North America Van Market Analysis
The North America Van Market size is estimated at 13.41 billion USD in 2025, and is expected to reach 16.67 billion USD by 2029, growing at a CAGR of 5.60% during the forecast period (2025-2029).
The North American van market is experiencing a significant transformation driven by technological advancements and changing business requirements. Major automotive manufacturers are making substantial commitments to electric vehicle development, with Ford planning to invest USD 29 billion in EVs by 2025 and GM allocating USD 27 billion while aiming to electrify its entire light-duty vehicle lineup by 2035. These investments reflect the industry's strategic pivot toward sustainable transportation solutions and highlight the growing importance of environmental considerations in product development. The market's evolution is further shaped by increasing digitalization, with manufacturers incorporating advanced telematics, connectivity features, and autonomous driving capabilities into their vehicle offerings.
The commercial vehicle landscape is witnessing a remarkable shift in product development and innovation strategies. North America is set to welcome 12 new electric van models between 2020 and 2028, marking a significant expansion in eco-friendly commercial vehicle options. This product diversification includes both entirely new models like the ELMS UD-1 and Rivian R1A, as well as electric variants of established vehicles such as the Mercedes-Benz eSprinter and Ford Transit. These developments demonstrate the industry's commitment to meeting evolving customer preferences while addressing environmental concerns through innovative solutions.
Supply chain optimization and manufacturing efficiency have become critical focus areas for industry stakeholders. Manufacturers are increasingly adopting advanced production technologies and automation solutions to enhance operational efficiency and maintain competitive advantages. The integration of Industry 4.0 principles, including smart manufacturing processes and data analytics, is revolutionizing production capabilities and enabling more flexible and responsive manufacturing systems. These advancements are particularly crucial as manufacturers work to meet the growing demand for customized commercial vans while maintaining cost-effectiveness.
The market is experiencing a notable shift in business models and service offerings, with manufacturers expanding beyond traditional vehicle sales. Companies are increasingly developing comprehensive mobility solutions that include fleet management services, predictive maintenance capabilities, and specialized financing options. This evolution reflects the industry's response to changing customer expectations and the growing demand for integrated transportation solutions. The trend toward service-based offerings is reshaping the competitive landscape and creating new opportunities for market participants to differentiate their value propositions and establish stronger customer relationships.
North America Van Market Trends
Growing demand for electric vehicles in North America driven by government support and growing environmental concerns
- The CVP in Russia has experienced significant fluctuations in recent years. It climbed steadily from USD 208.2 million in 2017, peaking in 2019. However, it dipped to USD 193.9 million in 2020, largely due to the economic challenges brought on by the COVID-19 pandemic. Notably, the market rebounded sharply in 2022, reaching USD 269.8 million. This resurgence highlights both the resilience of the Russian automotive sector and the potential impact of economic stimulus measures and heightened consumer demand.
- Government incentives and subsidies are proving to be a strong draw for customers, particularly logistics and e-commerce firms, in their adoption of electric commercial vehicles. A case in point is Canada and North America, where, in April 2022, the government unveiled federal rebates of USD 5000 for electric light- and medium-duty vehicles. These initiatives are expected to significantly bolster the demand for electric commercial vehicles in North America from 2024 to 2030.
- Government initiatives, including plans for EV deployment, attractive incentives, and foreign investment allowances, are set to propel the electric vehicle market across North American nations. In a notable move, in March 2022, Volkswagen committed a staggering USD 7 billion to establish an electric car manufacturing facility in North America. By 2030, the automaker plans to roll out 25 new EV models, catering to customers in the US, Mexico, and Canada. As a result, the demand for electric vehicles is projected to witness a notable surge across various North American countries from 2024 to 2030.
