Electric Vehicle Market Surges as Industry Faces Transformative Challenges

According to the Market Intelligence & Consulting Institute (MIC), the global electric vehicle market is projected to reach 17.31 million units in 2024, reflecting a 23.5% increase compared to 2023, This growth is driven by supportive policies and the rising number of electric vehicle owners, which are also expected to boost the number of public charging stations. In 2024, DC charging stations are estimated to increase to 960,000 units, while AC charging stations are expected to reach 660,000 units.

MIC highlights that the automotive industry is poised for a significant period of restructuring and consolidation in 2024, as it contends with challenges such as price competition, uneven investment returns, supply chain shifts, and the rise of Chinese automakers. Traditional car manufacturers are likely to revise their strategies to fully embrace electrification, while start-up automakers may downsize and reorganize to mitigate losses. Meanwhile, companies from the information and communications sectors may adopt a more cautious approach.

Additionally, MIC notes that the advancement of AI technology is becoming a key differentiator in the automotive industry. AI-driven models are spearheading developments in intelligent driving systems (ADAS/AD), with applications advancing from Level 2+ to Level 3 autonomy in highways, urban settings, and Navigate on Autopilot (NoA) systems. European and American automakers are primarily focusing on high-speed NoA applications, utilizing sensor fusion techniques, while Tesla is progressing towards an end-to-end model. Chinese automakers, on the other hand, are vigorously developing commuting and urban NoA systems, particularly focusing on solutions that do not rely on high-definition maps.