The U.S. electric mobility market size was exhibited at USD 29.50 billion in 2023 and is projected to hit around USD 181.14 billion by 2033, growing at a CAGR of 19.9% during the forecast period of 2024 to 2033.
Key Takeaways:
U.S. Electric Mobility Market: Overview
The United States electric mobility market is witnessing a remarkable surge in demand, driven by various factors such as environmental concerns, technological advancements, and government initiatives promoting sustainable transportation solutions. This overview provides insights into the current landscape of the U.S. electric mobility market, highlighting key trends, growth drivers, and opportunities for stakeholders.
U.S. Electric Mobility Market Growth
The growth of the U.S. electric mobility market is fueled by several key factors.Firstly, increasing environmental concerns and stringent regulatory policies aimed at reducing greenhouse gas emissions are driving the demand for electric vehicles (EVs). Additionally, technological advancements in battery technology and electric drivetrains are improving the performance and affordability of EVs, making them more accessible to consumers. Moreover, the cost savings associated with lower fuel expenses and maintenance of EVs compared to traditional gasoline vehicles are driving adoption.Furthermore, the expansion of charging infrastructure across the country, supported by government initiatives and private investments, is reducing range anxiety and further encouraging consumers to switch to electric transportation.These growth factors collectively contribute to the rapid expansion of the U.S. electric mobility market, promising a more sustainable and efficient transportation future.
U.S. Electric Mobility Market Report Scope
| Report Coverage | Details |
| Market Size in 2024 | USD 29.50 Billion |
| Market Size by 2033 | USD 181.14 Billion |
| Growth Rate From 2024 to 2033 | CAGR of 19.9% |
| Base Year | 2023 |
| Forecast Period | 2024-2033 |
| Segments Covered | Product, Battery, Voltage |
| Market Analysis (Terms Used) | Value (US$ Million/Billion) or (Volume/Units) |
| Regional Scope | North America; Europe; Asia Pacific; Central and South America; the Middle East and Africa |
| Key Companies Profiled | Accell Group; Airwheel Holding Limited; Derby Cycle; HARLEY-DAVIDSON; Honda Motor Co. Ltd.; Invacare Corporation; Lohia Auto Industries; and Ninebot Ltd. |
U.S. Electric Mobility Market Dynamics
The U.S. electric mobility market dynamics are heavily influenced by growing environmental concerns and evolving regulatory policies aimed at curbing greenhouse gas emissions.With increasing awareness of climate change and air pollution, governments at various levels are implementing stringent regulations to promote the adoption of electric vehicles (EVs) as a cleaner alternative to traditional gasoline-powered vehicles. Incentives such as tax credits, rebates, and subsidies for EV buyers, along with mandates for automakers to produce a certain percentage of zero-emission vehicles, are driving market growth.
Another significant driver of the U.S. electric mobility market dynamics is the continuous technological advancements and innovations in electric vehicle technology. Breakthroughs in battery technology, electric drivetrains, and vehicle connectivity are improving the performance, range, and affordability of EVs, making them increasingly competitive with traditional internal combustion engine vehicles. Innovations such as fast-charging technologies, longer-lasting batteries, and lightweight materials are addressing key challenges associated with EV adoption, such as range anxiety and charging infrastructure limitations. Moreover, advancements in autonomous driving technology and vehicle-to-grid integration are opening up new possibilities for electric mobility, transforming the way people commute and interact with their vehicles.
U.S. Electric Mobility Market Restraint
One of the primary restraints facing the U.S. electric mobility market is the limited infrastructure for charging electric vehicles (EVs). Despite significant growth in recent years, the availability of charging stations remains uneven across different regions, and charging times can still be perceived as inconvenient compared to refueling gasoline vehicles. This lack of charging infrastructure can lead to range anxiety among consumers, deterring them from purchasing EVs and slowing market adoption. Moreover, the cost of installing charging stations, particularly fast-charging infrastructure, can be prohibitively expensive for businesses and municipalities, further hampering market growth.
Another significant restraint impacting the U.S. electric mobility market is the limited consumer awareness and education regarding the benefits and practicalities of electric vehicles (EVs). Despite growing interest in sustainability and environmental concerns, many consumers still lack sufficient knowledge about EVs, including their performance, range, charging options, and cost savings. Misconceptions about EVs, such as concerns about battery life, charging times, and upfront costs, can deter potential buyers from considering electric vehicles as a viable transportation option. Additionally, the absence of comprehensive education and outreach initiatives from automakers, government agencies, and other stakeholders further exacerbates the lack of consumer awareness.
U.S. Electric Mobility Market Opportunity
An important opportunity within the U.S. electric mobility market lies in the expansion of electric vehicle (EV) charging networks. Despite significant progress, the current charging infrastructure remains insufficient to meet the growing demand for EVs and alleviate range anxiety among consumers. Expanding the network of charging stations, particularly in underserved areas and along key transportation routes, presents a lucrative opportunity for investment and innovation. Companies operating in the electric mobility sector, including utilities, technology firms, and infrastructure developers, can capitalize on this opportunity by investing in the deployment of fast-charging stations, workplace charging solutions, and residential charging infrastructure.
