Electric Vehicle Market Size, Share & Trends Analysis growing at a CAGR of 32.5% from 2025 to 2030

Many countries are implementing stringent emission regulations and providing subsidies, tax benefits, and other incentives to both consumers and manufacturers, encouraging the shift from internal combustion engine vehicles to electric alternatives. Besides, advancements in battery technology are significantly enhancing the range, performance, and affordability of EVs. Innovations such as solid-state batteries and improvements in lithium-ion batteries are reducing costs and increasing energy density, making EVs more appealing to consumers.

The expansion of the transportation and logistics sectors significantly drives the rising demand for EVs. As global trade and e-commerce continue to surge, there is an increased need for efficient and sustainable transportation solutions. Electric vehicles offer a promising alternative to traditional internal combustion engines, as they produce lower emissions and reduce operational costs. This shift is particularly evident in urban areas where delivery services are increasing, and the need to mitigate air pollution is critical. Consequently, logistics companies are increasingly integrating electric vans and trucks into their fleets, driven by both regulatory pressures and the economic benefits of lower fuel and maintenance expenses. For instance, in May 2024, Amazon deployed heavy-duty electric trucks across Southern California for freight operations. The introduction of the 50 heavy-duty electric trucks in the region is a step towards decarbonization through first, middle, and last-mile delivery.