New Electric Vehicle Entrants Could Drive $120 Billion Market Expansion by 2030, Analyst Says

A wave of new electric vehicle (EV) manufacturers is poised to reshape the automotive landscape, with analyst McNeill projecting a $120 billion expansion in the global EV market by 2030. This growth will be driven by over 25 new entrants across Asia, Europe, and North America, many of which are launching mass-market models priced below $30,000. These lower-cost options are expected to increase EV penetration rates from the current 18% to over 30% in key markets within five years. The projected expansion reflects a broader shift in consumer demand and regulatory pressure. Governments worldwide have implemented stricter emissions standards, with the European Union’s 2035 internal combustion engine ban and China’s new energy vehicle mandate serving as major catalysts. In response, traditional automakers are partnering with startups or launching dedicated EV divisions—such as Ford’s Blue Oval City plant and Stellantis’ partnership with Rivian—to meet rising expectations. Market performance already shows early momentum. Since January 2024, publicly traded EV-focused companies have seen an average 27% rise in valuation, while battery supplier stocks like CATL and LG Energy Solution have posted gains exceeding 40%. These figures underscore investor confidence in the long-term viability of the sector despite short-term supply chain fluctuations. The influx of new players is also intensifying competition for talent and raw materials. Lithium prices, which peaked at $90 per kilogram in 2022, have stabilized around $35, but concerns remain over cobalt and nickel availability. Meanwhile, established OEMs such as Volkswagen and Toyota are adjusting production strategies to maintain market share amid the evolving competitive environment.