Electric Vehicle Relay Market is Estimated to Witness High Growth Owing to Surging Demand
Electric Vehicle Relay Market is Estimated to Witness High Growth Owing to Surging Demand
Blog Article
The electric vehicle relay market has gained significant traction over the past couple of years owing to the rising demand for efficient electric vehicles. Electric vehicle relays play a vital role in functioning of electric vehicles as they control signals, energize/de-energize circuits and allow for smooth transmission of electric currents. These relays are used widely in electric vehicles across various components like battery management systems, door locks, HVAC systems and drivetrain components. The growing environmental concerns and stringent emission norms across the globe are majorly propelling the adoption rate of electric vehicles which in turn boost the demand for high-quality electric vehicle relays used in them.
The global electric vehicle relay market is estimated to be valued at USD 12.09 Bn in 2024 and is expected to reach USD 30.45 Bn by 2031, exhibiting a compound annual growth rate (CAGR) of 14.1% from 2024 to 2031.
Key Takeaways
Key players operating in the electric vehicle relay market are Omron Corporation, Panasonic Corporation, TE Connectivity, HELLA GmbH & Co. KGaA, Fujitsu and Xiamen Hongfa Electroacoustic Co.,Ltd.
Surging investments by governments and rising consumer awareness regarding eco-friendly vehicles presents significant growth opportunities in the electric vehicle relay market. Major automotive companies are increasingly focusing on developing energy-efficient electric vehicles which will further propel the demand for electric vehicle relays globally.
The market is witnessing rapid expansion across regions including Asia Pacific, North America and Europe attributed to supportive government policies and growing charging infrastructure for Electric Vehicle Relay Market Growth. Developing nations in Asia are emerging as promising markets for electric vehicle relays owing to rapidly expanding electric mobility sector.
Market Drivers
The demand for electric vehicle relays is primarily driven by surging adoption of electric vehicles worldwide on account of stringent emission norms. Growing investment by leading automakers in development of innovative electric vehicles incorporating advanced battery management technologies and drivetrain components is creating continued necessity for high-quality electric vehicle relays. Furthermore, rapid expansion of charging infrastructure and rising consumer inclination towards energy-efficient vehicles are bolstering the electric vehicle relay market growth.
PEST Analysis
Political: Countries are focusing to reduce carbon emission and promoting electric vehicles. They are providing subsidies and incentives for purchasing electric vehicles.
Economic: Lower fuel costs of electric vehicles attracts customer. People are willing to pay more for electric vehicles due to growing environmental concern.
Social: People are becoming health conscious and focusing on well-being. Lower noise and zero emission is preferred by majority. Safety features attracts customer for electric vehicles.
Technological: Advance batteries with higher mileage range, fast charging infrastructure, connectivity features etc. are increasing adoption of electric vehicles. Developments in autonomous technologies will further drive the market.
Geographical Regions
Currently, China leads the electric vehicles market in terms of value, followed by Europe and United States. In China, the government aggressively promotes electric vehicles to reduce air pollution in major cities. It offers purchase subsidies and has developed large charging infrastructure which has resulted in high adoption of electric vehicles. Europe is also focusing to ban sales of petrol and diesel cars by 2035, pushing automakers to invest more in electric vehicles.
Fastest Growing Region
The electric vehicles market is expected to grow substantially in Asia Pacific region excluding China in coming years. Countries like India, Japan, South Korea are undertaking various initiatives to increase electric vehicle sales. India launched FAME scheme offering purchase incentives. Japan aims electric vehicles to constitute 50% of new car sales by 2030. Along with subsidies and tax benefits, establishing charging infrastructure will drive faster adoption in the region.
Get more insights on Electric Vehicle Relay Market
Alice Mutum is a seasoned senior content editor at Coherent Market Insights, leveraging extensive expertise gained from her previous role as a content writer. With seven years in content development, Alice masterfully employs SEO best practices and cutting-edge digital marketing strategies to craft high-ranking, impactful content. As an editor, she meticulously ensures flawless grammar and punctuation, precise data accuracy, and perfect alignment with audience needs in every research report. Alice's dedication to excellence and her strategic approach to content make her an invaluable asset in the world of market insights.
(LinkedIn: www.linkedin.com/in/alice-mutum-3b247b137 )