The hybrid electric car market sales volume will power at a rate of 20.1% by the end of this decade, to touch 9.9 million units by 2030. This is because of the growing application of strict emission norms, mounting government support, and increasing environmental consciousness amongst customers in several nations.
In the years to come, the demand is powered by the emission standards for vehicles, decreasing sales of diesel passenger cars, dropping prices of li-ion batteries, and growing count of models.
The electric car battery pack cost dropped significantly in the last decade and it is expected to decline further. Thus, li-ion batteries are expected to witness a steep decline in prices compared to NiMH batteries during the forecast period. With increasing investments in li-ion and the high manufacturing capacity of companies such as Tesla and Nissan, an oversupply of li-ion batteries is expected in the coming years, which will further decrease the prices of battery packs in the forecast period.
In 2020, there were about 160 gigawatt hours of EV li-ion battery capacity, which is 33% over in 2019. As per industry experts, the li-ion batteries cost will fall more, which will benefit the industry. The lower price of batteries will likewise create novel prospects for the players to surge battery range and capacity.
One of the key factors powering the growth of the hybrid electric car market is the growing fuel economy provided by HEVs as opposed to conventional cars, which run completely on the engine.
These cars decrease the consumption of fuel by 15–40% as opposed to non-hybrid cars. Moreover, the new-gen hybrid car model offers better fuel competence than the preceding-generation models, also driving the industry growth.
It is because of the increasing support of the government all over the world, the demand for hybrid electric car is ion the rise. This trend will continue in the years to come as well.