OTHER KEY INDUSTRY TRENDS COVERED IN THE REPORT
- North America's demographic story highlights steady growth and adaptability, with each nation contributing uniquely to the region's vibrant mosaic, underlining its continued global significance
- North America exhibits diverse trends in CVP, with Canada experiencing a slight decrease, the US seeing an increase, and Mexico showing significant growth
- In North America, from 2017 to 2023, auto loan interest rates displayed varied trends: Canada's rates gradually increased, Mexico's showed significant volatility, and the US experienced modest fluctuations
- North America is showcasing a strong commitment to expanding its EV infrastructure, with both slow and fast charging stations seeing significant growth
- The rising demand for electric vehicles spurs new product launches and market entry in North America, driving the demand for battery packs
- In 2023, Ford led the North American light commercial van market, followed by Chevrolet, while Hyundai witnessed significant growth.
- Despite challenges in 2020, by 2023, the US experienced growth, Mexico displayed a robust recovery, while Canada witnessed a dip
- From 2017 to 2023, North America, particularly countries like the US and Canada, navigated inflationary spikes, especially post-pandemic in 2022
- The North American MaaS sector is thriving and witnessing growth, with future prospects in shared mobility
- Declining prices of lithium-ion batteries drive the demand for electric vehicles in North America
- Fuel prices are fluctuating in North America
Segment Analysis: Propulsion Type
ICE Segment in North American Van Market
The Internal Combustion Engine (ICE) segment maintains its dominance in the North American van market, commanding approximately 96% market share in 2024. This substantial market presence is attributed to the segment's well-established infrastructure, proven reliability, and widespread acceptance across commercial van and private sectors. The segment's strength is particularly evident in the fleet van sector, where diesel and gasoline-powered vehicles continue to meet the demanding requirements of fleet operators, logistics companies, and small businesses. The robust dealer network, readily available maintenance facilities, and competitive total cost of ownership further reinforce ICE's market leadership. Additionally, recent advancements in engine technology, improved fuel efficiency, and enhanced emission control systems have helped ICE vehicles maintain their appeal despite growing environmental concerns.
Hybrid & Electric Segment in North American Van Market
The Hybrid and electric van segment emerges as the fastest-growing category in the North American van market, projected to expand at approximately 36% CAGR from 2024 to 2029. This remarkable growth trajectory is driven by increasing environmental awareness, stringent emission regulations, and substantial investments in charging infrastructure across North America. Major automotive manufacturers are accelerating their electric van offerings, introducing new models with improved range and payload capabilities. Government incentives, tax benefits, and growing corporate commitments to sustainability are further catalyzing this segment's expansion. The segment's growth is particularly pronounced in urban delivery applications, where electric vans' zero-emission capabilities and lower operating costs make them increasingly attractive to fleet operators and last-mile delivery services.
North America Van Market Geography Segment Analysis
North America Van Market in the United States
The United States continues to dominate the North American van market, commanding approximately 87% market share in 2024. The market's robustness is underpinned by extensive road infrastructure, a thriving e-commerce sector, and growing demand for last-mile delivery van solutions. The country's strong economic foundation and business-friendly environment have fostered significant investments in commercial fleet modernization. Major automotive manufacturers have established robust production facilities and distribution networks across the country, ensuring steady supply and after-sales support. The market is witnessing a notable shift towards electric vans, driven by stringent emission regulations and increasing corporate sustainability initiatives. Additionally, the presence of innovative startups and established players has created a competitive landscape that drives continuous product improvement and technological advancement. The US market also benefits from well-developed financing options and leasing programs that facilitate fleet acquisition for businesses of all sizes.
North America Van Market in Mexico
Mexico emerges as the most dynamic market in the region, with a projected growth rate of approximately 3% from 2024 to 2029. The country's van market is experiencing significant transformation driven by rapid industrialization and expanding manufacturing activities. The strategic location of Mexico, serving as a crucial link between North and South America, has attracted substantial investments in logistics and transportation infrastructure. The government's supportive policies towards commercial van modernization and the growing adoption of sustainable transportation solutions have created favorable market conditions. The country's expanding e-commerce sector and rising urban population have fueled demand for efficient transportation vehicle solutions. Furthermore, Mexico's competitive labor costs and strategic free trade agreements have attracted various automotive manufacturers to establish production facilities, strengthening the local supply chain. The market also benefits from increasing cross-border trade activities and the growth of small and medium enterprises requiring commercial vehicles.
