The micro mobility market is forecasted to grow at a high rate owing to the rise in pollution along with increase in fuel prices
The Global Micro Mobility Market was valued at USD 41.6 billion in 2020 and is expected to reach USD 188.2 billion by 2027, growing at a CAGR of 16.6% during the forecast period.
Micro mobility is a means of transportation used for short distances and it is generally two-wheelers or three-wheelers. It is either electric or manual. Global rise in population has led to rapid urbanization which in return increased the demand for vehicles for people to commute. The rise in vehicles results in environmental pollution, especially caused by vehicular pollution, which seems quite alarming. Many countries are adopting measures to decrease the effects of pollution. For instance, Britain is expected to implement a ban on the sale of petrol and diesel cars in 2030, which was originally planned for implementation in 2035. Micro mobility has come as a substitute for traffic congestion as well. It is easy for shorter destinations and a fewer number of travellers.
Furthermore, the rise in fuel prices is expected to boost the growth of the market. For instance, according to the European Commission, the cost of petrol with taxes in Europe are relatively high as in France, a litre of fuel comes at €1.53 with taxes and without taxes, there is a nose-diving fall in price with a litre costing €0.58. This will push the growth of the micro mobility especially the electric segment. Safety concerns with regards to two-wheelers are one of the major reasons for the setback in the micro mobility market growth. A new bill in Washington DC allows electric bikes and scooter users, to collect damages if they get hit by cars, which gives them rights as those of pedestrians. This shows that two-wheelers are not as safe as four-wheelers. Hence, this will limit the growth of the market.
Global Micro mobility Market by Region Outlook (Revenue, USD Million, 2021-2027)
In terms of geography, the Asia Pacific region is the fastest-growing region with a CAGR of 20% in 2020. The reason for the propulsion of the micro mobility market demand is the rise in traffic due to the rapid growth in population and urbanization. India and China have the highest population in this region and these two countries have led the growth of the market. ‘Electrek’ delivers high-end e-scooters to consumers in China. The 2020 deliveries registered more than 600,000 about 43% year-over-year growth than 2019. By the end of 2025, over 80% of electric three-wheelers will be riding on the roads of India. For instance, according to Indian Express, Lucknow, India has dedicated bike lanes across the city. Indian cities stand at the top of the world traffic index. Thus, micro mobility comes as a solution to densely populated countries. Thus, the aim to mitigate pollution and solve traffic congestion will propel the micro mobility market in this region.
The Global Micro Mobility Market Segmentation:
by Type Outlook (Revenue, USD Million, 2021-2027)
by Application Outlook (Revenue, USD Million, 2021-2027)
by Vehicle Type Outlook (Revenue, USD Million, 2021-2027)
Company Profiles and Competitive Intelligence
The key players operating in the micro mobility market are: