Electric Car and Vehicle Growth to Spur Electric Motor Revenue to Nearly $3 Billion

Driving the growth of the next multi-billion dollar industry, the increase in the manufacture and sales of electric cars and hybrid vehicles, is creating a higher demand for electric motors. The key element for electric and hybrid vehicles, the electric drive motor appears to have a bright future for revenue growth according to analysts from Navigant Research.

According to their report, worldwide sales of electric drive motors will grow from $965 million in 2013 to more than $2.8 billion by 2020. This is due to the increasingly important role of electric motors for both battery-powered vehicles and in electric/internal combustion hybrids.

“While sales of battery electric vehicles are increasing, the growth is slow and steady rather than exponential,” says David Alexander, senior research analyst with Navigant Research. “That will lead to a similar growth curve in the electric vehicle motor market, which is expected to expand at a compound annual growth rate of 16.6 percent over the next 7 years.”

Explaining the revenue forecasts in more detail, including a summary of upcoming hybrid, plug-in hybrid, and battery electric vehicle model introductions, the complete research analysis is discussed in Navigant’s report, “Electric Vehicle Drive Motors.” An executive summary of the complete report is available as a free download from the Navigant Research website, and includes a review of the main electric motor technologies suitable for electric drive.