Another promising opportunity in the U.S. electric mobility market is the diversification of electric mobility solutions beyond passenger cars to include commercial vehicles, public transportation, and last-mile delivery services. As the demand for sustainable transportation solutions continues to rise, there is growing interest and investment in electric buses, trucks, vans, and e-commerce delivery vehicles. Companies specializing in electric mobility solutions for commercial fleets, logistics, and transportation services stand to benefit from this trend by developing innovative products and services tailored to the specific needs of businesses and municipalities. Moreover, government incentives and subsidies for electrification initiatives, coupled with advancements in battery technology and vehicle design, create favorable conditions for the expansion of electric mobility solutions across various sectors.
U.S. Electric Mobility Market Challenges
One of the significant challenges facing the U.S. electric mobility market is the limitations associated with battery technology and vehicle range. While advancements in battery technology have improved the energy density and performance of electric vehicle (EV) batteries, challenges such as limited driving range, long charging times, and high costs persist. Many consumers experience range anxiety, fearing that their EVs may run out of power before reaching their destination or encountering difficulty finding charging stations along the way. Additionally, the upfront cost of EVs remains relatively high compared to conventional gasoline-powered vehicles, largely due to the expensive battery packs. Overcoming these challenges requires continued investment in research and development to enhance battery efficiency, increase energy storage capacity, and reduce costs.
Another significant challenge for the U.S. electric mobility market is the supply chain constraints and material sourcing issues associated with the production of electric vehicles (EVs) and related components. The global supply chain disruptions caused by factors such as trade tensions, geopolitical conflicts, and natural disasters have highlighted vulnerabilities in the EV supply chain, leading to delays in production and increased costs. Moreover, the sourcing of critical materials used in EV batteries, such as lithium, cobalt, and rare earth elements, presents challenges related to environmental sustainability, ethical sourcing practices, and geopolitical dependencies. Ensuring a resilient and sustainable supply chain for EV manufacturing requires diversification of sourcing locations, development of alternative materials, and implementation of transparency and accountability measures throughout the supply chain.
Segments Insights:
Product Insights
Based on product, the U.S. electric mobility market can be categorized into segments such as the electric bicycle, electric scooter, electric skateboard, electric car, electric motorcycle, and electric wheelchair. The electric car segment dominated the market in 2023 and accounted for an overall market share of 80.8%. The segment growth can be attributed to the increasing adoption rate of electric cars compared to skateboards, bicycles, and wheelchairs.
The electric motorcycle segment is expected to expand at a CAGR of 29.5% over the forecast period. The U.S. government and regulatory bodies are boosting the adoption of electric two-wheelers by proposing tax concession, which is projected to contribute to the growth prospects of the electric mobility market in the U.S. Numerous companies have also emphasized investing in the e-motorcycle business, which is expected to further support the growth of the electric motorcycles segment and the overall electric mobility in the U.S. For instance, in July 2019, Harley-Davidson launched Livewire, its first electric motorcycle.
Battery Insights
Based on battery, the market is segmented into sealed lead acid, Li-ion, and NiMH. The Li-Ion battery segment dominated the market in 2023 and accounted for 57.0% of the market share. The increasing awareness of adopting eco-friendly batteries and the environmental and performance advantages of Li-Ion batteries over NiMH and sealed lead-acid batteries have boosted the demand for Li-Ion batteries. Li-Ion battery’s performance s expected to position Li-Ion technology as a global mainstream battery technology for electric vehicles over the forecast period. Furthermore, the price of Li-Ion batteries is projected to witness a significant decline owing to low-cost cathode composition in the coming years, reducing the overall cost of electric vehicles.
The NiMH battery segment is projected to expand at a CAGR of 19.9% over the forecast period. NiMH batteries offer 500 complete charge cycles before their replacement. They have a better battery lifecycle compared to lead-acid batteries and are lightweight. The NiMH battery segment is projected to grow significantly as these batteries experience reduced degradation and premature aging with time. Moreover, research is being carried out to advance the NiMH battery technology to reduce its production cost by USD 150 per kilowatt per hour and upsurge its energy density.
Voltage Insights
Based on voltage, the market can be segmented into 24V, 36V, 48V, and greater than 48V. The 24V segment accounted for 37.9% of the overall revenue in 2023. These batteries hold high compatibility with electric vehicles and offer greater power output, which is anticipated to support the segment growth over the forecast period. However, the surge in the demand for 48V batteries owing to growing customer preferences for vehicles with long-lasting battery range to avoid frequent charging of the battery is expected to fuel the growth of the 48V batteries segment.
The 48V segment is projected to register a CAGR of 21.2% from 2021 to 2028. The use of higher voltage levels, for instance, scooters with 48V, offers advantages such as high efficiency, less electric consumption, and better power for the vehicle. These voltage systems help reduce carbon dioxide emissions at acceptable cost levels. Furthermore, these systems offer features such as air conditioning compressors and turbochargers, which are challenging to implement in 12V or 24V systems. The need to mitigate carbon footprint is anticipated to increase the demand for high voltage electric scooters.
Some of the prominent players in the U.S. electric mobility market include:
Segments Covered in the Report
This report forecasts revenue growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2021 to 2033. For this study, Nova one advisor, Inc. has segmented the global U.S. electric mobility market.
Product
Electric Scooter by Product
Battery
Voltage
By Region
Cross-segment Market Size and Analysis for Mentioned Segments
Additional Company Profiles
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Additional Countries (Apart
From Mentioned Countries)
Country/Region-specific Report
Go To Market Strategy
Region Specific Market DynamicsRegion Level Market Share Import Export AnalysisProduction AnalysisOthers