ICE (Internal Combustion Engine) Powered Generators in EVs Market Insights in

ICE (Internal Combustion Engine) Powered Generators in EVs Market Overview 2025 Passenger Vehicles Dominate with 60% Share

From 2025 to 2034, the global ICE (Internal Combustion Engine) powered generators in EVs market is set for a massive revenue upswing, with projections of growth reaching hundreds of millions of dollars. North America led the ICE-powered generators market with 40% share, while Asia Pacific is set to grow fastest. Passenger vehicles and range extenders dominated, with gasoline engines and below 20 kW output leading. Fastest growth is seen in hybrids and AWDs.

The ICE (Internal Combustion Engine) powered generators in EVs market is accelerating, with forecasts predicting hundreds of millions in revenue growth between 2025 and 2034, powering sustainable infrastructure globally. The rising demand for fuel-efficient vehicles coupled with technological advancements in ICE engines is playing a vital role in shaping the industrial landscape.

Additionally, numerous government initiatives aimed at incentivizing EV consumers along with rapid investment by automotive companies on developing EV range extenders has driven the market expansion. The growing emphasis of automotive brands on developing range-extender hybrid engines is expected to create ample growth opportunities for the market players in the future.

Introduction

The ICE (Internal Combustion Engine) powered generators in EVs market is a prominent branch of the electric vehicle industry. This industry deals in development and distribution of ICE-powered generators in different parts of the world. There are several types of generators developed in this sector consisting of standalone ICE generator, range extender, combined ICE & battery system and some others. These generators deliver a wide range of power output ranging from below 20 KW to above 100 KW. It is designed for numerous types of vehicles comprising of passenger vehicles, commercial vehicles, two-wheelers, heavy-duty vehicles and some others. This market is expected to rise significantly with the growth of the automotive sector around the globe.

Highlights of the ICE (Internal Combustion Engine) Powered Generators in EVs Market

  • North America generated highest revenue of the ICE (Internal Combustion Engine) powered generators market with a share of 40%.
  • Asia Pacific is expected to rise with the highest CAGR during the forecast period.
  • By vehicle type, the passenger vehicles segment led the market with a share of 60%.
  • By vehicle type, the commercial vehicles segment is expected to rise with the highest CAGR during the forecast period.
  • By generator type, the range extender (ReX) segment led the market with a share of 55%.
  • By generator type, the standalone ICE generator segment is expected to grow with the fastest CAGR during the forecast period.
  • By ICE engine type, the gasoline engines segment dominated the market with a share of 45%.
  • By ICE engine type, the hybrid engines segment is expected to rise with the fastest CAGR during the forecast period.
  • By application, the range extension segment led the industry with a share of 65%.
  • By application, the emergency backup power segment is expected to grow with the highest CAGR during the forecast period.
  • By fuel type, the gasoline segment led the industry with a share of 50%.
  • By fuel type, the natural gas segment is expected to grow with the highest CAGR during the forecast period.
  • By power output, the below 20 kW segment led the industry with a share of 40%.
  • By power output, the 50–100 kW segment is expected to grow with the fastest CAGR during the forecast period.
  • By hybridization, the plug-in hybrid electric vehicle (PHEV) held the largest share of the industry with 50%.
  • By hybridization, the full hybrid electric vehicle (FHEV) segment is expected to rise with the highest CAGR during the forecast period.
  • By drive type, the front-wheel drive (FWD) segment dominated the market with a share of 55%.
  • By drive type, the all-wheel drive (AWD) segment is expected to grow with the highest CAGR during the forecast period.

The major trends in this market consists of government initiatives, partnerships and increasing sales of EVs.

Government Initiatives

  • Government of several countries such as India, Germany, France, UK, the U.S., and some others are launching numerous initiatives for adopting EVs. For instance, in June 2025, the government of Germany launched “Responsibility for Germany” program. This initiative is launched to increase EV adoption across this nation.

