Over the last decade, electric motorcycles and scooters market has grown at an admirably remarkable pace, with the growing popularity of battery vehicles that are considered to be the future of transportation.
According to Global Market Insights, driven by regulatory support and continuous emergence of new contenders, the electric motorcycles & scooters market will surpass revenue collection of $22 billion by the end of 2024.
As of now, though conventional vehicles are quite overtly being adopted on a large scale across the globe, the increasing importance for green transportation for reducing GHG emissions is also propelling the deployment of e-bikes. The vigorously fluctuating fossil fuel prices is also one of the major factors leaving a positive influence on e-motorcycles and scooters industry outlook.
Considering the economic and energy efficiency benefits of e-bikes, regulatory bodies of various countries have decided to encourage the masses to adopt these zero-emission vehicles. In this regard, many regional governments already have implemented supportive policies which will further fuel the product demand.
Speaking along the same lines, some of the countries have already instructed automakers to stop producing conventional vehicles. In accordance, most of the leading automakers comprising Honda, Yamaha, and Harley-Davidson have been working on the development of zero-emission vehicles.
In addition, many startups are also investing in the electric motorcycles and scooters industry that will further contribute to generating a competitive business scenario over the years ahead.
A synopsis of electric motorcycles & scooters market in terms of the efforts undertaken by pivotal industry participants:
Currently, in order to stay aligned with the thriving electric vehicle industry trends, several motorcycle manufacturers have started involving themselves in strategic business expansions.
On the grounds of the same, they have been signing long-term deals with battery suppliers and local automobile manufacturers that will help them expand their businesses across myriad geographies.
Validating the aforementioned fact, recently, Yamaha Motor Co. collaborated with the Taiwanese small-scale startup Gogoro Inc. which mainly develops electric scooters and battery swapping infrastructure.
With this collaboration, Yamaha will strengthen its design, engineering, and marketing expertise, while Gogoro will enable new mobility services for Yamaha across the Taiwan electric motorcycles and scooters market.
Prior to this deal, Yamaha has already established its research and development center in Taiwan which also will turn out to be beneficial for this Japanese scooter manufacturer to expand its product line-up.
In the electric vehicle industry, electric motorcycles will be one of the fastest growing product segments over the years ahead, as many start-ups are making their presence across several geographies.
Reportedly, the electric motorcycles market is forecast to register a CAGR of 10% over 2018-2024. In the US, Fly Free has entered into electric motorcycles and scooters market by collaborating with already established giants like Alta, GenZe, and Zero. With the development of a classic design and easy operational motorcycles, Fly Free is hoping to attract more consumers.
The US-based leading motorcycle manufacturer, Harley-Davidson Motorcycle Co. has recently decided to open R&D center in California in order to develop technologies related to electric motorcycles.
The company is planning to launch its first ever electric powered motorcycles by the end of 2019 and it also looks forward to expanding the EV lineup comprising scooters and motorcycles over the years ahead. In terms of commercialization, U.S. electric motorcycles and scooters market is forecast to record a remarkable CAGR of 16.4% over 2018-2024.
Asian countries like India and China are now switching their interest toward the deployment of electric fleets for reducing the carbon dioxide emissions.
Though, India is one of the emerging economies across the globe, an increasing number of polluted cities across the country may hamper its future economic growth. Reportedly, out of the 35 most polluted cities in the world, 19 cities are in India.
In order to combat the issue, the Indian government has decided to increase the dependency on EVs. Driven by the shifting focus toward electric fleet infrastructure, India will further enhance its economy by reducing investments on oil imports.
Moreover, in order to encourage the masses to adopt electric vehicles, the government is also taking favorable steps to reduce the vehicle cost by promoting entrepreneurs and innovators to develop more economical products.
The favorable initiatives taken by the automakers and governments to improve the sales of zero-emission vehicles is poised to propel APAC electric motorcycles and scooters industry share over the years ahead.
The changing trends toward the adoption of zero-emission vehicles across the globe for controlling pollution and improving energy efficiency have become fruitful for ride-hailers. In fact, they have been rapidly investing in electric motorcycles and scooters industry for deploying an increased number of zero-emission vehicles for daily commutes.
For instance, renowned cab service provider Uber has collaborated with the US based leading provider of electric solutions and automation, Lime Electric to rent electric bikes. The increasing demand for electric motorcycles, mopeds, and scooters in the major cities will emerge to be beneficial for Uber to expand its business in electric motorcycles and scooters market prominently.
It is noteworthy to mention that the urban population will shift their focus toward the emission-free mode of transportation over the years ahead pertaining to the increasing concern about the adverse impact of GHG emissions on climatic conditions.
The growing importance for green transportation for daily commute across the globe will thus stimulate the product demand over the years ahead