CNG Vehicles Market by Product Type (Dedicated Fuel and Dual Fuel), Vehicle Type (Passenger Vehicle, Light Commercial Vehicle, and Heavy Commercial Vehicle)-Analysis & Forecast 2019-2030
Report ID : 264 | Published Date : Jun 2020 | Pages : 180 | Region : Global | Report Code : AT-10
CNG Vehicles Market Introduction and Overview
CNG vehicles are alternatives to fuel vehicles that use Compressed Natural Gas (CNG) for propulsion. CNG vehicles and gasoline-powered vehicles operate similarly. They have spark-ignited internal combustion engines. Natural gas, mostly containing methane, is the cleanest burning hydrocarbon. Compared with gasoline, it gives much cleaner emissions. According to the Environmental Protection Agency (EPA), CNG can reduce carbon-monoxide (CO) emissions by 90 - 97% and nitrogen-oxide emissions by 35 - 60%. CNG can be used as an environment-friendly, cheap, and more efficient alternative to conventional diesel and petrol fuels for vehicles.
The global CNG vehicles market is driven by factors, such as increasing government initiatives to reduce pollution, low cost of CNG fuel, and its ability to serve as an efficient alternative to petrol and diesel. Moreover, modification of existing gasoline & diesel-powered vehicles to run on CNG and improved production & handling process of natural gas will also propel market growth. However, the high cost of compressed natural gas vehicles and increasing focus on the development of zero-emission vehicles such as electric, hybrid, and ethanol-based vehicles may hinder the demand for CNG based vehicles globally.
The global CNG vehicles market can be segmented into product type, vehicle type, and regions.
CNG Vehicle Market By Product Type
Based on product type, the global CNG vehicles market can be segmented into dedicated fuel and dual fuel. The dedicated CNG fuel segment dominated the market; however, the adoption of dual fuel vehicles is expected to grow at the highest CAGR during the forecast period. This growth can be attributed to the advantages of dual fuel vehicles which can run on both petrol as well as CNG as per need.
CNG Vehicles Market By Vehicle Type
Based on vehicle type, the global market can be segmented into passenger vehicles, light commercial vehicles, and heavy commercial vehicles. The passenger vehicle segment dominated the market and is expected to continue its dominance in the coming years. The growth of the market can be attributed to the stringent regulations on the toxic emissions, especially in urban areas, and the increasing demand for CNG-based cars for commercial use owing to the low running cost of such vehicles.
CNG Vehicles Market By Region
Based on region, the global CNG vehicle market can be segmented into North America, Europe, Asia Pacific, and the Rest of the World (ROW). Asia Pacific is the largest market for CNG vehicles and is expected to grow at the highest growth rate during the forecast period. The growing automotive industry, stringent government policies on vehicle emissions, and high potential consumer base in the region are expected to drive CNG vehicle market growth in the coming years.
CNG Vehicles Market Prominent Players
Some of the prominent players present in the CNG vehicles market include Ford Motor Company, General Motors, Volkswagen, AB Volvo, Daimler AG, EvoBus GmbH, MAN, Suzuki Motor Corporation, FCA US LLC, and Hyundai Motor Group, among others.