EVs and Charging Industry Poised to Take Off as the World Chases Decarbonization and Net Zero, Says TrendForce

According to TrendForce research, sales of electric vehicles (EVs) that can be externally charged or refueled such as BEVs, PHEVs, and FCVs are estimated to exceed 25% of global new vehicle sales by 2025. The main driving force in the market comes from accelerated worldwide decarbonization. In order to meet the goals of carbon neutrality, nations and corporations will eliminate internal combustion vehicles that are highly dependent on fossil fuels and also major carbon emitters.

Many industries have ascended along with EVs and charging facilities are one of the largest non-vehicle business opportunities. The extensiveness of charging facilities is key to the sustainable growth of EVs in any given country. According to TrendForce's observations, national budgetary allocations will accelerate towards supporting the construction of charging facilities and establishing systems and standards. In addition, the ratio of chargers per EV has also been separated from evaluation benchmarks based solely on quantity of chargers constructed. Instead, proper planning is to be carried out according to different locations and specifications which means there are many developmental aspects of charging facilities worth noting, not just quantity constructed.

According to TrendForce, the development of charging technology is closely linked with vehicles and facilities including high-voltage fast charging, vehicle-to-grid (V2G), and Plug & Charge, all of which require vehicle and facility collaboration. In addition, the imminence of global net zero not only accelerates the production and sales of EVs, it has also focused attention on power sources for supplying EVs. Therefore, the use of renewable power generation in charging stations has also become an important trend.

Taiwan plans to ban the sale of internal combustion vehicles in 2040 and the "pledge to zero-emissions vehicles" signed at the COP26 United Nations Climate Change Conference also aims to achieve zero emissions for new cars and vans worldwide by 2040 and zero emissions in leading markets before 2035. This period will see a surge in the development of the EV and charging industries.

TrendForce will premiere our webinar "Charging Battle for a Low-Carbon Future, Key Deployment in the Electric Vehicle Industry" at 10:00AM on July 13 (Wednesday). The event will be attended by TrendForce Research Manager Caroline Chen and two industry representatives who will share their experience in the current development, key issues, and future trends related to EVs and extend their perspective into the growth prospects of charging facilities.

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