Electric Vehicles - Southern Europe

The Electric Vehicles market in Southern Europe is projected to generate a revenue of US$24.2bn by 2024.
This market is expected to experience an annual growth rate (CAGR 2024-2029) of 15.29%, leading to a projected market volume of US$49.3bn by 2029.
The unit sales of Electric Vehicles market in Southern Europe are anticipated to reach 883.50k vehicles by 2029.
The volume weighted average price of Electric Vehicles market in Southern Europe in 2024 is estimated to be US$55.4k.
From an international standpoint, it is evident that China will generate the highest revenue, amounting to US$376bn in 2024.
In Southern Europe, Spain is leading the charge in the electric vehicle market with a surge in government incentives and the development of a robust charging infrastructure.

CO2 emissions exert a profound influence on climate and the environment, fueling the greenhouse effect and contributing significantly to global climate change. Nearly one-fourth of these emissions worldwide can be attributed to the transportation sector. Electric vehicles (EVs) emerge as a promising solution, potentially acting as a carbon-neutral alternative when powered by renewable energy sources. This underscores their pivotal role in mitigating the impact of traditional combustion engine vehicles on the environment.

The Electric Vehicles market includes information about electric vehicles in countries where, according to our sources, a public electric vehicle charging infrastructure is already available. In this context, “public” means that people have unrestricted access to the charging infrastructure. A vehicle can be defined as electric if it is self-contained with a battery or classified as a plug-in hybrid. All key figures shown represent the sales of new cars, and their basic configuration in the respective year. The figures do not include the sale of used vehicles nor adapted equipment for the new cars sold. The prices and revenues shown are accordingly based on the basic models.

The Electric Vehicle market is divided into distinct two distinct markets, namely Battery Electric Vehicles (BEVs) and Plug-in Hybrid Electric Vehicles (PHEVs). This categorization allows for a nuanced understanding of the market dynamics, considering the specific attributes and market penetration of each electric vehicle type. The emphasis on new car sales and their foundational configurations ensures clarity, while the exclusion of used vehicles and customizations maintains focus on the evolving landscape of electric vehicles.

Battery electric vehicles (BEVs)
Plug-in hybrid electric vehicles (PHEVs)
Road electric vehicles
Passenger Cars

Electric vehicles that are not self-contained and cannot be classified as BEVs or PHEVs
Rail electric vehicles
Surface and underwater vessels
Electric aircraft or spacecraft
Motorcycles, scooters, mopeds, buses, vans, and trucks

The Electric Vehicles market in Southern Europe has been experiencing significant growth in recent years. Customer preferences, trends in the market, local special circumstances, and underlying macroeconomic factors have all contributed to this development.

Customer preferences in Southern Europe have shifted towards more sustainable and environmentally-friendly transportation options. As awareness of climate change and the need to reduce carbon emissions has increased, consumers are becoming more inclined to choose electric vehicles over traditional gasoline-powered cars. Additionally, the rising cost of fossil fuels and the desire for lower operating costs have also influenced customer preferences towards electric vehicles.

One of the key trends in the Electric Vehicles market in Southern Europe is the increasing availability of charging infrastructure. Governments and private companies have been investing in the development of charging stations to meet the growing demand for electric vehicles. This trend has made electric vehicles a more viable option for consumers, as they have greater confidence in the availability of charging facilities.

Furthermore, advancements in battery technology have led to longer driving ranges for electric vehicles, addressing one of the initial concerns of potential buyers. Local special circumstances in Southern Europe have also played a role in the growth of the Electric Vehicles market. Many countries in the region have implemented favorable policies and incentives to promote the adoption of electric vehicles.

These include tax incentives, subsidies, and exemptions from congestion charges or tolls. Such measures have made electric vehicles more affordable and attractive to consumers, further driving market growth. Underlying macroeconomic factors have also contributed to the development of the Electric Vehicles market in Southern Europe.

The region has experienced economic growth and increasing disposable incomes, allowing consumers to consider more sustainable and technologically advanced transportation options. Additionally, the European Union's ambitious targets for reducing carbon emissions have pushed governments in Southern Europe to prioritize the adoption of electric vehicles and invest in the necessary infrastructure. In conclusion, the Electric Vehicles market in Southern Europe is growing due to customer preferences for more sustainable transportation options, the increasing availability of charging infrastructure, favorable policies and incentives, and underlying macroeconomic factors.

As these trends continue to evolve and the market matures, the Electric Vehicles market in Southern Europe is expected to experience further growth in the coming years.

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).

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For the first time in the past decade, lithium-ion battery pack costs increased in 2022 due to the raw material and battery component soaring price inflation. However, this increase in production cost has not slowed down the global electric vehicle (EV)market. Electric vehicle sales have increased tremendously over the past decade.