Published On: November 2022
An emerging sector of the automobile industry is the electric three-wheeler market. This venture is among the most gainful and revolutionary in the automobile industry. An electric three-wheeler, also known as E-rickshaw or E- tricycle, is a rechargeable battery-operated motorized vehicle that carries passengers and other utility items. The increasing necessity to lower the emissions from petrol/ diesel and the rising number of vehicles on the road makes an electric vehicle a fundamental requirement.
Significant Parts of Electric Three-wheelers
Why do we need electric vehicles?
1. Rising concern about fuel prices
As per data from the US Department of Transportation, from January 2022 to June 2022, the price of regular gasoline rose by 49%, and diesel fuel increased by more than 55%.
This concern has triggered the need for vehicles that can run on electricity and lower the need to import and export petroleum from other countries.
2. Increase in CO2 Emissions
Transport vehicles account for a significant contribution in emitting gases and other harmful substances that contribute a factor for Air – Pollution and concern for rising health problems.
The e-tricycled vehicle is a zero-pollution choice compared to petrol and diesel as it amounts to a reduction of 1,036.6 tonnes of CO2 emissions daily.
Countries are moving towards green initiatives, and various plans and initiatives are taken towards the environment and eco-friendly surroundings that pave the need to substitute traditional auto vehicles with electric ones.
Reason for Electric Three-wheeler Vehicle Growth Acceleration
Innovation and technology are inevitable as it allows space for growth in the future.
1. Quick Option for Small Carriages
The Three wheeled transportation can be exclusively used for last minute, small and quick deliveries for transportation of goods from one place to another while ensuring that they are a better option for the environment by its zero tailpipe emissions.
2. Easy Maintenance
One of the most significant benefits of the electric three-wheeler vehicle is that its maintenance is very easy as it works on a battery-powered model and is easily rechargeable anywhere without the hurdle of finding fuel stations to refill and start the engine.
Many developed and developing countries have opted to use a three-wheeler vehicle as it is powered by an internal combustion engine (IC). However, since most of these ICs have become inefficient, manufacturers have increased their research and development in advancing technology.
3. Good Battery Life
The venture is successful because of its advantage of a small and compact battery with an increased energy density, less duration for its charging, and good battery life. Most of these batteries are now lithium-ion batteries. The demand for entirely operated electric vehicles, hybrid electric vehicles, and plug-in hybrid electric vehicles are in demand because of their battery life.
4. Low Cost of Ownership
Although the cost of an electric three-wheeler is almost equal to higher in price than the traditional three-wheeler vehicle, the fuel cost zeroes down by anytime battery charging stations, and at the convenience of charging at home or factory unit, the overall running cost per kilometer reduces and makes it pocket friendly to own the vehicle.
Global Growth Prospects for the Electric Three-wheeler Market
Government initiatives, rising air pollution, higher fuel costs, and sustainable options for a healthier environment boost the demand for electric vehicles in the market. The global electric three-wheeler market is anticipated to grow at a high-value rate compared to previous years.
Also, as per the research, the Compounded Annual Growth Rate (CAGR) is forecasted to be 8.2% by 2030.
Considering this inclination towards EV vehicles, many start-up companies like Arcimoto, Nobecars, and others have boomed the landscape electric three-wheeler market, accelerating its market growth.
The electric three-wheeler vehicle market is in colossal acceleration. It would contribute a more significant impact towards a greener environment while making the Automobile Industry play an essential role in the future growth and dealings of a country.