Automotive Retrofit Electric Vehicle Powertrain Market Size, Share, Growth Analysis, By Component Type, By Vehicle Type, By Electric Vehicle Type, By Power Source, By Region - Industry Forecast 2025-2032
Global Automotive Retrofit Electric Vehicle (EV) Powertrain Market Market size was valued at USD 64.5 billion in 2023 and is poised to grow from USD 69.08 billion in 2024 to USD 119.58 billion by 2032, growing at a CAGR of 7.1% during the forecast period (2025-2032).
The depletion of global oil reserves and rising CO2 emissions have driven up oil prices, prompting a shift toward energy conservation and environmental sustainability. This trend has spurred automotive companies to prioritize the development of electric powertrains, which replace traditional internal combustion engines. Electric drivetrains are lightweight and efficient, offering immediate torque and minimal vibration. Factors such as escalating fuel costs, stricter emission regulations, and government incentives for electric vehicles are fostering growth in the aftermarket electric vehicle powertrain market. Retrofits provide a cost-effective alternative for vehicle owners to transition to electric mobility, prolonging the lifespan of their vehicles while enhancing performance. However, challenges such as inadequate EV charging infrastructure pose potential barriers to market growth in the thriving automotive sector.
Top-down and bottom-up approaches were used to estimate and validate the size of the Global Automotive Retrofit Electric Vehicle (EV) Powertrain market and to estimate the size of various other dependent submarkets. The research methodology used to estimate the market size includes the following details: The key players in the market were identified through secondary research, and their market shares in the respective regions were determined through primary and secondary research. This entire procedure includes the study of the annual and financial reports of the top market players and extensive interviews for key insights from industry leaders such as CEOs, VPs, directors, and marketing executives. All percentage shares split, and breakdowns were determined using secondary sources and verified through Primary sources. All possible parameters that affect the markets covered in this research study have been accounted for, viewed in extensive detail, verified through primary research, and analyzed to get the final quantitative and qualitative data.
Global Automotive Retrofit Electric Vehicle (EV) Powertrain Market Segmental Analysis
Global Automotive Retrofit Electric Vehicle (EV) Powertrain Market Market is segmented by Component Type, Vehicle Type, Electric Vehicle Type, Power Source, Drive System, Purpose, Power Output and Region. Based on Component Type, the market is segmented into Inclusive Conversion Kit, Electric Motor, Battery, Controller, Charger and Other. Based on Vehicle Type, the market is segmented into Two-Wheelers, Passenger Vehicles and Commercial Vehicles. Based on Electric Vehicle Type, the market is segmented into All-Electric Vehicle Battery, Plug-in Hybrid Vehicle and Hybrid Vehicle. Based on Power Source, the market is segmented into Battery, Plug-in Hybrid and Fuel Cell. Based on Drive System, the market is segmented into Front-Wheel Drive, Rear-Wheel Drive and All-Wheel Drive. Based on Purpose, the market is segmented into Private and Commercial. Based on Power Output, the market is segmented into Less than 100 kW, 100-200 kW and More than 200 kW. Based on Region, the market is segmented into North America, Europe, Asia Pacific, Latin America and Middle East & Africa.
Driver of the Global Automotive Retrofit Electric Vehicle (EV) Powertrain Market
A key driver of the Global Automotive Retrofit Electric Vehicle (EV) Powertrain market is the significant reduction in EV battery costs, which has made electric vehicles more affordable and appealing to consumers. Over the last decade, advancements in technology and mass production have led to a substantial decrease in battery prices, with costs dropping from approximately $1,100 per kWh in 2010 to around $120 per kWh by 2021, and as low as $100 per kWh in China's market. This trend is expected to continue, reaching around $60 per kWh by 2030, further enhancing the attractiveness of EVs compared to traditional internal combustion engine vehicles.
Restraints in the Global Automotive Retrofit Electric Vehicle (EV) Powertrain Market
The Global Automotive Retrofit Electric Vehicle (EV) Powertrain market faces significant challenges due to a lack of sufficient EV charging infrastructure. While some countries have established networks of charging stations, many still fall short in providing adequate public access, which hampers the adoption of electric vehicles. Despite ongoing efforts to enhance charging facilities in various nations, the required number of stations remains unmet in most areas. Countries like the Netherlands lead with the highest density of chargers, while others, such as China and the UK, lag behind. However, nations like Germany, the UAE, and the USA are rapidly expanding their charging networks in anticipation of a phased transition away from internal combustion engine vehicles by 2030, indicating a promising shift toward enhanced EV support in the coming years.
