GLOBAL E-BIKE MARKET (2024 - 2030)

The Global e-bike market was valued at USD 47.56 billion in 2023. Over the forecast period of 2024-2030, it is projected to reach USD 104.42 billion by 2030, growing at a CAGR of 11.89%.

An electric bicycle or eBike is an electric bicycle with an integrated electric motor used to assist propulsion. E-Bike are generally divided into two categories- first bike that assists the pedal power and second bike that adds a throttle integrating moped-style. Both retain the ability to be pedaled therefore not electric motorcycles. E-bikes use rechargeable batteries and are motor-powered up to 25 to 32 km/h (16 to 20 mph). High-powered vehicles can often travel more than 45 km/h (28 mph).

Many e-bikes are legally classified as bicycles, not mopeds or motorcycles. This exempts them from the more strict laws regarding the certification and operation of more powerful two-wheelers, licensing, and mandatory safety equipment. E-bikes can also be defined separately and treated under electric bicycle laws. In UK legislation the vehicles are called electrically assisted pedal cycles (EAPC), in European Union (EU) legislation electrically powered assisted cycles (EPAC).

Key Market Insights:

The increasing awareness about the pollution released by vehicles is attracting attention globally. Therefore, the government is focusing on constructing eco-friendly modes of transport like electric bicycles. People are shifting focus on encouraging individuals to choose E-bike as their mode of transport.

The increasing demand for e-bikes is also increasing technological advancements in the industry. For instance, the e-bike feature connects a SIM module that allows sending and receiving data through the cloud without a smartphone connection. These bikes also offer features such as remote diagnostics, navigation, anti-theft systems, social media connectivity, and emergency calls. Robert Bosch GmbH or commonly known as Bosch is a leading player in the industry that offers connected e-bikes.

Global E-bikes Market Drivers:

An increasing Awareness of Environmental Issues is driving global e-bike sales.

It is not a current issue; Environmental issues have been faced by people for many years. Continuous increase in environmental issues, the major issues that are faced are Climate change, pollution, resource depletion, and environmental degradation. Pollution is one of the serious issues faced by the world. This year's World Environment Day theme was to focus on plastic pollution solutions. Plastic cannot decompose easily, after burning the plastic it releases heavy smoke which is harmful to the atmosphere.

An increase in the Cost of Crude oil is augmenting the demand for e-bikes in the global market.

An increase in the price of crude oil can affect the GDP growth of the countries. Governments are focusing on how to make their country advance but the increase in the crude oil price due to the Ukraine-Russia war, Israel-Hamas conflict, and Middle East tensions are shifting their focus toward better and safer options.

Global E-bikes Market Restraints and Challenges:

The big restraint in the E-bike market is the high cost. The additional cost of battery and electric motor makes it less accountable for budget-conscious consumers. Traditional transport like bikes, bicycles, and scooters are comparatively cheaper than electric scooters which makes it an attractive option. Moreover, the usage of lithium-ion batteries includes additional maximum cost which is further restricting the growth of the industry. Additionally, the unavailability of charging infrastructure is one of the biggest challenges in the market. E-bikes rely on rechargeable batteries, and the lack of reliable or accessible power solutions makes it a difficult mode of transportation for the customer. Without adequate infrastructure, e-bike riders are restricted to the range of their batteries, which may limit the e-bike's utility for day-to-day routine, long-distance trips, or delivery services. However, the government is taking various initiatives to develop the infrastructure in various regions.

Global E-bikes Market Opportunities:

Smart e-bikes can transmit important information about their usage, follow commands, and other personal information. Networked e-bike systems enable data collection and processing by connecting it with mobile apps. Nowadays, businesses are stepping forward to find advanced solutions. Therefore, the trend of e-bikes would allow the market to expand in the forecasted period. Pollution has increased and an increase in carbon dioxide gas has affected air and even the ozone layer. This gas can create many harmful diseases like asthma, and skin diseases like rashes, can increase acne problems, and can also damage organs. To reduce harmful gasses, governments are taking the initiative to replace or reduce CO2.

GLOBAL E-BIKES MARKET REPORT COVERAGE:

Global E-bikes Market Segmentation:

Global E-bikes Market Segmentation- By Propulsion Type:

• Pedal Assisted
• Speed Pedelec
• Throttle Assisted

In propulsion type, pedal-assist, the electric motor is controlled by pedaling and holds the most dominant section of the global e-bike market in 2023. These e-bikes are called pedelecs. They have a sensor to detect the pedaling speed, force, or both. With power-on-demand, the motor is activated by a throttle, usually handlebar-mounted like most motorcycles or scooters. The throttle segment is expected to grow at a CAGR of 16% over the forecast period in the market.

