The Driving Effect of the New Energy Vehicle Industry Development on Economic Growth

Abstract

Nowadays, new energy vehicles’ market share has greatly enlarged. The main market of cars is already opened for new energy vehicles such as China, America, Europe with a consistently increase. In recent years, the new energy vehicle industry has experienced rapid global expansion. Production and sales of new energy vehicles in major markets such as Europe, China, and the United States have maintained rapid growth. This article analyzes the direct and indirect impacts of the new energy vehicle industry on global economic growth from a global perspective. The results show that, in terms of direct effects, the new energy vehicle industry has boosted global automotive manufacturing output, driven the expansion of core component industries such as power batteries and drive motors, and created millions of jobs in production and R&D. Indirectly, the industry has strengthened demand for upstream mineral resources and equipment manufacturing, promoted the development of downstream charging infrastructure and after-sales services, and achieved deep integration with the energy storage and intelligent connected vehicle industries. However, the global new energy vehicle industry still faces challenges such as technological bottlenecks, uneven regional development, limited natural conservation, and incompletely stabilized cost and profit models. Overall, the new energy vehicle industry has become a key driver of global green transformation and economic recovery, and its future development will continue to influence the international industrial chain landscape and the path of global economic growth.