Africa Automotive July-August issue 2022

Opinion
July-August issue l 2022
Why passenger cars remain the most
prominent vehicle in the EV battery market
Image courtesy
Africa is one of the top countries undergoing
a major transition in the vehicle segment.
The major shift from traditional cars to
electric battery-powered vehicles has been an
impressive and a major one. This dramatic inclination is
a result of increased awareness of environmental issues
and the need to fulfil greener ambitions set by African
economies. Future Market Insights projects the electric
vehicle battery market to surpass nearly $13 billion in
2027, likely to grow at a CAGR of 8.5%.
Electric vehicles are highly dependent on the strengthto-weight
ratio to perform efficiently on the road. Along
with this, the increasing dependency on passenger cars
for daily travel and commute along with the penetration
of plug-in hybrid electric cars is playing a crucial role in
the rapid adoption of the same. In this article, we will
look at why passenger cars remain the most prominent
vehicle type in the electric vehicle battery market.
Environment-friendly initiatives by the African
government to add immense growth
The adoption of electric passenger vehicles in Africa has
grown gradually over the years owing to the initiatives
launched by African governments. They are increasingly
investing in research and development activities
to cater to environmental issues, taking charge of
spreading awareness of vehicle electrification. They
are doing this by pointing out the positive impacts on
climate change driven by a global tide in the use of
electric vehicles (EVs).
African economies like Ghana and Kenya are aiming
toward high development and growth by the end of
2030. Even if the target is met halfway, the overall
automotive market in the regions is anticipated
to grow at a tremendous pace. The Automobile
Association of Zimbabwe, along with the other
members of the African Council of Touring and
Automobile Clubs, revealed that the unregulated
importing of cars in many African countries has a
negative impact on the continent’s environment,
health, society and economy.
Additionally, there are a varied number of reasons why
people and organisations from Africa are choosing
to invest in electric vehicle-powered passenger cars
rather than traditional passenger cars. In 2021, the
UN Environment Programme (UNEP), along with the
global electric facility, announced its plans to help
South Africa to shift to zero-emission electric mobility.
Through this partnership, the programme will focus
on building electric charging stations, cutting down
18 Africa Automotive News l 2022