APAC Electric Motorcycles and Scooters Market Outlook to 2028

APAC Electric Motorcycles and Scooters Market Overview

The APAC Electric Motorcycles and Scooters Market is valued at USD 32.49 billion based on a five-year historical analysis. This growth is primarily driven by rising fuel costs, government incentives, and increasing environmental consciousness among consumers. Governments across APAC are offering subsidies and tax rebates to promote electric vehicle adoption, further pushing the market. Additionally, the expanding urban population in developing economies, such as India and China, drives demand for two-wheelers due to traffic congestion and affordability.

The dominant countries in the APAC Electric Motorcycles and Scooters market are China, India, and Japan. China leads the market due to its massive production capabilities, government regulations favoring electric vehicles, and established infrastructure for manufacturing. India follows closely, driven by increasing demand for affordable transportation and government initiatives promoting e-mobility. Japan dominates due to its advanced technology, especially in battery efficiency and electric vehicle development.

India's government aims for 30% electric vehicle penetration for private cars, 70% for commercial vehicles, and 80% for two and three-wheelers by 2030. This ambitious target requires significant support for EV adoption, including incentives under the FAME scheme and collaboration with manufacturers. While public and private efforts continue, challenges remain in aligning consumer behavior, vehicle infrastructure, and production capabilities to meet these targets.

APAC Electric Motorcycles and Scooters Market Segmentation

By Product Type: The APAC Electric Motorcycles and Scooters market is segmented by product type into electric motorcycles and electric scooters. Recently, electric scooters have held a dominant market share in the APAC region due to their affordability, ease of use, and compact design, making them ideal for urban commuting. Cities with heavy traffic, such as those in India and Southeast Asia, prefer electric scooters as an efficient transportation solution. Moreover, the rising costs of conventional fuels have spurred an increase in demand for these cost-effective alternatives, further solidifying their market position.

By Battery Type: The APAC Electric Motorcycles and Scooters market is segmented by battery type into lithium-ion batteries, lead-acid batteries, and solid-state batteries. Lithium-ion batteries have taken the largest market share due to their superior energy efficiency, longer life cycle, and reduced charging time. These batteries are preferred by manufacturers and consumers alike because they offer the best performance for electric motorcycles and scooters, especially in terms of range and battery life. Moreover, government initiatives and advances in technology have made lithium-ion batteries more affordable, accelerating their adoption.

APAC Electric Motorcycles and Scooters Market Competitive Landscape

The market is dominated by both local and global players, showcasing a competitive landscape where companies strive for market leadership through innovation, expansion, and collaboration. Major companies like Yadea Group Holdings Ltd. and NIU Technologies are key players that control a significant portion of the market due to their advanced product offerings and vast distribution networks. Local companies like Hero Electric in India also hold a significant market share, benefiting from government incentives and strong domestic demand.

Company

Establishment Year

Headquarters

No. of Employees

R&D Investments

Regional Presence

EV Portfolio Size

Battery Technology Expertise

Sales Channels

Yadea Group Holdings Ltd.

2001

Wuxi, China

NIU Technologies

2014

Beijing, China

Hero Electric

2007

New Delhi, India

Gogoro Inc.

2011

Taipei, Taiwan

Aima Technology Group Co. Ltd

1999

Tianjin, China

APAC Electric Motorcycles and Scooters Industry Analysis

Growth Drivers

Government Incentives (EV subsidies, tax rebates): Governments across the Asia-Pacific region are actively supporting electric vehicle adoption through subsidies and tax rebates. In 2024, India offers direct subsidies up to 15,000 per vehicle for electric two-wheelers under its FAME II scheme. These incentives have made electric motorcycles and scooters more accessible and affordable, contributing to their rising adoption in urban centers and beyond. Such policies are crucial for achieving national electric vehicle targets.

Shift to Sustainable Mobility (Focus on electric and zero-emission vehicles): The increasing focus on sustainable mobility is driving the adoption of electric two-wheelers in the Asia-Pacific region. For example, In Indonesia, the transport sector is responsible for approximately 21% of total greenhouse gas emissions from fuel combustion, which translates to about 532 million tons. The growing awareness of environmental issues has also led urban dwellers to prioritize eco-friendly transportation options.

Urbanization and Traffic Congestion (Demand for two-wheelers in urban areas): Rapid urbanization across the Asia-Pacific region has intensified traffic congestion, particularly in major cities such as Jakarta, Tokyo, and Bangkok. As the urban population continues to grow, the demand for more efficient and compact transportation solutions like two-wheelers has risen. Electric motorcycles and scooters are increasingly seen as a practical solution to bypass gridlocked traffic, offering faster commute times and minimizing the environmental impact associated with traffic emissions.

Market Challenges

High Initial Investment in EV Technology: The high upfront cost of electric vehicle (EV) technology remains a key challenge for the electric motorcycles and scooters market in the Asia-Pacific region. Electric two-wheelers are generally more expensive than their conventional counterparts, largely due to the cost of advanced components like lithium-ion batteries. This price gap can be a significant barrier for low-income consumers, particularly in developing markets, where affordability plays a crucial role in purchasing decisions.

Lack of Charging Infrastructure: The insufficient charging infrastructure across the Asia-Pacific region continues to hinder the widespread adoption of electric motorcycles and scooters. While governments are making efforts to increase the number of charging stations, the existing network is often concentrated in urban areas, leaving suburban and rural regions underserved. This lack of widespread access to charging facilities limits the practical use of electric two-wheelers for longer journeys, making it challenging for users to rely on them for daily commuting or extended travel.

APAC Electric Motorcycles and Scooters Market Future Outlook

Over the next five years, the APAC Electric Motorcycles and Scooters market is expected to grow significantly, driven by advancements in electric vehicle technology, supportive government policies, and increasing environmental awareness. Countries like India and China will continue to lead the market due to the rapidly growing urban population, supportive government initiatives for e-mobility, and the expansion of charging infrastructure. The adoption of fast-charging technologies and battery swapping networks will further boost the market, enabling consumers to shift from fuel-based to electric vehicles easily.

Market Opportunities

Technological Advancements (Battery improvements, smart features): Technological advancements in battery performance and smart features are creating significant opportunities in the Asia-Pacific electric two-wheeler market. Innovations in battery technology are improving the range and efficiency of electric motorcycles and scooters, making them more attractive to consumers. The integration of smart features, such as IoT-enabled tracking and mobile app connectivity, has enhanced user experience by providing more control and convenience.

Expansion into Rural Areas (Potential in underdeveloped regions): The electric motorcycles and scooters market holds strong potential for expansion into rural areas of the Asia-Pacific region. Many rural areas face challenges related to transportation, and electric two-wheelers offer a sustainable and cost-effective alternative to gasoline-powered vehicles. The lower operating costs and minimal maintenance needs of electric vehicles make them an appealing choice for rural populations where access to affordable transportation is limited.
Please Note: It will take 5-7 business days to complete the report upon order confirmation