North America Van Market in Canada
Canada's van market demonstrates remarkable resilience, supported by its robust logistics sector and growing urban delivery requirements. The country's vast geographical expanse necessitates efficient transportation solutions, driving demand for versatile commercial vans. Canadian businesses are increasingly embracing sustainable mobility solutions, with a notable shift towards electric and hybrid vans. The market benefits from strong government support through various incentive programs promoting clean transportation alternatives. Urban centers like Toronto, Vancouver, and Montreal serve as key demand generators, with their expanding e-commerce activities and last-mile delivery requirements. The country's stable economic environment and well-developed financial sector facilitate easy access to vehicle financing, supporting market growth. Additionally, the presence of established dealership networks and service infrastructure ensures reliable after-sales support, enhancing customer confidence in American van investments.
North America Van Market in Other Countries
The remaining North American territories exhibit unique market characteristics shaped by their specific economic conditions and transportation needs. These markets are influenced by factors such as urbanization rates, economic development, and local transportation policies. While smaller in scale compared to the major markets, these territories show potential for growth, particularly in sectors requiring specialized commercial transportation solutions. The adoption of new technologies and sustainable mobility solutions varies across these markets, reflecting different stages of infrastructure development and economic maturity. Local businesses in these regions are increasingly recognizing the importance of efficient commercial transportation, driving gradual market expansion. The presence of international automotive brands and their distribution networks ensures market accessibility and product availability, supporting steady market development.
North America Van Industry Overview
Top Companies in North America Van Market
The North American van market is characterized by intense competition and continuous innovation among major players like Ford Motor Company, Chevrolet, Ram Trucking, Mercedes-Benz, and General Motors. Companies are increasingly focusing on electric van development, with several manufacturers launching new electric van models and investing in battery technology and production facilities. Strategic partnerships and collaborations have become crucial, particularly in developing charging infrastructure and sharing technology platforms. Manufacturers are expanding their production capabilities through significant investments in new facilities and modernizing existing plants across the United States, Canada, and Mexico. The industry is witnessing a strong push towards sustainability, with companies not only developing electric vehicles but also implementing environmentally conscious manufacturing processes and exploring alternative fuel technologies.
Market Dominated by Established Automotive Giants
The North American vans market share exhibits a high level of consolidation, with established automotive conglomerates holding significant market positions. These major players leverage their extensive dealer networks, established brand reputation, and comprehensive after-sales service infrastructure to maintain their market dominance. The market structure favors large-scale operators who can invest in research and development, maintain sophisticated production facilities, and support extensive distribution networks. The presence of global automotive giants alongside regional specialists creates a dynamic competitive environment, with each player bringing unique strengths to the market.
The industry has witnessed strategic mergers and acquisitions, notably exemplified by the formation of Stellantis through the merger of Fiat Chrysler Automobiles and Peugeot. Companies are increasingly forming strategic alliances and joint ventures, particularly in developing electric vehicle technology and sharing production platforms. These partnerships help companies share development costs, reduce risks, and accelerate market entry for new products. The market also sees collaboration between traditional automotive manufacturers and technology companies, particularly in developing connected vehicle solutions and autonomous driving capabilities.
Innovation and Sustainability Drive Future Success
Success in the North American van market increasingly depends on companies' ability to innovate while maintaining operational efficiency. Manufacturers must balance traditional strengths in production and distribution with new capabilities in electric vehicle technology and digital integration. The market rewards companies that can effectively manage the transition to electric vehicles while maintaining their conventional vehicle business. Companies need to develop robust supply chains that can support both traditional and electric vehicle production, while also investing in charging infrastructure and battery technology.
Future market share gains will likely come from excellence in product differentiation, service quality, and technological innovation. Companies must focus on developing vehicles that meet evolving customer needs, particularly in terms of range, payload capacity, and total cost of ownership. Success will also depend on building strong relationships with fleet customers and developing comprehensive service packages. Regulatory compliance, particularly regarding emissions standards and safety requirements, will continue to shape market dynamics and influence investment decisions. Companies must also address the growing demand for connected vehicle features and prepare for potential shifts in mobility patterns and ownership models. The role of commercial vehicle innovation will be crucial in driving these advancements.