Partnerships

  • Numerous automotive brands are partnering with engine manufacturers to develop numerous types of range extenders for enhancing range of EVs. For instance, in June 2024, Horse partnered with WEG. This partnership is done for developing a range extender for LCVs and HCVs.

Increasing Sales of EVs

  • The sales of EVs have increased rapidly in different parts of the world due to rising prices of fuels and increasing emphasis on reducing emission. According to the International Energy Agency, around 2.2 million BEVs were sold in Europe during 2024.

Vehicle Type Insights

How did the Passenger Vehicles Segment Led the ICE (Internal Combustion Engine) Powered Generators in EVs Market in 2025?

The passenger vehicles segment dominated the market with a share of 60%. The increasing demand for affordable EVs in developing regions has driven the market expansion. Additionally, rising emphasis of automotive brands to develop high-quality EV generators for passenger cars is playing a vital role in shaping the industry in a positive direction. Moreover, partnerships among EV companies and engine manufacturers to develop range extenders is expected to drive the growth of the ICE (Internal Combustion Engine) powered generators in EVs market.

The commercial vehicles segment is expected to grow with the highest CAGR during the forecast period. The rising adoption of electric trucks in several sectors such as logistics, e-commerce, mining, construction and some others has boosted the market growth. Also, the integration of standalone ICE generator in LCEVs as a backup power source is contributing positively to the industry. Moreover, the deployment of electric buses in urban areas of developed regions is expected to boost the growth of the ICE (Internal Combustion Engine) powered generators in EVs market.

Generator Type Insights

What Made the Range Extender (ReX) to be the Most dominant Segment of the ICE (Internal Combustion Engine) Powered Generators in EVs Market in 2025?

The range extender (ReX) segment held the largest share of the market with 55%. The rising use of range extenders in EVs for providing high-driving range has boosted the market expansion. Additionally, the research and development activities related to range extenders coupled with technological advancements in EV sector is contributing to the industry in a positive manner. Moreover, rapid investment by automobile companies for developing EV range extenders is expected to propel the growth of the ICE (Internal Combustion Engine) powered generators in EVs market.

The standalone ICE generator segment is expected to expand with the fastest CAGR during the forecast period. The growing demand for AC synchronous generators in EVs for converting mechanical energy into alternating current (AC) has driven the market growth. Also, rapid investment by automotive brands for developing high-quality ICE generators to cater the needs of the EV is expected to boost the growth of the ICE (Internal Combustion Engine) powered generators in EVs market.

ICE Engine Type Insights

Why did the Gasoline Engines Segment Held the Largest Share of the ICE (Internal Combustion Engine) Powered Generators in EVs Market in 2025?

The gasoline engines segment led the market with a share of 45%. The rising demand for gasoline-powered vehicles due to its low maintenance and superior performance has boosted the market expansion. Additionally, the integration of EV generators in petrol-powered vehicles to enhance driving range is expected to foster the growth of the ICE (Internal Combustion Engine) powered generators in EVs market.

The hybrid engines segment is expected to grow with the fastest CAGR during the forecast period. The rising focus of automotive companies to integrate high-quality hybrid engines for luxury cars has boosted the market expansion. Also, rapid investment by engine manufacturers to develop powerful hybrid engines for commercial vehicles is expected to drive the growth of the ICE (Internal Combustion Engine) powered generators in EVs market.

Application Insights

What Made the Range Extension Segment to Lead the ICE (Internal Combustion Engine) Powered Generators in EVs Market in 2025?

The range extension segment dominated the industry with a share of 65%. The increasing use of ICE-powered generators in EVs for enhancing driving range has driven the market expansion. Additionally, rapid investment by automotive companies on developing range extenders for EVs is accelerating the growth of the ICE (Internal Combustion Engine) powered generators in EVs market.

The emergency backup power segment is expected to rise with the highest CAGR during the forecast period. The growing application of standalone ICE generator in PHEVs to deliver superior mileage has boosted the market growth. Also, the increasing adoption of range extenders by commercial EV manufacturers is expected to foster the growth of the ICE (Internal Combustion Engine) powered generators in EVs market.

