USD 293.3 million
Solar Vehicle Market Size, Share, Growth Analysis, By Type(Passenger Vehicles and Commercial Vehicles), By Battery Type(Lithium-Ion, Lead-acid, Nickel Cadmium and Flow Batteries), By Solar Panel(Monocrystalline, Polycrystalline, and Thin-film), By Region - Industry Forecast 2024-2031
Report ID:
SQMIG25C2079 |
Region:
Global |
Published Date: March, 2024
Pages:
223
|Tables:
88
|Figures:
76
Solar Vehicle Market Insights
Global Solar Vehicle Market size was valued at USD 293.3 million in 2022 and is poised to grow from USD 355.8 million in 2023 to USD 1736.40 million by 2031, growing at a CAGR of 21.98% during the forecast period (2024-2031).
The global market of solar vehicles has a great potential for development due to the growing consciousness of people to environmental issues and regulations of authorities regarding the usage of clean energy. Based on our analysis, it is clear that the incorporation of sophisticated solar systems in cars is an efficient way of solving the problem of using fossil fuel in vehicles. Innovations like higher photovoltaic conversion efficiency, use of lighter materials, etc. are supporting the growth of the market. Also, the growing usage of electric cars with integrated photovoltaic devices for charging, along with the increased investment in Solar car development by automotive industries, reveals the market’s prospect.
Our analysis also reveals that, the global solar vehicle market has been characterized this past decade by a dynamic pattern of patent activity, as identified by SkyQuest. The trend in patent applications shows a lot of volatility, and there seems to be a higher number of applications in 2019, 62, which demonstrates that there is increased innovation and development of solar vehicle technologies. On the other hand, there were 15 applications in the year 2014 and 2020, which indicates low patent activity at times. The granted patents have also been fluctuant but saw a significant increase to 20 in 2021 from a low of 3 in 2016 conforming to the phase of maturity in technology advancement and formalities. These changes in the applications and the grants of patents are all relative to the current market and pertinent to the improvement and adjustment of the practical applications of solar energy, battery power, and vehicle incorporation techniques.
US Solar Vehicle Market is poised to grow at a sustainable CAGR for the next forecast year.
Market Snapshot - 2024-2031
Global Market Size
Largest Segment
Passanger Vehicle
Fastest Growth
Passanger Vehicle
Growth Rate
21.98% CAGR
Global Solar Vehicle Market ($ Mn)
Country Share for Asia Pacific Region (%)
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Solar Vehicle Market Segmental Analysis
The global solar vehicle market is segmented on the basis of type, battery type, solar panel, and region. Based on type, the market can be segmented into passenger vehicles, and commercial vehicles. Based on battery type, the market is segmented into Lithium-Ion, Lead-acid, Nickel Cadmium, and Flow Batteries. Based on solar panel, the market is segmented into monocrystalline, polycrystalline, and thin film. Based on region, the market is segmented into North America, Europe, Asia Pacific, Middle East & Africa, and Latin America.
Analysis by Type
Passenger vehicles stands out as the largest segment within the solar vehicles market. It has dominated the market in 2023 by holding about 73.36% share of the market. Our analysis reveals that the following factors have been established as the key factors that contribute to the growth of this segment. Technological improvement in batteries and the solar panels have greatly increased the feasibility of solar passenger cars, thus making it more appealing to socially responsible consumers. Also, the provision of incentives and subsidies for electric and solar passenger vehicles to consumers by the government is making more and more people use solar power for their passenger vehicles which is fueling the market’s growth.
On the other hand, the commercial vehicle segment is rapidly growing in the global market and expected to grow at CAGR of 21.5%. This growth is consequent of the growing need for green solutions in the transport of goods and people in logistics and public transport respectively. Many firms are sourcing solar-powered commercial vehicles to enhance their efficiency and economically cut on their emissions. There are increased technological innovations in the solar panel and energy storage technologies that are making solar commercial vehicles efficient and cheaper. Also, increasing emission standards by the government and the move towards green logistics is now propelling the market for solar commercial vehicles at a very high growth rate.
