Electrified transport spending hit $466 billion in 2022

A recent analysis from BloombergNEF reveals that worldwide spending on electric transportation reached $466 billion in 2022, representing a 54% increase compared to 2021. China was particularly prominent in this shift, accounting for the majority of this expenditure (55%) in the Asia-Pacific region. Notably, the $466 billion invested in electric transport in 2022 accounted for 42% of the total global investment in the energy transition of $1.1 trillion, second only to the $495 billion invested in renewables.

Published

February 2023

Industry

Electric Vehicles

The analysis projected global expenditures related to Electric Vehicles (EVs) and Fuel Cell Vehicles (FCVs) across 10 areas, including sales of passenger EVs and the infrastructure for home and public charging. According to the report, in 2022, the number of passenger EVs sold worldwide surpassed 10 million, representing 83% of all spending on electric transportation that year, with a total expenditure of $388 billion.

In 2022, $24 billion was invested in public charging infrastructure, making it the second-largest investment in the e-Mobility industry last year. This investment reflects the increasing demand for electric vehicle charging services as more electric cars hit the global roads.

China continued to take the lead in the global transition to electric vehicles (EVs) in 2022, with a total investment of an impressive $234 billion in electrified transportation, representing an 87% increase from the previous year. This growth was driven by expansion within many of the segments monitored. Notably, thousands of new clean buses and commercial vehicles, as well as more than 6 million passenger EVs, were sold in China in 2022.

By the end of 2022, China’s combined network of public charging connectors is projected to reach approximately 1.8 million, making it one of the most significant markets for electric two- and three-wheelers.

In 2022, the US was the second-largest contributor to electric vehicle (EV) investment, with total spending reaching $57 billion, a 57% increase from 2021. This growth is attributed to the Inflation Reduction Act and makes the US a key market to watch in 2023.

Other key markets for EV investment in 2022 included Germany, France, and the UK, although the growth rates observed were noticeably lower than those seen in 2020 and 2021.

Source: BloombergNEF