Electric Vehicles - Western Asia

Western Asia

The Electric Vehicles market in Western Asia is expected to experience significant growth in the coming years.
By 2024, it is projected to reach a revenue of US$2,549.0m, with an annual growth rate of 7.23% from 2024 to 2028.
This growth is expected to result in a market volume of US$3,370.0m by 2028.
In terms of unit sales, the Electric Vehicles market in Western Asia is predicted to reach 60.27k vehicles units by 2028.
The volume weighted average price of Electric Vehicles market in the region is estimated to be US$56.3k in 2024.
When considering the international perspective, it is noteworthy that in China will generate the highest revenue in the Electric Vehicles market, with an estimated revenue of US$319,000m in 2024.
The market segment of Electric Vehicles market shows promising potential for growth and development in Western Asia.
In Western Asia, the adoption of electric vehicles is steadily increasing, with government initiatives and infrastructure investments driving growth in the market.

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

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Analyst Opinion

The Electric Vehicles market in Western Asia is experiencing significant growth due to several key factors. Customer preferences for environmentally friendly transportation options, government incentives and support, and the region's abundant oil reserves are all contributing to the development of the market.

Customer preferences: Customers in Western Asia are increasingly showing a preference for electric vehicles (EVs) due to their lower environmental impact compared to traditional gasoline-powered vehicles. The rising awareness of climate change and the need for sustainable transportation options have led to an increased demand for EVs in the region. Additionally, customers are attracted to the lower operating costs and potential long-term savings associated with EVs, as they require less maintenance and have lower fuel costs.

Trends in the market: One of the key trends in the Electric Vehicles market in Western Asia is the increasing availability of charging infrastructure. Governments in the region are investing in the development of charging stations to support the growing number of EVs on the roads. This infrastructure expansion is crucial to address customer concerns about range anxiety and to encourage more people to adopt EVs. Another trend in the market is the emergence of local EV manufacturers. Some countries in Western Asia are investing in developing their own EV manufacturing capabilities to reduce reliance on imported vehicles and support the growth of domestic industries. This trend is expected to further boost the adoption of EVs in the region and create new job opportunities.

Local special circumstances: One of the unique circumstances in Western Asia is the abundance of oil reserves. While this may seem contradictory to the growth of the EV market, it actually plays a significant role. Governments in the region are aware of the finite nature of oil reserves and the need to diversify their economies. By promoting the adoption of EVs, they are reducing domestic oil consumption and creating new industries around clean energy technologies.

Underlying macroeconomic factors: The governments in Western Asia are playing a crucial role in driving the growth of the Electric Vehicles market through various incentives and support programs. These include subsidies for EV purchases, tax incentives, and the development of charging infrastructure. Additionally, the region's strong economic growth and increasing urbanization are creating a favorable environment for the adoption of EVs. In conclusion, the Electric Vehicles market in Western Asia is experiencing significant growth due to customer preferences for environmentally friendly transportation options, government support and incentives, the increasing availability of charging infrastructure, the emergence of local EV manufacturers, and the region's unique circumstances of abundant oil reserves. These factors are driving the adoption of EVs and supporting the development of a sustainable transportation ecosystem in the region.

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).