North America Van Market Leaders
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Daimler AG (Mercedes-Benz AG)
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Ford Motor Company
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General Motors Company
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GM Motor (Chevrolet)
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Ram Trucking, Inc.
- *Disclaimer: Major Players sorted in no particular order
North America Van Market News
- June 2023: Stellantis added Merchants Fleet as the latest Ram ProMaster EV commercial customer, and that agreement calls for 12,500 Ram ProMaster EV units over the next several years.
- June 2023: Mercedes-Benz is extending the availability of its DRIVE PILOT system to California, making it accessible to a wider US audience. Additionally, the company is set to introduce a SAE Level 3 autonomous driving system in one of its standard-production vehicles, specifically designed for use on public freeways in California.
- June 2023: FORD NEXT launched a new pilot program that creates flexible electric solutions for drivers who use the Uber platform in select US markets, allowing them to lease a vehicle for more customized time periods.
Free With This Report
For the Vehicle Hub report, we provide an extensive collection of over 150 free charts, delivering detailed insights on regional and country-level dynamics within the vehicle industry. This encompasses in-depth analyses of vehicle registrations, usage patterns in both consumer and business segments, and evaluations of various vehicle configurations and body types. The report delves into critical industrial trends such as shifts in vehicle production and distribution centers, changes in vehicle ownership costs, and advancements in automotive technologies. Further, our report offers comprehensive market segmentation by vehicle type, body type, propulsion, and fuel categories, providing a nuanced understanding of the market landscape. It also explores the adoption rate of new technologies, the impact of regulatory changes, and the influence of economic factors on the vehicle market. We include a thorough examination of key industry players, regulatory frameworks, and market size in terms of both revenue and unit sales, leading to strategic projections and forecasts that account for emerging trends and potential shifts in the industry.
List of Tables & Figures
- Figure 1:
- POPULATION TRENDS, VOLUME IN UNITS, NORTH AMERICA, 2017 - 2030
- Figure 2:
- GDP PER CAPITA AT CURRENT PRICES, VALUE IN USD, NORTH AMERICA, 2017 - 2030
- Figure 3:
- AVERAGE CONSUMER SPENDING PER CAPITA ON PURCHASE OF VEHICLES, VALUE IN USD, NORTH AMERICA, 2017 - 2030
- Figure 4:
- INFLATION RATE AT AVERAGE CONSUMER PRICES, PERCENTAGE CHANGE, NORTH AMERICA, 2017 - 2030
- Figure 5:
- AUTO LOAN INTEREST RATES, PERCENTAGE, NORTH AMERICA, 2017 - 2022
- Figure 6:
- USED CAR MARKET, REVENUE IN USD, NORTH AMERICA, 2017 - 2030
- Figure 7:
- ELECTRIC VEHICLE MARKET PENETRATION RATE, BY VEHICLE TYPE, PERCENTAGE OF VOLUME, NORTH AMERICA, 2017 - 2030
- Figure 8:
- CHARGING STATION DEPLOYMENT, BY TYPE, VOLUME IN UNITS, NORTH AMERICA, 2017 - 2022
- Figure 9:
- AVERAGE LITHIUM-ION BATTERY PACK PRICE, VALUE IN USD, NORTH AMERICA, 2017 - 2030
- Figure 10:
- ANNOUNCEMENT OF NEW XEV MODELS, BY VEHICLE TYPE, VOLUME IN UNITS, NORTH AMERICA, 2023 - 2027
- Figure 11:
- FUEL PRICE, BY FUEL TYPE, USD/LITER, NORTH AMERICA, 2017 - 2022
- Figure 12:
- OEM-WISE PRODUCTION STATISTICS, VOLUME IN UNITS, NORTH AMERICA, 2017 - 2022
