The top four players in the global hybrid vehicles market are Toyota, Hyundai, Ford, and General Motors. These companies collectively accounted for a share of 19.5% in the global market in 2015. Transparency Market Research states that the continuous investment and ardent efforts to introduce new products that cater to the consumer needs are expected to keep these companies in the lead throughout the forecast period. “The players are also expected to focus on strategic partnerships and penetration into emerging economies in the coming few years,” states the lead author of the research report.
According to the research report, the global hybrid vehicles market was valued at US$75.52 bn in 2015. However, by the end of 2024, the global market is estimated to reach US$193.29 bn, as the market expands at a CAGR of 10.3% between 2016 and 2024.
Flourishing Automotive Industry of Asia Pacific Boosts Regional Market
Geographically, the global hybrid vehicles market is categorized into North America, Asia Pacific, Europe, Latin America, and the Middle East and Africa. Of these regions, Asia Pacific has held a dominant share in the global market and is estimated to continue its stance over the next few years. The flourishing automotive industry in the region and the growing sales of automobiles are expected to keep the Asia Pacific hybrid vehicles market at the forefront during the forecast period.
On the basis of type of vehicle, the global market is segmented into passenger vehicles, light commercial vehicles, and heavy commercial vehicles. Of these, the passenger vehicles segment made a significant contribution to the soaring revenue of the global market. By the end of forecast period, the passenger vehicles segment is expected to account for a share of 56.6%. Design and development of eco-friendly passenger vehicles is expected to boost this segment in the coming years.
Increasing Concerns Pertaining to Environment Encourage Consumers to Opt for Hybrid Vehicles
Hybrid vehicles are known to have superior performance as compared to conventional vehicles as these do not require separate alternators and engine. The hybrid engines operate on multiple motors and generators, which offer improved performance as compared to regular vehicles. Hybrid vehicles have been gaining traction over the past few years as they are being specifically designed to have low emission and thus environment-friendly. The rising concerns pertaining to the environment amongst consumers and governments have augmented the demand for hybrid vehicles across the globe. The soaring prices of fuel as also expected to lure consumers toward hybrid vehicles as they are known to be fuel efficient.
High Cost of Developing Hybrid Engines Results in Unaffordable Selling Price
Though the hybrid systems are exceptionally sophisticated and being positioned as the future of the automotive industry, their future remains dependent on the high research and development costs. The report states that the high cost of researching and developing hybrid vehicles is expected to hamper the global market in the coming years. This cost eventually adds up to the selling price, which is makes the new-age vehicles unaffordable for consumers. The market is also likely to be restrained by the lack of awareness about hybrid vehicles amongst end users. Furthermore, the handful users who are aware continue to be skeptical about investing and using hybrid vehicles. Thus, hesitant outlook toward spending on hybrid vehicles is likely to challenge the growth of the global market.
This review is based on Transparency Market Research’s report, titled “Hybrid Vehicles Market - Global Industry Analysis, Market Size, Share, Growth, Trends and Forecast 2016 - 2024.”
The global Hybrid Vehicles market is segmented as below:
Global Hybrid Vehicles Market: By Engine Type
- Hybrid Electric-Petroleum Vehicles
- Continuously Outboard Recharged Electric Vehicle (COREV)
- Hybrid Fuel (Dual Mode)
- Fluid Power Hybrid
Global Hybrid Vehicles Market: By Vehicle Type
- Passenger Vehicles
- Light Commercial Vehicles
- Heavy Commercial Vehicles
Global Hybrid Vehicles Market: By Geography
- North America
- Rest of Europe
- Asia Pacific
- Rest of Asia Pacific
- Middle East and Africa (MEA)
- South Africa
- Rest of Middle East and Africa
- Latin America
- Rest of Latin America