A new market study published by Global Industry Analysts Inc., (GIA) released its report titled “Natural Gas Vehicles (NGVs) – Global Market Trajectory & Analytics”. The report presents fresh perspectives on opportunities and challenges in a significantly transformed post COVID-19 marketplace. According to the report, the NGV market will reach 32.5 million units by 2026.
Amid the COVID-19 crisis, the global market for natural gas vehicles (NGVs) estimated at 25.2 million units in the year 2022, is projected to reach a revised size of 32.5 million units by 2026, growing at a CAGR of 5.9% over the analysis period.
Light duty vehicles, one of the segments analysed in the report, is projected to record a 6.1% CAGR and reach 31.9 million units by the end of the analysis period. After a thorough analysis of the business implications of the pandemic and its induced economic crisis, growth in the medium & heavy duty trucks segment is readjusted to a revised 5.3% CAGR for the next 7-year period.
In the global medium & heavy duty buses segment, U.S., Canada, Japan, China and Europe will drive a 4.3% CAGR. These regional markets accounting for a combined market size of 337,400 units will reach a projected size of 452,900 units by the close of the analysis period. China will remain among the fastest growing in this cluster. Led by countries such as Australia, India, and South Korea, the market in Asia-Pacific is forecast to reach 400,300 units by the year 2026, while Latin America will expand at a 4.4% CAGR through the analysis period.
The natural gas vehicles (NGVs) market in the U.S. is estimated at 172.200 units in the year 2022. China, the world`s second largest economy, is forecast to reach a projected market size of 7.400 units by the year 2026 trailing a CAGR of 6.6% over the analysis period.
Among the other noteworthy geographic markets are Japan and Canada, each forecast to grow at 4.3% and 4.8% respectively over the analysis period. Within Europe, Germany is forecast to grow at approximately 5.1% CAGR. In North America, natural gas heavy duty vehicle sales are bolstered by refuse fleets, transit fleets, and school bus operators, replacing older vehicles or adding more vehicles. In OECD countries, driven by favourable economics in fleet operation, natural gas as transportation fuel is forecast to observe highest growth.
Source: Global Industry Analysts