Analysis by Battery Type
In 2023, Lithium-ion batteries have the highest share and fastest growing CAGR in the solar vehicle market. This can be attributed to factors such as their energy density, life span, and efficiency than other battery kinds. A rise in the usage of electric vehicles and the continual improvement of lithium-ion innovation has also contributed to the increase in their usage. Also, the cost of lithium-ion batteries has reduced because of the use of economies of scale and constant advances in research and development; this has increased the use of solar vehicles. Besides, the growing demand for clean and green energy in the form of solar systems is also in harmony with the use of lithium-ion batteries in these vehicles.
On the other hand, the lead-acid batteries segment is also experiencing rapid growth within the solar vehicles market due to it can be used again because of cheap, reliable and can easily be recycled. Such batteries are most suitable for those consumers that are looking for a cheap solution and countries that do not have strict laws on treating the environment. Lead acid batteries used in auxiliary purposes in combined solar vehicle models are also pushing the demand. Additionally, new developments in the lead-acid battery technology include; increased cycle life and energy density which are helping to promote the use of solar vehicles.
Global Solar Vehicle Market By Type
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Solar Vehicle Market Regional Insights
SkyQuest’s regional analysis reveals that Asia Pacific is holding the largest share in the solar vehicle market. This domination is attributed to the increased use of electric vehicles (EVs) in sociality, especially in China, Japan, and South Korea that have set ambitious goals on the use of renewable energy sources in their countries with an aim of minimizing on carbon emissions. Subsidies and tax incentives provided on the use of solar vehicles by manufacturers as well as the end consumers have also boosted the solar vehicle market. Also, the fact that several large automotive makers and ample research and development exercise in solar power are other prominent factors that fuel the growth of solar vehicle market in this region.
On the other hand, Europe is an emerging market for solar vehicle. The market is expected to grow at CAGR of 22.8% in the projected period. The reason behind this rapid growth is attributed to the increasing stringency of environmental laws in addition to the European Union’s determination to decrease its greenhouse gas emissions. Countries such as Germany, Netherlands and Norway are heavily investing highly in solar automobile systems/trucks and equipment. The European Union’s Green Deal and corresponding policies for other countries that support more sustainable approaches to transport solutions are the primary driving forces behind this growth. In addition, higher consumer consciousness and request for green automobiles, combined with enhancements in solar panel generality and implementation on automobiles are the key factors that are rapidly driving the solar vehicle market in Europe.
Global Solar Vehicle Market By Geography
- Largest
- Fastest
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Solar Vehicle Market Dynamics
Solar Vehicle Market Drivers
Increasing awareness and concern about environmental sustainability
- Key drivers such as increasing awareness about environment sustainability is mainly propelling the growth of the global solar vehicle market. In light of growing global interest towards reduction of carbon emissions and prevention of climate change, there is increased pressure towards the development of environmentally sustainable means of transport. Solar vehicles are sustainable and technological in nature; thus, it is a good idea to consider them because they cut down on emissions of greenhouse gases and in the process lessen the use of fossil fuel. This driver is forcing governments, consumers, and automobile companies to fund and encourage the use of solar vehicles around the world.
Government Incentives is Expected to Boost the Market Growth
- Government Subsidies and incentive policies on new energy vehicles have a great influence on the market. In the global level, policies and incentives have been placed in use with the aim of encouraging use of renewable energy and minimizing greenhouse emission. Such measures are; Promotion of use of electric and solar powered cars. People are taxed less on electric or a solar-powered car and this makes the overall cost of owning one to be considerably low in most countries. Moreover, the governments of different countries offer incentives to automate makers to decrease cost and bring into public domain these environmentally-friendly automobiles.
