Global EV Charging Network on Track to Surpass 200 Million by 2040

According to a new forecast released by Wood Mackenzie, the number of electric vehicle charging ports is expected to rise sharply over the next two decades. From 2026 to 2040, charging ports are projected to grow at a compound annual growth rate (CAGR) of 12.3%, eventually reaching over 206 million installations worldwide.

Residential charging will continue to play the most significant role. By 2040, there could be as many as 133 million residential ports globally. Achieving this scale will require considerable investment, with annual spending on charging infrastructure expected to grow at an 8% compound yearly rate, reaching approximately $300 billion by 2040.

“As utilisation in public charging increases and infrastructure efficiency improves, we expect the ratio of EVs to public chargers to increase from 7.5 battery electric vehicles per charger in 2025 to 14.2 in 2040,” said Oliver McHugh, senior EV charging research analyst for Wood Mackenzie.

Added Emil Koenig, senior research analyst, EV charging and power and renewables for Wood Mackenzie, "Residential Level 2 charging dominates the global market, and will comprise approximately two out of every three charging ports worldwide through 2050. This segment's sustained appeal stems from its ability to deliver the optimal balance of convenience, charging performance, and value that resonates most strongly with EV owners."

Much of this momentum will come from the Asia Pacific. China, in particular, is expected to maintain its dominance in public charging, while the broader region is expected to experience around 10 per cent annual growth in fast direct current charging. By the end of the forecast period, public Level 3 charging and residential Level 2 charging will account for the largest share of capital expenditure, reaching $ 54 billion and $ 33 billion, respectively. India is also emerging as a significant growth market, with the number of direct current fast chargers forecasted to surge from 14,000 today to 1.1 million by 2040, supported by strong government policies and the rapid adoption of electric vehicles.

The Americas also exhibit a steady trajectory. In the United States, public fast charging is expected to maintain a healthy 14 per cent compound annual growth rate, climbing to 475,000 ports and generating 3.3 billion dollars in annual value by 2040. South America is also poised for accelerated growth, with residential charging set to expand at an impressive 22 per cent yearly rate as adoption catches up with that of North America. The residential Level 2 segment is projected to dominate capital expenditure across the region, reaching 11.2 billion dollars by 2040.

Europe and the Middle East also demonstrate strong momentum. Public chargers in Europe are projected to grow at an annual rate of 11.3% through 2040, led by the expansion of fast direct current chargers, which are expected to increase at nearly 14% annually. Residential charging is expected to reach 57 million alternating current chargers by 2040, while commercial charging is projected to grow at a steady 12 per cent pace. Saudi Arabia stands out in the Middle East with an extraordinary 29 per cent annual growth in public fast charging, fueled by ambitious government targets. Altogether, by 2040, the EMEA region is forecast to spend $ 14 billion each year on public charging and $ 30 billion on residential infrastructure.