Europe Electric Vehicle (EV) Market Opportunity, Growth Drivers, Industry Trend Analysis, and Forecast 2024 to 2032
Europe Electric Vehicle (EV) Market was valued at USD 368.9 billion in 2023 and is projected to expand at 29.1%CAGR from 2024 to 2032. This growth is primarily driven by the European Union's rigorous policies to reduce carbon emissions, including a 2035 deadline for banning sales of internal combustion engine (ICE) vehicles. In addition, various incentives such as purchase subsidies, tax breaks, and registration benefits have been introduced by numerous countries to promote EV adoption. The market is categorized into several vehicle types, including two-wheelers, passenger vehicles, and commercial vehicles. In 2023, the passenger vehicle segment dominated the market, capturing over 75% of the total share.
This segment is anticipated to surpass USD 2 trillion by 2032. Luxury brands are particularly capitalizing on the surge in the European EV market by rolling out premium electric models that appeal to environmentally conscious consumers. There is a growing demand for high-end EVs that not only provide environmental advantages but also feature advanced autonomous driving capabilities, state-of-the-art infotainment systems, and exceptional performance. Based on drivetrain configuration, the market from the FWD segment is expected to exceed USD 1.2 trillion by 2032. Many smaller and mid-sized electric automobiles in Europe utilize front-wheel drive layouts. This setup is not only cost-effective but also aligns well with urban and suburban performance requirements, emphasizing compact design and efficiency.
By positioning the electric motor at the front, manufacturers can optimize battery space and simplify mechanical components, resulting in lighter vehicles with improved range. Germany remains a key player in the electric vehicle market, accounting for 28% of the total revenue in 2023. Major automotive manufacturers in the country are actively retrofitting their factories to enhance EV production capabilities. These transformations include investments in new robotics systems, battery assembly lines, and advanced digital manufacturing processes. In the UK, substantial investments are being made in the EV manufacturing sector following Brexit.The government and private sector are focusing on creating an electric vehicle manufacturing hub, which is expected to secure the future of the automotive industry and generate thousands of jobs within the EV supply chain. Initiatives include the establishment of multiple battery gigafactories aimed at bolstering the UK's position in the global electric vehicle market.
This segment is anticipated to surpass USD 2 trillion by 2032. Luxury brands are particularly capitalizing on the surge in the European EV market by rolling out premium electric models that appeal to environmentally conscious consumers. There is a growing demand for high-end EVs that not only provide environmental advantages but also feature advanced autonomous driving capabilities, state-of-the-art infotainment systems, and exceptional performance. Based on drivetrain configuration, the market from the FWD segment is expected to exceed USD 1.2 trillion by 2032. Many smaller and mid-sized electric automobiles in Europe utilize front-wheel drive layouts. This setup is not only cost-effective but also aligns well with urban and suburban performance requirements, emphasizing compact design and efficiency.
By positioning the electric motor at the front, manufacturers can optimize battery space and simplify mechanical components, resulting in lighter vehicles with improved range. Germany remains a key player in the electric vehicle market, accounting for 28% of the total revenue in 2023. Major automotive manufacturers in the country are actively retrofitting their factories to enhance EV production capabilities. These transformations include investments in new robotics systems, battery assembly lines, and advanced digital manufacturing processes. In the UK, substantial investments are being made in the EV manufacturing sector following Brexit.The government and private sector are focusing on creating an electric vehicle manufacturing hub, which is expected to secure the future of the automotive industry and generate thousands of jobs within the EV supply chain. Initiatives include the establishment of multiple battery gigafactories aimed at bolstering the UK's position in the global electric vehicle market.
