Global sales of solar powered cars are expected to exhibit 13.5% year-on-year growth rate in 2022 topping US$ 90 Mn. Fact.MR projects the global solar powered car market to surge at 12.3% CAGR due to rising investments in R&D activities related to e-mobility and urban transportation. Monocrystalline solar cells are expected to dominate the market at a CAGR of over 13%.
Key Insights Covered in Solar Powered Car Industry Survey:
- Market Estimates and Forecasts (2016-2031)
- Key Drivers and Restraints Shaping Market Growth
- Segment-wise, Country-wise, and Region-wise Analysis
- Competition Mapping and Benchmarking
- Market Share Analysis
- Unit Sales of Solar Powered Cars
- Assessment by Vehicle Category / Technology and Sales Channel
- Aftermarket Penetration and Channel Reach
- COVID-19 Impact on Sales of Solar Powered Cars and How to Navigate
- Recommendation on Key Winning Strategies
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Demand Analysis of Solar Powered Cars for 2021-2031
According to Fact.MR - a market research and competitive intelligence provider, with growing concerns about carbon emissions and increasing use of renewable energy, the solar powered car industry is set to rise at 12.3% CAGR through 2031.
Consumers with high purchasing power have fuelled demand for traditional and high-end solar powered cars on the road. A number of countries’ governments have taken steps to reduce pollution levels by placing limitation on the use of transitional cars, as well as encouraging the use of renewable energy.
Manufacturers are also taking advantage of these solar powered cars by investing heavily in R&D and product development.
Use of solar powered cars, either in personal transportation or in competition-based solar race cars requires high performance and solar panel efficiency.
Several other new features by existing as well as emerging companies are likely to attract more long-mile coverage and maximum use of renewable energy, which is a driving factor for the demand and sales of solar powered cars.
What is Majorly Driving Demand for Solar Panel Electric Vehicles?
Growing concerns regarding carbon emissions by global regulatory bodies is a major factor that is estimated to drive demand for solar powered cars over the coming years. Solar powered cars is the answer to environmental degradation and energy shortages. These vehicles are more efficient and economical as compared to traditional fuel cars.
All kinds of conventional sources of fuel will someday exhaust, which, in turn, is estimated to lead to an increase in demand for alternate fuel vehicles such as solar powered cars. It also helps car owners comply with state regulations regarding emission from fuel systems.
Solar powered cars offer numerous benefits such as no pollution, less maintenance, easy to charge, noise-free operation, and increased vehicle efficiency. These are the best option to the present issue of urban pollution in a simple, economic, and inoffensive manner.
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What are the Restraints Stunting Growth of the Global Solar Car Market?
Solar powered vehicles have lower productivity when contrasted with internal combustion motor-based vehicles. This is due to the fact that solar powered vehicles have a battery introduced in them, which is needed to push the vehicle.
Additionally, solar powered cars are only successful in favourable climate conditions and fail to produce adequate amounts of power in unfavourable climate conditions, which can be as simple as an overcast day, and acts as a restriction against the development of solar powered vehicles.
Subsequently, less operational productivity of solar powered cars is a major limiting component that could influence demand for solar vehicles across the globe.
Solar powered cars need to be small and sleek despite the inefficiency of solar panels, as design preferences of customer currently outweigh the importance of functional attributes. Photovoltaic cells are limited in what wavelengths they can turn into electricity, and don’t perform well when they get hot. Even the best solar panels only convert around 23% of incident sunlight into energy.
This could be a major restraining factor and can hamper overall market growth of solar powered cars.
Will Sales of Solar Powered Cars Gain Traction Due to the Maximum Use of Solar Yield?
Adoption of solar panels in a vehicle’s roof with its five square meters can charge the vehicle battery for up to 70 kilometres per day, and there is no need to charge on a daily basis because the vehicle can charge itself.
Manufacturers are building solar cells encased in safety glass, as a sturdy solar roof and hood can live up to rigorous auto industry regulations.
Several manufacturers are working on introducing commercially available vehicle retrofitting with solar roof charging systems. This improves fuel efficiency and CO2 emissions
- For instance, the new Sonata hybrid equipped with a solar roof system was launched by Hyundai in 2019. 30% to 60% of the vehicle’s battery can be charged via solar energy while driving.
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Which Region Offers the Largest Opportunity for Sales of Solar Powered Cars?
