PUNE, India, March 2, 2020 /PRNewswire/ -- Infinium Global Research has recently published a global report on "Electric Vehicle Charging Station Market" (Installation Type - Fixed Charger, and Portable Charger; Charging Level - Level 1 (120 V), Level 2 (240 V), and Level 3 (200 V–600 V); Application - Public, and Private; Charging Types - Super Charging, Inductive Charging, and Normal Charging): Global Industry Analysis, Trends, Size, Share and Forecasts to 2025" published by Infinium Global Research", the reported study estimated the market for electric vehicle charging station will reach up to USD 25107.16 million, with a compound annual growth rate of 30.63%, in the forecast period (2019-2025).
Electric vehicles provide the potential to intensely reduce local air pollution, climate change impacts, and oil use from the transport sector. Petroleum-fuelled combustion vehicles have dominated the past century; however, the recent growth of electric vehicles create an opportunity to transform the transportation sector. In just the past few years, electric vehicles have gone from a fringe technology with no mass production to a fast-growing part of the vehicle market. An electric vehicle charging system is an equipment that is used to attach electric vehicles and plug-in electric vehicles to a source of electricity to recharge them. The development of a robust electric vehicle charging network is widely considered a key requirement for a large-scale transition to electromobility.
Market for Electric Vehicle Charging Station is Reaching a Tipping Point
Unlike the traditional Internal Combustion Engine (ICE) vehicles that are normally refueled at gas stations, electric vehicles can be recharged at numerous locations, such as private charging networks, at residence, or commercial charging stations. However, overnight residential charging is inadequate for covering long distances and sparing hours to charge the vehicle throughout a voyage is not presumed as a good idea. These situations can ultimately discourage the usage of electric vehicles. Therefore, the companies are now deploying electric vehicle chargers at public places, such as commercial buildings, shopping centers, airports, and restaurants to aid users traveling long distances. The increasing focus of global economies on developing supporting infrastructure for accelerating the adoption of electric vehicles is contributing to the growth. Several government agencies are arriving into partnerships with each other to develop highway electric charging stations. For example, in the United States, the Washington State Department of Transportation has partnered with the Oregon Department of Transportation to construct the West Coast Electric Highway (WCEH) that consists of 57 EV charging stations across Oregon and Washington. Likewise, numerous governments are jointly developing intra-continental networks of highway charging stations.
Rising Sales of Electric Vehicles Anticipated to Drive the Market Growth
The government of several countries are taking initiatives to support the adoption of electric vehicles to meet the fuel consumption standards and reduce the emission of greenhouse gases. Moreover, governments are providing vehicle manufacturers with rebates, quotas, subsidies, and tax exemption. Even the government subsidies for purchasing electric vehicles is playing an essential role for the consumers. Such factors are leading to an upsurge in the sales and production of electric vehicles across the globe. The growing electric vehicle stock requires the charging stations and an established electric grid to continue the smooth operation of electric vehicles. Additionally, a preference for home charging stations by electric vehicle owners, especially in North America and Europe is expected to significantly boost the sales of electric vehicle charging stations over the forecast period. Currently, the market for electric vehicle charging stations is highly consolidated, and thus there exists a huge influence of major players and hence electric vehicle charging stations lack standardization, which in turn is anticipated to hamper the growth of the market. Moreover, the higher cost of charging stations over the conventional electric vehicle charging stations can further hamper the market growth.
Key Vendors Are Consolidating Market Shares by Undertaking Various Strategies
The electric vehicle charging station market when mapped out of a product life cycle is still in the growth phase and is projected to remain productive and opportunistic owing to ongoing significant research and development in the field. Succeeding the footprints of key players in the market, supercharging stations are expected to be the area of focus for the remaining players during the forecast period. In addition, electric vehicle manufacturers developing strategies to attract a large customer base for electric vehicles. For example, in December 2019, Volkswagen developed robot charging technology through V2X communication, in which robots will move in the parking lots and charging spaces and will connect or disconnect to the vehicle that requested for charging. Such strategies added with a robust macro-economic environment boosting the growth of electric vehicles is anticipated to fuel the growth of the electric vehicle charging station market too, in the near future.
The Asia Pacific Market Is Expected to Register the Fastest Growth During the Forecast Period
The Asia Pacific region is projected to be the largest market, followed by Europe. The rising concerns of carbon emission owing to existing vehicles and the efficiency in this mode of transport have led the authorities to develop a charging infrastructure network that has impelled the growth of this market. Government initiatives have encouraged the major players to develop the infrastructure for the charging network. The adoption of new technologies and the establishment of new government regulations are pouring the market in this region. China is the largest market for electric cars and buses across the globe. With the rise in electric vehicle sales and demand in the country, the demand for fast charging stations has been increased to support the rising electric vehicles in the country. China has the biggest infrastructure for electric vehicle charging in the world with 976,000 charging units up to June 2019. By average, there has been an addition of 11,025 charging units monthly.
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