Middle East & Africa Micro Electric Vehicle (EV) Market: Industry Analysis, Market growth

The Middle East & Africa Micro Electric Vehicle (EV) Market Definition:

Micro Electric Vehicles refer to a range of small, light-weight electric vehicles operating the working among various applicable sectors or industries. Micro EVs as a subset of increasing EV growth and micro-mobility technology trends, micro-electric vehicles have the potential to address many transport system issues. The purpose of micro-EVs in global cities is to increase their potential for construction and reduces the cost of operations and transportation of companies. These micro electric vehicles are being deployed to replace conventional ways of travel to decline environmental pollution. It has become highly important due to various technological advancements, such as low carbon emission and maintenance, smoother drive, reduced sound from the engine, and higher fuel economy. It operates on an electric motor instead of an internal combustion engine that generates power by burning a mix of fuel and gases.

 

Further, the Middle East & Africa Micro Electric Vehicle (EV) Market is segmented by Drive Type, End-User Type, Charging Station, and Geography. Based on Drive Type, the Middle East & Africa Micro Electric Vehicle (EV) Market is segmented under Plug-in-Hybrid. Based on the End-User Type, the Middle East & Africa Micro Electric Vehicle (EV) Market is segmented under the type of Commercial users and Public Utilities. Based on the Charging Station Type, the Middle East & Africa Micro Electric Vehicle (EV) Market is segmented under the channels of Normal Charging and Super Charging. By geography, the market covers the following Regions: Egypt, UAE, Saudi Arabia, South Africa, and the Rest of the Middle East & Africa. For each segment, the market sizing and forecasts have been done based on value (in USD Billion).

 

 

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The Middle East & Africa Micro Electric Vehicle (EV) Market Dynamics:

Rise of Electric Mobility in Various Industries Influence the Market Growth- The Micro Electric Vehicle market is expected to register a significant growth of 14% over the coming years. Although oil constitutes a major source of national revenue and domestic fuel for several Middle Eastern countries, the respective governments are focusing on renewable energy and clean transportation technologies and the implementation of economic and energy diversification plans. The government of countries is trying to reduce the environmental pollution and concerns by following some regulations and providing facilities to the major key players in the region to improve the sales and increase the market of micro electric vehicles in every industry.

 

For instance, Tesla’s entry into the micro EV (electric vehicle) market rattled the automobile industry with its all-electric range of vehicles. It gave competing manufacturers a reason to expedite the process of dedicating resources to create fully electric models in the United Arab Emirates, and Dubai has been working toward its long-term goal of electrification. It has launched several initiatives over the past few years to encourage sustainable choices among its residents.

 

Adoption by Various Industries Promotes the Middle East and Africa Micro Electric Vehicles Market- There are many countries and various industries in the Middle East which are in a nascent stage in the field of Electric vehicles whereas countries like Dubai, UAE, Saudi Arab are already having a lot of growth and development in term of infrastructure, charging station incentives for the customer, different attractive schemes, etc. Israel's Electric vehicles market sales have a much better scope if compared to other countries as the size of the country is less that can be seen as the advantages for the manufacturer and companies can introduce the EV of that range segment in the market. The Algerian Government is asking their people to move towards hybrid and electric vehicles in the coming future.

 

For example, Qatar General Electricity and Water Corporation (Kahramaa) represented by the National Program for Conservation and Energy Efficiency (Tarsheed) has launched the Electric Vehicles and Charging Infrastructure Guideline in the State of Qatar on its official website.

 

Major Key Players Contributing to the Growth of the Middle East & Africa Micro Electric Vehicle Market- To promote the Micro Electric Vehicles across the region the United Arab Emirates plans green mobility solutions and as part of its plan to have 25% of the city's trips converted into driverless journeys by 2030, the city completed the construction of 200 charging stations in the emirate by 2023, and it is currently exempting registered electric vehicles from charging fees until the end 2021 and parking fees till 2022. The micro electric vehicle market in the African region is in the nascent stage, various key players in the market are trying to establish new facilities for product development, thereby, increasing their presence in the market.

 

For instance, In October 2019, Volkswagen with Siemens signed a new agreement to start an electric mobility feasibility project. This new project is expected to be carried out in the Africa region at the Rwanda location. With this agreement, the company is expected to increase its presence in the African market.

 

The Middle East & Africa Micro Electric Vehicle (EV) Market Restraining Factors:

 

The major restraining factors which affect the market negatively are high initial investments for installing EV fast-charging infrastructure and lack of sufficient EV charging infrastructure are expected to obstruct market growth, high cost of vehicles and insufficient standardization of EV charging infrastructure are projected to challenge the electric vehicle market in the forecast period.

 

In the Middle East & Africa, micro-electric vehicles and electric cars are currently the dirtiest means of personal transport as well as for other industries available, and will remain so until the region not have fixed its electricity generation stations.

 

The Middle East & Africa Micro Electric Vehicle (EV) Market Segment Analysis:

By Drive Type, Plug-in-Hybrid micro electric vehicles are the major segment and hold a market share of more than 50% and are estimated to increase their market share the factors dominating this segment in the micro electric vehicle market is that their major revenue-generating sector is petroleum and other oils. They are not depending on electricity products for transportation. The other driving factors are, the added efficiency, performance boost, and the ability to drive on electricity alone without the fear of possibly being stranded when the battery is depleted is both convenient and desirable.