Fuel Type Insights

What Made the Gasoline Segment to Lead the ICE (Internal Combustion Engine) Powered Generators in EVs Market in 2025?

The gasoline segment held the dominant share of the industry with 50%. The growing use of range extenders in petrol-powered hybrid vehicles for delivering superior mileage has boosted the market expansion. Additionally, collaborations among market players for developing numerous types of generators to cater the needs of gasoline vehicles is expected to boost the growth of the ICE (Internal Combustion Engine) powered generators in EVs market.

The natural gas segment is expected to expand with the highest CAGR during the forecast period. The increasing demand for gas-powered vehicles in developing nations has driven the market growth. Also, the growing use of standalone ICE generators in CNG vehicles is expected to propel the growth of the ICE (Internal Combustion Engine) powered generators in EVs market.

Power Output Insights

What Made the Below 20 kW Segment to Lead the ICE (Internal Combustion Engine) Powered Generators in EVs Market in 2025?

The below 20 kW segment dominated the industry with a share of 40%. The increasing demand for below 20 kW generators for delivering high-power DC fast charging (CCS2) in electric vehicles has boosted the market growth. Additionally, the growing use of these generators in affordable EVs due to their low maintenance cost is expected to drive the growth of the ICE (Internal Combustion Engine) powered generators in EVs market.

The 50–100 kW segment is expected to rise with the fastest CAGR during the forecast period. The rising use of 50–100 kW generators in HCEVs for delivering superior power has driven the market expansion. Also, the increasing emphasis of automotive brands for integrating these generators for providing auxiliary power and delivering high range is expected to boost the growth of the ICE (Internal Combustion Engine) powered generators in EVs market.

Hybridization Insights

What Made the Plug-in Hybrid Electric Vehicle (PHEV) Segment to Lead the ICE (Internal Combustion Engine) Powered Generators in EVs Market in 2025?

The plug-in hybrid electric vehicle (PHEV) led the industry with a share of 50%. The growing demand for plug-in-hybrid vehicles in developing nations such as India, Vietnam, Thailand and some others has driven the market expansion. Additionally, rapid investment by engine manufacturers to develop high-efficiency PHEV engines is crucial for the industrial growth. Moreover, increasing emphasis of automotive brands to launch new PHEVs is expected to foster the growth of the ICE (Internal Combustion Engine) powered generators in EVs market.

The full hybrid electric vehicle (FHEV) segment is expected to grow with the highest CAGR during the forecast period. The rising sales of hybrid cars in developed regions to deliver superior driving range has boosted the market growth. Additionally, increasing focus of automotive companies to integrate powerful hybrid engines in commercial vehicles is contributing to the industry in a positive direction. Moreover, collaborations among automakers and engine manufacturers to develop hybrid engines is expected to boost the growth of the ICE (Internal Combustion Engine) powered generators in EVs market.

Drive Type Insights

What Made the Front-wheel Drive (FWD) Segment to Lead the ICE (Internal Combustion Engine) powered Generators in EVs Market in 2025?

The front-wheel drive (FWD) segment led the market with a share of 55%. The rising demand for mid-ranged passenger EVs in developed nations has increased the demand for front-wheel drive systems, thereby driving the market expansion. Also, numerous benefits of FWD systems including better handling, high efficiency, improved traction, simple design and some others is expected to drive the growth of the ICE (Internal Combustion Engine) powered generators in EVs market.

The all-wheel drive (AWD) segment is expected to rise with the highest CAGR during the forecast period. The increasing use of AWD systems in trucks and SUVs to enhance off-roading experience has boosted the market expansion. Additionally, the integration of range extenders in AWD EVs to increase driving range is expected to propel the growth of the ICE (Internal Combustion Engine) powered generators in EVs market.

Geographical Insights

Why North America dominated the ICE (Internal Combustion Engine) Powered Generators in EVs Market in 2025?

