PEVs are poised to continue growing as the industry transitions to greater levels of electrification
BOULDER, Colo., Feb. 1, 2024 /PRNewswire/ — A new report from Guidehouse Insights assess the market for plug-in EVs (PEVs) and EV supply equipment (EVSE) in North America and identifies key emerging market trends.
Sales of PEVs in North America have seen significant increases in 2022 and 2023. In the first three quarters of 2023, PEV sales exceeded the 2022 total. In the US, the third quarter of 2023 saw more than 300,000 battery EVs (BEVs), a subset of PEVs, sold for the first time in a quarter. According to a new report from Guidehouse Insights, annual PEV sales in North America are projected to grow from 1.7 million units in 2023 to 13.9 million in 2032, at a compound annual growth rate (CAGR) of 26.5%.
“PEVs are now a significant piece of the North American new vehicle market and poised to continue growing as the industry transitions to greater levels of electrification,” says Jason Pandich, research analyst with Guidehouse Insights. “The Inflation Reduction Act of 2022 revised the clean vehicle credit program starting in 2023, and will further strengthen PEV sales, especially as local battery production and new raw material supply chains, which are required to qualify for these credits, come online.”
Several factors are contributing to these gains, including more models available, wider consumer acceptance of PEVs, an improving public charging landscape, and increased regulatory pressure to hasten the transition to PEVs. Guidehouse Insights expects automakers to prioritize new models, and specifically BEVs. Despite automakers revising their production targets because of concerns about high interest rates and the volatility of battery raw material costs, several PEV models saw price cuts in 2023 as sales continued growing, according to the report.
The report, EV Geographic Forecast – North America, analyzes EV technology innovations, incentives, policies, and vehicle availability to analyze PEV adoption in the US and Canada on national, state/province, and sub-state/province levels. The estimates are driven by battery pack and technology innovations, fuel prices, model availability, and zero emissions vehicle (ZEV) mandates. They include passenger car and light truck breakouts in addition to powertrain breakouts by plug-in hybrid EVs (PHEVs) and BEVs. Analyses for deployment of EV Supply Equipment (EVSE) is also included. EVSE deployments are segmented by technology—Level 1 (L1), Level 2 (L2), and DC fast chargers—and use cases, including fleet, public, multi-use dwellings (MUD), single-use dwelling (SUD), SUD-shared, and workplace. An executive summary of the report is available for free download on the Guidehouse Insights website.
About Guidehouse Insights
Guidehouse Insights, the dedicated market intelligence arm of Guidehouse, provides research, data, and benchmarking services for today’s rapidly changing and highly regulated industries. Our insights are built on in-depth analysis of global clean technology markets. The team’s research methodology combines supply-side industry analysis, end-user primary research, and demand assessment, paired with a deep examination of technology trends, to provide a comprehensive view of emerging resilient infrastructure systems. Additional information about Guidehouse Insights can be found at www.guidehouseinsights.com.
About Guidehouse
Guidehouse is a leading global provider of consulting services to the public sector and commercial markets, with broad capabilities in management, technology, and risk consulting. By combining our public and private sector expertise, we help clients address their most complex challenges and navigate significant regulatory pressures focusing on transformational change, business resiliency, and technology-driven innovation. Across a range of advisory, consulting, outsourcing, and digital services, we create scalable, innovative solutions that help our clients outwit complexity and position them for future growth and success. The company has more than 16,000 professionals in over 55 locations globally. Guidehouse is led by seasoned professionals with proven and diverse expertise in traditional and emerging technologies, markets, and agenda-setting issues driving national and global economies. For more information, please visit www.guidehouse.com.
* The information contained in this press release concerning the report, EV Geographic Forecast – North America, is a summary and reflects the current expectations of Guidehouse Insights based on market data and trend analysis. Market predictions and expectations are inherently uncertain and actual results may differ materially from those contained in this press release or the report. Please refer to the full report for a complete understanding of the assumptions underlying the report’s conclusions and the methodologies used to create the report. Neither Guidehouse Insights nor Guidehouse undertakes any obligation to update any of the information contained in this press release or the report.
For more information, contact:
Cecile Fradkin for Guidehouse Insights
+1.646.941.9139
[email protected]
SOURCE Guidehouse Insights