Restraints
High initial cost associated with solar vehicle technology
- One major restraint hindering the growth of the global solar vehicle market is high initial cost of solar vehicles. Solar cars are current dependent, meaning they use unique components like high efficiency solar panels and efficient energy storage that can hike the overall cost of the vehicle. Further, there is a limitation of charging structures for the solar vehicles, which is a hindrance to its popularity. The initial cost is high to incur and the requirement of supportive infrastructure may also discourage potential buyers to go for solar vehicles and thereby, the growth of the market is restrained to some extent.
Limited Sales in Regions with Less Sunlight to Hinder Market Expansion
- Another significant restraint hindering the growth of the market is the limited availability of solar cars in the colder climates. This problem occurs because electric cars use solar panels that generate comparatively less energy in lower temperatures that can hamper their range and efficiency. Therefore, some consumers in the colder climates will prefer the normal cars instead of the solar cars since the traditional power cars have higher power output than the electric and the solar cars. Also, the effectiveness of solar panels is suppressed in snowy and cloudy environment, which is typical for many cold countries.
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Solar Vehicle Market Competitive Landscape
The global solar vehicle market is characterized by a mix of established players, emerging startups, and technological innovators. Numerous companies are actively involved in research and development, aiming to enhance solar vehicle technologies and improve their market presence. Competition primarily revolves around factors such as product performance, design innovation, manufacturing capabilities, and cost-effectiveness. Partnerships and collaborations between automotive manufacturers, solar panel manufacturers, and energy companies are also contributing to competitive dynamics, driving advancements and fostering market growth.
Solar Vehicle Market Top Player’s Company Profiles
- Toyota (Japan)
- Lightyear (Netherlands)
- Volkswagen Group (Germany)
- Nissan (Japan)
- Aptera (US)
- Tesla (US)
- BMW (Germany)
- Hyundai (South Korea)
- Mahindra & Mahindra Ltd (India)
- Venturi Automobiles (Monaco)
- Sono Motors (Germany)
Solar Vehicle Market Recent Developments
- In December 2023, Lightyear announced a strategic investment from two South Korean venture capital funds, Sunbo Angel Partners and Lighthouse Combined Investment. Both funds, with ties to South Korea's automotive industry and other manufacturing corporate alliances, have recognized Lightyear's potential to create the next era of highly efficient solar vehicle technology.
- In July 2023, Sono Motors launched an innovative pilot project in public transportation in Hof in the north-east of Bavaria. A bus operated by Stadtwerke Hof was equipped with an updated version of Sono Motors’ Solar Bus Kit, a solar retrofit solution for buses.
Solar Vehicle Key Market Trends
- Integration of Autonomous Driving Technologies: A key trend in the global solar vehicle market is the establishment of more sophisticated systems of autonomous vehicles. Smart features are also being integrated into the solar vehicles with a view of making it safe, convenient and ease to use. This trend is as a result of the growing advancement in electric and self-driving vehicles in the automobile market. Thus, the synergy of using solar power and autonomous driving allows for effective management of energy resources, the selection of the most optimal routes and uninterrupted interaction, which determines the further development of solar-powered transport and creates a new vision of mobility for society.
Solar Vehicle Market SkyQuest Analysis
SkyQuest’s ABIRAW (Advanced Business Intelligence, Research & Analysis Wing) is our Business Information Services team that Collects, Collates, Co-relates, and Analyses the Data collected by means of Primary Exploratory Research backed by robust Secondary Desk research.
According to SkyQuest’s in-depth analysis, we found thar the global solar vehicle market has recently been growing at a very fast pace due to increased awareness of sustainable development and the need for cleaner transportation methods around the world. The largest market share is held by the Asia-Pacific region, driven by nations such as China and Japan, while at the same time, North America represents the fastest-growing region. High upfront cost and lack of infrastructure for recharging are major restraining factors. Apart from competition between established companies and emerging start-ups, there is also collaboration between automotive and energy companies. One of the marked trends in the market is integration with advanced autonomous driving technologies. The market, notwithstanding its problems, has immense potential for mitigating carbon emissions and countering climate change, hence proposing a transport solution for the future that runs on sustainable and cleaner sources of energy.
