the decreased power loss and increased power saving, which results in increased power density and improved overall performance of the batteries. The growing technological requirements, worldwide, owing to environmental concerns have propelled research and development (R&D) investment in electric vehicle technology.
Several automakers are investing in the development of electric vehicles. For instance, in July 2019, Fiat Chrysler Automobiles N.V. announced its plans to invest $788 million (EUR 700 million) to build a production line for the new electric version of its Fiat 500 minicar. The production line will manufacture nearly 80,000 units per year. The increasing investment results in overall cost reduction and availability at affordable price, which further helping in the growth of the on-board charger market.
Restraints
One of the major factors restraining the growth of the global on-board charger market is increasing push from governments for installation of DC fast chargers. The acceptance rate of the on-board charger differs by brand but is limited due to weight, space, and cost. Depending on vehicle specifications, it can take anywhere from four or five hours to over twelve hours to fully charge using Level 2 AC chargers. DC fast chargers sidestep all of the restrictions of an on-board charger and the requirement of power conversion. These provide DC power supply directly to the vehicle battery, owing to which charging speed has the potential to be greatly increased.
One such example for DC fast charger deployment is “West Coast Electric Highway.” It is a wide-ranging network of DC fast charging stations for electric vehicle that are located at every 25–50 miles at Interstate 5, Highway 99, and other major roadways in Washington, British Columbia, Oregon, and California. Therefore, the growing demand for DC fast chargers is a hindrance for on-board charger market.
On-Board Charger Market Competitive Landscape
The major players operating in the on-board charger market are Delphi Technologies PLC, Delta Electronics Inc., Toyota Motor Corporation, LG Chem Ltd., Delta-Q Corporation, Eaton Corporation plc, Infineon Technologies AG, Avid Technology Inc., and NXP Semiconductors N.V.
The report covers country-wise on-board charger market analysis. Some of the major countries covered in the report are the U.S., Canada, the U.K., France, Germany, Russia, Italy, Spain, Norway, the Netherlands, China, Japan, India, South Korea, Australia, Indonesia, Thailand, Malaysia, Brazil, Mexico, South Africa, the U.A.E., and Saudi Arabia.
On-Board Charger Market Segmentation
By Vehicle Type
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Battery Electric Vehicle (BEV)
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Plug-In Hybrid Electric Vehicle (PHEV)
By Power Output
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Below 7.2 kW
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7.2 kW–15 kW
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Above 15 kW
By Sales Channel
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Original Equipment Manufacturer (OEM)
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Aftermarket
By Region
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North America On-Board Charger Market
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By vehicle type
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By power output
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By sales channel
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By country – U.S. and Canada
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Europe On-Board Charger Market
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By vehicle type
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By power output
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By sales channel
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By country – the U.K., France, Germany, Russia, Italy, Spain, Norway, the Netherlands, and Rest of Europe
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Asia-Pacific (APAC) On-Board Charger Market
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By vehicle type
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By power output
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By sales channel
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By country – China, Japan, India, South Korea, Australia, Indonesia, Thailand, Malaysia, and Rest of APAC
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Latin America, Middle East and Africa (LAMEA) On-Board Charger Market
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By vehicle type
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By power output
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By sales channel
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By country – Brazil, Mexico, and Rest of LAMEA