With an absolute dollar opportunity of around US$ 155 Mn, Europe is expected to be the most lucrative market for solar powered car manufacturers. The Netherlands is leading the European market and is expected to witness triple-digit growth during 2021-2031.
Change in lifestyles as well as increasing awareness about the environment and carbon emissions is driving the solar powered market in the region. Furthermore, the region is home to many key manufacturers of solar panel cars, which is another major reason why it has a significant market share.
The Americas and Asia Pacific are emerging as developing markets showing significant growth opportunities.
What is the Opportunity for Solar Powered Cars in Europe?
Europe is predicted to remain one of the most attractive markets during the forecast period, according to Fact.MR. According to study, the Netherlands is expected to account for over 35% of the Europe market in 2031.
Furthermore, the Netherlands remains one of the world’s largest markets for use of renewable energy transportation and e-mobility, making it a lucrative market for solar powered car manufacturers. Besides, rising concerns of carbon footprint, growing overall population, and increasing traffic in Europe will drive the growth of the market.
Why is Demand for Solar Powered Cars Increasing across the Americas?
Demand in the Americas is expected to rise at a CAGR of around 13% over the forecast period. The Americas e-mobility industry is backed by well-developed infrastructure, and it is largely supported by governments. It is not surprising that the U.S. has the most elevated level of expenditure in the Americas.
As per the report, the U.S. is recognized as a primary market and is expected to continue exhibiting high demand for solar powered cars. Moreover, rising research activities, presence of several major players, and increasing pipelines are creating attractive opportunities for solar powered car manufacturers in the country.
How is South Korea Faring in the Market for Solar Powered Cars?
South Korea is one of the emerging countries for solar powered cars. In 2021, it is expected to account for over 28% market share in Asia Pacific.
South Korea has been rapidly deploying advanced digital technologies in manufacturing to optimize the potential of its manufacturing process. Furthermore, increased investment R&D activities and growing development in solar cell technology such as increase in efficiency of solar cell and battery technologies are likely to have a positive impact in the country.
With growing infrastructure and population and changing economic regulations in terms of emission controls, South Korea is projected to become a lucrative market for solar powered car suppliers over the coming years.
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Which Type of Solar Panel Holds the Highest Growth Potential for Solar Powered Cars?
Monocrystalline solar cells is the leading category and expected to account for nearly 85% of the market by 2031. The cell is composed of a single crystal, and the electrons that generate a flow of electricity have more room to move.
As a result, monocrystalline solar cells are more efficient than other types of solar cells, and their market is likely to see an upward trend over the coming years.
Which Type of Battery is Used Most in Solar Powered Cars?
Lithium-ion batteries are used significantly because of high charging-discharging efficiency, high charge density, and light weight as compared to lead-based and other battery types. The segment is estimated to dominate and account for over 90% share through 2031.
The need of lithium-ion batteries is to provide better performance, low maintenance, and be environment friendly, which is why these batteries are used the most in solar powered cars and are expected to experience high sales over the coming years.
Majority of companies have focused on product launches and expanding their manufacturing units in developing regions. Strategies include innovation, collaborations with key players, partnerships, strategic alliances, and strengthening of regional and global distribution networks.
Some of the key developments are:
- In 2020, Hyundai launched a hydrogen-powered version of the Xcient fuel cell trucks and delivered seven vehicles to customers in Switzerland.
- In July 2019, the Toyota Motor Corporation reached an agreement with Denso to establish a joint venture to develop in-vehicle semiconductors.
- In May 2019, Toyota Motor reached an agreement with Panasonic Corporation to increase its battery technology with its vehicle and connected business and IoT business.
- In February 2017, Ford Motor Co. acquired majority ownership of Argo AI, a self-driving car startup.
Similarly, recent developments related to companies manufacturing solar powered cars have been tracked by the team at Fact.MR, which are available in the full report.
