A new report from Inchcape has revealed that drivers across Asia-Pacific (APAC) are showing growing enthusiasm for new energy vehicles (NEVs), even as affordability and infrastructure challenges remain key barriers to adoption.
The Drivers of Change study surveyed more than 6,000 people across 13 countries in APAC and Latin America (LATAM), highlighting both the opportunities and complexities of the global mobility transition.
While personal car ownership remains the dominant mode of transport in both regions, the study found that environmental concerns are increasingly influencing consumer choices. In APAC, 62 per cent of respondents cited environmental considerations as a key motivator for adopting NEVs, compared with 37 per cent in LATAM.
Affordability and Infrastructure Remain Barriers
Despite strong interest, cost continues to hold back wider uptake. Nearly seven in ten APAC respondents (68 per cent) said NEVs are still too expensive, while charging infrastructure was another common concern across emerging markets.
Awareness of the technology, however, is comparatively high. More than 80 per cent of APAC respondents reported being familiar with both hybrid and fully electric vehicles, compared with fewer than 40 per cent in LATAM.
The research also highlighted the broader social value of vehicle ownership. In APAC, 63 per cent of respondents identified freedom of movement as the main benefit of owning a car. In LATAM, access to jobs and education played a larger role, with 81 per cent citing employment opportunities and 62 per cent pointing to improved access to education.
Recommendations to Accelerate Adoption
The report suggests several approaches to drive NEV adoption in APAC. These include promoting hybrids as a transitional solution, developing stable long-term policy frameworks with incentives and efficiency standards, and capitalising on low motorisation rates in emerging markets such as Vietnam and Indonesia.
It also calls for tailored product strategies that reflect local priorities. Safety and price remain top factors in Thailand and Vietnam, fuel efficiency in Indonesia, financing options in Singapore, and brand familiarity in Australia.
Liz Brown, Chief Strategy and Sustainability Officer at Inchcape, said the findings show the importance of aligning sustainable mobility with consumer priorities.
“The transition to sustainable mobility is not just about technology: it is about people,” Brown said.
“By listening to consumers and understanding their expectations, concerns, and motivations, we can enable solutions that respond to both global sustainability goals and consumers’ mobility needs.”
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