PUBLISHER: AnalystView Market Insights | PRODUCT CODE: 1454138
PUBLISHER: AnalystView Market Insights | PRODUCT CODE: 1454138
Hybrid System in Automotive Market size was valued at USD 15,609.48 Million in 2023, expanding at a CAGR of 5.10% from 2024 to 2032.
Hybrid electric vehicles combine an internal combustion engine with one or more electric motors, utilizing energy from batteries. Despite the advantages of improved fuel efficiency, reduced emissions, and the ability for short-distance zero-emission driving, hybrid systems also bring about increased complexity and costs for the vehicle. Manufacturers use hybrid systems to comply with regulations, thereby decreasing the environmental impact of their vehicle fleets. This regulatory push serves as a significant motivator for the progression and acceptance of hybrid technology. The evolution of hybrid systems drives technological advancements within the automotive sector.
Hybrid System in Automotive Market- Market Dynamics
Rising fuel prices and the desire for improved fuel economy is anticipated to drive the growth of market
As the cost of fuel continues to rise, consumers are becoming more inclined to search for vehicles that provide better fuel efficiency. Hybrid vehicles, which combine internal combustion engines with electric propulsion to enhance fuel economy, are well-suited to meet this demand. The popularity of hybrid cars is steadily increasing worldwide, as evidenced by sales statistics. According to Hybrid Car Sales Statistics, global sales of hybrid vehicles reached an impressive 834,000 units in the first quarter of 2021 alone. Additionally, government regulations aimed at reducing emissions and improving fuel efficiency present potential growth opportunities for the market. However, the high initial cost of hybrid vehicles may pose a constraint on market expansion.
Hybrid System in Automotive Market- Key Insights
As per the analysis shared by our research analyst, the global market is estimated to grow annually at a CAGR of around 5.10% over the forecast period (2024-2032)
Based on Type segmentation, Regenerative Braking was predicted to show maximum market share in the year 2023
Based on Component segmentation, Battery was the leading type in 2023
Based on Application segmentation, Mild Hybrid, was the leading type in 2023
On the basis of region, Asia pacific was the leading revenue generator in 2023
The Global Hybrid System in Automotive Market is segmented on the basis of Type, Component, Application, and Region.
The market is segmented into three categories according to Type: Start-Stop, Regenerative Braking, and EV Drive. The dominant segment in the market is Regenerative Braking. This feature is crucial in numerous hybrid and electric vehicles, as it transforms the kinetic energy generated during braking or deceleration into electrical energy, storing it in the vehicle's battery for future use.
The market is segmented into four categories according to components: Battery, DC/AC inverter, DC/DC converter, and e-Motor. The battery segment holds the largest share in the market. Incorporating cutting-edge battery technology into hybrid systems enhances fuel efficiency, decreases emissions, and boosts driving performance, making hybrid vehicles an attractive option for eco-conscious consumers looking for sustainable transportation solutions.
The market is categorized into four segments based on Application: Mild Hybrid, HEV, PHEV, and EV. The dominant segment in the market is the Mild Hybrid category. Mild hybrid systems provide enhancements in fuel efficiency and emissions reduction, although not to the same extent as full hybrids or electric vehicles.
Hybrid System in Automotive Market- Geographical Insights
Geographically, this market spans across North America, Latin America, Europe, Asia Pacific, and the Middle East and Africa. These regions are further segmented by countries contributing to business activities. The Asia Pacific region is projected to lead the market growth, driven by the increasing demand for Plug-in Hybrid Electric Vehicles (PHEVs). Asia-Pacific has been actively investing in the expansion of charging infrastructure to support electric and plug-in hybrid vehicles. The growth of charging networks, which includes public charging stations and private charging facilities, improves the convenience and accessibility of PHEVs, thereby attracting more consumers towards these vehicles. Sales of electric cars and plug-in hybrids in China witnessed a significant increase towards the end of 2023, with 1.19 million new units sold in December alone, pushing the total annual sales in China to approximately 9.5 million plug-in cars, as per EV Volumes data. Europe holds the second largest region for market growth, attributed to advancements in Battery Technology.
The hybrid system automotive market is characterized by intense competition among automotive OEMs, hybrid system suppliers, battery manufacturers, technology providers, and emerging players. This competition serves as a driving force for innovation and advancements in the industry. In order to stay ahead in this dynamic market, companies need to offer hybrid solutions that not only meet the evolving needs of vehicle manufacturers and consumers but also provide a competitive edge. To achieve this, companies employ various competitive strategies such as product differentiation, innovation, strategic partnerships, and investments in research and development. The primary focus of these companies is to develop advanced hybrid system technologies that deliver superior fuel efficiency, performance, and reliability.
GKN Automotive has recently initiated the subsequent stage of its electrification plan. As a prominent provider of all-wheel drive and electric driveline technology, the company is now streamlining a variety of intelligent and highly integrated "3-in-1" systems for pure electric and plug-in hybrid vehicles. This strategic decision aims to reduce expenses and enhance overall efficiency.
On October 26, 2022, in Aurora, Ontario, Magna introduced its 48 Volt hybrid transmission in the Compass e-Hybrid, Jeep Renegade, Fiat 500 X, along with Tipo. These are the initial models from Stellantis to feature a 48-Volt hybrid system. A multi-program agreement has been signed between the two companies.
GLOBAL HYBRID SYSTEM IN AUTOMOTIVE MARKET KEY PLAYERS- DETAILED COMPETITIVE INSIGHTS
Aisin Seiki
American Axle & Manufacturing
GKN
Magna International
BorgWarner
Dana Holding
JTEKT
Magtec
Delphi Automotive
Visedo
Parker Hannifin
Punch Powertrain
AVTEC
AxleTech International
Others