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  • E-Bike Market Foresees Big Future Ahead!

    (, February 14, 2020 ) The Global E-Bike Market is projected to grow at a CAGR of 9.01% during the forecast period, to reach USD 38.6 billion by 2025 from an estimated USD 21.1 billion in 2018.

    The major factors driving the growth of the e-bike market are increasing concerns about traffic congestion, rapid urbanization, government initiatives to reduce emission levels, and growth of the bicycle tourism industry. An electric bike, often known as an e-bike, has an electric motor aligned to the pedal for propulsion. These bicycles use chargeable batteries of different capacities. E-bikes are equipped with a mid or hub motor and can be classified on the basis of the power of the electric motor. Pedal-assist and throttle-on-demand are the two different modes of electric bikes.

    Yamaha Motor Corporation (Japan), Giant Manufacturing Co., Ltd (Taiwan), Accell Group N.V (Netherlands), Aima Technology Group Co., Ltd (China), and Yadea Group Holdings Ltd (China) are the leading players in the e-bike market.

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    Class-I electric bike is expected to be the largest segment during the forecast period

    Class-I electric bike is anticipated to be the largest segment of the electric bike market. Class-I electric bike provides assistance only when the rider is pedaling and stops providing assistance when the bicycle reaches 20 mph. This type of electric bike can operate on any paved surface. Also, a class-I electric bike is compatible with the electric bike laws of most of the countries. Thus, a class-I electric bike is expected to hold the largest e-bike market share during the forecast period.

    Class-III segment is expected to grow at the fastest rate during the forecast period

    Class-III electric two-wheeler segment is likely to be the fastest-growing segment of the global e-bike market. A class-III electric bike, which is also known as speed pedal-assisted electric bicycle, provides assistance only when the rider is pedaling and stops providing assistance when the bicycle reaches 28 mph. These electric bikes are allowed on roads, adjacent bike lanes, or private property due to their higher speed than the other two classes, i.e. class-I and class-II. These electric bikes are expected to help replace cars and reduce traffic congestion. Hence, this electric bike segment is expected to be the fastest-growing market during the forecast period.

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    The Asia Pacific is expected to account for the largest e-bike market size during the forecast period

    The Asia Pacific region is estimated to be the largest electric bike market by 2025. The region comprises some of the fastest developing economies of the world such as China and India. The governments of these developing economies have recognized the growth potential of electric two-wheelers and, hence, have taken several initiatives to attract major OEMs to manufacture electric two-wheelers in their domestic markets. For instance, the Government of India announced financial support and a scheme called Faster Adoption and Manufacturing of Hybrid and Electric Vehicles (FAME). Under the scheme, there is a subsidy of up to INR 22,000 for electric scooters/electric bikes. Government promotions and schemes have led to an increase in sales of electric two-wheelers over the years.

    The governments of many countries in the Asia Pacific region are focusing on electric two-wheelers. For instance, Chinas electric bikes have gained popularity in the European market due to their good quality and technological edge.

    Critical Questions:

    How will the trend of class-III electric bike sales impact the market in the long term?

    How will the industry cope with the Electric two-wheeler battery challenges?

    How do you see the impact of government safety regulations in the market?

    What are the upcoming trends in the e-bike market? What impact would they make post-2025?

    What are the key strategies adopted by top players to increase their revenue?

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    Mr. Sanjay Gupta


    Source: EmailWire.Com


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