The automotive industry is rapidly transitioning to electrification to reduce the impact of vehicle emissions on the environment. This transition is creating opportunities for new entrants, established OEMs, and unique purpose-built products. TPI’s automotive business unit is helping enable this transition through the development and delivery of lightweight, durable, and improved performance composite solutions.
With policy support, technology advancements, and increased consumer demand, the market for electric vehicles is anticipated to grow rapidly. For example, electric bus sales are projected to grow almost threefold in the U.S. from 2021 to 2025. The global sales of commercial electric vehicles are also expected to grow into the million plus volume annually by 2025, and passenger electric vehicles are set to grow from 3.1 million in 2020 to 14 million in 20251.
We are collaborating with our customers to develop innovative composite solutions for vehicles across the passenger car, bus, truck, and delivery vehicle market segments. Our composite solutions are ideally suited for automotive applications based on their weight reduction, corrosion resistance, strength, and durability at a lower total program cost and quicker time to market than the alternative metallic solutions. In addition, we are continuing to invest in engineering and capital equipment to drive innovations into the manufacturing processes and expanding automotive industry applications.