CNG Vehicles Market Global Growth, Opportunities, Industry Analyzed & Forecast to 2027
CNG vehicle continues to witness lucrative opportunities across the countries on the backdrop of the increasing number of the NGVs (Natural Gas Vehicles) and increasing preference for CNG vehicles across the world. The CNG vehicle market is foreseen to witness subdued expansion at a CAGR of over 3% during the assessment period, as per a latest Fact.MR research study. The demand for CNG vehicle remains influenced by a cohort of broad factors, ranging from incessant march toward environmental sustainability to thriving automobile production. The current surge in demand for CNG vehicle remains notably driven by increased pollution levels in the light of high fuel emissions.
Persistent advancements in autonomous technologies and new innovations in fuel framework are gaining centerstage with respect to reduction of fuel emissions, auguring well for the growth of CNG vehicle market. CNG vehicles are not only proven to be environmentally viable but are highly fuel efficient, which remains a prominent sales influencer.
According to the Fac.MR report, the number of vehicles integrated with CNG powertrain systems will consistently rise in the upcoming years. This increase in demand can be attributed to rising reluctance toward conventional vehicles with excessive emissions. In comparison to that of liquid fuels, CO2 exhausts in case of are way lesser CNG. Moreover, fuel efficiency and optimal fuel usage remain two key attributes fostering eminence of CNG vehicles over the conventional ones.
“Consistent rise in prices of conventional fuels are likely to create incremental opportunities for manufacturers of CNG vehicles over the forecast period. In addition to that, leading manufacturers in the CNG vehicle market are extensively focusing on novel developments and reformations in their business models in line with paradigm shifts in end-user preferences” , says Fact.MR report
North America Offers Investment-making Opportunities for Manufacturers
A segmental analysis of the global CNG vehicle market has been provided in the report, wherein product and vehicle types have been covered. The report also offers a detailed assessment of the overarching trends boosting the global market growth of individual segments and also conveys key takeaways that would benefit the CNG vehicle manufacturers vying for large-scale business expansion. Some of the key regions assessed in the report include Latin America, North America, Japan, APEJ, Europe, and the Middle East & Africa (MEA).
North America is likely to offer profit-making opportunities to the manufacturers of CNG vehicles, driven by spurring investments in the regional automotive space. Europe and APEJ markets are expected to the follow the trail in terms of demand for CNG vehicles through 2027. Emerging markets are likely to offer sustained opportunities for manufacturers of CNG vehicles on account of on-going automotive infrastructure projects. CNG passenger vehicles are likely to outsell CNG commercial vehicles through 2027, on the back of increased usage of passenger vehicles for daily commute.
According to the study, escalating demand for CNG vehicles across emerging nations in APEJ is encouraging prominent manufacturers to foray into new opportunities in the region. The populous continent is witnessing rapid reformations in the automotive space, which is in turn complementing demand for CNG vehicles.
The Fact.MR study profiles some of the leading players in the CNG vehicle market space, such as Fiat Chrysler Automobiles, Volkswagen, General Motors, Honda Motor Company, Hyundai Motor Group, Great Wall Motors, Ford Motor Company, Iran Khodro, Suzuki Motor Corporation, and others. The players in the CNG vehicle market are extensively focusing on product developments and business expansions via collaborations to reap sizeable revenues. Manufacturers in the CNG vehicle market are also focusing on ameliorating the engine efficiency with enhanced scalability and adaptability as per evolving customer requirements.
Trends in the CNG vehicles market point to major challenges faced by market players in terms of adapting new business models, supply chains, manufacturing approaches, and product development. In addition to that, possibilities of the traditional market players challenged by new entrants might also come to the forefront in the global CNG vehicles market.
As per the Fact MR study, shorter go-to-market timespan is another major criteria determining growth of market players in the CNG vehicle market. Need to serve customer demands, technological advances, efficient supply chains, and upgraded manufacturing abilities remain indispensable for shorter go-to-market times.