North America led the ICE (Internal Combustion Engine) powered generators market with a share of 40%. The growing sales of luxury electric vehicles in the U.S. and Canada with an aim at reducing vehicular emission has boosted the market expansion. Additionally, numerous government initiatives aimed at developing the EV charging infrastructure coupled with rapid investment by engine manufacturers to develop fuel-efficient engines is playing a prominent role in shaping the industrial landscape. Moreover, the presence of several market players such as Ford Motor Company, General Motors, Tesla, Rivian Automotive and some others is expected to drive the growth of the ICE (Internal Combustion Engine) powered generators in EVs market in this region.

  • In February 2025, Ford announced to develop a range-extender. This range extender is designed for the electric vehicles of North America.

U.S. dominated the market in this region. The rising demand for eco-friendly vehicles coupled with rapid investment by automotive brands for opening new manufacturing has boosted the market expansion. Additionally, increasing emphasis of government for developing the EV industry along with presence of numerous automotive companies is playing a vital role in shaping the industrial landscape.

Asia Pacific is expected to grow with the highest CAGR during the forecast period. The increasing demand for electric vehicles in several countries such as India, China, Japan, South Korea and some others has the driven the market growth. Also, rapid investment by government for developing the EV infrastructure along with technological advancements in the EV sector is playing a vital role in shaping the industry in a positive direction. Moreover, the presence of numerous market players such as Toyota Motor Corporation, Honda Motor Co., Ltd., Nissan Motor Co., Ltd., Hyundai Motor Company and some others is expected to boost the growth of the ICE (Internal Combustion Engine) powered generators in EVs market in this region.

  • In August 2024, Hyundai Motor Group launched a range extender in South Korea. This range extender is designed for pickup trucks and sport utility vehicles.

China led the market in this region. The growing sales and production of electric vehicles along with availability of essential raw materials at low prices has boosted the market expansion. Also, rising emphasis of automotive brands to develop EV range extenders coupled with technological advancements in the automotive sector is contributing to the industry in a positive direction.

Industry Leader Announcement

  • In June 2025, Eiichi Akashi, the Chief Technology Officer and executive officer made an announcement stating that, “This new, third generation e-POWER system redefines Nissan’s hybrid technology providing smooth and responsive driving in all conditions. We’ve embedded close to a decade of learnings to ensure the system is more efficient, more refined and more competitive. The launch with Qashqai is just the beginning, we look forward to delivering this advanced powertrain to customers in North America and Japan in FY26, with other markets to follow.”

Competitive Landscape

The ICE (Internal Combustion Engine) powered generators in EVs market is a highly competitive industry with the presence of several dominating players. Some of the prominent companies in this industry consists of BMW AG, General Motors (Chevrolet), Ford Motor Company, Kia Corporation, Mitsubishi Motors Corporation, Toyota Motor Corporation, Honda Motor Co., Ltd., Nissan Motor Co., Ltd., Tesla, Inc., Fisker Automotive, BYD Auto, Rivian Automotive, Volvo Cars, Hyundai Motor Company, Daimler AG (Mercedes-Benz), Porsche AG, Audi AG, Jaguar Land Rover, Stellantis (Peugeot, Chrysler, Fiat), Mahindra Electric Mobility Ltd. and some others. These companies are constantly engaged in developing ICE generators for EVs and adopting numerous strategies such as launches, joint ventures, acquisitions, partnerships, business expansions, collaborations and some others to maintain their dominance in this industry.

Stellantis-Geographic-Revenue-%-(2024)

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  • According to the annual report of Stellantis, around 42% revenue of the company was generated from North America followed by others in 2024.

Recent Developments

  • In July 2025, IM Motors launched a range extender. This range extender is designed to deliver high-driving range in vehicles.
  • In June 2025, Nissan launched e-POWER technology. e-POWER technology is 5-in-1 modular powertrain unit that helps in enhancing fuel efficiency and reducing C02 emission.
  • In May 2025, ZF launched range extender for EVs. This range extender is designed to address the range anxiety faced by potential buyers of electric vehicles (EVs).

