Zero Emission Vehicle Zev Market

Zero Emission Vehicle (ZEV) Market Forecasts to 2030 - Global Analysis By Vehicle Type (Battery Electric Vehicles (BEVs), Fuel Cell Electric Vehicles (FCEVs), Plug-In Hybrid Electric Vehicles (PHEVs) and Other Vehicle Types), Vehicle Drive Type (All Wheel Drive, Rear Wheel Drive and Other Vehicle Drive Types), Source of Power (Gasoline, Compressed Natural Gas (CNG) and Other Sources of Power), Top Speed, Price, Application and By Geography

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Published: 2023 ID: SMRC23488

This report covers the impact of COVID-19 on this global market

According to Stratistics MRC, the Global Zero Emission Vehicle (ZEV) Market is accounted for $248.0 billion in 2023 and is expected to reach $1,350.9 billion by 2030 growing at a CAGR of 27.4% during the forecast period. A vehicle classified as zero emission (ZEV) does not release any pollutants through its exhaust from its onboard power source. These vehicles operate on alternative energy sources such battery electricity, natural gas, and solar power and have significant emission reductions over traditional vehicles. It is primarily intended to replace traditional modes of transportation because they cause pollution. Currently, the majority of zero emission vehicles use an extremely effective electric drive system that combines high voltage storage batteries, a fast-charging system, and one or more onboard electric power production technologies, like solar panels or brake regeneration.

According to the Delhi Government, an additional 300 electric buses will be added to the city's existing fleet of 100 e-buses. Furthermore, the state plans to buy 2,000 more e-buses over the next few years.

Market Dynamics:


Surge in concern about environmental pollution

The growing trend toward automation in transportation has compelled automakers to use technology that is less harmful to the environment. The ecology is significantly worsened by emissions from internal combustion engines of vehicles since these engines release toxic substances like chlorofluorocarbons and other air pollutants through their tailpipes. In the meanwhile, zero emission vehicles (ZEVs), which generate no pollutants as exhaust gas, offer a solution to these problems. Additionally, they use solar energy to generate electricity, which is expected to lessen their reliance on fossil fuels. Therefore, it is anticipated that the usage of internal combustion engines in automobiles will decrease to a far greater extent with the advent of zero emission vehicles (ZEVs), resulting in less environmental pollution.


High manufacturing cost

ZEVs (zero emission vehicles) have advantages over regular automobiles, although they are more expensive. The high cost of the battery is primarily responsible for the additional expense of purchasing a ZEV as opposed to a fuel-powered car. In addition, compared to vehicles powered by gasoline, diesel, or compressed natural gas, zero emission vehicle production requires far larger upfront investments. The main causes of the high cost of zero emission vehicles are the use of pricey raw materials and the expensive production process. Due to the numerous unknowable factors involved in calculating the total cost of ownership of ZEVs, the significant price differential between internal combustion and zero emission cars has allowed fleet owners to engage in the zero-emission vehicle industry. Therefore, the market's growth is hampered by the high initial cost of zero emission automobiles.


Technological advancements

The use of zero-emission vehicles is increasing exponentially because they provide a way to replace fossil fuels in the transportation sector, which bodes well for their future. The manufacture of advanced zero emission vehicle systems, which are predicted to have fewer specific emissions at comparably lower prices, is a target for the automotive industry. These smaller tiny engines' affordability and compactness also give them additional utility. As a result, prominent players will have a variety of chances in the future thanks to the development of advanced GDI systems. With the help of this charging network, transportation will be carbon-neutral and emission-free. Therefore, incorporating technical advances into zero emission vehicles to make mobility emission-free is a business opportunity for ZEV market growth.


Lack of charging infrastructure

Zero emission vehicle (ZEV) market barriers have been identified as being caused by a lack of infrastructure. There aren't enough zero emission vehicle (ZEV) charging facilities in several nations throughout the world. As a result, public zero emission vehicle (ZEV) charging stations are harder to access, which lowers market demand for ZEVs. Although numerous governments are making an effort to set up a charging infrastructure for zero emission vehicles (ZEV), the majority of nations have not been able to create a sufficient number of charging stations. This presents a significant obstacle to the market expansion for zero emission vehicles (ZEVs).

