Automotive Low Emission Vehicle Market Trends

Automotive Low Emission Vehicle Market Overview

The automotive low emission vehicle market trends show the advantageous rise of the market since the past decade. The global market was valued at a figure of USD 21.13 billion at the beginning of the decade. During the historic forecast period that ended in 2019, the market was valued at a sum of USD 103132.02 Million. For the ongoing forecast period of 2022-2030, the market is likely to grow at an estimated CAGR of 30%, and hence, reach a considerable market revenue figure by the end of the forecast period.

COVID 19 Analysis

The unexpected arrival of the global coronavirus was an unforeseen circumstance that the global market players and target audience was not prepared to deal with. The rate of infection spread was huge and it was a difficult task to cope up with the rising rate of positive cases and adversity with each passing day. The pandemic has been a testing time for individuals and the market. There have been a lot of functional issues and because of this, the market players have been facing unavailability of skilled labor, raw material, and resources to produce as per the rising needs of the target audience. Also, the demand was declining due to the changing lifestyle and preferences of people.

The global governments of the regions that are witnessing the development of the market functioning are taking major steps to help the market cover the losses and opt for expansion post the pandemic. One of the key aspects of the rising government support is the increased funding and investment in the research and development departments that will help in making new products based on the environmental goals and concerns and launching them at an international scale for the market to choose from.

Competitive Landscape

The rising degree of competition and growth graph is prevalent and hence, the report aims to highlight the same. To understand the rising competition, it is important to have an idea about the market players. Also, discussion about the market players is important to discuss the recent developments undertaken during the forecast period. They are as follows:

• Toyota Motors (Japan)


• Tesla Motors (U.S.)


• Honda Motors (Japan)


• Skoda Motors (Germany)


• Mitsubishi Motors (Japan)


• General Motors (U.S.)


• Nissan Motors (Japan)

Recent Developments

• The global automotive low emission vehicle market players are having a firm understanding of the fact that the current batteries in use for hybrid vehicles are unable to meet the criteria but the lithium-ion battery is being considered as an excellent option. This is a futuristic approach that has a high energy density. The mass production of FHEV cars is including nickel-metal-hydride (NiMH) batteries. However, the technological shift in battery employment is expected to provide the market with technological benefits.


• The safety-related mandates that have been initiated by the global governments like CAFE belonging to the US, and EURO standards of Europe, are rolling various kinds of environmental and safety regulations. These regulations tend to control the concentration of emissions and further, save the fuel economy. The main objective behind these regulations is to optimize the engine’s performance along with powertrains that will help in bringing down the fuel costs and emissions.


• China, as a part of the APAC region, is imposing a quota on the manufacturing of vehicles that are 100% electric or hybrid. Beijing, China issues only 10,000 permits for registration of vehicles with a combustion engine on monthly basis. The main aim behind this is to encourage the inhabitants to make a move and switch to make efficient use of owing and using electronic vehicles.

Market Dynamics

Drivers

The sales quantum of electric vehicles is one of the major components of environmental goals and policies. There are 10 leading countries namely China, the UK, Canada, the Netherlands, the US, Japan, Norway, Germany, Sweden, and France that are adapting to the use of electric vehicles and have a high range of policies employed that will help in a wide promotion of the sales of these vehicles in the global automotive low emission vehicle market. There are a variety of regulatory policies that are functional at different administrative levels like the fuel-economy standards and restrictions on vehicle circulation on emissions performance amongst others are the key factors that will drive the market towards growth by the end of the forecast period in 2030.

Restraints

One of the biggest challenges that hybrid electric vehicle manufacturers are facing is the inability to find suitable storage options and solutions for the produced and manufactured vehicles. The batteries that are a part of these vehicles need to be affordable, emit a small light, and be safe to use. They are expected to have high power and higher energy density. Also, they should be able to last for a good number of years without degrading in use or performance. Hence, the market needs excellent employment of technology to overcome the storage and employment challenges and help the market dwell in the forecast period.

Technology Analysis

The changing market infrastructure and the emergence of V2G technology are some of the excellent future opportunities that will help the market grow during the forecast period. Also, there has been a huge rise in the number of initiatives taken by the global governments that are set to make a difference to the market during the forecast period. For the market, the global price of petroleum-based fuel is resulting in an increased rise in the number of initiatives undertaken by various global governments followed by the increased availability of various HEV models. Continuous development in the availability of battery technology has positive attributes for the market during the forecast period. 

Study Objectives

• The report aims to understand the reasons and factors that lead the market experts and industry leaders to predict the CAGR and attainable figure of market revenue. Also, to understand the impact of the pandemic on the market and the dynamics in the form of drivers, opportunities, and challenges that are prevalent in the current period. The drivers will help in enhancing the market’s growth but the restraints might challenge the market from growing as per the predictions.


• The report aims to study the ability of the market segments to make a difference to the attained market revenue by producing and solving the needs of the target audience. Also, the report helps in understanding the basis on which the market has been segmented and how the region’s audience reacts to the availability of the market products and services.


• The report aims to draw a competitive graph amongst the prominent players involved in the market functioning and their efforts in the form of the recent developments undertaken during the forecast period that will be ending in 2028. Also, the report discusses the customer behavior that will help the competitive players to compete well in both the regional and international markets.

Segment Overview

The automotive low emission vehicle market value is increasing because of the explicit performance of the market segments during the forecast period. Market segmentation is responsible for the establishment of a market equilibrium between the market forces of demand and supply.

Based on the hybridization degree:

The automotive low emission vehicle market is being divided based on hybridization that includes full hybrid electric vehicle, pure electric vehicle, mild hybrid electric vehicle, and others like a plug-in hybrid electric vehicle. The fuel cell vehicle is on its way to commercialization during the current forecast period that will end in 2028.

Based on the battery type:

The automotive low emission vehicle market uses a series of traction batteries like lead-acid batteries, metal hydride batteries, nickel-metal hydride, lithium-ion batteries, and nickel-cadmium batteries are the prominent ones included in the market.

Based on the geographical regions:

The automotive low emission vehicle market is functional in 4 major regions namely the North American market, the APAC region, Europe, and the rest of the world (RoW).

Regional Analysis

The rising degree of urbanization is expected to enhance the growth prospects in the APAC region and the Chinese region, especially. China is determined to bring a considerable reduction in polluting emissions from the vehicles indulged in road transportation. China is the largest manufacturer and consumer of electric vehicles across the world. The domestic market is soaring high due to the presence of national sale targets, laws and subsidies, and air-quality targets.

The global report discusses the market functioning post the pandemic and the growth drivers and restraints that the players will function upon. The report also discusses the performance of the segments in domestic and international regions. The report discusses the rising competitive degree based on the recent developments undertaken by the market players during the forecast period that ends in 2028.