Electric Bicycle (E-Bikes) Market Overview, 2029

The major advantage of electric bicycles other than being environmentally friendly is that it offers the same benefits like the traditional cycles, and also not requires any licenses or insurance in major parts of the world. Added with all these, an electric bike looks much classier than the regular cycles. This is expected to be one of the major reasons for the sales boost in the coming period. One of the real advantages of electric bikes is the efficiency while the rider is climbing a rough trail or fighting the wind. E-bikes are now a relief for the people who love to cycle but wryer previously restricted due to health limitations like asthma or knee pain.

Apart from being a common choice for the daily commute, the use of electric bicycles in cargo is also inclining. The electric bike reduces the maintenance costs as it has a very low number of moving parts when compared to the fuel run bikes. The lightweight of these bicycles has aided it to gain popularity among the different age groups. The ease of use and control are also a few of the added advantages of electric bikes. In a throttle e-bike, pedalling is optional as the bike moves forward with the motor push generated at the ease of a button or a twist.

According to the research report, “Global Electric Bicycle (E-Bikes) Market Overview, 2029”, the market is expected to cross USD 57.88 Billion market size by 2029, with 9.21 % CAGR by 2024-29. The e-bike market on a global scale is undergoing substantial growth, propelled by factors such as rising environmental awareness, urban development, and advancements in battery technology. With increasing concerns about air quality and climate change, e-bikes are becoming a popular choice for eco-friendly transportation, particularly in cities grappling with traffic issues.

Technological improvements in battery performance and motor strength have significantly enhanced the functionality of e-bikes, providing longer distances and faster charging capabilities, which appeal to both daily commuters and recreational users. Additionally, governments across the globe are introducing policies and incentives to foster green transportation, including financial subsidies and the establishment of cycling-friendly infrastructure. The surge in health and fitness trends further drives the demand for e-bikes, as they present a versatile exercise option that enables users to manage their exertion levels through pedal-assist technology.

By type of propulsion, the e-bike market is classified majorly into two segments- Pedal Assisted & Throttle Mode. The main difference between the two is that in pedal-assist the rider is expected to pedal alongside the power received from the motor, whereas in the throttle mode, no pedalling is required and the bike moves solely on the power received from the motor. The market is led by the pedal-assisted, considering its advantage of allowing the rider to ride farther & faster and conquers tougher terrains. On the other hand, the throttle e-bikes allow the rider to make the motor push the bike forward at the ease of a button or a twist, and pedalling is optional.

Based on class type, the e-bikes can be categorized as Class 1: Pedal Assist, Class 2: Throttle On Demand, & Class 3: Speed Pedelec. Of this, the market is led by the class 1 electric bicycle which is pedal-assisted, holding approximately 70% of the market share. In the majority of the states, class 1 electric bicycles are treated like mountain/ pavement bicycles which are legally allowed to be driven in the regular bicycle lanes. E-bikes that are pedal-assist only, with no throttle, and a maximum assisted speed of 28 mph, are included in the speed pedelec segment.

The major application of the e-bikes is seen in city & urban travel, as with the increasingly busy lives there has a hike in the need of daily commute. The decreasing reliability & the need to maintain the social distance is hampering the like of public transportation. On the other hand, there has been an increasing awareness about the need for sustainable environmental concerns. In order to give a solution to such challenges, e-bikes are an ideal solution for urban mobility.

The use of e-bikes in urban dwellings accounted for more than 50% of the market share. One of the major application trends in the developed regions is the use of electric bikes by e-commerce and food delivery service providers. This is to give a huge boost in the market. Among the major application segments, the cargo segment is expected to be growing as the fastest segment.

The market for electric bikes is divided into three segments according to the type of battery: Lithium-Ion, Lead Acid, and others. It is anticipated that by the end of 2029, the lithium-ion battery segment will emerge as the market leader, with only a marginal difference in share from the lead-acid segment. As of 2023, however, the lead-acid battery segment is in the lead. The growth of lithium-ion batteries can be attributed to their eco-friendly characteristics and advantageous life cycle and weight ratios compared to other batteries. Additionally, the declining prices of lithium-ion batteries are expected to significantly enhance their popularity in the coming years.

