Electric Vehicle Charging Station Market size exceeded USD 27.62 Billion in 2023 and is anticipated to cross USD 322.69 Billion by 2033, registering a CAGR of more than 27.17% during the forecast period. An electric vehicle charging station is basically an equipment or a device which is used for connection electric vehicle and plug in electric vehicle to an electricity socket in order to get the electricity source to recharge the vehicle.
Charging stations are mostly installed at public places like shopping malls, parking areas, and others. These charging stations are installed by the private companies or electric utility companies. Electric vehicle charging stations have various types of charging levels like level one, level two, and level three. Not only this but electric vehicle charging stations also comprise different configurations like free standing, wall mounted, residential or commercial grade, single charging head or multi head, indoor and outdoor installment.
Growth Drivers and Opportunities:
Surge in the sales of electric vehicles across the world
The increase in the use and adoption of electric vehicles have resulted in the necessity to design charging infrastructure. Some of the highly adopted electric vehicles market are U.S., China, as well as Germany and these regions have made huge investment in electric vehicle charging infrastructure. Not only this but also many organizations are performing research and development activities to come up with advanced charging options. Furthermore, increasing adoption of electric vehicles has led to the demand for charging infrastructure and it is going to rise in a significant rate specifically in areas where there is a strong presence of electric vehicles owners. All these factors have increased the investment in installing additional public charging stations by organizations, businesses, and government.
Plans for making smart cities across the country
A smart city should have highly advanced technology which will help in improving the quality of lives of the people. The electric charging stations are one such technology which a smart city should have. Thus, this can be a biggest opportunity for the key investors. With the advancement of technology, electric vehicles have started gaining popularity in smart cities owing to the lesser transportation costs. The infrastructural development of smart cities can help in the growth of the electric vehicle charging station market by offering a platform for new business models.
Report Coverage | Details |
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Segments Covered | Charger Type, Charging Level, End Users |
Regions Covered | • North America (United States, Canada, Mexico) • Europe (Germany, United Kingdom, France, Italy, Spain, Rest of Europe) Asia Pacific (China, Japan, South Korea, Singapore, India, Australia, Rest of APAC) • Latin America (Argentina, Brazil, Rest of South America) • Middle East & Africa (GCC, South Africa, Rest of MEA) |
Company Profiled | ABB, ChargePoint, Inc., Tesla, BYD Motors Inc., BP p.l.c., Webasto Group, Schneider Electric, Blink Charging Co., Renault Group, Phihong USA Corp., EV Safe Charge Inc, Eaton, Tata Power, SemaConnect, Inc., Mercedes-Benz Group AG., Siemens, EVgo Services LLC, Engie SA, TotalEnergies, Enphase Energy |
Industry Restraint and Challenge:
Installation and maintenance of electric vehicle charging stations in remote areas
The development and maintenance of electric vehicle charging stations can be costly especially in those areas where there is limited supply of electricity. This is because it needs huge investment to install charging stations because the market players have to invest in equipment, upgradation of electrical infrastructure, and installation. Furthermore, there are times where the cost of upgradation of electricity supply and installation of equipment like transformers and cables can be extremely huge in the rural areas. Hence, it becomes difficult to find the potential investors who are ready to invest funds in making electric vehicle charging stations in such areas.
Dependence on fossil fuels for electricity generation
To produce electricity, the market has to rely on fossil fuels which can badly hamper the growth of electric vehicles. There are many regions which mainly depend on fossil fuels to produce electricity which can reduce the interest of the consumers to opt for electric vehicles. Furthermore, the cost of electricity is significantly increasing due to which the customers need to pay hefty price to charge their EVs that can affect the market growth.
Asia Pacific Market
Among all other regions, the Asia Pacific region is dominating the electric vehicle charging station market with the largest market share over the forecast period and is anticipated to continue its dominance over the upcoming years. The growth is mainly attributed to the rise in the investment made by the government of Japan, China, South Korea, India, and various other countries of this regions in order to install charging infrastructures. For instance, in April 2020, China has made an announcement that it is going to invest $1.43 billion in 2020 to continue its leadership in the adoption and usage of electric vehicles. Furthermore, Japan, Korea, India, and Singapore are also investing heavily to promote the adoption of electric vehicle charging infrastructure.
Europe Market
Europe region’s electric vehicle charging station market size is expected to surpass USD 116.15 billion by 2033. The growth is attributed to the aim of the government to reduce the emission of carbon dioxide and rise in the adoption rate of electric vehicles.
Insights by Charger Type
DC fast electric vehicle charging station market is projected to achieve USD 126.73 billion up to 2033. The main reason behind the growth of the segment is the fast charging feature and affordability in terms of pricing. The DC charging stations can directly charge the battery by converting the electricity before it reaches the converter of the car. Furthermore, the rise in the adoption of technologies like Radio Frequency Identification (RFID) and Near Field Communication (NFC) in the EV charging stations also propels the growth of the segment.
Insights by Charging Level
Charger Level 3 is witnessing the significant market growth over the forecast period. This is because level 3 chargers are adopted mostly for the industrial purposes. An electric vehicle can charge 16 to 32 faster at the EV charging station which uses level 3 charger. The third level of charging charges far more faster than the previous two levels and has the highest output of any level. This level requires a specific cable to handle larger electrical demands and also provides DC Fast Charging.
Insights by End Users
Public charging stations segment accounted the largest market share of around 88% in 2023. Most of the public electric vehicle charging stations are occupied due to the increasing adoption of EVs. Fast public charging access is seen as a crucial factor when choosing an electric car. The public charging segment's revenue growth is anticipated to expand as a result.
Major players in the market
Recent Industry Developments