Electric Vehicles - Denmark

Denmark

In 2024, the revenue in the Electric Vehicles market in Denmark is projected to reach US$4,658.0m.
It is expected to show an annual growth rate (CAGR 2024-2028) of 12.40%, resulting in a projected market volume of US$7,434.0m by 2028.
The unit sales of Electric Vehicles market in Denmark are expected to reach 110.90k vehicles in 2028.
The volume weighted average price of Electric Vehicles market in Denmark in 2024 is expected to amount to US$68.8k.
From an international perspective, it is shown that the most revenue will be generated in China with US$319,000m in 2024.
Denmark has emerged as a global leader in the electric vehicle market, with a strong focus on sustainable transportation and a comprehensive charging infrastructure.

Key regions: United States, Germany, Netherlands, China, United Kingdom

Market

Region

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Currency

Analyst Opinion

Denmark has seen a significant growth in the Electric Vehicles (EV) market in recent years, with a rising number of consumers opting for electric vehicles over traditional gasoline-powered cars.

Customer preferences: One of the main reasons behind the increasing popularity of electric vehicles in Denmark is the growing concern for the environment. Danish consumers are becoming more conscious of their carbon footprint and are actively seeking greener transportation options. Electric vehicles offer a more sustainable and eco-friendly alternative to conventional cars, as they produce zero emissions and contribute to reducing air pollution.

Trends in the market: The Danish government has played a crucial role in promoting the adoption of electric vehicles by implementing various incentives and policies. These include tax exemptions, reduced registration fees, and access to bus lanes and toll-free roads. Such incentives have made electric vehicles more affordable and convenient for consumers, encouraging them to make the switch. Moreover, the infrastructure for electric vehicles has been rapidly expanding in Denmark. The country has witnessed a significant increase in the number of charging stations, making it easier for EV owners to recharge their vehicles. This infrastructure development has alleviated the concerns of range anxiety, which was one of the major barriers to electric vehicle adoption.

Local special circumstances: Denmark's small geographical size and well-developed public transportation system have also contributed to the growth of the electric vehicle market. The average daily commute in Denmark is relatively short, making electric vehicles a practical choice for many residents. Additionally, the availability of public charging infrastructure has made it more convenient for people to own and use electric vehicles.

Underlying macroeconomic factors: Denmark's commitment to renewable energy has had a positive impact on the electric vehicle market. The country has set ambitious targets for reducing greenhouse gas emissions and increasing the share of renewable energy in its energy mix. This commitment has created a favorable environment for the growth of the electric vehicle industry, as it aligns with the country's broader sustainability goals. Furthermore, the Danish government's focus on innovation and technology has attracted investment in the electric vehicle sector. The country has a strong reputation for promoting clean technology and has fostered a supportive ecosystem for startups and companies in the electric vehicle industry. This has led to the development of innovative electric vehicle models and technologies, further driving the market growth. In conclusion, Denmark's Electric Vehicles market has experienced significant growth due to customer preferences for sustainable transportation options, government incentives and policies, expanding charging infrastructure, local special circumstances such as short commutes and a well-developed public transportation system, and underlying macroeconomic factors such as the country's commitment to renewable energy and focus on innovation. These factors have created a favorable environment for the adoption and growth of electric vehicles in Denmark.

Methodology

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).