Covid-19 Impact:

Uncertainty is being caused by the COVID-19 situation in the market. Governments in several areas have declared entire lockdowns and temporary closures of industries, which has a negative impact on overall production and sales. Additionally, it led to quarantines, travel restrictions, and aircraft disruptions. Additionally, the COVID-19 outbreak had a significant negative impact on the automobile industry globally, which in turn caused a significant decline in automotive sales and a shortage of raw materials. Additionally, in the midst of the epidemic, a variety of stakeholders are attempting to come up with novel solutions to manage the condition. In conclusion, the COVID-19 epidemic has harmed the automotive sector as a whole and consequently the zero-emission car sector as well.

The battery electric vehicle (BEV) segment is expected to be the largest during the forecast period

The battery electric vehicle (BEV) segment is estimated to have a lucrative growth, due to the availability of tax rebates as well as the growing desire for ecologically friendly mobility options to cut down on pollution. Government initiatives and plans that promote the adoption of environmentally friendly transportation options in order to minimize automobile pollution will cause the battery electric vehicle (BEV) market to expand.

The commercial vehicle segment is expected to have the highest CAGR during the forecast period

The commercial vehicle segment is anticipated to witness the highest CAGR growth during the forecast period. Four-wheeled cargo vehicles are known as commercial vehicles. Tonnage is used to describe the disparity in mass between light vehicles and large trucks. With more than eight seats total, including the driver's seat, and a maximum mass greater than light vehicles, buses and coaches are employed to transport passengers. Additionally, numerous governments are creating and securing commercial cars for use on the road. Commercial vehicle technology is constantly evolving, and some of these innovations will soon be necessary.

Region with largest share:

Asia Pacific is projected to hold the largest market share during the forecast period owing to due to the growing number of zero emission vehicles being sold as a result of emerging economies like India and China supporting the expansion of the Asia Pacific vehicle electrification ecosystem. Additionally, as a result of the transportation sector's increasing greenhouse gas emissions, numerous governments are promoting electrification, which will likely help this region's market for zero-emission vehicles (ZEVs) in the years to come.

Region with highest CAGR:

North American is projected to have the highest CAGR over the forecast period, owing to the North American ZEV industry is cooperating on numerous fronts to increase public knowledge of Zero Emission Vehicles (ZEV) and, subsequently, global demand. North America has the largest market because there are many significant companies there and there is a lot of money to spend there.

Key players in the market

Some of the key players in Zero Emission Vehicle (ZEV) market include Fiat, Hyundai, BMW, Kia, Chevrolet, Toyota, BYD, Tesla, Nissan, Volkswagen, Daimler AG, Motor Development International SA, Engineair Pty Ltd., Tata Motors, SEGWAY Inc., Mercedes-Benz, General Motors and Sono Motors

Key Developments:

In December 2022, BMW commenced the production of small-series hydrogen powered model. Hydrogen is a versatile energy source that has a key role to play as we progress towards climate neutrality, enabling to present customers with an attractive product range once the hydrogen economy becomes a widespread reality.

In March 2022, Kia Carens received an overwhelming response, and crossed 50,000 mark. The demand for the petrol and diesel variant of the Carens is balanced, with around 50% of the customers preferring the diesel variants of the Carens.

Vehicle Types Covered:
• Battery Electric Vehicles (BEVs)
• Fuel Cell Electric Vehicles (FCEVs)
• Plug-In Hybrid Electric Vehicles (PHEVs)
• Solar Vehicles
• Other Vehicle Types

Vehicle Drive Types Covered:
• All Wheel Drive
• Rear Wheel Drive
• Front Wheel Drive
• Other Vehicle Drive Types

Source of Powers Covered:
• Gasoline
• Compressed Natural Gas (CNG)
• Diesel
• Other Sources of Power

