Narrative: 2025 Q1 Global xEV Demand Outlook 2022 to 2031
Discover xEV powertrain production and semiconductor demand forecasts. TechInsights projects strong growth in light vehicle powertrains and semiconductor demand, led by battery electric vehicles through 2031.
TechInsights forecasts xEV light vehicle powertrain production will grow from 28.0 million units in 2023 to reach 50.9 million units in 2028, a CAAGR of 13%, with the market forecast to continue growth and volumes reaching 59.2 million units by 2031. Despite the short-term challenges, battery electric vehicles will still comprise the largest market for semiconductors. Semiconductor demand from battery electric vehicles will grow at a CAAGR of 19.8% and account for 79.5% of the total semiconductor market opportunity in 2031. The associated power semiconductor demand from xEV powertrain systems is forecast to grow at a CAAGR of 16% from 2023 to 2028, reaching $16.7 billion by 2031 with the fastest growth driven by demand for wideband gap semiconductor technologies.
