Electric Bikes Cargo Market Trends

Key Emerging Trends in the Electric Bikes Cargo Market

Governments worldwide, including China, the US, the UK, and India, are actively promoting electric vehicles to address environmental concerns and reduce dependence on fossil fuels. The surge in crude oil prices, reaching nearly USD 69 per barrel in 2018 compared to USD 41 per barrel in 2016, has driven these initiatives. China's Development and Reform Commission allocated USD 47 billion to support EV technology development in 2018. The European Commission launched the 'Green eMotion' project, worth USD 47.22 million (EUR 41.8 million), fostering technological optimization and EV market growth. With partnerships across industries, utilities, manufacturers, municipalities, universities, and research institutions, this initiative is expected to boost electric cargo bike adoption. In India, the National Electric Mobility Mission Plan (NEMMP) 2020 aims to enhance fuel security by promoting electric vehicles.

Electric cargo bikes offer an ideal solution for short and medium-range transportation, providing comfort, ease of driving, dual disc brakes, fat tires for added comfort, and a smart built-in app for GPS anti-theft system. They serve as a cost-effective alternative to cars, exempt from licensing and insurance requirements, reducing operational expenses. The growing awareness of unnecessary vehicle use, especially amid rising petrol prices, is anticipated to drive global demand for electric cargo bikes in the forecast period.

While many government initiatives are in their early stages, numerous countries plan to introduce regulations and incentives to encourage electric cargo bike adoption in the near future. Consequently, the impact of government initiatives on the global electric cargo bike market is expected to transition from low to high throughout the forecast period.

The global market is witnessing a surge in demand for electric bikes due to increased awareness of the environmental impact of gasoline vehicles. China, in particular, has emerged as a leader in electric bike sales, surpassing the rest of the world combined in 2018. The China State Council has ambitious plans to build sufficient charging stations to support around 5 million electric bikes by 2020, contributing to the growing demand for electric cargo bikes in the country. In the United States, the Department of Energy projects that 15 million electric vehicles will be on the road by 2030. Similarly, India has seen promising trends, with the India Brand Equity Foundation reporting the sale of 23,000 electric bikes in FY 17, within a market of 17.58 million units. The electric two-wheeler market was expected to double in sales by FY 18.