 

By End-User Type, The commercial use segment held the highest share owing to the factors like the compact size of electric microcars and their ability to minimize the road traffic. These vehicles can reduce on-road congestion and are good for use in airport terminals. The other factor promoting the segment growth is the use of the micro electric vehicle in various malls in UAE widely contributing 40% of the revenue to the market, the demand for micro electric vehicles is growing especially for cargo transportation & industrial good transportation, which contributes growth in terms of revenue to the market and also influences the growth of 1.25% in a year to the micro electric vehicle market.

 

 

By Charging Station, Normal Charging segment is the development of this segment is that normal charging is considered the most preferred and independent source of charging the EV battery. It provides the normal charging stations which are widely adapted by the market customers base prefer to charge their vehicle at home when it is in idle mode, the other factors like maximum battery life (cycle life) and is safer than fast charging, especially for NMC batteries. It is also the cheapest way of charging the EV battery since the EV owner only has to pay for the energy influences the growth of this segment.

 

The Middle East & Africa Micro Electric Vehicle (EV) Market Regional Insights:

The United Arab Emirates is the most developed market for micro EVs regarding sales and charging infrastructure, with Dubai having some 200 charging stations and Abu Dhabi around 2020. The UAE government is targeting to have 12,000 micro electric cars on the roads in a forecasted period.  The government's favorable policies and incentives offer lucrative opportunities to major players to promote the adoption of electric vehicles over the coming years in the region. UAE has decided to introduce 100 Tesla micro EVs in their Dubai Taxi Market as a sign and promote green mobility in the coming future. As the solar energy available in the country is in abundance the solar roof panel will be installed on the charging station to provide the charging facility. The other development by UAE is that Sharjah has ordered 50 semi-electric trucks from Tesla to be added to the waste management system fleet by the end of 2022. Sharjah has proposed that electric vehicle owners can charge their fleet for free till 2025, as an attractive package for a person who is interested in buying a micro EV.

 

The Middle East & Africa Micro Electric Vehicle (EV) Market Key Players Insights:

The market is characterized by the existence of a number of well-known firms. These companies control a large portion of the market, have a wide product portfolio, and have a global presence. In addition, the market comprises small to mid-sized competitors that sell a limited variety of items, some of which are self-publishing organizations.

 

The market's major companies have a significant impact because most of them have extensive global networks through which they can reach their massive client bases. To drive revenue growth and strengthen their positions in the global market, key players in the market, particularly in North America and Europe, are focusing on strategic initiatives such as acquisitions, new collection launches, and partnerships.

 

The objective of the report is to present a comprehensive analysis of the Middle East & Africa Micro Electric Vehicle (EV) Market to the stakeholders in the industry. The report provides trends that are most dominant in the Middle East & Africa Micro Electric Vehicle (EV) Market and how these trends will influence new business investments and market development throughout the forecast period. The report also aids in the comprehension of the Middle East & Africa Micro Electric Vehicle (EV) Market dynamics and competitive structure of the market by analyzing market leaders, market followers, and regional players.

 

The qualitative and quantitative data provided in the Middle East & Africa Micro Electric Vehicle (EV) Market report is to help understand which market segments, and regions are expected to grow at higher rates, factors affecting the market, and key opportunity areas, which will drive the industry and market growth through the forecast period. The report also includes the competitive landscape of key players in the industry along with their recent developments in the Middle East & Africa Micro Electric Vehicle (EV) Market. The report studies factors such as company size, market share, market growth, revenue, production volume, and profits of the key players in the Middle East & Africa Micro Electric Vehicle (EV) Market.

 

The report provides Porter's Five Force Model, which helps in designing the business strategies in the market. The report helps in identifying how many rivals exist, who they are, and how their product quality is in the Middle East & Africa Micro Electric Vehicle (EV) Market. The report also analyses if the Middle East & Africa Micro Electric Vehicle (EV) Market is easy for a new player to gain a foothold in the market, do they enter or exit the market regularly, and if the market is dominated by a few players, etc.

 

The report also includes a PESTEL Analysis, which aids in the development of company strategies. Political variables help in figuring out how much a government can influence the Middle East & Africa Micro Electric Vehicle (EV) Market. Economic variables aid in the analysis of economic performance drivers that have an impact on the Middle East & Africa Micro Electric Vehicle (EV) Market. Understanding the impact of the surrounding environment and the influence of environmental concerns on the Middle East & Africa Micro Electric Vehicle (EV) Market is aided by legal factors.

 

The Middle East & Africa Micro Electric Vehicle (EV) Market Scope:

Middle East & Africa Micro Electric Vehicle (EV) Marke
Market Size in 2023	USD 3.65 Bn.
Market Size in 2030	USD 8.32 Bn.
CAGR (2023-2030)	12.47%
Historic Data	2018-2022
Base Year	2023
Forecast Period	2024-2030
Segment Scope	By Drive Type Plug-in-Hybrid Pure Electric
	By End-User Type Commercial Users Public Utilities
	By Charging Station Normal Charging Super Charging
Country Scope	South Africa GCC Egypt Nigeria Rest of the Middle East and Africa

 

The Middle East & Africa Micro Electric Vehicle (EV) Market Key Players: 

• Ford Motors
• General Motors
• Kia Motors
• Renault Group (France)
• SAIC Motor Corporation
• Volkswagen
• AB Volvo
• Italcar Industries (Italy)
• Hyundai Motor
• BYD Company Ltd.