Global Electric Bike Market Projected To Reach USD 69.24 Billion by 2028

30-Jul-2021 | Facts and Factors

According to Facts and Factors, the global electric bikes market was valued at USD 41.35 Billion in 2020 and is anticipated to cross USD 69.24 Billion by the end of 2028, growing at a CAGR of 14.9% between 2021 and 2028.

Electric bikes are bicycles that have a battery-powered “assist” that is activated by pedaling and, in some circumstances, a throttle. A small motor engages when you push the pedals on a pedal-assist e-bike, giving you a boost so you can whiz up hills and cruise over rough terrain without running out of gas. Lead-acid, lithium-ion (Li-ion), and nickel-metal hydride are the three types of rechargeable batteries (NiMH). Lead-acid batteries are the most popular form, and they can travel long distances on a single charge. These bikes are simple to ride, suitable for people of all ages, and a cost-effective and environmentally friendly alternative to motorized autos. Electric bicycles are a practical, environmentally friendly, and stylish mode of transportation. They are viewed as a feasible alternative to scooters, smart cars, and public transit by consumers.

Top Market Players

The e-bike market is highly fragmented, with the biggest companies accounting for only a small portion of the entire market. Giant Bicycles, Merida, Trek Bikes, Riese & Muller, and Fritzmeier Systems GmbH & Co. Kg are some of the key market players.

Market Drivers:

When compared to other modes of transportation, e-bikes are less expensive, easier to charge, and do not necessitate substantial investments in supporting infrastructure. As a result, demand for e-bikes is increasing. One of the primary factors driving the industry's growth is cycling's growing appeal as a recreational activity. Cycling has a variety of physical and mental health benefits, including enhanced cardiovascular performance, muscle strength, and endurance, as well as a lower risk of stress and depression. Young people are increasingly opting for adventurous activities, which is fuelling the e-bike industry's growth.

Factors like growing urbanization and city traffic congestion are projected to increase demand for e-bikes over the forecast period. Government policies supporting the use of electric bikes, consumer preference for e-bikes as an environmentally friendly and efficient method of transportation, and growing gasoline prices are all contributing to the market's expansion.

Covid-19 Impact:

Commuters are avoiding public transportation because to the COVID-19 outbreak and instead opting for e-bikes as a safe, convenient, and economical alternative. People's commutes have changed as a result of the COVID-19 epidemic, and bicycling has grown even more popular around the world. China, being a major bicycle manufacturer and the largest market for e-bikes, has seen an increase in demand in this area.

Commuters are turning to the e-bike as a form of daily mobility due to government limits on public transit due to social-discrimination standards. However, in the first quarter of 2020, e-bike sales were hampered by the closure of e-bike retailers owing to lockdown.

Market Restraints:

The region was first harmed by Europe's anti-dumping policy since it was unable to meet demand for components. To counteract this, Europe shifted its focus to developing countries, increasing imports from Turkey, Indonesia, Taiwan, and Thailand in order to meet demand for e-bikes and related components. Between 2018 and 2019, e-bike sales in the United States were influenced by the trade war between the United States and China.

Market Opportunities:

There have been technological breakthroughs in the field of e-bikes as the popularity of e-bikes has grown. One such breakthrough is the linked e-bike, which uses a SIM module to send and receive data to and from the cloud without the use of a smartphone. Automatic emergency call, integrated navigation, social media connection, an anti-theft system, and remote diagnostics are just a few of the significant features given by the linked e-bike. Bosch is a prominent player in the e-bike market and provides a connected e-bike solution.

Market Insights:

The world's largest market share belongs to the throttle part. Bicycles contribute a huge number of pollutants to the atmosphere. This has fuelled demand for low-cost, zero-emission e-bikes that are both lighter and greener. In order to replace traditional bicycles by 2025, governments in developing countries have enacted stringent laws. Over the projected period, rising fuel prices due to the US-China trade war, as well as customers' greater desire for e-bikes, are likely to boost the throttle category. The pedal-assist market is expected to grow at a respectable rate over the forecasted period. Pedelecs have various advantages over traditional bicycles, including increased mobility, which is beneficial for old persons while climbing hills, the ability to cover more distances in less time than standard bicycles, and the need for less effort while riding uphill or against the wind.

Europe and North America Held the Majority of Share In 2020

In Europe and North America, the vast majority of e-bike manufacturers focus on mid-motor e-bikes. In 2020, the mid-drive hub motor position will dominate the hub motor position category, since it is the optimum design for pedelec e-bikes and pedal-assisted e-bikes, which are extensively utilized around the world. This is for a reason: making these types of e-bikes is more profitable for them. These bikes are smaller and lighter, and they can travel longer distances with less battery power. As a result, the mid-motor industry is predicted to grow faster than the overall economy during the projection period.

The lithium-ion battery category is expected to dominate the market over the projection period. In comparison to lead-acid batteries, these batteries are smaller, lighter, and offer a longer range. They may also begin in inclement weather. In addition, they require less upkeep. These are some of the variables predicted to maintain this segment's dominance over the forecast period. Because lead-acid batteries release dangerous vapors that might cause serious environmental concerns, some governments have imposed severe limits on their use. Lead contamination of groundwater has the potential to affect human health.

Demand from Canada and the United States is predicted to boost the North American e-bike market to new heights between 2021 and 2028. Around 39% of the total e-bike market is in Europe. Germany, France, and Italy ranked first and second in Europe, respectively. In Germany, electric bicycles are a common mode of travel. E-bikes are also used for sports and recreational purposes in this country. They are used for city logistics in the country since they are clean, quiet, and save space.

The Asia Pacific is expected to be the largest market for electric bicycles throughout the forecast period. China, Japan, India, and Taiwan are all potential markets in this region, thanks to increasing e-bike sales. Electric bike use has risen in China over the last decade, and the industry is predicted to be one of the world's fastest-growing markets, with opportunities in a wide range of areas and categories.

Browse full report “Electric Bike Market by Product (Pedelecs, Speed Pedelecs, Throttle on Demand), by Drive Mechanism (Hub Motor, Mid-drive, and Others), By Battery Type (Lead-acid, Li-ion, And Others), By Region: Global & Regional Industry Perspective, Comprehensive Analysis, and Forecast, 2021 – 2028” at https://www.fnfresearch.com/electric-bike-market

The global electric bike market is segmented as follows:

By Product

• Pedelecs
• Speed Pedelecs
• Throttle on Demand

By Drive Mechanism

• Hub motor
• Mid-drive
• Others

By Battery Type

• Lead acid
• Lithium ion (Li-ion)
• Others

By Region

• North America
  • The U.S.
  • Canada
• Europe
  • France
  • The UK
  • Spain
  • Germany
  • Italy
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Southeast Asia
  • Rest of Asia Pacific
• Latin America
  • Brazil
  • Mexico
  • Rest of Latin America
• Middle East & Africa
  • GCC
  • South Africa
  • Rest of Middle East & Africa

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