Report Content
CHAPTER 1 METHODOLOGY & SCOPE
1.1 Research design
1.1.1 Research approach
1.1.2 Data collection methods
1.2 Base estimates and calculations
1.2.1 Base year calculation
1.2.2 Key trends for market estimates
1.3 Forecast model
1.4 Primary research & validation
1.4.1 Primary sources
1.4.2 Data mining sources
1.5 Market definition
CHAPTER 2 EXECUTIVE SUMMARY
2.1 Industry 360° synopsis, 2021 - 2032
CHAPTER 3 INDUSTRY INSIGHTS
3.1 Industry ecosystem analysis
3.2 Supplier landscape
3.2.1 Raw material suppliers
3.2.2 Battery component manufacturers
3.2.3 Automotive OEM
3.2.4 Distributors
3.2.5 Technology integrators
3.2.6 End users
3.3 Profit margin analysis
3.4 Cost structure analysis
3.4.1 Battery costs
3.4.1.1 Raw material prices
3.4.1.2 Battery manufacturing costs
3.4.2 Electric powertrain cost
3.4.3 Vehicle chassis and body cost
3.4.4 R&D development cost
3.4.5 Supply chain and logistics costs
3.4.6 Others
3.5 Key news & initiatives
3.6 Regulatory landscape
3.7 Impact forces
3.7.1 Growth drivers
3.7.1.1 Government regulations and policies to adopt electric vehicles in the EU
3.7.1.2 Rapid development of charging infrastructure
3.7.1.3 Continuous improvements in battery technology
3.7.1.4 Growing investments in EV technology by major OEMs
3.7.2 Industry pitfalls & challenges
3.7.2.1 The high initial cost of EV
3.7.2.2 Battery supply chain dependencies
3.8 Growth potential analysis
3.9 Porter’s analysis
3.10 PESTEL analysis
CHAPTER 4 COMPETITIVE LANDSCAPE, 2023
4.1 Introduction
4.2 Company market share analysis
4.3 Competitive positioning matrix
4.4 Strategic outlook matrix
CHAPTER 5 MARKET ESTIMATES & FORECAST, BY VEHICLE, 2021 - 2032 ($BN, UNITS)
5.1 Key trends
5.2 Two-wheelers
5.2.1 Motorcycles
5.2.2 E-bikes
5.3 Passenger cars
5.3.1 Sedan
5.3.2 SUV
5.3.3 Hatchback
5.4 Commercial vehicles
5.4.1 Light commercial vehicles (LCV)
5.4.2 Heavy commercial vehicles (HCV)
CHAPTER 6 MARKET ESTIMATES & FORECAST, BY DRIVE, 2021 - 2032 ($BN, UNITS)
6.1 Key trends
6.2 Front-wheel drive
6.3 Rear-wheel drive
6.4 All-wheel drive
CHAPTER 7 MARKET ESTIMATES & FORECAST, BY PROPULSION, 2021 - 2032 ($BN, UNITS)
7.1 Key trends
7.2 Battery electric vehicles (BEV)
7.3 Plug-in hybrid electric vehicles (PHEV)
7.4 Hybrid electric vehicles (HEV)
CHAPTER 8 MARKET ESTIMATES & FORECAST, BY BATTERY, 2021 - 2032 ($BN, UNITS)
8.1 Key trends
8.2 Sealed lead acid
8.3 Nickel metal hydride (NiMH)
8.4 Lithium ion
CHAPTER 9 MARKET ESTIMATES & FORECAST, BY RANGE, 2021 - 2032 ($BN, UNITS)
9.1 Key trends
9.2 Less than 100 km
9.3 100 km-200 km
9.4 200 km to 300 km
9.5 Above 300 km
CHAPTER 10 MARKET ESTIMATES & FORECAST, BY END USE, 2021 - 2032 ($BN, UNITS)
10.1 Key trends
10.2 Personal
10.3 Commercial
10.4 Government
10.5 Private
CHAPTER 11 MARKET ESTIMATES & FORECAST, BY REGION, 2021 - 2032 ($BN, UNITS)
11.1 Key trends
11.2 UK
11.3 Germany
11.4 France
11.5 Italy
11.6 Spain
11.7 Russia
11.8 Netherlands
11.9 Denmark
11.10 Sweden
11.11 Norway
CHAPTER 12 COMPANY PROFILES
12.1 BYD
12.2 Cowboy
12.3 Daimler
12.4 Ebusco
12.5 Evoke Electric Motorcycles (HK)
12.6 Ford
12.7 Giant Bicycles
12.8 Harley-Davidson
12.9 Horwinglobal
12.10 Hyundai
12.11 Kia
12.12 Mercedes-Benz
12.13 myStromer
12.14 Niu International
12.15 Renault
12.16 Solaris Bus & Coach
12.17 Tesla
12.18 Volkswagen
12.19 Volvo
12.20 Yamaha
12.21 Zero Motorcycles
