SEMA Estimates Alternative Power Vehicles Will Account for 45% Sales by 2045
SEMA claims alternatively powered vehicles will represent 33% of new car sales by 2030. The aftermarket industry must explore new ways to engage with customers.
New SEMA market research indicates that by 2035 alternative-powered vehicles will account for 45% of all light-vehicle sales in the USA. Right now, non-ICE vehicles only control 5% of the country’s total light vehicle market share. As a result, electric mobility solutions for light vehicles are fast becoming a booming and lucrative industry.
Last year, alternative-powered vehicles were only responsible for 1% of all specialty equipment retail sales. Therefore, green cars are a niche market for the aftermarket industry. According to the research, three-fourths of Americans chose to drive ICE vehicles over alternative-power vehicles. Factors like affordability, range anxiety, and concerns regarding inadequate infrastructure are hindering sales of alternative-power vehicles. SEMA Emerging Trends report implies that the goals of the Biden administration’s Build Back Better initiative might be a bit ambitious.
The Biden administration is targeting EV, PHEV, and ECEV sales to account for 50% of all light-vehicle sales by 2030. On the other hand, SEMA forecasts that alternative-powered vehicles will only represent 33% of new car sales by 2030. It’s evident that the automotive industry will be investing substantially in alternative powered mobility by the end of the decade. As a result of this, the specialty equipment industry will also have to explore new ways to engage with enthusiasts.
The aftermarket industry must explore new frontiers in the future to engage with consumers.
Over the past few months, we’ve been discussing electric propulsion systems from companies like EV West, Everrati, Ford, Magna International, and many more. The products from these brands can future-proof most of the ICE vehicles on road today. It’s common knowledge that almost every major automaker is either committing to an all-electric future or adopting electrification in some capacity.
SEMA market research reveals that 86% of consumers have strong reservations against fully autonomous vehicles, but 58% want safer cars. Last year, chemical products were responsible for 18% of all aftermarket parts sales in the alternative powered vehicle segment. Exterior body panel sales came a close second with a 16% market share. Mobile electronics followed in at third place with 14%. The strong demand for safer and more comfortable vehicles offers a great opportunity for the aftermarket industry.
Image Source: SEMA