NEV Taxi Market - Snapshot

NEV taxis are new energy vehicles that are used as taxis. NEV taxis reduce air pollution, require low maintenance, and generate low running cost, as compared to other conventional petrol or diesel taxis running on the streets of urban cities and towns. NEV taxis include electric vehicles, which include battery electric vehicles, plug-in hybrid electric vehicles, and hybrid electric vehicles. NEV taxis, or cabs, are eco-friendly, meet stringent emission norms, offer smooth ride, socially acceptable, less noisy, and cost-effective. 

Rapid increase in air pollution levels, which are harmful to the environment and human health, has prompted global and state governing bodies to design and develop environment-friendly technology and vehicles. This has led to rapid development and implementation of electric vehicles for both personal and commercial operations, as they are considered the best possible alternative for the environment. Studies and surveys on road transportation indicate that road transportation pollution has started to decrease in those regions where the rate of adoption of NEVs has been high. This is a major factor that is anticipated to propel the NEV taxi market during the forecast period. Additionally, higher price of fuel leads to higher travelling cost in a taxi, which hampers the demand for taxi, as compared to other public transportation; however, introduction of NEV taxis leads to a reduction in running and travelling cost. This, in turn, is anticipated to drive the demand for NEV taxi service. This is projected to increase and influence the demand for both taxi owner-driver and passenger to opt for NEV taxi or cab, thereby boosting the NEV taxi market during the forecast period. Rise in number of electric vehicle charging stations to meet the demand for NEV charging is also projected to boost the NEV taxi market. Furthermore, stringent and stern emission regulations coupled with tax incentives and subsidies on purchase of NEVs is expected to drive the market in the near future. Moreover, surge in awareness about adoption of green mobility, which is considered as the future of mobility, or tomorrow’s mobility, owing to limited availability of fossil fuel and decrease in dependency on these fuels by auto manufacturers, is also projected to drive the NEV taxi market during the forecast period.

global nev taxi market

NEV taxis are still quite expensive, despite tax credits and exemptions by governing bodies. Additionally, limited availability of charging infrastructure in majority of urban cities around the world is likely to restrain the demand for NEV taxis, thereby hamper the NEV taxi market during the forecast period. 

The global NEV taxi market has been segmented based on vehicle type, vehicle class, ownership, range type, vehicle level, and region. Based on vehicle type, the NEV taxi market has been split into battery electric vehicle, plug-in electric hybrid vehicle, and hybrid electric vehicle. In terms of vehicle type, the hybrid electric vehicle segment accounted for a higher share of the market. This is majorly due to higher demand for low emission vehicles coupled with government tax credit exemptions on their purchase. However, the battery electric vehicle segment is likely to expand at a significant growth rate during the forecast period, as the vehicle is zero-emission, does not emit pollution, and is less noisy.

In terms of vehicle class, hatchback is a highly attractive segment of the NEV taxi market. It is likely to expand and gain market share during the forecast period. Surge in demand for low travelling cost within cities has led to higher rate of adoption of hatchback NEV taxis in mega cities. Availability of all-electric vehicles and their popularity in developing countries, owing to these vehicles being economical as compared to others, are other key factors that are boosting the hatchback segment of the market. Based on ownership, the company owned segment leads the global NEV taxi market. Leading causes of expansion of the segment are rising urbanization and technology advancements with app-based taxi or cab booking, which allows the company owned taxis to offer services all around. 

In terms of range type, the intra-city segment dominates the global NEV taxi market. This is primarily due to poor air quality in urban cities and developed towns. Higher pollution and harmful smog are found in mega cities, which leads to harmful environment to live and travel. Furthermore, rising number of commuters owing to increasing population in the cities, due to jobs, health, and education purpose is likely to boost the intra-city segment during the forecast period. In terms of vehicle level, the entry & mid-level segment accounted for a prominent share of the global NEV taxi market. This is primarily due to the cost of the vehicle, which is comparatively lower as compared to premium class vehicle. Moreover, the travelling cost of entry & mid-level vehicles is also cost-effective as compared to that of premium vehicle NEV taxis. 

In terms of region, the NEV taxi market has been segmented into North America, Europe, Asia Pacific, Latin America, and Middle East & Africa. Asia Pacific accounted for a major share of the global NEV taxi market. Rising demand for electric vehicles in China and Japan, supplemented with availability of electric charging stations are promoting the adoption of NEV taxi in the country. Furthermore, in China, electric vehicles has been the top priority for the auto industry and with massive installation of charging stations coupled with additional tax credits and incentives by the government to adopt NEV taxis to reduce emission levels in the country. These factors are boosting the NEV taxi market in China. China is considered as a leading market for NEV taxi, globally and is likely to remain a prominent market during the forecast period. Furthermore, announcement by the Government of India to switch to electric taxi in major cities of the country is also projected to boost the regional market. These factors are likely to boost the NEV taxi market in the Asia Pacific during the forecast period. 

