Status : Published Published On : Dec, 2023 Report Code : VRAT4019 Industry : Automotive & Transportation Available Format : Page : 209
2025
2030

Global Solar Powered Vehicles Market – Analysis and Forecast (2025-2030)

Industry Insights by Electric Vehicle Type (Fully Electric Vehicles, Hybrid Electric Vehicles (HEV), and Plug-in Hybrid Electric Vehicles (PHEV)), by Vehicle Type (Commercial Vehicles and Passenger Cars), by Type (Three Wheelers and Four Wheelers), by Battery Type (Lithium-Ion, Lead-Acid, and Lead-Carbon), and by Solar Panel (Monocrystalline and Polycrystalline)

Industry Overview

The Global Solar-Powered Vehicle Market was valued at USD 0.29 billion in 2023 and is anticipated to reach USD 2.85 billion in 2030, registering a CAGR of 37.56% during the forecast period 2025-2030. Solar-powered vehicles are a type of electric vehicle that is partially or completely powered by solar energy as a fuel for propulsion. It is equipped with photovoltaic cells which convert solar energy into electrical energy and are stored directly in the battery of the vehicle.

Solar Powered Vehicles Market Highlights

The global solar-powered vehicles market is growing at a significant rate, due to technological advancement, low maintenance and operating costs of solar vehicles, and rising demand for an efficient vehicle with zero carbon emission. Moreover, environmental degradation caused due to air pollution, fossil fuel exhaust, and emissions from internal combustion engines has led the government to take initiatives in shifting towards clean and renewable energy sources.

The COVID-19 pandemic has affected many economies and companies are facing unprecedented losses. Owing to the spread of the novel coronavirus, the government announced a strict lockdown and there are no operational activities in the industries. The regulatory authorities of various countries such as China are finding relaxation of emission mandates as auto manufacturers have less funding which is the key issue for cost reduction and technological development of solar vehicles. However, there are initiatives taken by the government also, to bring the economy back and start industrial activities.

Market Segmentation

Insight by Electric Vehicle Type

Based on the electric vehicle type, the solar-powered vehicle market is segmented into fully electric vehicles, hybrid electric vehicles (HEV), and plug-in hybrid electric vehicles (PHEV).  Among all electric vehicle types, the fully electric vehicle segment is expected to grow at a faster rate in the market due to the rising support from the government in the mode of subsidies and incentives.

An electric vehicle encompasses electric motors and the accumulation of energy in rechargeable batteries. Moreover, hybrid vehicles contain two types of power i.e. the internal combustion engine (ICE) and electric motors to power the vehicle electrically.

Insight by Vehicle Type

Based on the vehicle type, the global solar-powered vehicle market is segregated into commercial vehicles and passenger cars. Among all the vehicle types, passenger cars accounted for the larger share in the solar-powered vehicle market owing to the increase in purchasing power of consumers, changing lifestyles and preferences, rising demand for fuel-efficient vehicles, and mounting environmental awareness among consumers. Moreover, the rise in investment by OEMs in R&D activities for producing cost-effective solar vehicles is anticipated to drive the growth of solar-powered passenger cars.

Insight by Type

Based on the type, the market is bifurcated into three-wheelers and four-wheelers. Of these two types, the four-wheeler segment is anticipated to grow at a faster rate in the market due to the rise in the adoption of solar panels in passenger cars and buses.

Insight by Battery Type

Based on the battery type, the global solar-powered vehicle market is divided into lithium-ion, lead-acid, and lead-carbon. The lithium-ion segment is expected to hold the most significant CAGR during the forecast period due to the highest power conversion ratio and smooth charging cycle owing to high energy density with rapid discharging capability, good high-temperature performance, and excellent specific energy (140Wh/kg).

Insight by Solar Panel

Based on the solar panel, the market is divided into monocrystalline and polycrystalline. Among both segments, the monocrystalline segment is anticipated to witness the largest market share as it has a long life span, space-efficient nature, and high efficiency as compared to other types of solar panels.

Global Solar Powered Vehicles Market Report Coverage

Report Metric

Details

Historical Period

2018 - 2023

Base Year Considered

2024

Forecast Period

2025 - 2030

Market Size in 2023

U.S.D.  0.29 Billion

Revenue Forecast in 2030

U.S.D.  2.85 Billion

Growth Rate

37.56%

Segments Covered in the Report

By Electric Vehicle Type,By Vehicle Type,By Type,By Battery Type ,By Solar Panel

Report Scope

Market Trends, Drivers, and Restraints; Revenue Estimation and Forecast; Segmentation Analysis; Impact of COVID-19; Companies’ Strategic Developments; Market Share Analysis of Key Players; Company Profiling

Regions Covered in the Report

North America,Europe,Asia-Pacific (APAC),Rest of the World (RoW)

Industry Dynamics

Growth Drivers

The increasing level of concern regarding the environment has led the governments of various countries to adopt eco-friendly vehicles and decreasing prices and technological innovation in solar panels are the key growth drivers for the solar-powered vehicles market. The increase in the sale of electric vehicles i.e. solar cars which are self-charging vehicles is acting as range-extenders, thus boosting the demand for the solar-powered electric market.

Moreover, an increase in the demand for energy-efficient vehicles with zero carbon emission and strict regulations regarding vehicle emission is also driving the growth of the market. For instance, according to the World Health Organization (WHO), global exposure to ambient air pollution leads to 4.2 million deaths every year. In addition, 91% of the world’s population lives in a place where air quality exceeds the WHO guidelines limit.

