China electric scooters and motorcycles market is forecasted to reach over $12 billion by 2025, growing at a CAGR of 6.1%.

Increasing pollution awareness among people and growing urbanization are driving the growth of the market. Electric scooters and motorcycles use electric battery for propulsion and do not produce any emissions. Moreover, these electric two-wheelers are virtually silent and do not cause noise pollution. Electric two-wheelers can manoeuvre through congested streets; can be charged from traditional wall outlets and can have a removable battery.

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On the basis of voltage, the 48V battery powered scooters account for a majority of industry sales, as these two-wheelers provide sufficient power to ride on congested roads, at a reasonable price. Based on technology, plug-in electric scooters and motorcycles accounted for majority sales during the historic period and it will continue to dominate the country sales over the forecast period.

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The growing urbanization in China is expected to benefit the sales of electric two-wheelers in the country over the forecast period. In 2011, population living in the cities in China crossed 50% and by 2030 it is expected that urbanization rate in the country would reach 65%-70%. Due to the growing urbanization, the transport demand from the medium and small cities is increasing.

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The research states that the Chinese electric scooters and motorcycles industry is fragmented, where the top three players, namely Yadea Group Holdings Ltd, AIMA Group and Zhejiang Luyuan Electric Vehicle Co Ltd, together account for less than 30% of sales. The remaining market revenues are shared by many companies in the market each accounting for a small share in sales.