Battery Electric Vehicles - Southern Europe

Southern Europe

Highlights

In Southern Europe, the revenue in the Battery Electric Vehicles market is projected to reach US$13.6bn by 2024.
It is expected to demonstrate a compound annual growth rate (CAGR 2024-2029) of 14.45%, resulting in a projected market volume of US$26.8bn by 2029.
By that time, the unit sales in the Battery Electric Vehicles market are expected to reach 494.70k vehicles.
Moreover, in 2024, the volume weighted average price of Battery Electric Vehicles market in Southern Europe is anticipated to be US$54.2k.
When considering the global market, it is noteworthy that China is expected to generate the highest revenue, amounting to US$211bn in 2024.
In Southern Europe, the adoption of Battery Electric Vehicles is steadily increasing, with Spain leading the way in terms of government incentives and charging infrastructure development.

Key regions:

Market definitionIn-Scope/Out-of-scopeMarket structureMethodology

Battery Electric Vehicles (BEVs) have been gaining significant traction in Southern Europe in recent years. Customer preferences for environmentally friendly transportation options, coupled with favorable government policies and incentives, have contributed to the growth of the BEV market in the region.

Customer preferences: Customers in Southern Europe are increasingly opting for BEVs due to their low carbon emissions and potential cost savings. With growing concerns about climate change and air pollution, many consumers are actively seeking out greener alternatives to traditional gasoline-powered vehicles. Additionally, the rising cost of fossil fuels has made electric vehicles more attractive as they offer lower operating costs and potential long-term savings.

Trends in the market: One notable trend in the BEV market in Southern Europe is the increasing availability and variety of electric vehicle models. Major automakers have been expanding their electric vehicle offerings, providing consumers with more options to choose from. This has helped to address concerns about limited choice and range anxiety, making BEVs a more viable option for a wider range of consumers. Another trend is the development of charging infrastructure. Southern European countries have been investing in the expansion of public charging stations, making it easier for BEV owners to recharge their vehicles. This has alleviated concerns about limited charging options and has increased the convenience of owning a BEV.

Local special circumstances: Southern Europe has a unique set of circumstances that make it particularly conducive to the growth of the BEV market. The region benefits from a mild climate, which is favorable for electric vehicles as extreme temperatures can affect battery performance. Additionally, many countries in Southern Europe have high levels of solar energy production, which can be used to power electric vehicles, further reducing their environmental impact.

Underlying macroeconomic factors: Government policies and incentives have played a crucial role in driving the growth of the BEV market in Southern Europe. Many countries in the region have implemented financial incentives such as tax breaks, subsidies, and grants to encourage the adoption of electric vehicles. These incentives, combined with stricter emissions regulations, have made BEVs a more attractive option for consumers. Furthermore, Southern European countries have set ambitious targets for reducing greenhouse gas emissions and transitioning to renewable energy sources. The promotion of electric vehicles aligns with these goals and has received strong support from policymakers. As a result, the BEV market in Southern Europe is expected to continue to grow in the coming years. In conclusion, the Battery Electric Vehicles market in Southern Europe is experiencing significant growth due to customer preferences for environmentally friendly transportation options, the increasing availability of electric vehicle models, the development of charging infrastructure, local special circumstances such as a mild climate and high solar energy production, and favorable government policies and incentives. These factors are driving the adoption of BEVs in the region and are expected to continue to fuel market growth in the future.

Data coverage:

The data encompasses B2C enterprises. Figures are based on the sales of new passenger cars. Data on the specifications of the sold vehicles is based on the base models of the respective makes.

Modeling approach:

Market sizes are determined through a bottom-up approach, building on specific predefined factors for each market segment. As a basis for evaluating markets, we use company reports and websites, vehicle registries, car dealers, and environment agencies among other sources. In addition, we use relevant key market indicators and data from country-specific associations, such as GDP and car stock per capita. This data helps us estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the relevant market. For example, we use the ARIMA model for the Passenger Cars market. The main drivers are GDP per capita and consumer spending per capita.

Additional notes:

The data is modeled using current exchange rates. The impact of the COVID-19 pandemic and the Russia-Ukraine war are considered at a country-specific level. The market is updated twice a year. In some cases, the data is updated on an ad hoc basis (e.g., when new, relevant data has been released or significant changes within the market have an impact on the projected development).