Top Speeds Covered:
• Less Than 100 MPH
• 100 to 125 MPH
• More Than 125 MPH

Prices Covered:
• Mid-Priced
• Luxury

Applications Covered:
• Commercial Vehicle
• Passenger Vehicle
• Two Wheelers
• Other Applications

Regions Covered:
• North America
o US
o Canada
o Mexico
• Europe
o Germany
o UK
o Italy
o France
o Spain
o Rest of Europe
• Asia Pacific
o Japan
o China
o India
o Australia
o New Zealand
o South Korea
o Rest of Asia Pacific
• South America
o Argentina
o Brazil
o Chile
o Rest of South America
• Middle East & Africa
o Saudi Arabia
o Qatar
o South Africa
o Rest of Middle East & Africa

What our report offers:
- Market share assessments for the regional and country-level segments
- Strategic recommendations for the new entrants
- Covers Market data for the years 2021, 2022, 2023, 2026, and 2030
- Market Trends (Drivers, Constraints, Opportunities, Threats, Challenges, Investment Opportunities, and recommendations)
- Strategic recommendations in key business segments based on the market estimations
- Competitive landscaping mapping the key common trends
- Company profiling with detailed strategies, financials, and recent developments
- Supply chain trends mapping the latest technological advancements

Free Customization Offerings:
All the customers of this report will be entitled to receive one of the following free customization options:
• Company Profiling
o Comprehensive profiling of additional market players (up to 3)
o SWOT Analysis of key players (up to 3)
• Regional Segmentation
o Market estimations, Forecasts and CAGR of any prominent country as per the client's interest (Note: Depends on feasibility check)
• Competitive Benchmarking
o Benchmarking of key players based on product portfolio, geographical presence, and strategic alliances

Table of Contents

1 Executive Summary

2 Preface
2.1 Abstract
2.2 Stake Holders
2.3 Research Scope
2.4 Research Methodology
2.4.1 Data Mining
2.4.2 Data Analysis
2.4.3 Data Validation
2.4.4 Research Approach
2.5 Research Sources
2.5.1 Primary Research Sources
2.5.2 Secondary Research Sources
2.5.3 Assumptions

3 Market Trend Analysis
3.1 Introduction
3.2 Drivers
3.3 Restraints
3.4 Opportunities
3.5 Threats
3.6 Application Analysis
3.7 Emerging Markets
3.8 Impact of Covid-19

4 Porters Five Force Analysis
4.1 Bargaining power of suppliers
4.2 Bargaining power of buyers
4.3 Threat of substitutes
4.4 Threat of new entrants
4.5 Competitive rivalry

5 Global Zero Emission Vehicle (ZEV) Market, By Vehicle Type
5.1 Introduction
5.2 Battery Electric Vehicles (BEVs)
5.3 Fuel Cell Electric Vehicles (FCEVs)
5.4 Plug-In Hybrid Electric Vehicles (PHEVs)
5.5 Solar Vehicles
5.6 Other Vehicle Types

6 Global Zero Emission Vehicle (ZEV) Market, By Vehicle Drive Type
6.1 Introduction
6.2 All Wheel Drive
6.3 Rear Wheel Drive
6.4 Front Wheel Drive
6.5 Other Vehicle Drive Types

7 Global Zero Emission Vehicle (ZEV) Market, By Source of Power
7.1 Introduction
7.2 Gasoline
7.3 Compressed Natural Gas (CNG)
7.4 Diesel
7.5 Other Sources of Power

8 Global Zero Emission Vehicle (ZEV) Market, By Top Speed
8.1 Introduction
8.2 Less Than 100 MPH
8.3 100 to 125 MPH
8.4 More Than 125 MPH

9 Global Zero Emission Vehicle (ZEV) Market, By Price
9.1 Introduction
9.2 Mid-Priced
9.3 Luxury

10 Global Zero Emission Vehicle (ZEV) Market, By Application
10.1 Introduction
10.2 Commercial Vehicle
10.3 Passenger Vehicle
10.4 Two Wheelers
10.5 Other Applications