The global electric bicycle market is led by the Asia Pacific with more than 70% of the market share in terms of both- value & volume. This is mainly because of China, which has more electric bikes than cars on the road and thus held to nearly 50% of the global e-bikes in terms of volume. The major difference between the electric cycle market in China and other European or North American countries is the battery used in the cycle. In China, there is a high use of lead-acid batteries, while the counterparts use lithium-ion or nickel-metal hydride.

COVID-19 Impacts

Due to the COVID-19 pandemic, commuters are mostly avoiding public transportation. According to industry experts and e-bike manufacturers, such as Rad Power Bike, VanMoof, and Lectric e-bike, e-bikes are increasingly considered an ideal transportation mode as cities emerge from the quarantine approaches in the US and Europe. In addition, owing to the government restrictions on public transport because of social-distancing guidelines, commuters are adopting the bike as the mode of day-to-day transportation. Thus, the electric bike industry is one of those industries that is poised for better growth post-COVID-19. However, the sale of e-bikes was dampened in the first quarter of 2020, as e-bike stores were closed due to lockdown.

Apart from increasing consumer preference toward recreational and adventure activities, the adoption of e-bike applications in several sectors, like logistics and e-bike rental services, is expected to drive the market during the forecast period. As cities worldwide emerge from lockdowns, the demand for e-bikes is picking up pace due to their convenience and cost of operations. Regions such as Europe are witnessing a shift in consumer motive for buying an e-bike from leisure to daily use.

Major companies present in the market

Accell Group, Brompton Bicycle Limited, Giant Manufacturing Co. Limited, Merida Industry Co. Limited, Pedego Electric Bikes, PON Bikes, Rad Power Bikes LLC, Riese & Müller GmbH, Specialized Bicycle Components, Inc., The Electric Bike Company, Trek Bicycle, Yadea Group Holdings Ltd.

Considered in this report

• Geography: Global
• Historic year: 2018
• Base year: 2023
• Estimated year: 2024
• Forecast year: 2029

Aspects covered in this report

• Global Electric Bicycle (E-Bikes) market with its value and forecast along with its segments
• Region-wise toy market analysis
• Various divers and challenges
• Ongoing trends and developments
• Five force models
• Top profiled companies
• Strategic recommendation

Regions covered in the report

• North America
• Europe
• Asia-Pacific
• South America
• Middle-East & Africa

Segment covered in the report

By Propulsion Type

• Pedal Assist
• Throttle

By Class Type

• Class 1: Pedal Assist
• Class 2: Throttle On Demand
• Class 3: Speed Pedelec

By Battery Type

• Lithium-Ion Battery
• Lead-Acid Battery
• Others

By Application

• City/Urban
• Trekking (E-mountain Bikes/e-MTB)
• Cargo
• Others (Speed e-bikes, Foldable, Fat Bicycle)

The approach of the report

This report consists of a combined approach of primary as well as secondary research. Initially, secondary research was used to get an understanding of the market and list out the companies that are present in the market. The secondary research consists of third-party sources such as press releases, annual reports of companies, and analyzing the government- generated reports and databases.

After gathering the data from secondary sources primary research was conducted by making telephonic interviews with the leading players about how the market is functioning and then conducted trade calls with dealers and distributors of the market. Post this we have started doing primary calls to consumers by equally segmenting consumers in regional aspects, tier aspects, age group, and gender. Once we have primary data with us we have verified the details obtained from secondary sources.

Intended audience

This report can be useful to Industry consultants, manufacturers, suppliers, associations & organizations related to electric bicycle products industry, government bodies, and other stakeholders to align their market-centric strategies. In addition to marketing & presentations, it will also increase competitive knowledge about the industry.

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