| Report Metric | Details |
|---|---|
| Market size value in 2022 | USD 293.3 million |
| Market size value in 2031 | USD 1736.40 million |
| Growth Rate | 21.98% |
| Base year | 2023 |
| Forecast period | 2024-2031 |
| Forecast Unit (Value) | USD Million |
| Segments covered |
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| Regions covered | North America (US, Canada), Europe (Germany, France, United Kingdom, Italy, Spain, Rest of Europe), Asia Pacific (China, India, Japan, Rest of Asia-Pacific), Latin America (Brazil, Rest of Latin America), Middle East & Africa (South Africa, GCC Countries, Rest of MEA) |
| Companies covered |
|
| Customization scope | Free report customization with purchase. Customization includes:-
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Table Of Content
Executive Summary
Market overview
- Exhibit: Executive Summary – Chart on Market Overview
- Exhibit: Executive Summary – Data Table on Market Overview
- Exhibit: Executive Summary – Chart on Solar Vehicle Market Characteristics
- Exhibit: Executive Summary – Chart on Market by Geography
- Exhibit: Executive Summary – Chart on Market Segmentation
- Exhibit: Executive Summary – Chart on Incremental Growth
- Exhibit: Executive Summary – Data Table on Incremental Growth
- Exhibit: Executive Summary – Chart on Vendor Market Positioning
Parent Market Analysis
Market overview
Market size
- Market Dynamics
- Exhibit: Impact analysis of DROC, 2021
- Drivers
- Opportunities
- Restraints
- Challenges
- Exhibit: Impact analysis of DROC, 2021
- SWOT Analysis
KEY MARKET INSIGHTS
- Technology Analysis
- (Exhibit: Data Table: Name of technology and details)
- Pricing Analysis
- (Exhibit: Data Table: Name of technology and pricing details)
- Supply Chain Analysis
- (Exhibit: Detailed Supply Chain Presentation)
- Value Chain Analysis
- (Exhibit: Detailed Value Chain Presentation)
- Ecosystem Of the Market
- Exhibit: Parent Market Ecosystem Market Analysis
- Exhibit: Market Characteristics of Parent Market
- IP Analysis
- (Exhibit: Data Table: Name of product/technology, patents filed, inventor/company name, acquiring firm)
- Trade Analysis
- (Exhibit: Data Table: Import and Export data details)
- Startup Analysis
- (Exhibit: Data Table: Emerging startups details)
- Raw Material Analysis
- (Exhibit: Data Table: Mapping of key raw materials)
- Innovation Matrix
- (Exhibit: Positioning Matrix: Mapping of new and existing technologies)
- Pipeline product Analysis
- (Exhibit: Data Table: Name of companies and pipeline products, regional mapping)
- Macroeconomic Indicators
COVID IMPACT
- Introduction
- Impact On Economy—scenario Assessment
- Exhibit: Data on GDP - Year-over-year growth 2016-2022 (%)
- Revised Market Size
- Exhibit: Data Table on Solar Vehicle Market size and forecast 2021-2027 ($ million)
- Impact Of COVID On Key Segments
- Exhibit: Data Table on Segment Market size and forecast 2021-2027 ($ million)
- COVID Strategies By Company
- Exhibit: Analysis on key strategies adopted by companies
MARKET DYNAMICS & OUTLOOK
- Market Dynamics
- Exhibit: Impact analysis of DROC, 2021
- Drivers
- Opportunities
- Restraints
- Challenges
- Exhibit: Impact analysis of DROC, 2021
- Regulatory Landscape
- Exhibit: Data Table on regulation from different region
- SWOT Analysis
- Porters Analysis
- Competitive rivalry
- Exhibit: Competitive rivalry Impact of key factors, 2021
- Threat of substitute products
- Exhibit: Threat of Substitute Products Impact of key factors, 2021
- Bargaining power of buyers
- Exhibit: buyers bargaining power Impact of key factors, 2021
- Threat of new entrants
- Exhibit: Threat of new entrants Impact of key factors, 2021
- Bargaining power of suppliers
- Exhibit: Threat of suppliers bargaining power Impact of key factors, 2021
- Competitive rivalry
- Skyquest special insights on future disruptions
- Political Impact
- Economic impact
- Social Impact
- Technical Impact
- Environmental Impact
- Legal Impact
Market Size by Region
- Chart on Market share by geography 2021-2027 (%)
- Data Table on Market share by geography 2021-2027(%)
- North America
- Chart on Market share by country 2021-2027 (%)
- Data Table on Market share by country 2021-2027(%)
- USA
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Canada
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Europe
- Chart on Market share by country 2021-2027 (%)
- Data Table on Market share by country 2021-2027(%)
- Germany
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Spain
