Electric Van Market Analysis | 2023-2028

Market Insights

"The electric van market is likely to witness an impressive CAGR of 32.8% during the forecast period of 2023-2028".

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Market Dynamics

Introduction

An electric van is a type of vehicle that is powered by one or more electric motors instead of a traditional internal combustion engine. It is designed to transport goods or people, similar to a conventional van, but with the key difference of using electricity as its primary source of propulsion.

COVID-19 Impact

The COVID-19 pandemic had a significant impact on various industries, including the automotive sector. While the pandemic disrupted global economies and caused fluctuations in consumer behavior, it also influenced the electric van market in several ways. Automotive production declined in 2018 as well as in 2019 and was expected to start rebounding from 2020 onwards. However, the sudden outburst of the pandemic trashed the market hope. As a result of that, there was an enormous decline in the production of automobiles across regions. The grave impact of this was registered across the supply chain including the level of components.

Market Drivers

The demand for electric vans in 2020 witnessed a noticeable uptick, primarily driven by the growing interest in sustainable transportation and the need for zero-emission vehicles in urban areas. Many businesses and delivery services recognized the benefits of electric vans for their fleets, including reduced operational costs and environmental impact. Furthermore, Governments provide financial incentives and subsidies to encourage the adoption of electric buses and other electric public transport vehicles. For instance, the European Union has set ambitious goals to reduce carbon emissions and improve air quality. They have allocated significant funding through programs like the Connecting Europe Facility (CEF) and the Innovation Fund to support the electrification of public transport, including electric buses.

Recent Product Developments:

• In 2021, the van Ducato's electric variant has been introduced by Fiat. The e-Ducato costs $73,369, which is twice as much as ICE automobiles, and the manufacturer has also announced variations with two battery sizes.
• In 2021, the first 500 vans will go to FedEx. The next-generation Ultrium battery system, which GM has invested billions in creating as the cornerstone for upcoming electric vehicles, is featured in the EV600 for the first time in a commercial vehicle.
• In 2022, new versions of Renault's MASTER ZE fully electric transport trucks have been introduced. It provides urban areas with large-mile connectivity. It sports a vertical grille and hides a noticeable, distinctive front bumper. A 3.5-inch TFT digital display is included in this. It comes in both L2 and L3 lengths. This has a 120-kilometer maximum range. The ZE Master uses the ZE 33 lithium-ion battery, which has a 33-KWH capacity. The R75's battery powers its 76 horsepower and 225 Nm maximum torque electric motor.

Segment Analysis

By Range Type

"100-200 Miles is expected to remain the largest range type in the market".

• The electric van market is segmented up to 100 miles, 100-200 miles, and above 200 miles.
• In general, logistics and transportation businesses like MAERSK, Pitney Bowes, XPO, FedEx Express, DHL Supply Chain, and others are putting more of an emphasis on transitioning to electric cars for delivery purposes in order to cut their carbon emissions. The sector between 100 and 200 miles so had a bigger market share.
• During the forecast period, it is anticipated that the segment above 200 miles will increase at the quickest rate. The usage of battery-powered vans in the logistics sector is anticipated to increase in the years to come, according to an announcement from Kay Players that they are working to improve the technology and range of their vehicles. The third greatest market share belongs to the up-to-100-mile category.

By Battery Capacity Type

"Above 50 KWH is expected to remain the dominant as well as the fastest-growing battery capacity type in the market during the forecast period".

• The market is segmented into up to 50 KWH and Above 50 KWH.
• A variety of different vehicle types offer a longer driving range, which is a crucial factor for many buyers, the over 50 KWh segment has the biggest market share. E-vans with 50 kWh battery capacities can go further on a single charge than smaller ones, making them more practical for long-distance driving.
• The size and weight of the battery play a significant role in determining the overall performance of an electric vehicle; greater battery capacity is typically linked to better performance and acceleration. Such an advantage from higher capacity batteries fuels segmental growth during the course of the predicted period. The second-largest market share belongs to the group of up to 50 kWh. The class provides superior performance, a good driving range, and costs that are well-balanced.

Regional Analysis

"The market share for electric vans globally is now dominated by Asia Pacific".

• The significant demand for electric vehicles in China, Japan, and South Korea is said to be the cause of the growth. Due to their massive populations and quick urbanization, these nations are seeing an increase in demand for last-mile delivery vehicles like electric vans. Government regulations and agencies in these nations are also encouraging the use of EVs, which is boosting the market's expansion. The region's high concentration of manufacturers is another factor contributing to its dominance.
• The cost of electric vans is being lowered in part because China is a big producer of these vans and has a sizable number of businesses devoted to creating and manufacturing these automobiles. While India has the region's fastest economic growth rate. Global market expansion is largely being driven by a mix of high demand, government backing, and a sizable number of manufacturers in the Asia Pacific area.
• North America and Europe are also likely to create sizeable opportunities in the coming five years, driven by an expected rebound in vehicle production coupled with a paradigm shift from ICE to electric vehicles.

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Key Players

The market is highly populated with the presence of several local, regional, and global players. Most of the major players compete in some of the governing factors, including price, product offerings, regional presence, etc. The following are the key players in the Electric Van market. Most of the major players are providing complete profile systems including profile seals.

The following are the key players in the Electric Van Market (arranged alphabetically).

• BYD
• Ford Motor Company
• General Motors
• Renault
• Toyota Motor Corporation

Note: The above list does not necessarily include all the top players in the market.

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Research Methodology

• This strategic assessment report, from Stratview Research, provides a comprehensive analysis that reflects today’s Electric Van Market realities and future market possibilities for the forecast period. The report segments and analyzes the market in the most detailed manner in order to provide a panoramic view of the market.
• The vital data/information provided in the report can play a crucial role for the market participants as well as investors in the identification of the low-hanging fruits available in the market as well as to formulate the growth strategies to expedite their growth process.
• This report offers high-quality insights and is the outcome of a detailed research methodology comprising extensive secondary research, rigorous primary interviews with industry stakeholders, and validation and triangulation with Stratview Research’s internal database and statistical tools.
• More than 1,000 authenticated secondary sources, such as company annual reports, fact books, press releases, journals, investor presentations, white papers, patents, and articles, have been leveraged to gather the data.
• We conducted more than 15 detailed primary interviews with market players across the value chain in all four regions and industry experts to obtain both qualitative and quantitative insights.

Report Features

This report provides market intelligence in the most comprehensive way. The report structure has been kept such that it offers maximum business value. It provides critical insights into market dynamics and will enable strategic decision-making for existing market players as well as those willing to enter the market.

What Deliverables Will You Get in this Report?

Customization Option

With this detailed report, Stratview Research offers one of the following free customization options to our respectable clients:

Company Profiling

• Detailed profiling of additional market players (up to three players)
• SWOT analysis of key players (up to three players)

Competitive Benchmarking

• Benchmarking of key players on the following parameters: Product portfolio, geographical reach, regional presence, and strategic alliances

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