Electric Vehicle Battery Management System Industry - Regional Synopsis
North America Market Forecast
The electric vehicle battery management system market in North America is projected to be the largest with a share of about 36% by the end of 2037. The growth of the market can be attributed majorly to the increasing acceptance of electric vehicles owing to increasing development in its technology. As per the IEA Global EV Trends Outlook 2024, new electric car registrations totaled up to 1.4 million in 2023 in the U.S., increasing over 40% in comparison to 2022. Furthermore, investments in domestic battery manufacturing and recycling aim to reduce reliance on imports and enhance supply chain resilience.
The U.S. electric vehicle battery management system market is driven by federal incentives, growing adoption of EVs owing to sustainability trends, and advancements in battery safety and performance. According to a press release published by the Alliance for Automotive Innovation in October 2022, EVs represented 9.96% of new light-duty vehicle sales in Q2 2024, up from 9.34% in Q1 2024 and 9.05% in Q2 2023. The push for fast-charging networks and vehicle-to-grid integration is further fueling demand for smarter BMS solutions in the country.
APAC Market Statistics
The Asia Pacific market is estimated to be the second largest, registering a share of about 27% by the end of 2037. The growth of the market can be attributed majorly to the rising production of EVs and batteries in the region. According to the Information Technology & Innovation Foundation July 2024, global EV exports of China increased by 851%, with nearly 40% of the exports going to Europe. This has boosted the regional market significantly making it a significant player in the global industry.
The EV battery management system market in China is driven by government policies majorly. The strict regulations in safety and efficiency push innovation in AI-driven monitoring and thermal management. Furthermore, growing investments in battery recycling and second-life applications align with sustainability goals. For instance, EV and battery manufacturers in the country have significantly benefitted from a wide range of innovation mercantilist policies. This includes over USD 230 billion in subsidies from 2009 to 2023, local content requirements, intellectual property (IP) theft, and forced tech transfers, as stated by the ITIF, in July 2024.