Top ICE (Internal Combustion Engine) Powered Generators in EVs Market Players

ICE (Internal Combustion Engine) Powered Generators In Evs Market Top Key Players

ICE (Internal Combustion Engine) Powered Generators in EVs Market Segments

By Vehicle Type

  • Passenger Vehicles
  • Commercial Vehicles
  • Two-Wheelers
  • Heavy Duty Vehicles

By Generator Type

  • Standalone ICE Generator
  • Range Extender (ReX)
  • Combined ICE & Battery System

By ICE Engine Type

  • Gasoline Engines
  • Diesel Engines
  • Hybrid Engines

By Application

  • Range Extension
  • Emergency Backup Power
  • Auxiliary Power for Vehicle Operations

By Fuel Type

  • Petrol (Gasoline)
  • Diesel
  • Natural Gas
  • Liquefied Petroleum Gas (LPG)

By Power Output

  • Below 20 kW
  • 20–50 kW
  • 50–100 kW
  • Above 100 kW

By Hybridization

  • Plug-in Hybrid Electric Vehicle (PHEV)
  • Full Hybrid Electric Vehicle (FHEV)
  • Mild Hybrid Electric Vehicle (MHEV)

By Drive Type

  • Front-Wheel Drive (FWD)
  • Rear-Wheel Drive (RWD)
  • All-Wheel Drive (AWD)

By Region

  • North America
  • Latin America
  • Western Europe
  • Eastern Europe
  • Asia Pacific
  • The Middle East and Africa
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  • Insight Code: 1781
  • No. of Pages: 150
  • Format: PDF/PPT/Excel
  • Last Updated: 31 July 2025
  • Report Covered: [Revenue + Volume]
  • Historical Year: 2021-2023
  • Base Year: 2024
  • Estimated Years: 2025-2034

Meet the Team

Ajit Bansod is a skilled and research-driven analyst at Towards Automotive, with over 3 years of experience specializing in the intersection of automotive innovation and intelligent communication technologies.

Learn more about Ajit Bansod

Aditi Shivarkar, with 14+ years of experience in automotive market research, specializes in tracking trends across vehicle technologies, mobility solutions, and materials innovation. She delivers accurate, actionable insights that drive excellence in the automotive sector—fueling strategies around electrification, sustainability, and advanced manufacturing.

Learn more about Aditi Shivarkar
FAQ's

The demand is driven by range anxiety, underdeveloped charging infrastructure, and the hybrid transition approach. ICE generators serve as range extenders and backup power units, especially in emerging markets where full EV adoption is slower.

North America holds the largest market share due to infrastructure and innovation leadership. However, Asia Pacific, led by China and India, is witnessing the fastest growth, backed by government EV incentives and large-scale manufacturing capabilities.

Breakthroughs include modular powertrains, e-POWER hybrid systems, and AC synchronous generators. These innovations enhance range, reduce emissions, and support flexible deployment across different EV models.

Governments are providing incentives for EV adoption, funding R&D, and expanding charging infrastructure, indirectly boosting demand for ICE-powered range extenders. Programs like Germany Responsibility for Germany are notable examples.

Passenger vehicles lead the market (60% share), with growing interest in mid-range EVs. Commercial vehicles, especially electric trucks and buses, are projected to grow rapidly due to logistics and municipal deployment needs.

Investors are watching EV sales growth, hybrid model launches, fuel efficiency trends, and policy updates. Strong attention is given to scalable technologies and partnerships that can serve both mature and emerging markets.

Hybrid vehicles are central to market growth. PHEVs hold 50% share, offering flexibility and fuel efficiency. FHEVs are gaining in luxury and commercial segments, supported by automaker collaborations and rising consumer demand.

ICE generators are also used for emergency backup power and auxiliary functions like air conditioning and refrigeration in commercial EVs. These use cases are expanding with increased electrification in fleet vehicles.

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