Electric Bike Market by Product Type (Pedal Assist and Throttle), by Motor (Hub motor, Mid drive, and Others), by Battery Type (Lead Acid, Lithium-ion, Nickel-metal Hydride (NiMH), and Others) by Battery Capacity (Less than 250Wh, 250Wh to 449Wh, 450Wh to 649Wh, 650Wh and above), and by Usage (Mountain/Trekking, City/Urban, Cargo and Others) – Global Opportunity Analysis and Industry Forecast, 2024 – 2030

Market Overview

The global Electric Bike Market size was valued at USD 55.55 billion in 2023 and is predicted to reach USD 109.63 billion by 2030, with a CAGR of 10.2% from 2024 to 2030. An electric bike, also known as an e-bike, is a bicycle equipped with an integrated electric motor that provides propulsion. This motor assists the rider's pedaling effort, making it easier to pedal and allowing for higher speeds, especially when navigating inclines or covering long distances.

Electric bikes feature rechargeable batteries that power the motor and can be charged using a standard electrical outlet. They offer an eco-friendly and efficient means of transportation, combining the benefits of traditional cycling with the assistance of electric propulsion. Electric bikes come in various styles and configurations, ranging from commuter and city bikes to mountain bikes and cargo bikes, catering to a wide range of preferences and needs.

Government Initiatives Aimed at Fostering the Adoption of E-bikes

Governments worldwide are enacting policies aimed at fostering the adoption of electric vehicles, including e-bikes, through various means such as subsidies, tax incentives, and infrastructure development. Subsidies and rebates provided by governments substantially diminish the initial cost barrier associated with e-bike purchases, rendering them more financially feasible for a broader demographic.

Tax incentives further increases the deal for consumers, offering ongoing financial benefits and making e-bikes a compelling alternative to traditional transportation options. Moreover, governments are investing in infrastructure tailored to accommodate e-bikes, including dedicated bike lanes, charging stations, and secure parking facilities.

This infrastructure development not only enhances the safety and convenience of e-bike usage but also signals a commitment to sustainable mobility solutions. Thus, government incentives play a vital role in accelerating the growth of the e-bike market by making these eco-friendly and efficient modes of transportation more accessible and appealing to consumers.

For instance, in February 2023, the U.S. government introduced House Bill 3145, aiming to establish a grant program supporting municipalities, businesses, and nonprofit organizations in financing electric bike share or ownership initiatives. The proposed grants would assist organizations in purchasing electric bicycles, equipment, and necessary infrastructure for their e-bike programs, as well as covering labor and administrative costs.

Rising Environment Concerns Worldwide Boosts Market Growth

The heightened awareness of environmental issues, particularly concerning air pollution and climate change, is a significant driving force behind the electric bike market growth. As consumers become more conscious of their environmental impact, there is a growing demand for transportation solutions that align with sustainability goals. Electric bikes offer a cleaner alternative to traditional vehicles, emitting no harmful pollutants and producing fewer greenhouse gas emissions.

This appeal to eco-conscious consumers is fueling the demand for electric bikes as an environmentally friendly mode of transportation. Consequently, manufacturers are experiencing increased interest and sales in electric bikes as consumers prioritize reducing their carbon footprint and contributing to a cleaner, healthier environment.

High Initial Costs Restrain the Market Growth 

The high cost associated with e-bikes compared to traditional bicycles presents a significant obstacle for potential buyers, particularly those with budget constraints. Moreover, the elevated costs associated with maintaining and replacing electric components further increases financial concerns, posing a notable restraint on the expansion of the e-bikemarket.

The Integration of Smart Features in Electric Bike Creates Future Opportunity

The integration of smart features presents a significant opportunity for market expansion and innovation in e-bikes. These features include incorporating GPS navigation, smartphone connectivity, and integrated sensors for performance tracking, electric bikes offer an enhanced user experience while providing valuable data for riders to optimize their journeys.

This convergence of technology not only increases the appeal of electric bikes to tech-savvy consumers but also opens up new possibilities for personalized services, data-driven insights, and innovative business models within the electric bike ecosystem. As smart features become more sophisticated and seamlessly integrated into electric bike designs, they are expected to drive further adoption and growth in the market, catering to a diverse range of consumer preferences and needs.

North America Dominates the Electric Bike Market

North America dominates the global electric bike market share due to presence of global giants such as Aventon, Prodecotech, Trek Bicycle Corporation and others. These companies not only set industry standards for innovation and quality but also leverage the region's robust infrastructure for research and development, extensive distribution networks, and growing consumer awareness of sustainability, thereby driving the rapid expansion of the market in the region.