- Figure 13:
- NORTH AMERICA VAN MARKET, VOLUME IN UNITS, 2017 - 2030
- Figure 14:
- NORTH AMERICA VAN MARKET, VALUE IN USD, 2017 - 2030
- Figure 15:
- NORTH AMERICA VAN MARKET, BY PROPULSION TYPE, BY VOLUME IN UNITS, 2017 - 2030
- Figure 16:
- NORTH AMERICA VAN MARKET, BY PROPULSION TYPE, BY VALUE IN USD, 2017 - 2030
- Figure 17:
- NORTH AMERICA VAN MARKET MARKET, SHARE(%), BY PROPULSION TYPE, 2017 - 2030
- Figure 18:
- NORTH AMERICA VAN MARKET MARKET, SHARE(%), BY PROPULSION TYPE, 2017 - 2030
- Figure 19:
- NORTH AMERICA VAN MARKET, BY FUEL CATEGORY, BY VOLUME IN UNITS, 2017 - 2030
- Figure 20:
- NORTH AMERICA VAN MARKET, BY FUEL CATEGORY, BY VALUE IN USD, 2017 - 2030
- Figure 21:
- NORTH AMERICA VAN MARKET MARKET, SHARE(%), BY FUEL CATEGORY, 2017 - 2030
- Figure 22:
- NORTH AMERICA VAN MARKET MARKET, SHARE(%), BY FUEL CATEGORY, 2017 - 2030
- Figure 23:
- NORTH AMERICA VAN MARKET, BY BEV, BY VOLUME IN UNITS, 2017 - 2030
- Figure 24:
- NORTH AMERICA VAN MARKET, BY BEV, BY VALUE IN USD, 2017 - 2030
- Figure 25:
- NORTH AMERICA VAN MARKET MARKET, SHARE(%), BY FUEL CATEGORY, 2017 - 2030
- Figure 26:
- NORTH AMERICA VAN MARKET, BY PHEV, BY VOLUME IN UNITS, 2017 - 2030
- Figure 27:
- NORTH AMERICA VAN MARKET, BY PHEV, BY VALUE IN USD, 2017 - 2030
- Figure 28:
- NORTH AMERICA VAN MARKET MARKET, SHARE(%), BY FUEL CATEGORY, 2017 - 2030
- Figure 29:
- NORTH AMERICA VAN MARKET, BY FUEL CATEGORY, BY VOLUME IN UNITS, 2017 - 2030
- Figure 30:
- NORTH AMERICA VAN MARKET, BY FUEL CATEGORY, BY VALUE IN USD, 2017 - 2030
- Figure 31:
- NORTH AMERICA VAN MARKET MARKET, SHARE(%), BY FUEL CATEGORY, 2017 - 2030
- Figure 32:
- NORTH AMERICA VAN MARKET MARKET, SHARE(%), BY FUEL CATEGORY, 2017 - 2030
- Figure 33:
- NORTH AMERICA VAN MARKET, BY DIESEL, BY VOLUME IN UNITS, 2017 - 2030
- Figure 34:
- NORTH AMERICA VAN MARKET, BY DIESEL, BY VALUE IN USD, 2017 - 2030
- Figure 35:
- NORTH AMERICA VAN MARKET MARKET, SHARE(%), BY FUEL CATEGORY, 2017 - 2030
- Figure 36:
- NORTH AMERICA VAN MARKET, BY GASOLINE, BY VOLUME IN UNITS, 2017 - 2030
- Figure 37:
- NORTH AMERICA VAN MARKET, BY GASOLINE, BY VALUE IN USD, 2017 - 2030
- Figure 38:
- NORTH AMERICA VAN MARKET MARKET, SHARE(%), BY FUEL CATEGORY, 2017 - 2030
- Figure 39:
- NORTH AMERICA VAN MARKET, BY COUNTRY, BY VOLUME IN UNITS, 2017 - 2030
- Figure 40:
- NORTH AMERICA VAN MARKET, BY COUNTRY, BY VALUE IN USD, 2017 - 2030
- Figure 41:
- NORTH AMERICA VAN MARKET MARKET, SHARE(%), BY COUNTRY, 2017 - 2030
- Figure 42:
- NORTH AMERICA VAN MARKET MARKET, SHARE(%), BY COUNTRY, 2017 - 2030
- Figure 43:
- NORTH AMERICA VAN MARKET, BY CANADA, BY VOLUME IN UNITS, 2017 - 2030
- Figure 44:
- NORTH AMERICA VAN MARKET, BY CANADA, BY VALUE IN USD, 2017 - 2030
- Figure 45:
- NORTH AMERICA VAN MARKET MARKET, SHARE(%), BY PROPULSION TYPE, 2017 - 2030
- Figure 46:
- NORTH AMERICA VAN MARKET, BY MEXICO, BY VOLUME IN UNITS, 2017 - 2030
- Figure 47:
- NORTH AMERICA VAN MARKET, BY MEXICO, BY VALUE IN USD, 2017 - 2030
- Figure 48:
- NORTH AMERICA VAN MARKET MARKET, SHARE(%), BY PROPULSION TYPE, 2017 - 2030
- Figure 49:
- NORTH AMERICA VAN MARKET, BY US, BY VOLUME IN UNITS, 2017 - 2030
- Figure 50:
- NORTH AMERICA VAN MARKET, BY US, BY VALUE IN USD, 2017 - 2030
- Figure 51:
- NORTH AMERICA VAN MARKET MARKET, SHARE(%), BY PROPULSION TYPE, 2017 - 2030
- Figure 52:
- NORTH AMERICA VAN MARKET, MOST ACTIVE COMPANIES, BY NUMBER OF STRATEGIC MOVES, 2017 - 2030
- Figure 53:
- NORTH AMERICA VAN MARKET, MOST ADOPTED STRATEGIES, 2017 - 2030
- Figure 54:
- NORTH AMERICA VAN MARKET SHARE(%), BY MAJOR PLAYERS
