Global Electric Car Conversion Kit Market By Vehicle Class (Mid-priced, Luxury)By Application (Passenger Cars, Commercial Vehicles ) Growth, Future Prospects & Competitive Analysis, 2016 – 2030

Key Highlights of the Report

How are the major segments performing in the Electric Car Conversion Kit market?

• In 2022, the Mid-priced segment accounted for the largest market share due to their greater customer demand and affordability.
• In 2022, the passenger vehicles segment was anticipated to hold a prominent share in the global Electric Car Conversion Kit market as the implementation of stronger laws to minimize emissions from commercial vehicles.

Which region dominated the Electric Car Conversion Kit market?

In 2022, the Asia Pacific region was anticipated to hold a prominent share in the global Electric Car Conversion Kit market. The market expansion for Electric Car Conversion Kits in APAC will be facilitated by the rising emphasis on creating affordable hybrid solutions for clients concerned about costs. The main markets in APAC for electric car conversion kits are China and Japan. The market in this region will grow more quickly than in North America and Europe.

How is US Market Performing in the Electric Car Conversion Kit market?

In 2022, the North American region was anticipated to hold a significant global Electric Car Conversion Kit market share. In the U.S., thousands of new battery-electric vehicles, SUVs, and cars are expected to be sold worldwide over the next ten years. Joe Biden advocates that by 2030, 50% of US carbon emissions, lowering it is essential to preventing climate change’s negative effects. However, there aren’t many options for fossil fuel-powered cars that will likely be in use for many years. By 2060, only 60% of US passenger vehicles will be electric.

How is the economy impacting the global Electric Car Conversion Kit growth?

Due to the recession, the automobile industry was even more negatively impacted because people tended to spend less, and financing was less readily available. The Russo-Ukrainian war caused significant disruptions throughout the automotive value chain, forcing OEMs and suppliers to postpone or halt business with Russia. As a result of a shortage of parts from suppliers based in Ukraine, several OEMs in Europe and Eastern Europe have stopped or reduced their production.

What is the competitive environment of the Electric Car Conversion Kit market?

To compete in the fragmented electric car conversion kits market, vendors are implementing growth tactics, including creating effective, fully integrated conversion kits for consumers. Market vendors should concentrate more on the growth prospects in the fast-growing segments while preserving their positions in the slow-growing segments to take advantage of the chances and recover from the post-COVID-19 impact. By introducing electric retrofit kits in France in cooperation with R-FIT 1 in January 2023, Renault, the market leader in electric vehicles in France, is reshaping the industry, including that of classic cars. The incredibly popular Renault 4, Renault 5, and first-generation Twingo are all compatible with these upgrades. Renault, the market leader for electric vehicles in France, is reshaping the industry by introducing electric retrofit kits in France in collaboration with R-FIT 1. The incredibly popular Renault 4, Renault 5, and first-generation Twingo are all compatible with these upgrades.

Executive Summary

What are the key trends in the Electric Car Conversion Kit market?

• Another factor boosting the worldwide Electric Car Conversion Kit market share is the rising creation of inexpensive conversion kits. As OEMs achieve economies of scale, the price of new hybrid vehicles continues to drop. It is increasingly important for OEMs to lower the price of hybrid models to maximize adoption due to the rising need for fuel economy and decreased emissions. As a result, in recent years, the price difference between conventional and hybrid models has dramatically decreased.
• Due to a shortage of the necessary charging stations for electric cars (EVs), the government is encouraging the use of hybrid vehicles suited for the area.

How are New Regulations Impacting the Electric Car Conversion Kit Market?

One of the main factors supporting the growth of the worldwide Electric Car Conversion Kit market share is the enforcement of legislation to encourage the usage of efficient conversion kits. The original drivetrain of automobiles must be modified as part of the conversion kit installation process. As a result, OEMs had reservations regarding using conversion kits and canceled warranties for customers who converted their vehicles. Adopting conversion kits that aid in emission control and fuel efficiency proved difficult. As a result, regulators created requirements that every conversion kit must meet to be accepted by the market. Additionally, it gave OEMs instructions not to void the warranties on conversion kits that regulatory requirements had approved. As a result, the automobile sector saw a huge surge in demand for conversion kits.

Which are the key investments by the Electric Car Conversion Kit market players?

The increase in investment by leading vendors to improve market prospects for electric car conversion kits. Reliance Industries Ltd. stated on Thursday that it would pay Rs. 50.16 crore for a share in Altigreen Propulsion Labs Pvt Ltd, a provider of electric vehicle technologies and solutions, in August 2022. “Agreement for the Subscription of 34,000 Series has been agreed with Altigreen by Reliance New Energy Ltd (RNEL), a wholly owned division of the Company. Altigreen stated in February 2022 that it had raised USD 40 million in financing for capacity development, the launch of additional goods, and creation of a pan-India network. According to the Bengaluru-based business, Sixth Sense Ventures is leading the Series A investment, including participation from Reliance New Energy, Accurant International, Xponentia Capital, the United States, and Momentum Venture Capital, Singapore.