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- France
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- UK
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Rest of Europe
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Asia Pacific
- Chart on Market share by country 2021-2027 (%)
- Data Table on Market share by country 2021-2027(%)
- China
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- India
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Japan
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- South Korea
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Rest of Asia Pacific
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Latin America
- Chart on Market share by country 2021-2027 (%)
- Data Table on Market share by country 2021-2027(%)
- Brazil
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Rest of South America
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Middle East & Africa (MEA)
- Chart on Market share by country 2021-2027 (%)
- Data Table on Market share by country 2021-2027(%)
- GCC Countries
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- South Africa
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Rest of MEA
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
KEY COMPANY PROFILES
- Competitive Landscape
- Total number of companies covered
- Exhibit: companies covered in the report, 2021
- Top companies market positioning
- Exhibit: company positioning matrix, 2021
- Top companies market Share
- Exhibit: Pie chart analysis on company market share, 2021(%)
- Total number of companies covered
Methodology
For the Solar Vehicle Market, our research methodology involved a mixture of primary and secondary data sources. Key steps involved in the research process are listed below:
1. Information Procurement: This stage involved the procurement of Market data or related information via primary and secondary sources. The various secondary sources used included various company websites, annual reports, trade databases, and paid databases such as Hoover's, Bloomberg Business, Factiva, and Avention. Our team did 45 primary interactions Globally which included several stakeholders such as manufacturers, customers, key opinion leaders, etc. Overall, information procurement was one of the most extensive stages in our research process.
2. Information Analysis: This step involved triangulation of data through bottom-up and top-down approaches to estimate and validate the total size and future estimate of the Solar Vehicle Market.
3. Report Formulation: The final step entailed the placement of data points in appropriate Market spaces in an attempt to deduce viable conclusions.
4. Validation & Publishing: Validation is the most important step in the process. Validation & re-validation via an intricately designed process helped us finalize data points to be used for final calculations. The final Market estimates and forecasts were then aligned and sent to our panel of industry experts for validation of data. Once the validation was done the report was sent to our Quality Assurance team to ensure adherence to style guides, consistency & design.
Analyst Support
Customization Options
With the given market data, our dedicated team of analysts can offer you the following customization options are available for the Solar Vehicle Market:
Product Analysis: Product matrix, which offers a detailed comparison of the product portfolio of companies.
Regional Analysis: Further analysis of the Solar Vehicle Market for additional countries.
Competitive Analysis: Detailed analysis and profiling of additional Market players & comparative analysis of competitive products.
Go to Market Strategy: Find the high-growth channels to invest your marketing efforts and increase your customer base.
Innovation Mapping: Identify racial solutions and innovation, connected to deep ecosystems of innovators, start-ups, academics, and strategic partners.
Category Intelligence: Customized intelligence that is relevant to their supply Markets will enable them to make smarter sourcing decisions and improve their category management.
Public Company Transcript Analysis: To improve the investment performance by generating new alpha and making better-informed decisions.
Social Media Listening: To analyze the conversations and trends happening not just around your brand, but around your industry as a whole, and use those insights to make better Marketing decisions.
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