North America Van Industry Segmentation
Hybrid and Electric Vehicles, ICE are covered as segments by Propulsion Type. Canada, Mexico, US are covered as segments by Country.Propulsion Type | Hybrid and Electric Vehicles | By Fuel Category | BEV | |
PHEV | ||||
ICE | By Fuel Category | Diesel | ||
Gasoline | ||||
Country | Canada | |||
Mexico | ||||
US |
Hybrid and Electric Vehicles | By Fuel Category | BEV |
PHEV | ||
ICE | By Fuel Category | Diesel |
Gasoline |
Canada |
Mexico |
US |
Market Definition
- Vehicle Type - The category includes Light Commercial Vehicle.
- Vehicle Body Type - This include Light Commercial Vans category.
- Fuel Category - The category includes various fuel types such as Gasoline, Diesel, LPG (Liquefied Petroleum Gas), CNG (Compressed Natural Gas), HEV (Hybrid Electric Vehicles), PHEV (Plug-in Hybrid Electric Vehicles), BEV (Battery Electric Vehicles), and FCEV (Fuel Cell Electric Vehicles)
Keyword | Definition |
---|---|
Electric Vehicle (EV) | A vehicle which uses one or more electric motors for propulsion. Includes cars, buses, and trucks. This term includes all-electric vehicles or battery electric vehicles and plug-in hybrid electric vehicles. |
BEV | A BEV relies completely on a battery and a motor for propulsion. The battery in the vehicle must be charged by plugging it into an outlet or public charging station. BEVs do not have an ICE and hence are pollution-free. They have a low cost of operation and reduced engine noise as compared to conventional fuel engines. However, they have a shorter range and higher prices than their equivalent gasoline models. |
PEV | A plug-in electric vehicle is an electric vehicle that can be externally charged and generally includes all-electric vehicles as well as plug-in hybrids. |
Plug-in Hybrid EV | A vehicle that can be powered either by an ICE or an electric motor. In contrast to normal hybrid EVs, they can be charged externally. |
Internal combustion engine | An engine in which the burning of fuels occurs in a confined space called a combustion chamber. Usually run with gasoline/petrol or diesel. |
Hybrid EV | A vehicle powered by an ICE in combination with one or more electric motors that use energy stored in batteries. These are continually recharged with power from the ICE and regenerative braking. |
Commercial Vehicles | Commercial vehicles are motorized road vehicles designed for transporting people or goods. The category includes light commercial vehicles (LCVs) and medium and heavy-duty vehicles (M&HCV). |
Passenger Vehicles | Passenger cars are electric motor– or engine-driven vehicles with at least four wheels. These vehicles are used for the transport of passengers and comprise no more than eight seats in addition to the driver’s seat. |
Light Commercial Vehicles | Commercial vehicles that weigh less than 6,000 lb (Class 1) and in the range of 6,001–10,000 lb (Class 2) are covered under this category. |
M&HDT | Commercial vehicles that weigh in the range of 10,001–14,000 lb (Class 3), 14,001–16,000 lb (Class 4), 16,001–19,500 lb (Class 5), 19,501–26,000 lb (Class 6), 26,001–33,000 lb (Class 7) and above 33,001 lb (Class 8) are covered under this category. |
Bus | A mode of transportation that typically refers to a large vehicle designed to carry passengers over long distances. This includes transit bus, school bus, shuttle bus, and trolleybuses. |
Diesel | It includes vehicles that use diesel as their primary fuel. A diesel engine vehicle have a compression-ignited injection system rather than the spark-ignited system used by most gasoline vehicles. In such vehicles, fuel is injected into the combustion chamber and ignited by the high temperature achieved when gas is greatly compressed. |