11 Global Zero Emission Vehicle (ZEV) Market, By Geography
11.1 Introduction
11.2 North America
11.2.1 US
11.2.2 Canada
11.2.3 Mexico
11.3 Europe
11.3.1 Germany
11.3.2 UK
11.3.3 Italy
11.3.4 France
11.3.5 Spain
11.3.6 Rest of Europe
11.4 Asia Pacific
11.4.1 Japan
11.4.2 China
11.4.3 India
11.4.4 Australia
11.4.5 New Zealand
11.4.6 South Korea
11.4.7 Rest of Asia Pacific
11.5 South America
11.5.1 Argentina
11.5.2 Brazil
11.5.3 Chile
11.5.4 Rest of South America
11.6 Middle East & Africa
11.6.1 Saudi Arabia
11.6.2 UAE
11.6.3 Qatar
11.6.4 South Africa
11.6.5 Rest of Middle East & Africa

12 Key Developments
12.1 Agreements, Partnerships, Collaborations and Joint Ventures
12.2 Acquisitions & Mergers
12.3 New Product Launch
12.4 Expansions
12.5 Other Key Strategies

13 Company Profiling
13.1 Fiat
13.2 Hyundai
13.3 BMW
13.4 Kia
13.5 Chevrolet
13.6 Toyota
13.7 BYD
13.8 Tesla
13.9 Nissan
13.10 Volkswagen
13.11 Daimler AG
13.12 Motor Development International SA
13.13 Engineair Pty Ltd.
13.14 Tata Motors
13.15 SEGWAY Inc.
13.16 Mercedes-Benz
13.17 General Motors
13.18 Sono Motors

List of Tables
1 Global Zero Emission Vehicle (ZEV) Market Outlook, By Region (2021-2030) ($MN)
2 Global Zero Emission Vehicle (ZEV) Market Outlook, By Vehicle Type (2021-2030) ($MN)
3 Global Zero Emission Vehicle (ZEV) Market Outlook, By Battery Electric Vehicles (BEVs) (2021-2030) ($MN)
4 Global Zero Emission Vehicle (ZEV) Market Outlook, By Fuel Cell Electric Vehicles (FCEVs) (2021-2030) ($MN)
5 Global Zero Emission Vehicle (ZEV) Market Outlook, By Plug-In Hybrid Electric Vehicles (PHEVs) (2021-2030) ($MN)
6 Global Zero Emission Vehicle (ZEV) Market Outlook, By Solar Vehicles (2021-2030) ($MN)
7 Global Zero Emission Vehicle (ZEV) Market Outlook, By Other Vehicle Types (2021-2030) ($MN)
8 Global Zero Emission Vehicle (ZEV) Market Outlook, By Vehicle Drive Type (2021-2030) ($MN)
9 Global Zero Emission Vehicle (ZEV) Market Outlook, By All Wheel Drive (2021-2030) ($MN)
10 Global Zero Emission Vehicle (ZEV) Market Outlook, By Rear Wheel Drive (2021-2030) ($MN)
11 Global Zero Emission Vehicle (ZEV) Market Outlook, By Front Wheel Drive (2021-2030) ($MN)
12 Global Zero Emission Vehicle (ZEV) Market Outlook, By Other Vehicle Drive Types (2021-2030) ($MN)
13 Global Zero Emission Vehicle (ZEV) Market Outlook, By Source of Power (2021-2030) ($MN)
14 Global Zero Emission Vehicle (ZEV) Market Outlook, By Gasoline (2021-2030) ($MN)
15 Global Zero Emission Vehicle (ZEV) Market Outlook, By Compressed Natural Gas (CNG) (2021-2030) ($MN)
16 Global Zero Emission Vehicle (ZEV) Market Outlook, By Diesel (2021-2030) ($MN)
17 Global Zero Emission Vehicle (ZEV) Market Outlook, By Other Sources of Power (2021-2030) ($MN)
18 Global Zero Emission Vehicle (ZEV) Market Outlook, By Top Speed (2021-2030) ($MN)
19 Global Zero Emission Vehicle (ZEV) Market Outlook, By Less Than 100 MPH (2021-2030) ($MN)
20 Global Zero Emission Vehicle (ZEV) Market Outlook, By 100 to 125 MPH (2021-2030) ($MN)
21 Global Zero Emission Vehicle (ZEV) Market Outlook, By More Than 125 MPH (2021-2030) ($MN)
22 Global Zero Emission Vehicle (ZEV) Market Outlook, By Price (2021-2030) ($MN)
23 Global Zero Emission Vehicle (ZEV) Market Outlook, By Mid-Priced (2021-2030) ($MN)
24 Global Zero Emission Vehicle (ZEV) Market Outlook, By Luxury (2021-2030) ($MN)
25 Global Zero Emission Vehicle (ZEV) Market Outlook, By Application (2021-2030) ($MN)
26 Global Zero Emission Vehicle (ZEV) Market Outlook, By Commercial Vehicle (2021-2030) ($MN)
27 Global Zero Emission Vehicle (ZEV) Market Outlook, By Passenger Vehicle (2021-2030) ($MN)
28 Global Zero Emission Vehicle (ZEV) Market Outlook, By Two Wheelers (2021-2030) ($MN)
29 Global Zero Emission Vehicle (ZEV) Market Outlook, By Other Applications (2021-2030) ($MN)

