New Energy Vehicle (NEV) Taxi Market by Product Type (Long-Range and Short-Range), by Vehicle Type (Plug-In Hybrid Electric Vehicles, Hybrid Electric, and Electric Vehicles), and Regional Analysis (North America, Europe, Asia-Pacific, and LAMEA): Global Opportunity Analysis and Industry Forecast, 2020–2027

New energy vehicle (NEV) is name was devised in China for electric vehicles, which comprises vehicles that are both partially or fully driven by electricity. The new energy vehicles (NEVs) are vehicles which are eligible for public subsidies that include electric vehicles, battery operated vehicles, and others. The Chinese government named these vehicles as new energy vehicles (NEVs) for implementation of eco-friendly medium of transportation.

New Energy Vehicle (NEV) Taxi Market Analysis:

New energy vehicle (NEV) taxi market is predicted to witness notable growth, due to the increasing amount of environmental pollution and conventional fuels such as petrol and diesel led to emission of harmful pollutants such as Sulphur dioxide, carbon monoxide, and others. The growing need for green mobility solutions combined with stringent emission norms. The factors are expected to grow the market of the new energy vehicle taxi. The major driver in this market is increasing demand of electric vehicles globally as new energy vehicle is expected to drive the market. The major restraint in the market is high initial cost of electric vehicles. North American market is anticipated to have immense opportunities in the market.

Increasing demand of electric vehicles are expected to drive the new energy vehicle taxi market.

The increasing demand of electric vehicles and development in the field of electric vehicle mobility infrastructure is anticipated to grow new energy vehicle taxi market. As per the Global EV Outlook report, about electric vehicles, by International Energy Agency, an intergovernmental organization based in Paris founded in 1974, stating that the sales of electric mobility cars reached 2.1 million units globally in 2019. Moreover, the utilization of electric vehicles in public transport is expected to contribute in the expansion of the market.

The lack of infrastructure for operation of electric vehicles is projected to restrain the growth of this market

The high initial cost of new energy vehicles and lack of new energy vehicle taxi infrastructure such as the charging and refueling stations for electric cars, fuel cell operated vehicles, and hybrid power vehicles in most of the urban cities in the world. These factors are expected to hamper the growth of the new energy vehicle taxi market.

Increasing government initiatives to support and promote environment friendly vehicles to create enormous opportunities for the market

The government of China adopted a new policy for new energy vehicle taxi in 2009 for promoting them as ecofriendly medium of public transportation and this included incentives in buying of electric vehicles. In addition to this, the growing demand of electric vehicles in developing countries such as India, China and others is expected to grow the new energy vehicle taxi market and open further growth opportunities.

New Energy Vehicle (NEV) Taxi Market, by Product Type:

Short-range sub-segment is expected to dominate the new energy vehicle taxi market on the basis of product type 

On the basis of product type, the new energy vehicle (NEV) taxi market is sub-segmented into a long-range and short-range. The short-range sub-segment is expected to dominate the market due to the large-scale utility for transportation in urban areas and presence of charging units for short range vehicles as they consume less amount of electrical energy and charge in a short period of time as compared to long range NEVs. These factors are expected to drive the growth of short-range sub-segment and contribute in the expansion of the new energy vehicle (NEV) taxi market.

New Energy Vehicle (NEV) Taxi Market, by Vehicle Type:

Hybrid vehicles sub-segment is estimated to grow at a substantial rate till 2027

On the basis of vehicle type, the new energy vehicle taxi market is sub-categorized in to plug-in hybrid electric vehicles, hybrid electric, and electric vehicles.  Hybrid vehicles is expected to be lucrative for the growth of this market. These vehicles can operate on two sources of fuel simultaneously such as, ethanol, hydrogen, electricity and others. The large options of operation offered with hybrid vehicles gives them an edge over other new energy vehicles. These factors are expected to propel the sub-segment growth in the forecast period.  

New Energy Vehicle (NEV) Taxi Market, by Region:

Asia-Pacific region is anticipated to dominate the global automotive traction motors market

Asia-Pacific is anticipated to dominate the global new energy vehicle taxi market in the forecast period due to growing demand of electric vehicles in the continent to reduce vehicle pollution the utilization of new energy vehicles is expected to grow in the forecast period. In addition to this, government initiatives in the region such as China Electric Vehicle Charging Infrastructure Promotion Alliance (EVCIPA), 1.7 million electric vehicle charging units were built in China at the end of 2020. These factors are anticipated to grow the Asia-Pacific new energy vehicle taxi market in the forecast period.

North American region market is anticipated to have immense opportunities for market investors 

North American market is estimated to grow at a healthy CAGR during the projected period, due to presence of required infrastructure of electric vehicles, as the presence of most economically and technologically developed nation in the region such like the U. S. The presence of major transportation companies such as UBER, which is working towards conventional mode of passenger taxis to electric mobility.  These factors are contributing in the growth of the new energy vehicle taxi market in the region.

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Key Participants in the Global New Energy Vehicle (NEV) Taxi Market:

Merger & acquisition and advanced product development are the frequent strategies followed by the market players.

Source: Research Dive Analysis

Some of the significant new energy vehicle (NEV) taxi market players are Daimler AG, BYD Auto Co., Ltd., Toyota Motor Corporation, Nissan Motor Corporation, Anhui Jianghuai Automobile Co Ltd (JAC), Changan Automobile Co. Ltd, Beijing Automotive, Industry Holding Co. Ltd. (BAIC), Dongfeng Nissan Passenger Vehicle Company, Beiqi Foton Motor Co. Ltd. and others.

Market players prefer inorganic growth strategies to expand into local markets.

New energy vehicle (NEV) taxi market players are emphasizing more on merger & acquisition and advanced product development. These are the frequent strategies followed by established organizations. To emphasize more on the competitor analysis of market players, the Porter’s five force model is explained in the report.