Market Trends of the Global Automotive Retrofit Electric Vehicle (EV) Powertrain Market
The Global Automotive Retrofit Electric Vehicle (EV) Powertrain market is witnessing significant growth driven by government initiatives promoting electric vehicle adoption and infrastructure development. Notable investments, such as the USD 5 billion by the US government in 2017, alongside substantial subsidies in Norway and Germany, have catalyzed EV sales. Europe's aggressive stance on transitioning away from internal combustion engines (ICE), with many nations planning to ban ICE vehicle sales in the upcoming decades, further fuels this trend. The increasing availability of charging stations, supported by incentives for installation, enhances market attractiveness, positioning Europe as a frontrunner in complete electrification of transportation.
Table of Contents
Introduction
Objectives of the Study
Scope of the Report
Definitions
Research Methodology
Information Procurement
Secondary & Primary Data Methods
Market Size Estimation
Market Assumptions & Limitations
Executive Summary
Global Market Outlook
Supply & Demand Trend Analysis
Segmental Opportunity Analysis
Market Dynamics & Outlook
Market Overview
Market Size
Market Dynamics
Drivers & Opportunities
Restraints & Challenges
Porters Analysis
Competitive rivalry
Threat of substitute
Bargaining power of buyers
Threat of new entrants
Bargaining power of suppliers
Key Market Insights
Key Success Factors
Degree of Competition
Top Investment Pockets
Market Ecosystem
Market Attractiveness Index, 2024
PESTEL Analysis
Macro-Economic Indicators
Value Chain Analysis
Pricing Analysis
Case Studies
Technology Advancement
Regulatory Landscape
Patent Analysis
Trade Analysis
Global Automotive Retrofit Electric Vehicle (EV) Powertrain Market Size by Component Type & CAGR (2025-2032)
Market Overview
Inclusive Conversion Kit
Electric Motor
Battery
Controller
Charger
Other
Global Automotive Retrofit Electric Vehicle (EV) Powertrain Market Size by Vehicle Type & CAGR (2025-2032)
Market Overview
Two-Wheelers
Passenger Vehicles
Commercial Vehicles
Global Automotive Retrofit Electric Vehicle (EV) Powertrain Market Size by Electric Vehicle Type & CAGR (2025-2032)
Market Overview
All-Electric Vehicle Battery
Plug-in Hybrid Vehicle
Hybrid Vehicle
Global Automotive Retrofit Electric Vehicle (EV) Powertrain Market Size by Power Source & CAGR (2025-2032)
Market Overview
Battery
Plug-in Hybrid
Fuel Cell
Global Automotive Retrofit Electric Vehicle (EV) Powertrain Market Size by Drive System & CAGR (2025-2032)
Market Overview
Front-Wheel Drive
Rear-Wheel Drive
All-Wheel Drive
Global Automotive Retrofit Electric Vehicle (EV) Powertrain Market Size by Purpose & CAGR (2025-2032)
Market Overview
Private
Commercial
Global Automotive Retrofit Electric Vehicle (EV) Powertrain Market Size by Power Output & CAGR (2025-2032)
Market Overview
Less than 100 kW
100-200 kW
More than 200 kW
Global Automotive Retrofit Electric Vehicle (EV) Powertrain Market Size & CAGR (2025-2032)
North America (Component Type, Vehicle Type, Electric Vehicle Type, Power Source, Drive System, Purpose, Power Output)
US
Canada
Europe (Component Type, Vehicle Type, Electric Vehicle Type, Power Source, Drive System, Purpose, Power Output)
Germany
Spain
France
UK
Italy
Rest of Europe
Asia Pacific (Component Type, Vehicle Type, Electric Vehicle Type, Power Source, Drive System, Purpose, Power Output)
China
India
Japan
South Korea
Rest of Asia-Pacific
Latin America (Component Type, Vehicle Type, Electric Vehicle Type, Power Source, Drive System, Purpose, Power Output)
Brazil
Rest of Latin America
Middle East & Africa (Component Type, Vehicle Type, Electric Vehicle Type, Power Source, Drive System, Purpose, Power Output)