Hybrid EV Battery Market Research Report - Global Forecast till 2030

Impact of COVID-19 on the Global Hybrid EV Battery Market

The COVID-19 outbreak has negatively affected the global economy as the operations of various sectors have come to a standstill. The demand for electric vehicles has declined worldwide due to the COVID-19 pandemic, primarily due to factors such as job losses and lockdowns. Furthermore, electric vehicles are procured by numerous government agencies for public transport. However, due to the pandemic, government bodies have been forced to reduce expenditure on public transport and invest the amount in healthcare and other related infrastructure. Most companies in the hybrid EV battery supply chain have seized operations to ensure the safety of employees. However, some companies are operating at minimum capacity to support the transportation sector. The automotive industry has witnessed a substantial decline in demand due to the lockdowns imposed in various nations.

FIGURE: DECLINE IN DEMAND FOR AUTOMOBILES IN MAJOR ECONOMIES SINCE THE LOCKDOWN

Furthermore, the revenue generation for numerous automotive companies across the globe has declined due to reduced demand for electric vehicles. Automotive companies across the globe have shut down operations and are facing numerous difficulties in restarting business operations. Some of the common difficulties faced by automotive companies across the globe include disruptions in the supply chain, low revenue generation due to low sales, inability to operate at 100% due to social distancing norms, and lack of human resources. The decline in demand for automobiles and transportation infrastructure has directly impacted the demand for hybrid EV batteries. However, as economies are planning to resume business to increase revenue generation gradually, the demand for hybrid EV batteries is expected to resume its average growth rate by early 2021.

Source: Primary Experts, Secondary Sources, and MRFR Analysis

Source: Secondary Sources