CHAPTER 1 METHODOLOGY & SCOPE
1.1 Research design
1.1.1 Research approach
1.1.2 Data collection methods
1.2 Base estimates and calculations
1.2.1 Base year calculation
1.2.2 Key trends for market estimates
1.3 Forecast model
1.4 Primary research & validation
1.4.1 Primary sources
1.4.2 Data mining sources
1.5 Market definition
CHAPTER 2 EXECUTIVE SUMMARY
2.1 Industry 360° synopsis, 2021 - 2032
CHAPTER 3 INDUSTRY INSIGHTS
3.1 Industry ecosystem analysis
3.2 Supplier landscape
3.2.1 Raw material suppliers
3.2.2 Battery component manufacturers
3.2.3 Automotive OEM
3.2.4 Distributors
3.2.5 Technology integrators
3.2.6 End users
3.3 Profit margin analysis
3.4 Cost structure analysis
3.4.1 Battery costs
3.4.1.1 Raw material prices
3.4.1.2 Battery manufacturing costs
3.4.2 Electric powertrain cost
3.4.3 Vehicle chassis and body cost
3.4.4 R&D development cost
3.4.5 Supply chain and logistics costs
3.4.6 Others
3.5 Key news & initiatives
3.6 Regulatory landscape
3.7 Impact forces
3.7.1 Growth drivers
3.7.1.1 Government regulations and policies to adopt electric vehicles in the EU
3.7.1.2 Rapid development of charging infrastructure
3.7.1.3 Continuous improvements in battery technology
3.7.1.4 Growing investments in EV technology by major OEMs
3.7.2 Industry pitfalls & challenges
3.7.2.1 The high initial cost of EV
3.7.2.2 Battery supply chain dependencies
3.8 Growth potential analysis
3.9 Porter’s analysis
3.10 PESTEL analysis
CHAPTER 4 COMPETITIVE LANDSCAPE, 2023
4.1 Introduction
4.2 Company market share analysis
4.3 Competitive positioning matrix
4.4 Strategic outlook matrix
CHAPTER 5 MARKET ESTIMATES & FORECAST, BY VEHICLE, 2021 - 2032 ($BN, UNITS)
5.1 Key trends
5.2 Two-wheelers
5.2.1 Motorcycles
5.2.2 E-bikes
5.3 Passenger cars
5.3.1 Sedan
5.3.2 SUV
5.3.3 Hatchback
5.4 Commercial vehicles
5.4.1 Light commercial vehicles (LCV)
5.4.2 Heavy commercial vehicles (HCV)
CHAPTER 6 MARKET ESTIMATES & FORECAST, BY DRIVE, 2021 - 2032 ($BN, UNITS)
6.1 Key trends
6.2 Front-wheel drive
6.3 Rear-wheel drive
6.4 All-wheel drive
CHAPTER 7 MARKET ESTIMATES & FORECAST, BY PROPULSION, 2021 - 2032 ($BN, UNITS)
7.1 Key trends
7.2 Battery electric vehicles (BEV)
7.3 Plug-in hybrid electric vehicles (PHEV)
7.4 Hybrid electric vehicles (HEV)
CHAPTER 8 MARKET ESTIMATES & FORECAST, BY BATTERY, 2021 - 2032 ($BN, UNITS)
8.1 Key trends
8.2 Sealed lead acid
8.3 Nickel metal hydride (NiMH)
8.4 Lithium ion
CHAPTER 9 MARKET ESTIMATES & FORECAST, BY RANGE, 2021 - 2032 ($BN, UNITS)
9.1 Key trends
9.2 Less than 100 km
9.3 100 km-200 km
9.4 200 km to 300 km
9.5 Above 300 km
CHAPTER 10 MARKET ESTIMATES & FORECAST, BY END USE, 2021 - 2032 ($BN, UNITS)
10.1 Key trends
10.2 Personal
10.3 Commercial
10.4 Government
10.5 Private
CHAPTER 11 MARKET ESTIMATES & FORECAST, BY REGION, 2021 - 2032 ($BN, UNITS)
11.1 Key trends
11.2 UK
11.3 Germany
11.4 France
11.5 Italy
11.6 Spain
11.7 Russia
11.8 Netherlands
11.9 Denmark
11.10 Sweden
11.11 Norway
CHAPTER 12 COMPANY PROFILES
12.1 BYD
12.2 Cowboy
12.3 Daimler
12.4 Ebusco
12.5 Evoke Electric Motorcycles (HK)
12.6 Ford
12.7 Giant Bicycles
12.8 Harley-Davidson
12.9 Horwinglobal
12.10 Hyundai
12.11 Kia
12.12 Mercedes-Benz
12.13 myStromer
12.14 Niu International
12.15 Renault
12.16 Solaris Bus & Coach
12.17 Tesla
12.18 Volkswagen
12.19 Volvo
12.20 Yamaha
12.21 Zero Motorcycles
