Battery Electric Vehicles - Sri Lanka

Sri Lanka

Highlights

In 2024, the Battery Electric Vehicles market (BEV) segment in Sri Lanka is expected to generate a revenue of US$13.3m.
It is projected to grow at an annual growth rate of 7.03% (CAGR 2024-2029), reaching a market volume of US$18.6m by 2029.
The unit sales of BEVs in Sri Lanka are anticipated to reach 314.00vehicles by 2029.
The volume weighted average price of BEVs in Sri Lanka in 2024 is estimated to be US$59.5k.
When considering the international market, China is forecasted to generate the highest revenue in the BEV segment, with an estimated amount of US$211bn in 2024.
Sri Lanka is witnessing a growing interest in Battery Electric Vehicles as the government incentivizes their adoption to reduce carbon emissions.

Key regions:

Market definitionIn-Scope/Out-of-scopeMarket structureMethodology

The Battery Electric Vehicles market in Sri Lanka is experiencing significant growth and development.

Customer preferences: Customers in Sri Lanka are increasingly showing a preference for Battery Electric Vehicles (BEVs) due to their environmental benefits and cost savings. BEVs produce zero emissions, helping to reduce air pollution and combat climate change. Additionally, the lower operating costs of BEVs, compared to traditional internal combustion engine vehicles, make them an attractive option for cost-conscious consumers.

Trends in the market: One of the key trends in the BEV market in Sri Lanka is the increasing availability of charging infrastructure. As more charging stations are installed across the country, it becomes easier for BEV owners to charge their vehicles and overcome range anxiety. This trend is driven by both government initiatives and private investments in charging infrastructure. Another trend in the market is the growing number of BEV models available in Sri Lanka. As global automakers expand their electric vehicle portfolios, consumers in Sri Lanka have a wider range of options to choose from. This increased availability of models, coupled with the government's push for electric mobility, is driving the adoption of BEVs in the country.

Local special circumstances: Sri Lanka has set ambitious targets for the adoption of electric vehicles. The government aims to have at least 20% of all vehicles on the road be electric by 2025. To achieve this goal, the government has implemented various incentives and policies to promote the adoption of BEVs. These include tax exemptions, import duty reductions, and subsidies for BEV purchases.

Underlying macroeconomic factors: Several macroeconomic factors are contributing to the development of the BEV market in Sri Lanka. The country's growing middle class and rising disposable incomes are driving consumer demand for vehicles, including BEVs. Additionally, Sri Lanka's commitment to reducing its carbon footprint and dependence on imported fossil fuels is pushing the government to promote electric mobility. In conclusion, the Battery Electric Vehicles market in Sri Lanka is experiencing growth and development due to customer preferences for environmentally-friendly and cost-effective transportation options. The availability of charging infrastructure, a wider range of BEV models, government incentives, and favorable macroeconomic factors are all contributing to the expansion of the BEV market in Sri Lanka.

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).