Qatar Electric Vehicle Market Research Report: Forecast (2023-2028)

Market Definition

In order to mitigate climate change & reduce pollution levels, governments of different countries, including Qatar, are taking several initiatives toward promoting green transportation to attain their carbon-neutrality targets & contribute to a sustainable & cleaner environment. Hence, fossil fuel-based vehicles are gradually becoming obsolete with the rising consumer interest in EVs (Electric Vehicles) owing to tax rebates & incentives being offered by governments.

Market Insights & Analysis: Qatar Electric Vehicle Market (2023-28)

The Qatar Electric Vehicle Market is expected to grow at an exponential CAGR during the forecast period, i.e., 2023-28. The growth of the market is projected to be propelled by extensive government support through favorable regulations, massive R&D investments in setting up EV manufacturing facilities, private sector funding for EV production, and the country's strategic location & resources. As global demand & government subsidies are rising for EVs, Qatar is also actively working toward facilitating EV adoption in order to reduce its carbon emissions.

• In September 2021, Qatar signed a MoU (Memorandum of Understanding) with ABB, a Swedish–Swiss multinational corporation, to manufacture EV chargers in the country.

The country also established its sustainability goals & renewable energy targets & is diversifying substantial investments in transitioning to an eco-friendly & sustainable economy. For the 2022 FIFA World Cup, Qatar came up with an EV strategy to install over 600 charging stations for electric buses. Another goal summarized in the strategy was to convert 25% of the country's public transit bus fleet to electric by 2022 and establish 100% electric transportation & 15K public charging stations by 2030.

Moreover, tax rebates, benefits like carpool lane access & improved driving range, and active participation of OEMs toward providing adequate charging infrastructure are other prominent aspects projected to stimulate the growth of the electric vehicle market in Qatar through 2028.

In June 2022, Mowasalat, the state-owned transportation company of Qatar, reported more than 700 electric buses operating in the country. The government is aiming to gradually convert public transportation buses, public school buses, and subway connection bus services to electric buses by 2030. In Karwa, the taxi division of Mowasalat, also announced that it will transition its combustion fleet to hybrid-electric vehicles. 

Furthermore, Qatar is entering into partnerships with various automakers worldwide in order to bring EVs & HEVs to the country. The booming car-sharing services that offer EVs as part of their fleets to cater to environmentally conscious consumers, coupled with the burgeoning demand for luxury EVs in Qatar, are also projected to spur growth in the electric vehicle industry over the coming years. 

Hence, the robust government push toward green mobility, with ministries, offices, & stakeholders actively working toward developing adequate EV charging infrastructure, increasing consumer awareness, and offering extensive EV options, are set to drive the Electric Vehicle Market in Qatar through 2028.

Market Dynamics

Key Driver: Active Government Efforts Toward Renewable Energy Production & Encouraging Green Mobility

In order to attain sustainable mobility goals by reducing carbon emissions as outlined in Qatar Vision 2030, the government is actively working on promoting the use of renewable & green energy and encouraging the adoption of EVs in the country. Consequently, it is generating lucrative prospects for foreign EV manufacturers to invest in the country. Moreover, financial institutions are offering green financing options to cater to the rising consumer demand for EVs & HEVs. Hence, the country is rapidly moving to transition to electric buses and car/taxi fleets while encouraging consumers toward EV options, which, subsequently, would drive the electric vehicle market in Qatar through 2028.

Growth Restraint: Inadequate EV Charging Infrastructure & High Costs

The Qatar Electric Vehicle Market currently faces several challenges due to the presence of a few industries, long charging hours, short driving range, and costly importation of a wide range of EVs. Since only a few car markets import EVs, their adoption is relatively much lesser than the strong markets. This aspect is likely to hamper the market growth in the coming years unless some significant improvements are witnessed in EV size, cost-effectiveness, and charging infrastructure.

Market Segmentation

Based on Vehicle Type:

• Two Wheelers
• Passenger Vehicles
• Commercial Vehicles

Among these three, commercial vehicles are projected to attain a significant share of the Qatar Electric Vehicle Market during 2023-28. It owes mainly to the government’s EV Strategy that aims for the electrification of school, public, & metro feeder buses, coupled with substantial investments in infrastructural developments. Hence, several ongoing commercial, residential, & industrial construction activities across the country are augmenting the demand for different construction equipment and, consequently, commercial EVs. Moreover, the increasing presence of automakers and the ever-increasing need to reduce carbon footprints from utility, oil & gas, cement, and metal & mining sectors are other prominent aspects projected to accelerate the demand for commercial electric vehicles in Qatar over the coming years.

Recent Developments in the Qatar Electric Vehicle Market

• In July 2021, ABB was awarded a contract to design, supply, test, and commission a new high-power charging infrastructure for one of the world's largest fleets of electric buses in Qatar. The project will see the company provide high-power charging infrastructure for the fleet of around 1,000 electric buses operating across the country, with a capacity to transport 50,000 passengers a day in the future.
• In June 2021, Qatar General Electricity and Water Corporation (Kahramaa) unveiled the 19th EV charging station at Katara. It is the fastest charger in Qatar, with 180 KW capacity, and has a direct current system that can fully charge the EV in less than 10 minutes.

Gain a Competitive Edge with Our Qatar Electric Vehicle Market Report

1. Qatar Electric Vehicle Market Report by MarkNtel Advisors provides a detailed & thorough analysis of market size & share, growth rate, competitive landscape, and key players. This comprehensive analysis helps businesses gain a holistic understanding of the market dynamics & make informed decisions.
2. This report also highlights current market trends & future projections, allowing businesses to identify emerging opportunities & potential challenges. By understanding market forecasts, companies can align their strategies & stay ahead of the competition.
3. Qatar Electric Vehicle Market Report aids in assessing & mitigating risks associated with entering or operating in the market. By understanding market dynamics, regulatory frameworks, and potential challenges, businesses can develop strategies to minimize risks & optimize their operations.