Recently, Trek Bicycle Corporation unveiled its latest electric mountain bike, the Marlin+, developed from its popular Marlin model. Equipped with a 250W Active Line Plus mid-drive motor and a built-in 400Wh battery for electric assistance, the Marlin+ is offered in two versions such as the Marlin+ 6 and the Marlin+ 8, available in five different frame sizes.

Both variants feature hydraulic disc brakes and a front suspension fork offering up to 120mm of travel. This release serves as a prime example of the continuous innovation propelling the expansion of the e-bike market in the region. Furthermore, the expansion of the e-bike market is propelled by the increasing support from governments to promote e-bike adoption.

Across various regions in the U.S., including Colorado, Maine, Minnesota, Vermont, and Washington, states are implementing e-bike incentive programs as part of their efforts to advance sustainable transportation and mitigate greenhouse gas emissions and transportation challenges. As a result, the combined efforts of industry innovation and government support are propelling the rapid expansion of the electric bike market in North America, with promising implications for sustainable mobility and environmental conservation.

Asia Pacific is Expected to Show Substantial Growth in the Market

Asia-Pacific projected to witness the global electric bike market largely propelled by increasing government initiatives aimed at promoting sustainable transportation. With a heavy reliance on two-wheelers for transportation, particularly in countries including India, the government seeks solutions to reduce air pollution and alleviate traffic congestion. Government programs such as the Faster Adoption and Manufacturing of Electric Vehicles (FAME) play a crucial role in expediting the adoption of electric scooters.

Moreover, the increasing urbanization coupled with escalating traffic congestion in cities is increasing the need for alternative modes of transportation, such as electric bicycles, offering a pragmatic and efficient way to navigate through crowded urban landscapes.

According to the United Nations Human Settlements Programme (UN-Habitat), more than 2.2 billion individuals, representing 54% of the global urban populace, inhabit Asia. By 2050, projections indicate that Asia's urban population will surge by 50%, adding approximately 1.2 billion more residents. This trend underscores the burgeoning potential for the market in accommodating the evolving transportation needs of urban dwellers across the region.

Competitive Landscape

Several key players operating in the electric bike industry include Derby Cycle, AIMA Technology Co., Ltd., Giant Bicycles, Aventon, Prodecotech, Trek Bicycle Corporation, Yamaha Motor Corporation, Merida Bikes, Yadea Technology Group Co., Ltd., Fuji-ta Bicycle Co., Ltd. and others. 

For instance, in January 2024, Yamaha Motor introduced a new entity named ENYRING GmbH, with a specific focus on battery management solutions for electric micromobility vehicles. ENYRING's primary offering will involve providing interchangeable batteries for urban micromobility vehicles, including e-bikes, through a subscription model service.

Moreover, in January 2024, AIMA Technology Group, a global brand in the e-mobility sector, launched the emoped-HYHAWK, a fresh addition to their lineup. This new model is crafted with a focus on accessibility, catering specifically to riders. With its user-friendly design, the emoped-HYHAWK ensures easy handling, making it suitable for beginners and prioritizing rider safety. By offering a comfortable and secure riding experience, the emoped-HYHAWK opens up the joy of cruising on open roads to a wider audience, embodying the democratization of e-mobility.

Also, in February 2024, Aventon introduced its inaugural electric mountain bike, the Ramblas, featuring a specially designed mid-drive motor that enables riders to customize their riding preferences for a more intuitive and personalized experience.

In addition, in November 2023, Giant Group, a prominent player among bicycle manufacturers, unveiled its maiden throttle-enabled electric bike. This latest addition is being launched as part of the company's Momentum sub-brand, which focuses on offering more budget-friendly bike options tailored for street, utility, and commuter purposes.

Electric Bike Market Key Segments

By Product Type

• Pedal Assist

• Throttle

By Motor

• Hub motor

• Mid drive

• Others

By Battery Type

• Lead-Acid

• Lithium-ion

• Nickel-metal Hydride (NiMH)

• Others

By Battery Capacity

• Less than 250Wh

• 250Wh to 449Wh 

• 450Wh to 649Wh 

• 650Wh and above 

By Usage

• Mountain/Trekking

• City/Urban

• Cargo

• Others

By Region        

• North America    

  • The U.S.

  • Canada

  • Mexico

• Europe

  • The UK

  • Germany

  • France

  • Italy

  • Netherlands

  • Rest of Europe

• Asia-Pacific

  • China

  • Japan

  • India

  • Australia

  • Vietnam

  • Rest of Asia-Pacific

• RoW

  • Brazil

  • Argentina

  • South Africa

  • Remaining Countries

Report Scope and Segmentation:

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