Electric Vehicle Motor Communication Controller Market Report

Overview

The electric vehicle motor communication controller market is valued at USD 726.96 million in 2023 and is expected to reach USD 2298.90 million by 2032 at a CAGR of 15.48%.

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The market for electric vehicle charging infrastructure (EVCI) is being propelled by the rising demand for electric charging solutions, driven in part by increased financial incentives provided by governments worldwide. Various governments, such as India's, have initiated programs like the Adoption and Manufacturing of Electric Vehicles in India (FAME India) program to incentivize the purchase of electric vehicles by offering subsidies. This has led to a surge in demand for electric vehicle supply equipment (EVSE), particularly for large-scale charging centers, as businesses in sectors like transportation, logistics, and fast-moving consumer goods (FMCG) invest in electric fleets.

Companies like FedEx have made significant investments in EVSE equipment for their transportation fleets, and industry players such as Siemens, Efacec, and ABB Ltd. are actively involved in developing advanced solutions like pantograph chargers to meet the growing demand. Furthermore, government initiatives to establish national electric vehicle charging networks, as seen in the partnership between ABB Ltd. and Mitsubishi Electric in Estonia, are driving the demand for electric vehicle charging infrastructure (EVCI) globally.

Despite challenges posed by the COVID-19 pandemic, the demand for electric vehicles has remained resilient, particularly in regions like Asia-Pacific and Europe, creating a positive outlook for the EVCI market. As economies continue to grow, governments are increasingly investing in electric vehicle projects, incentivizing both automakers and consumers to embrace electric mobility. This growth in electric vehicle adoption is expected to drive sales of electronic products like physical communication controllers, presenting opportunities for companies operating in the EV motor control sector.

In response to these trends, manufacturers are ramping up research and development efforts to innovate and introduce new products tailored to meet the evolving needs of the electric vehicle market. This strategic focus on product development and innovation reflects a commitment to capitalizing on the opportunities presented by the burgeoning electric vehicle industry, both now and in the future.

Electric Vehicle Motor Communication Controller Market Trends

Increasing Sales of Electric Vehicles

• Global electric vehicle sales reached 8.97 million units in 2021, surpassing the figures from 2020. This includes sales across various segments such as passenger cars, commercial vehicles, trucks, and different drive types.
• The segment for electric vehicle communication controllers (EVCCs) is projected to exhibit the highest Compound Annual Growth Rate (CAGR) during the forecast period, driven by the rising demand for advanced charging infrastructure like electric vehicle charging kiosks. EVCCs play a crucial role in these kiosks by verifying vehicle identification numbers (VID) and accessing card information, particularly in regions where the availability of service representatives is limited. The implementation of smart city initiatives is also expected to bolster the demand for EVCCs.
• There is a notable global shift towards adopting electric passenger vehicles and phasing out traditional internal combustion engine vehicles. This transition is gaining momentum worldwide, particularly fueled by Europe's higher share of new electric car brands and the escalating oil prices, which incentivize the use of electric vehicles. Moreover, the automotive industry is anticipated to be the fastest-growing sector, driven by the increasing demand for electric vehicles in e-commerce, logistics, and public transportation sectors. Governments worldwide are also incentivizing the replacement of gas-powered buses with electric alternatives. Companies like Siemens AG, ABB Ltd, and Schneider Electric are focusing on producing pantographs for commercial vehicles to meet these growing demands.
• Wired communication methods dominated the global electric vehicle communications market in 2019, driven by the rising need for rapid transactions. The vehicle's Electronic Control Unit (ECU) communicates with the Electric Vehicle Supply Equipment (EVSE) using proprietary protocols. The demand for high-speed charging equipment has surged in recent years, further stimulating economic growth. Additionally, the deployment of high-speed equipment at large charging stations by EVSE providers and vehicle manufacturers is expected to boost the demand for EVCCs. Tesla Inc., for instance, has deployed thousands of Superchargers globally, facilitating communication between the vehicle's ECU and fast chargers via EVCCs. Furthermore, the necessity to replace pantographs with EVCCs for charging electric buses is driving growth in this segment.
• The research market is primarily propelled by the increasing sales of plug-in hybrid vehicles (PHEVs) and battery electric vehicles (BEVs), which continue to drive the demand for EVCCs. Global manufacturers are witnessing a surge in demand for electric vehicles. For instance, Hyundai experienced significant growth in its electric vehicle sales, with pure electric car sales nearly doubling and plug-in electric vehicle sales increasing by 58% compared to the previous year. Similarly, Volkswagen Group reported a substantial increase in BEV sales, reaching a record figure of approximately 762,400 plug-in electric vehicles in 2021.

Asia-Pacific is Dominates the Market

Despite a global downturn in car sales due to the COVID-19 pandemic, electric vehicle (EV) sales surged in China by 154% in 2021, indicating a growing preference for clean transportation among consumers. Chinese EV manufacturers sold 3.3 million cars in 2021, a significant increase from 1.3 million in 2020 and 1.2 million in 2019.

The new energy vehicle (NEV) industry in China is experiencing continuous growth driven by increasing demand, investments, infrastructure improvements, and supportive government policies. The Chinese government aims for 20% of all vehicles sold in the country to be electric by 2025, including promoting the use of NEVs in government fleets. This emphasis on electrification has spurred both startups and established players to innovate and develop new solutions, bolstered by government incentives aimed at promoting EV adoption and infrastructure development.

China has emerged as one of the world's largest electric car markets, with nearly 500 EV companies competing in the market. Government support, as outlined in the Made in China 2025 industrial plan, is backing domestic brands like Nio, Xpeng, and Li Auto to strengthen their presence in the industry. However, recent policy changes, such as the reduction and eventual elimination of subsidies announced by the Chinese Ministry of Finance in January 2022, could impact the EV business landscape.

Manufacturing companies are investing heavily in new technologies, particularly in the development of electric vehicle batteries and components. For instance, the completion of the second phase of the China Lithium Battery Wuhan Power Energy Storage Battery Production project in June 2022 underscores the country's commitment to advancing battery technology.

India is also witnessing a significant uptick in EV sales, with sales reaching 3,29,190 units in 2021, marking a remarkable 168% increase from the previous year. The government's initiatives, such as the National Electric Vehicle Mission Program (NEMMP) and the Faster Adoption and Manufacturing of Hybrid and Electric Vehicles (FAME I and II) schemes, have played a crucial role in stimulating interest and investment in the electric vehicle sector. These initiatives include substantial financial assistance for the deployment of electric buses, three-wheelers, passenger cars, and two-wheelers.

To further incentivize the domestic electric vehicle sector, the Indian government offers tax exemptions and subsidies to manufacturers and consumers. Additionally, liberalized policies, such as 100% foreign direct investment, support the establishment of new factories and the expansion of charging infrastructure.

As electric car sales continue to soar in India, automakers are ramping up investments in new technologies and expanding production capacity to meet the rising demand for clean energy vehicles. Furthermore, regulatory reforms and supportive government policies are driving further growth in the industry, positioning India as a key player in the global electric vehicle market.

Electric Vehicle Motor Communication Controller Industry Overview

The electric vehicle communication management industry is characterized by consolidation and features. These companies play a significant role in driving market growth through their product innovations and technological advancements.

For Instance,

• In December 2022, LG Innotek announced the introduction of pioneering solutions for electric vehicles, including wireless battery management systems (wireless BMS), DC/DC converters, and electronic vehicle communication for payment. This initiative represents a notable contribution to the advancement of electric vehicle technology and underscores the company's commitment to innovation in the industry.

Electric Vehicle Motor Communication Controller Market Leaders

• LG INNOTEK
• Tesla Inc
• Mitsubishi Electric Corporation
• Ficosa Corporation
• EFACEC Power Solutions SGPS, S.A
• Engie SA
• Siemens AG
• ABB ltd.
• Vector Informatik GmbH
• Robert Bosch GmbH
• Schneider Electric SE

Electric Vehicle Motor Communication Controller Market News

• In November 2022, Honeycomb Yichuang Transmission Technology Hebei Co., Ltd. (Honeycomb Yichuang Transmission) announced the full operational status of its Pizhou factory in Xuzhou, Jiangsu. Apart from the planned annual production capacity of 450,000 units of the Lemon hybrid DHT gearbox, the project also includes an annual production capacity of 350,000 units of the new power three-in-one electric power unit and controller, along with other crucial components.
• In August 2022, BorgWarner revealed an agreement with Changan Automobile to supply triple-clutch gearboxes, hydraulic control units, motors, and motor controllers for its Oushan Z6 iDD PHEV. The vehicle will utilize Changan Automobile's Blue Core triple-clutch drive gearbox unit, featuring a compact and integrated wet three-clutch unit, an efficient high-pressure hydraulic system, and an intelligent electronic coupling S-Winding motor with fast response and enhanced efficiency. Additionally, the engine controller will employ BorgWarner's Viper series scalable power units, designed with a large power capacity.
• In July 2022, Infineon Technologies AG (Infineon) introduced the programmable motor controllers MOTIX IMD700A and IMD701A. These controllers offer enhanced integration and increased power capabilities required for electric and autonomous vehicles. The MOTIX IMD70xA controller integrates the operation of the three-stage gate driver MOTIX 6EDL7141 IC with an additional XMC1404 microcontroller (MCU) designed specifically for motor control and driving tasks. With built-in high and low side charge pumps, the IMD70xA controller can effectively address various gate driver issues, even under low battery conditions.

Electric Vehicle Motor Communication Controller Industry Segmentation

Electric motor communication control equipment serves as a gateway for exchanging information, such as payment details, between charging stations and engine control units (ECUs).

The Electric Vehicle Electric Vehicle Market is segmented based on type (AC Motors and DC Motors), vehicle type (Passenger Vehicles and Commercial Vehicles), vehicle type (Plug-in Hybrid Electric Vehicle, Battery Electric Vehicle, and Gasoline Electric Vehicle), and geography (North America, Europe, Asia Pacific, and the Rest of the World).

Market Segmentation

By Type

• AC Motor
• DC Motor

By Vehicle Type

• Passenger Cars
• Commercial Vehicles

By Propulsion Type

• Battery Electric Vehicles
• Plug-in Hybrid Electric Vehicles
• Fuel Cell Electric Vehicles

By Geography

• North America
  • United States
  • Canada 
  • Mexico
  • Rest of North America
• Europe
  • Germany
  • United Kingdom
  • France
  • Italy
  • Rest of Europe
• Asia-Pacific
  • China
  • Japan
  • India
  • Australia
  • Rest of Asia-Pacific
• Latin America
  • Brazil
  • Rest of Latin America
• Middle-East and Africa
  • South Africa
  • Rest of Middle-East and Africa