by Mild hybrid vehicles incorporate small electric motors and battery packs that assist the combustion engine to reduce fuel consumption and emissions. They offer improved fuel efficiency and lower emissions compared to conventional vehicles without the need for frequent charging. The increasing stringent emission regulations across countries and growing consumer demand for electric vehicles have boosted the sales of mild hybrid vehicles.
The global Mild Hybrid Vehicle Market is estimated to be valued at US$ 99.97 Bn in 2023 and is expected to exhibit a CAGR of 18.% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Key Trends:
The growing adoption of fuel efficient and low emission vehicles has propelled the mild hybrid vehicle market over the years. Stringent emission regulations in regions such as Europe and North America have led many automakers to shift their focus towards developing hybrid electric vehicles with lower emissions. Mild hybrid vehicles are gaining traction as they help reduce emissions without requiring external charging, thereby addressing range anxiety issues associated with battery electric vehicles. Their gasoline-electric powertrain also enhances fuel efficiency compared to conventional vehicles. This has boosted their demand among cost-conscious customers looking for improved fuel savings.
SWOT Analysis
Strength: Mild hybrid vehicles offer higher fuel efficiency and lower emissions compared to conventional vehicles. They provide improved fuel economy at low additional costs.
Weakness: The battery size is smaller compared to regular hybrids limiting power assistance and regenerative braking capabilities. Often not suited for long distance driving due to smaller batteries.
Opportunity: Rising environmental concerns and stringent emission norms are driving the demand for hybrid vehicles. Many countries are offering subsidies and tax benefits for purchasing hybrid vehicles.
Threats: High research and development costs involved in developing hybrid technologies. Rapid adoption of electric vehicles can negatively impact the demand for mild hybrid vehicles.
Key Takeaways
The Global Mild Hybrid Vehicle Market Size is expected to witness high growth over the forecast period of 2023 to 2030. The Asia Pacific region currently dominates the market owing to high vehicle production and sales in countries like China, Japan, and India. Several automobile manufacturers in the region are focusing on developing hybrid technologies to comply with stringent emission norms.
Key players operating in the mild hybrid vehicle market are Toyota Motor Corporation, Nissan Motor Co. Ltd, Honda Motor Company Ltd, Hyundai Motor Company, Kia Motors Corporation, Suzuki Motor Corporation, Daimler AG, Volvo Group, Volkswagen Group, BMW AG, Ford Motor Company, Audi AG, Jaguar Land Rover Ltd, and Chevrolet. Toyota is a leader in hybrid vehicle production with its wide range of Prius variants. Other major manufacturers like Honda, Nissan, and Hyundai also offer mild hybrid options across different vehicle segments.
The global mild hybrid vehicle market size for 2023 is estimated to be US$ 99.97 Bn. Growing consumer awareness about fuel-efficient mobility solutions along with supportive government policies will drive further market expansion in the coming years despite challenges from electric vehicles. OEMs are pushing hybridization across portfolios to reduce emission footprints.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