Technological advancement and escalating trends of vehicle automation are also contributing to the growth of the solar-powered vehicle market. For instance, a technological advancement that substitutes the traditional engine could transform transportation and support the environment by diminishing the requirement for fossil fuel combustion. Moreover, Ford introduced a plug-in hybrid electric vehicle with solar panels on the roof that allow the car to recharge itself.

Challenges

Enormous R&D funds essential for incorporating technologically innovative and aesthetical solar panels and high manufacturing prices are the major challenges for the growth of the solar-powered vehicles market. In addition, poor charging infrastructure, less operational efficiency, high installation cost, lack of standardization, and stringent rules for the installation of charging stations are also hindering the growth of the market.

Opportunities

Excessive research in far-field wireless charging technologies and technological development in the field of wireless charging is anticipated to create promising opportunities in the global solar-powered vehicle market.

Industry Ecosystem

Globally, the manufacturing companies trying to enter the solar-powered vehicle market are required to maintain stringent regulatory standards. Moreover, the high level of capital requirement also poses a major barrier to the entry of new players. This offers an edge to the established players in the industry competition.

Geographic Overview

Geographically, Asia-Pacific is the largest solar-powered vehicle market due to the increasing prominence of the government to encourage environment-friendly vehicles, the rise in purchasing power of consumers, and the high demand for passenger cars from this region. It is one of the largest markets for electric vehicles. In addition, an increase in the requirement for an efficient vehicle with zero carbon emission, and increasing concern about environmental pollution is also surging growth of the Asia-Pacific solar-powered vehicles market.

Europe is anticipated to grow in the solar-powered vehicle market due to the strict environmental policies, pollution control measures, favorable government support, decreasing battery cost, and economies of scale are the factors that contribute to the growth in the region.

Competitive Insight

Key players in the solar-powered vehicle market are catering to the demand by collaborating with small players and investing in technologically advanced products globally. Key players are adopting strategies such as mergers and acquisitions, partnerships, and the introduction of new products to maintain a competitive edge in the market.

Ford and Volkswagen have entered into a partnership for the development and manufacturing of new electric cars. This partnership helps in developing commercial vehicles and autonomous driving technology.

MAN Trucks and Sono Motors partnered to analyze the technical and economic feasibility of integrating Sono Solar technology into MAN’s eTGE electric transporter.

Hanergy Holding Group introduced four full solar power vehicles at Beijing and introduced the advantages of thin film solar cells.

Audi partnered with Alta Devices Inc., to implant highly integrated solar cells into the roof glass of passenger cars.

Ford Motor Company, Hanergy Holding Group, Toyota Motor Corporation, Nissan Motor Company, Sono Motors, Audi AG, Mahindra & Mahindra, Cruise Car, and Guangzhou Jcar Industrial Company Ltd are the key players offering solar-powered vehicles.

The Solar Powered Vehicles Market report offers a comprehensive market segmentation analysis along with an estimation for the forecast period 2025–2030.

Segments Covered in the Report

  • By Electric Vehicle Type
    • Fully Electric Vehicles
    • Hybrid Electric Vehicles (HEV)
    • Plug-in Hybrid Electric Vehicles (PHEV)
  • By Vehicle Type
    • Commercial Vehicles
    • Passenger Cars
  • By Type
    • Three Wheelers
    • Four Wheelers
  • By Battery Type
    • Lithium-Ion
    • Lead-Acid
    • Lead-Carbon
  • By Solar Panel
    • Monocrystalline 
    • Polycrystalline

Region Covered in the Report

  • North America
    • U.S.
    • Canada
    • Mexico
  • Europe
    • Germany
    • U.K.
    • France
    • Italy
    • Spain
    • Russia
    • Rest of Europe
  • Asia-Pacific (APAC)
    • China
    • Japan
    • India
    • South Korea
    • Rest of Asia-Pacific
  • Rest of the World (RoW)
    • Brazil
    • Saudi Arabia
    • South Africa
    • U.A.E.
    • Other Countries

 

Solar Powered Vehicles Market Size

Source: VynZ Research

Solar Powered Vehicles Market Analysis

Source: VynZ Research

Frequently Asked Questions

Globally, the manufacturing companies trying to enter the solar-powered vehicle market are required to maintain stringent regulatory standards. Moreover, the high level of capital requirement also poses a major barrier to the entry of new players.
Ford Motor Company, Hanergy Holding Group, Toyota Motor Corporation, Nissan Motor Company, Audi AG, Mahindra & Mahindra, Cruise Car, and Guangzhou Jcar Industrial Company Ltd are the key players offering solar-powered vehicles.
Augmented prominence by the government of several countries to encourage environment-friendly vehicles and decreasing prices of solar panels are the primary growth drivers for solar powered vehicles market.
On the basis of the electric vehicle type, the solar-powered vehicle's market is subdivided into the fully electric vehicle and hybrid electric vehicle. Of all-electric vehicle types, fully electric vehicle segment is expected to grow at a faster rate in the market due to mounting government backing for these vehicles in the mode of subsidies and incentives.

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Research Methodology

  •  Desk Research / Pilot Interviews
  •  Build Market Size Model
  •  Research and Analysis
  •  Final Deliverabvle

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