Major Electric Car Conversion Kit market players are A123 Systems LLC, Altigreen Propulsion Labs Pvt. Ltd., Enginer, EVDrive, Hybrid Design Services Inc., IX Energy Pvt. Ltd., KPIT Technologies Ltd., Odyne Systems LLC, Stealth EV, and XL Hybrids Inc.

What are the Major Driving Factors for the Electric Car Conversion Kit Market?

The significant reduction in emissions is the main advantage. The tailpipe emissions will decrease directly due to the growing number of electric vehicles on our roads. In the end, this will result in cleaner air in your city. The incredibly cheap operating costs are another advantage. Fuel expenses are at an all-time high compared to driving your automobile on electricity. This allows you to fast recoup the cost of the electric car kit you would have purchased. An electric car experiences much less wear and tear since it has a much smaller number of parts than a typical vehicle powered by an ICE. As a result, maintenance costs are decreased. Since electric vehicles don’t burn fossil fuels, you won’t have to deal with the hassle of routine pollution inspections and PUC procurement. During the forecast period, these advantages are anticipated to accelerate market expansion.

What are the Major Risks for the Electric Car Conversion Kit Market?

The problems with hybrid vehicles’ battery performance and mile range will provide a significant obstacle to expanding the worldwide Electric Car Conversion Kit market share during the forecast period. Converted hybrid vehicles’ battery performance depends on various variables, including the number of charge cycles, depletion rate, humidity, and charging and discharging durations. Battery packs in converted hybrid vehicles come with a 6–10 years/1–00,000-mile warranty. As a result, battery failure is a problem that most hybrid vehicle owners encounter. It is difficult to extrapolate the performance over time for various batteries from the available history.

Which is the key application in the Electric Car Conversion Kit market?

The commercial vehicle segment will dominate the electric car conversion kits market. One of the main factors propelling the segment’s growth is the implementation of stronger laws to minimize emissions from commercial vehicles. The global electric car conversion kits market will expand throughout the forecast period due to rising consumer awareness of hybrid technology in CVs.

How is the Electric Car Conversion Kit market performing in regions?

Europe market is anticipated to witness the fastest growth in the global Electric Car Conversion Kit market during the forecast period. In terms of revenue, the UK dominated the European market for Electric Car Conversion Kits in 2022, which is anticipated to continue during the forecast period. But due to a large growth in the country’s Electric Car Conversion Kit business, Germany is predicted to have Europe’s fastest expanding market for these kits.

What is the regulatory landscape for the Electric Car Conversion Kit market?

Even though it is uncommon, a regular car can be transformed into an all-electric, plug-in hybrid, or hybrid electric vehicle. (HEV). An HEV can also be transformed into a PHEV or an EV. Such modifications give alternatives in addition to those provided by original equipment makers. (OEMs). Certified installers can efficiently upgrade traditional vehicle designs or convert heavy-duty vehicles to run only on electricity. U.S. Environmental Protection Agency (EPA) certification is required for conversion systems that transform automobiles into PHEVs and HEVs. For details on the rules and requirements for all conversions of advanced and alternative fuel vehicles, see the Conversions page.

Additionally, in India, criteria for retrofitting can be broken down into three categories under the modified Central Motor Cars Rules, 1989: electric vehicle conversion for all types, hybrid vehicle conversion for cars weighing up to 3.5 tonnes, and those above. Although the environmental impact of this decision is seen favorably, there are concerns about the expense. The average person may find this method pricey. Numerous businesses offer the kit for converting a diesel or gasoline vehicle to an electric vehicle, including E-trio Automobiles and BharatMobi. The electric car kit and other conversion-related expenses can cost five lakhs.

What is the Market Size of the Electric Car Conversion Kit regarding value?

The global Electric Car Conversion Kit market is anticipated to grow at a substantial CAGR of X.X% in the upcoming years. The global Electric Car Conversion Kit industry was estimated to be worth USD X.X billion in 2022 and was expected to be worth USD X.X billion by 2030.

What are the major players planning for the future of the Electric Car Conversion Kit market?

The increasing demand for conversion kits in developing countries, which is a key factor in the growth of the global market for electric car conversion kits, has given rise to numerous new start-ups. During the projection period, the creation of low-cost Electric Car Conversion Kits is anticipated to play a significant role in adopting conversion kits in important emerging economies.

Segmentation of Global Electric Car Conversion Kit Market-

Global Electric Car Conversion Kit Market – By Vehicle Class

• Mid-priced
• Luxury

Global Electric Car Conversion Kit Market – By Application

• Passenger Cars
• Commercial Vehicles

Global Electric Car Conversion Kit Market – By Region

• North America
  • US
  • Canada
• Europe
  • Germany
  • France
  • U.K.
  • Italy
  • Spain
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • South-east Asia
  • Rest of Asia Pacific
• Latin America
  • Brazil
  • Mexico
  • Rest of Latin America
• Middle East & Africa
  • GCC Countries
  • South Africa
  • Rest of Middle East and Africa