Note: Tables for North America, Europe, APAC, South America, and Middle East & Africa Regions are also represented in the same manner as above.

List of Figures


Research Methodology

We at Stratistics opt for an extensive research approach which involves data mining, data validation, and data analysis. The various research sources include in-house repository, secondary research, competitor’s sources, social media research, client internal data, and primary research.

Our team of analysts prefers the most reliable and authenticated data sources in order to perform the comprehensive literature search. With access to most of the authenticated data bases our team highly considers the best mix of information through various sources to obtain extensive and accurate analysis.

Each report takes an average time of a month and a team of 4 industry analysts. The time may vary depending on the scope and data availability of the desired market report. The various parameters used in the market assessment are standardized in order to enhance the data accuracy.

Data Mining

The data is collected from several authenticated, reliable, paid and unpaid sources and is filtered depending on the scope & objective of the research. Our reports repository acts as an added advantage in this procedure. Data gathering from the raw material suppliers, distributors and the manufacturers is performed on a regular basis, this helps in the comprehensive understanding of the products value chain. Apart from the above mentioned sources the data is also collected from the industry consultants to ensure the objective of the study is in the right direction.

Market trends such as technological advancements, regulatory affairs, market dynamics (Drivers, Restraints, Opportunities and Challenges) are obtained from scientific journals, market related national & international associations and organizations.

Data Analysis

From the data that is collected depending on the scope & objective of the research the data is subjected for the analysis. The critical steps that we follow for the data analysis include:

  • Product Lifecycle Analysis
  • Competitor analysis
  • Risk analysis
  • Porters Analysis
  • PESTEL Analysis
  • SWOT Analysis

The data engineering is performed by the core industry experts considering both the Marketing Mix Modeling and the Demand Forecasting. The marketing mix modeling makes use of multiple-regression techniques to predict the optimal mix of marketing variables. Regression factor is based on a number of variables and how they relate to an outcome such as sales or profits.

Data Validation

The data validation is performed by the exhaustive primary research from the expert interviews. This includes telephonic interviews, focus groups, face to face interviews, and questionnaires to validate our research from all aspects. The industry experts we approach come from the leading firms, involved in the supply chain ranging from the suppliers, distributors to the manufacturers and consumers so as to ensure an unbiased analysis.

We are in touch with more than 15,000 industry experts with the right mix of consultants, CEO's, presidents, vice presidents, managers, experts from both supply side and demand side, executives and so on.

The data validation involves the primary research from the industry experts belonging to:

  • Leading Companies
  • Suppliers & Distributors
  • Manufacturers
  • Consumers
  • Industry/Strategic Consultants

Apart from the data validation the primary research also helps in performing the fill gap research, i.e. providing solutions for the unmet needs of the research which helps in enhancing the reports quality.

For more details about research methodology, kindly write to us at

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