ELECTRIC VEHICLE BATTERY SWAPPING SYSTEM MARKET ANALYSIS

Electric Vehicle Battery Swapping System MarketSize and Trends

The global electric vehicle battery swapping market size was valued at US$ 781.2 million in 2022 and is anticipated to witness a compound annual growth rate (CAGR) of 32.6% from 2023 to 2030. The global Electric Vehicle Battery Swapping market is growing primarily due to the demand for hassle-free and affordable solutions for EV drivers. A rise in the number of electric vehicles is anticipated to drive the demand for battery swapping stations, especially in Asia-Pacific. The global electric vehicle battery swapping market is expanding at a significant growth rate owing to the growing demand for electric vehicles.   

Global Electric Vehicle Battery Swapping Market Trends:

Advancements in lithium batteries is a growing trend in the market

At present, the upfront cost of an EV is determined by cost of the batteries, which accounts for 40 to 70%. The upfront cost can be changed based on network of the energy operator, which further shifts to the cost of ownership to operations, when these batteries are rented or sold separately. In such scenario, battery swapping and interoperability is of high importance, as it helps create the supply chain network, which eventually will boost adoption of electric vehicles. Currently, use of lithium-ion batteries is high among electric vehicles, thus, manufacturers are developing more advanced lithium batteries with higher efficiency and capacity. This trend is further likely to continue in the market over the forecast period.

Increasing investments in novel technologies by market players is another trend in the market

Major players in the market are making heavy investments in novel technologies and are adopting strategic partnerships among themselves. This trend is expected to support growth of the global electric vehicle battery swapping market over the forecast period. For instance, in January 2022, Hon Hai Technology Group (Foxconn), Gogoro Taiwan Limited, PT. Indika Energy Tbk. (Indika), PT. Industri Baterai Indonesia (IBC), and the Indonesian Ministry of Investment/Investment Coordinating Board (BKPM) signed a Memorandum of Understanding for joint development of a sustainable new energy ecosystem. Under this agreement, the companies will seek various investment opportunities and work in collaboration for development of a new energy ecosystem in Indonesia, which will include development of battery exchange facilities, battery recycling, and industries for energy storage systems.