Solar Powered Car Market Report Scope
|US$ Mn for Value|
Key Regions Covered
Key Countries Covered
Key Market Segments Covered
Key Companies Profiled
Available upon Request
Key Segments Covered in Solar Powered Car Industry Research
By Solar Panel
- Monocrystalline Solar Car Cells
- Polycrystalline Solar Car Cells
- Thin-Film Solar Car Cells
- Organic Solar Car Cells
By Car Type
- Compact Solar Powered Cars
- Solar Powered Sedans
- Solar Powered SUVs
- Solar Powered Vans
- Others (Mini Vehicles)
By Car Category
- Pure Electric Cars
- Hybrid Electric Cars
- Lithium-ion Solar Powered Cars
- Lead-based Solar Powered Cars
Solar Powered Car Market- Scope of Report
A recent study by Fact.MR on the solar powered car market offers a 10-year forecast for 2021 to 2031. The study analyses crucial trends that are currently determining the growth of the market. This report explicates on the vital dynamics, such as drivers, restraints, and opportunities for the key market players along with key stakeholders as well as emerging players associated with the development of solar powered cars.
The study also provides the dynamics that are responsible for influencing the future status of the market over the forecast period. A detailed assessment of value chain analysis, business execution, cost structure analysis, and supply chain analysis across the regional markets has been covered in the report.
A list of prominent companies manufacturing solar powered cars, along with their product portfolios, key strategy, and SWOT analysis, enhances the reliability of this comprehensive research study.
The study offers comprehensive analysis on diverse features, including revenue growth, product enhancement, and revenue generation from solar powered cars across the globe.
A comprehensive estimate on the market has been provided through an optimistic scenario as well as conservative scenario, taking into account revenue from solar powered cars during the forecast period.
Analysis on Market Size Evaluation
The market has been analysed for each market segments in terms of volume (Units), and value (US$ Mn).
Market estimates at global and regional level for solar powered cars are available in terms of “US$ Mn”. A Y-o-Y growth contrast on prominent market segments, along with market attractiveness evaluation, has been incorporated in the report. Furthermore, absolute dollar opportunity analysis of all the segments adds prominence to the report. Absolute dollar opportunity plays a crucial role in assessing the level of opportunity that a company can look to achieve, along with identifying potential resources, considering the revenue perspective in the global solar powered car market.
Inspected Assessment on Regional Segments
Key sections have been elaborated in the report, which have helped deliver projections on regional markets. These chapters include market forces analysis that are expected to have a momentous influence on the growth of the solar powered car market during the forecast period.
Country-specific valuation on revenue for solar powered cars has been offered for each regional market, along with market scope estimates and forecasts, and impact analysis of the dynamics of prominence in regions and countries. For all regional markets, Y-o-Y growth estimates have also been incorporated in the report.
Detailed breakup in terms of value for key countries has also been included in the report.
In-depth Analysis on Competition
The report sheds lights on leading providers of solar powered cars, along with their detailed profiles. Essential and up-to-date data related to market performers who are principally engaged in solar powered cars has been brought with the help of a detailed dashboard view. Market share analysis and comparison of prominent players provided in the report permits report readers to take pre-emptive steps in advancing their businesses.
Company profiles have been included in the report, which include essentials such as product portfolios and key strategies, along with all-inclusive SWOT analysis on each player. Company presence is mapped and presented though a matrix for all the prominent players, thus providing readers with actionable insights, which helps in thoughtfully presenting the market status, and predicting the competition level in the solar powered car market.
- FAQs -
The global solar powered car market is currently valued at US$ 80.7 Mn.
Government subsidies and incentives and growing demand for eco-friendly vehicles are driving the global solar panel cars market.
Sales of solar powered car are projected to surge at 12.3% CAGR and be valued at US$ 257 Mn by 2031.
Minimizing energy use and maximizing solar yield, and usage of lightweight materials to enhance vehicle performance are key trends in this landscape.
Lightyear, Sqaud Mobility, Sono Motors, Toyota Motor Corporation, and Aptera Motors are the top 5 manufacturers of solar powered cars, as per ratings on the basis of market share, market reach, and clientele.
The market for solar powered cars in the Americas is projected to expand at close to 13% CAGR.
The Netherlands, Germany, the U.S., Canada, and South Korea are the major demand centers for solar powered cars.
Demand for solar powered cars in the Netherlands is set to increase at a CAGR of 10.5% over the next ten years.
Japan and South Korea currently hold 1% share of the global industry for solar powered cars.
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Is the market research conducted by Fact.MR?
Yes, the report has been compiled by expert analysts of Fact.MR, through a combination of primary and secondary research. To know more about how the research was conducted, you can speak to a research analyst.
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Fact.MR follows a methodology that encompasses the demand-side assessment of the market, and triangulates the same through a supply-side analysis. This methodology is based on the use of standard market structure, methods, and definitions.
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