Global Hybrid Cars and EVs Market Size, Share & Trends Report, by Type (Hybrid Electric Vehicles and Pure Electric Vehicles), and by Application (Light Vehicles, Medium, and Heavy-Duty Vehicles) Forecast (2022-2028)

The global hybrid cars and EVs market is anticipated to grow at a significant CAGR 5% during the forecast period (2022-2028). The rise in the stringent emissions regulation norms for vehicles is forcing OEMs to manufacture hybrid and electric vehicles. Hybrid vehicles emit fewer greenhouse gases than gasoline and diesel vehicles. The governments in the US and Europe are concentrating on lowering emission limits to reduce the greenhouse gas effect and are also focusing on improving the fuel economy of vehicles. For instance, National Highway Traffic Safety Administration NHTSA’s Corporate Average Fuel Economy (CAFE) standards regulate how far the vehicles must travel on a gallon of fuel. NHTSA sets CAFE standards for passenger cars and light trucks and separately sets fuel consumption standards for medium and heavy-duty trucks and engines.

Further, NHTSA had finalized CAFÉ standards for MYs 2024-2026. The final rule establishes standards that would require an average of approximately 49 mpg for passenger cars and light trucks in the model year 2026, by increasing fuel efficiency by 8.0% annually for model years 2024 and 2025 and 10.0% for the model year 2026. Moreover, the agency projects the final standards will save $1,400 in total fuel expenses of vehicles produced in these model years and avoid the consumption of 234 billion gallons of gas between model years 2030 to 2050. Also, in December 2021, US Environmental Protection Agency (EPA) revised national greenhouse emissions standards for passenger cars and trucks for model years 2023-2026. The final standards are projected to achieve significant GHC emissions reductions along with reductions in other criteria pollutants.

Further in December 2021, the Union Minister of Road Transport and Highways called for manufacturing Flex Fuel Vehicles (FFV) complying with BS-6 norms in a time-bound manner within six months. In line with the vision of Aatmanirbhar Bharat and the government’s policy on promoting ethanol as a transport fuel, Flex Fuel vehicles are capable to run on a combination of petrol, bioethanol, and their blends along with strong Hybrid Electric Technology in the case of FFV -SHEVs. Thus, government initiatives are anticipated to fuel the demand for the global hybrid cars and EVs market during the forecast period.

Market Coverage

• The market number available for – 2021-2028
• Base year- 2021
• Forecast period- 2022-2028
• Segment Covered-
  • By Type
  • By Application
• Regions Covered-
  • North America
  • Europe
  • Asia-Pacific
  • Rest of the World
• Competitive Landscape- Tesla Inc., BMW AG, and Honda Motor Co., Ltd., among others

Key questions addressed by the report

• What is the market growth rate?
• Which segment and region dominate the market in the base year?
• Which segment and region will project the fastest growth in the market?
• How has COVID-19 impacted the market?
  • Deviation from the pre-COVID-19 forecast
  • Most affected region and segment
• Who is the leader in the market?
• How players are addressing challenges to sustain growth?
• Where is the investment opportunity?

Global Hybrid Cars and EVs Market Report by Segment

By Type

• Hybrid Electric Vehicles
• Pure Electric Vehicles

By Application

• Light Vehicles
• Medium
• Heavy-Duty Vehicles