The past five years have been momentous for the electric vehicle (EV) industry. It bucked the trend and overcame pandemic-related disruptions to post record sales at the beginning of the 2020s. The first half of the decade witnessed the United States passing the Inflation Reduction Act, BYD taking global market leadership from Tesla, Norway leading the world in EV adoption and the rollout of numerous innovations, like megawatt charging stations.
Can the industry outdo itself over the next five years? Discover five events that will reshape electric mobility in this EV forecast.
- Advanced Driver Assistance Systems (ADAS) Will Soar
According to McKinsey’s annual mobility survey published in April 2025, consumers consider ADAS as a premium auto brand differentiator in 10 years. This sentiment reflects the motoring public’s growing fascination with partial driving automation.
Although Chinese premium EV owners regard ADAS more highly than their American and European counterparts, this feature may become a unique selling proposition that outweighs brand prestige, powertrain technology, exterior and interior design, and value stability by the turn of the decade.
- Fast-Charging Infrastructure Will Spread Nationwide
After exceeding its EV sales share goal for 2025, China is setting its sights on charging infrastructure development. It aims to have full coverage in urban areas and on highways and expanded coverage in rural areas by 2030. The country’s past performance suggests that this target is achievable, given that it already has over 85% of its fast chargers in place.
Meanwhile, the size of Europe’s fast-charging network has grown in line with the number of EVs on the road. Although the U.S. hasn’t been as rapid, EV forecasters expect the country to have over 500,000 public charging points before the next decade begins.
- Solid-State Batteries Will Be More Pervasive
Solid-state batteries are the holy grail, as they theoretically outperform lithium-ion ones in energy density, charging speed and safety. However, many manufacturers are still racing to scale up the technology’s mass production. According to Grand View Research’s EV forecast, advancements in solid-state battery technology will help drive the global EV market size to reach $ 1,595.75 billion by 2030.
Leading the charge is Mercedes, which took an EQS equipped with a lithium-metal solid-state battery for a spin in February 2025. MG Motor announced in August that its MG4 was the first mass-produced vehicle with a semi-solid-state battery. Toyota will launch its own version in 2027, while CATL’s and BYD’s solid-state batteries are in development and could be ready for prime time in the same year.
- Battery Pack Prices Will Continue to Drop
High battery prices had been a barrier to EV adoption. They’d inflated sticker prices and repair costs. Fortunately, the average cost of battery packs has been declining primarily due to the falling prices of metals, particularly lithium and cobalt. A significant portion of EV battery prices stems from these commodities.
In 2022, the average cost of battery prices dropped to $153 per kilowatt-hour — about 90% lower than in the mid-2000s. After falling sharply in 2024, industry observers note that the downward trend will persist until 2030.
- U.S. Stricter Emissions Rules Will Push EV Adoption
In 2024, the U.S. Environmental Protection Agency finalized new tailpipe emissions rules for light-, medium-, and heavy-duty vehicles, applying to model years 2027 through 2032. More stringent regulations aim to compel automakers to build more eco-friendly cars and drive EV adoption and ultimately achieve the country’s sustainability targets.
Unfortunately, the American government eased its original requirements and adopted a more technology-neutral and performance-based approach after receiving backlash from the industry. Environmental advocates complained that the rules could be tougher, while the auto interests said that they’re still too strict. Regardless, the new standards moderated the initial EV adoption forecasts and greenhouse emissions reduction projections.
The Near-Term EV Forecast Is Favorable for Motorists
The EV landscape is changing rapidly in real time. Despite prevailing and emerging challenges, the industry is heading in the right direction. Growing interest in Level 2 automation, expanding public charging networks, impending rollouts of solid-state batteries, falling battery pack prices and mounting pressure to go electric should make the next five years exciting for EV enthusiasts.