Global E-bikes Market Segmentation-By Speed:

• Up to 25 km/h
• 25-45 km/h

In this segment, e-bikes with a speed range of 25-45 km/h dominate the market in 2023, such as speed pedals or high-speed e-bikes, are subject to more strict regulations and may require additional licensing, registration, and equipment. The market for high-speed e-bikes is typically small due to these regulatory restrictions.

E-bikes with a speed limit of up to 25 km/h are classified as low-speed electric bicycles and are commonly used for urban commuting, pleasure riding, and short-distance traveling. They are popular among a wide range of users, including students, and casual rides. These e-bikes benefit from regulations in many jurisdictions, making them more accessible and widely adopted.

Global E-bikes Market Segmentation- By Application Type:

• Cargo/Utility
• City/Urban
• Trekking

In the Application, the cargo segment is anticipated to grow at a CAGR of 14.4% from 2024 to 2030. The demand for e-bikes to carry luggage from one place to another is expected to grow in the segment over some time. A surge in logistics and freight activities in countries is expected to drive the demand for e-bikes. The trekking segment accounted for over 49.6% share in 2023. The use of e-bikes is rapidly increasing for trekking activities.

Global E-bikes Market Segmentation-By Battery Type:

• Lead Acid Battery
• Lithium-ion Battery
• Others

E-bikes use rechargeable batteries with electric motors and some form of control. Battery systems that are used are- sealed lead–acid (SLA), nickel–cadmium (NiCad), nickel–metal hydride (NiMH), or lithium-ion polymer (Li-ion). For Electric transport like cars, bikes, or bicycles Lithium-ion batteries are largely preferred. The Li-Ion battery type segment is expected to grow at a CAGR of 4% during the forecast period.

Global E-bikes Market Segmentation - By Region:

• North America
• Europe
• Asia Pacific
• Middle East
• Latin America

North America is expected to grow at the highest CAGR of 15.8% from 2024 to 2030. The rising number of manufacturing units and IT companies, with modern technologies and urban population, is expected to drive the growth of the regional market. Furthermore, the low cost of raw materials and cheap labor in the region are likely to provide opportunities for the regional market.

The Asia Pacific held the highest revenue share of over 76.0% in 2023 due to increasing consumption expenditure in countries such as China and India. Asia Pacific is undergoing numerous technological advancements along with developing charging infrastructure. The region is present with numerous prominent players, such as Yadea Group Holdings Ltd., and Yamaha Motor Company. The rising demand for eco-friendly transportation and increasing government initiatives are anticipated to the growth of the market in the forecasted period. China is the leader in producing e-bikes. The Indian E-bike market is expected to grow at a CAGR of 11.84% during 2024-2030.

COVID-19 Pandemic: Impact Analysis

The global automotive sector is highly impacted by the outbreak of COVID-19 in the early months of the year 2020. In several regions such as North America, Japan, Europe, and Asian-Pacific countries, the sale of the automotive sector seeks a decline of nearly 20%. Further, the mobility service sector was among the severely impacted industries by the pandemic. As per a research report published by the University of Chicago, it was estimated that nearly 40% of people have lost their jobs in the U.S. with a decline of around 40-50% in consumer spending. This has caused heavy losses in revenue for many industries.

Latest Trends/ Developments:

With the increasing necessity of environmentally friendly transportation like bikes and cars, the popularity of bicycles is increasing across various parts of the world. This is mainly because of numerous benefits offered by cycling such as reduced CO2 emission, less air pollution, and no noise pollution. Also saves fuel costs, improves public health, takes up less space, and also saves construction and maintenance costs of road infrastructure. Increasing demand for cycling has increased in the past few years. There are tournaments for cycling and it is the best exercise to stay fit. As people are moving towards a healthy lifestyle the E-bike could alleviate it for the people.

Key Players:

These are the top 10 players in the Global E-bikes market: -

• Accell Group
• Yamaha Motor Co. Ltd.
• Mahindra Group (GenZe)
• Prodecotech LLC
• Jiangsu Xinri E-Vehicle Co. Ltd.
• Fuji-ta Bicycle Co. Ltd.
• Giant Manufacturing Co. Ltd.
• Tianjin Golden Wheel Group Co., Ltd.
• Trek Bicycle Corporation
• Derby Cycle