Automotive, Sector

Frost & Sullivan England

07.08.2025 - 18:00:05

Automotive Sector Poised for Major Shifts Amid EV Expansion and Fiercer Competition

EV Production and Battery Innovations to Drive Growth

China's dominance in EV production and battery technology is projected to persist over the next five to seven years, as the country maintains control over critical raw materials and advanced battery manufacturing.

Joe Praveen, Growth Expert at Frost & Sullivan, points to an increasing focus on solid-state batteries and efficiency improvements, which will be crucial in reducing costs, increasing energy density, and expanding global production capacity.

"In parallel, additive manufacturing (3D printing) will become an essential tool for automakers by 2030, enabling faster product development, mass customisation, and low-volume production. By the end of the decade, digital twin technology will revolutionise automotive manufacturing, optimising plant operations, quality control, and waste reduction," Praveen continues.

New Production Hubs and Future Manufacturing Trends

As global supply chains evolve, automakers are diversifying production by establishing new manufacturing hubs. The push for regionalised production is driven by a need to mitigate geopolitical risks, reduce logistics costs, and comply with evolving trade regulations.

Battery production is also scaling rapidly to meet the growing demand for EVs. The development of next-generation battery chemistries and localised supply chains will play a pivotal role in supporting EV adoption and ensuring sustainable mobility solutions.

Looking Ahead: What to Expect in the Automotive Industry

As automakers navigate regulatory shifts, supply chain constraints, and intensifying competition, innovation and strategic investments will be key to long-term success. Companies that leverage digital transformation, adopt emerging technologies, and forge strong partnerships will be best positioned to thrive in the evolving automotive landscape.

Click here to unlock growth potential and explore the future of the automotive industry.

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Contact:

Kristina Menzefricke
Marketing & Communications
Global Customer Experience, Frost & Sullivan
kristina.menzefricke@frost.com

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