Key players in the market include Daimler AG, AB Volvo, BYD Auto Co., Ltd., Mahindra and Mahindra Limited, Toyota Motor Corporation, BMW AG, Ford Motor Company, Honda Motor Co., Ltd., TATA Motors, Nissan Motor Corporation, Volkswagen, General Motors Company, Hyundai Motor Company, London Electric Vehicle Company, BAIC Motor Corporation., Ltd, Changan Automobile Company Limited., Beiqi Foton Motor Co., Ltd., JAC Motors, Tesla, Inc., and Groupe Renault.

NEV (New Energy Vehicle) Taxi Market - Overview

This report analyzes and forecasts the market for NEV taxi at the global and regional level. The market has been forecasted based on value (US$ Mn) and volume (thousand units) from 2018 to 2026. The study includes drivers and restraints of the global NEV taxi market. It also covers the impact of these drivers and restraints on the demand for NEV taxi during the forecast period. The report also highlights opportunities and future scope in the NEV taxi market at the global and regional level.

The report comprises a detailed value chain analysis, which provides a comprehensive view of the global NEV taxi market. The Porter’s Five Forces model for the NEV taxi market has also been included to help understand the competitive landscape in the market. The study encompasses market attractiveness analysis, wherein vehicle class is benchmarked based on market size, growth rate, and general market share.

The study provides a decisive view of the global NEV taxi market by segmenting it in terms of vehicle type, vehicle class, ownership, range type, vehicle level, and geography. These segments have been analyzed based on present and future trends. Regional segmentation includes the current and forecast demand for NEV taxi in North America, Europe, Asia Pacific, Latin America, and Middle East & Africa. The report also covers the demand for individual segments in all major countries across all the regions.

The study includes profiles of major companies operating in the global NEV taxi market. Market players have been profiled in terms of attributes such as company overview, financial overview, business strategies, recent developments, key executive bios, and manufacturing footprint.

The market for NEV taxi is primarily driven by the increasing number of electric vehicles as taxis. Higher fuel rate, decrease in fossil fuel, stringent emission norms, government offering through tax incentive and subsidies, and rising awareness to opt for NEV are propelling the NEV taxi market. Further, it also offers low cost travelling ride experience as compared to others 

The report provides the estimated market size of NEV taxi for 2017 and forecast for the next nine years. The global market size of NEV taxi has been provided in terms of revenue and volume. Market numbers have been estimated based vehicle type, vehicle class, ownership, range type, vehicle level, and geography segments of NEV taxi. Market size and forecast for each vehicle type, vehicle class, ownership, range type, and vehicle level have been provided in terms of global and regional/country markets.

In order to compile the research report, we conducted in-depth interviews and discussions with a number of key industry participants and opinion leaders. Primary research represents the bulk of research efforts, supplemented by extensive secondary research. We reviewed key players’ product literature, annual reports, press releases, and relevant documents for competitive analysis and market understanding. Secondary research also includes a search of recent trade, technical writing, internet sources, and statistical data from government websites, trade associations, and agencies. This has proven to be the most reliable, effective, and successful approach for obtaining precise market data, capturing industry participants’ insights, and recognizing business opportunities.

Secondary research sources that are typically referred to include, but are not limited to company websites, annual reports, financial reports, broker reports, investor presentations, and SEC filings, internal and external proprietary databases, and relevant patent and regulatory databases, national government documents, statistical databases, and market reports, news articles, press releases, and webcasts specific to companies operating in the market, National government documents, statistical databases, and market reports, American Automobile Association, European Automobile Manufacturers Association, Automotive Research Association of India, Organisation Internationale des Constructeurs d'Automobile (OICA), UITP, World Electric Vehicle Association (WEVA), Electric Vehicle Association of Asia pacific (EVAAP), Society of manufacturers of Electric Vehicles (SMEV), Factiva, etc.

Primary research involves e-mail interactions, telephonic interviews, Linked interviews, and face-to-face interviews for each market, category, segment, and sub-segment across geographies. We conduct primary interviews on an ongoing basis with industry participants and commentators in order to validate the data and analysis. Primary interviews provide firsthand information on market size, market trends, growth trends, competitive landscape, and outlook, etc. These help validate and strengthen secondary research findings. These also help to develop the analysis team’s expertise and market understanding. 

The global NEV (New Energy Vehicle) Taxi market can be segmented as follows:

by Vehicle Type

  • Battery Electric Vehicle (BEV)
  • Plug-in Hybrid Electric Vehicle (PHEV)
  • Hybrid Electric Vehicle (HEV) 

by Vehicle Class

  • Hatchback
  • Sedan
  • UV 

by Ownership

  • Company Owned
  • Individual Owned/ Private 

by Range Type

  • Intercity
  • Intra-city 

by Vehicle Level

  • Entry & Mid-level
  • Premium 

by Region/Country/Sub-region

  • North America
    • U.S.
    • Canada
  • Europe
    • Germany
    • U.K.
    • France
    • Italy
    • Spain
    • Rest of Europe
  • Asia Pacific
    • China
    • India
    • Japan
    • ASEAN
    • Rest of Asia Pacific
  • Middle East & Africa
    • GCC
    • South Africa
    • Rest of Middle East & Africa
  • Latin America
    • Brazil
    • Mexico
    • Rest of Latin America 

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Nev Taxi Market

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