Gasoline | It includes vehicles that use gas/petrol as their primary fuel. A gasoline car typically uses a spark-ignited internal combustion engine. In such vehicles, fuel is injected into either the intake manifold or the combustion chamber, where it is combined with air, and the air/fuel mixture is ignited by the spark from a spark plug. |
LPG | It includes vehicles that use LPG as their primary fuel. Both dedicated and bi-fuel LPG vehicles are considered under the scope of the study. |
CNG | It includes vehicles that use CNG as their primary fuel. These are vehicles that operate like gasoline-powered vehicles with spark-ignited internal combustion engines. |
HEV | All the electric vehicles that use batteries and an internal combustion engine (ICE) as their primary source for propulsion are considered under this category. HEVs generally use a diesel-electric powertrain and are also known as hybrid diesel-electric vehicles. An HEV converts the vehicle momentum (kinetic energy) into electricity that recharges the battery when the vehicle slows down or stops. The battery of HEV cannot be charged using plug-in devices. |
PHEV | PHEVs are powered by a battery as well as an ICE. The battery can be charged through either regenerative breaking using the ICE or by plugging into some external charging source. PHEVs have a better range than BEVs but are comparatively less eco-friendly. |
Hatchback | These are compact-sized cars with a hatch-type door provided at the rear end. |
Sedan | These are usually two- or four-door passenger cars, with a separate area provided at the rear end for luggage. |
SUV | Popularly known as SUVs, these cars come with four-wheel drive, and usually have high ground clearance. These cars can also be used as off-road vehicles. |
MPV | These are multi-purpose vehicles (also called minivans) designed to carry a larger number of passengers. They carry between five and seven people and have room for luggage too. They are usually taller than the average family saloon car, to provide greater headroom and ease of access, and they are usually front-wheel drive. |
Research Methodology
Mordor Intelligence follows a four-step methodology in all its reports.
- Step-1: Identify Key Variables: To build a robust forecasting methodology, the variables and factors identified in Step-1 are tested against available historical market numbers. Through an iterative process, the variables required for market forecast are set and the model is built based on these variables.
- Step-2: Build a Market Model: Market-size estimations for the historical and forecast years have been provided in revenue and volume terms. Market revenue is calculated by multiplying the sales volume with their respective average selling price (ASP). While estimating ASP factors like average inflation, market demand shift, manufacturing cost, technological advancement, and varying consumer preference, among others have been taken into account.
- Step-3: Validate and Finalize: In this important step, all market numbers, variables, and analyst calls are validated through an extensive network of primary research experts from the market studied. The respondents are selected across levels and functions to generate a holistic picture of the market studied.
- Step-4: Research Outputs: Syndicated Reports, Custom Consulting Assignments, Databases & Subscription Platforms.