PUBLISHER: The Business Research Company | PRODUCT CODE: 1669497
PUBLISHER: The Business Research Company | PRODUCT CODE: 1669497
A Compressed Natural Gas (CNG) powertrain is a mechanism responsible for transferring power generated by an engine to a propeller or axle for vehicle propulsion, utilizing compressed natural gas (CNG) as its primary fuel source. Notably, this powertrain offers cleaner combustion and emits fewer harmful gases in comparison to conventional petroleum or diesel engines.
The principal drive types associated with CNG powertrains include front-wheel drive, all-wheel drive, and rear-wheel drive configurations. Front-wheel drive entails an engine and gearbox setup where power is directed solely to the vehicle's front wheels. CNG powertrains can operate on different types of fuel, namely mono-fuel and bi-fuel options. These powertrains find application across various vehicle categories such as commercial vehicles and passenger vehicles.
The CNG powertrain market research report is one of a series of new reports from The Business Research Company that provides CNG powertrain market statistics, including CNG powertrain industry global market size, regional shares, competitors with a CNG powertrain market share, detailed CNG powertrain market segments, market trends, and opportunities, and any further data you may need to thrive in the CNG powertrain industry. This CNG powertrain market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.
The CNG powertrain market size has grown rapidly in recent years. It will grow from $98.99 billion in 2024 to $118.01 billion in 2025 at a compound annual growth rate (CAGR) of 19.2%. The growth in the historic period can be attributed to environmental regulations and emissions standards, price stability of natural gas, reduced dependency on oil, fuel efficiency and cost savings, global energy security concerns
The CNG powertrain market size is expected to see rapid growth in the next few years. It will grow to $226.77 billion in 2029 at a compound annual growth rate (CAGR) of 17.7%. The growth in the forecast period can be attributed to rise in renewable natural gas (RNG) production, focus on lightweight materials in CNG vehicle design, enhanced fueling experience through digital solutions, global expansion of CNG fueling infrastructure. Major trends in the forecast period include increased focus on sustainable transportation, advancements in CNG engine technology, innovations in CNG engine management systems, technology integration in CNG vehicles.
The growing demand for alternative cleaner fuels is significantly driving the growth of the CNG powertrain market moving forward. Alternative fuels are those generated in whole or in part from sources other than petroleum, and they are less harmful to the environment than conventional fuels. The compressed natural gas (CNG) powertrain utilizes alternative fuels like CNG to power vehicles, resulting in lower carbon emissions and particle-free consumption, which is crucial for reducing air pollution. For instance, in January 2023, a report from the Energy Information Administration, a US-based statistical agency within the Department of Energy, noted that natural gas usage in the United States reached a daily record high of 141.0 billion cubic feet (Bcf) in 2023. Additionally, consumption of natural gas in the electric power sector rose by 45% in December 2022. Thus, the increasing demand for alternative cleaner fuels is propelling the CNG powertrain market.
The escalating demand for passenger vehicles is poised to drive substantial growth in the CNG powertrain market. Passenger vehicles, designed for the transportation of up to nine individuals, are increasingly adopting CNG powertrains as an alternative to traditional internal combustion engines. This transition offers various advantages, including reduced emissions, enhanced fuel efficiency, and cost-effectiveness. Notably, reports from the Society of Motor Manufacturers and Traders (SMMT) indicate a 25.8% increase in passenger car sales in the UK, rising from 140,958 units in 2022 to 177,266 units in 2023. Globally, the International Organization of Motor Vehicle Manufacturers reported an increase in passenger vehicle sales from 56.43 million in 2021 to 57.48 million in 2022. This heightened demand for passenger vehicles underscores the driving force behind the growth of the CNG powertrain market.
The prevailing trend driving the CNG powertrain market is technological innovation, with major companies prioritizing enhancements in engine performance for their latest offerings. A case in point is the May 2022 launch by US Hybrid, a US-based power conversion and powertrain system manufacturer, introducing natural gas-powered parallel hybrid powertrain technology designed for use in drayage and long-haul trucks. This groundbreaking powertrain technology boasts near-zero emissions and delivers superior performance compared to other CNG or diesel counterparts, featuring 640 hp combined horsepower and 1770 lb-ft maximum torque. Notably, this industry-first innovation offers near-zero-emission roadside charging assistance, adding a layer of versatility and convenience for standard long-haul fleet operators.
Key players in the CNG powertrain market are strategically focused on advancing next-generation technological features to maintain a competitive edge. These features position CNG powertrains as viable alternatives to traditional internal combustion engines, offering environmental benefits, heightened efficiency, and cost-effectiveness. An illustrative example is Tata Motors, an India-based automobile manufacturer, which, in January 2022, introduced iCNG technology in its automotive products, Tiago and Tigor. These models have been developed with a focus on maximizing comfort and convenience for their owners. The 'Intelligent' technology includes features such as a single advance ECU, automatic switchover between fuels, immediate start in CNG (a segment-first feature), faster refueling, and a digital instrument cluster. This commitment to technological innovation underscores the dynamic landscape of the CNG powertrain market.
In June 2022, Hyliion Holdings Corp, a U.S.-based manufacturer specializing in electric powertrains, entered into a partnership with Cummins Inc., another U.S.-based manufacturer known for producing natural gas powertrains. The objective of this collaboration is to optimize the performance of the natural gas engine utilized in the Hypertruck ERX powertrain developed by Hyliion. Through this strategic partnership, both companies are focused on obtaining vital environmental certifications for Cummins' natural gas internal combustion engines. These certified engines are intended for incorporation into Hyliion's Hypertruck ERX powertrain, aligning with the shared goal of enhancing environmental sustainability within the transportation sector.
Major companies operating in the CNG powertrain market include Volkswagen AG, Ford Motor Company, Honda Motor Company, Hyundai Motor Company, Robert Bosch GmbH, Nissan Motor Co. Ltd., The Volvo Group, Cummins Inc., Tata Motors Limited, Maruti Suzuki India Limited, Worthington Industries Inc., Chart Industries Inc., Minda Industries Ltd., Clean Energy Fuels Corp., FPT Industrial S.p.A., Landi Renzo S.p.A, Agility Fuel Solutions, Westport Fuel Systems Inc., ANGI Energy Systems Inc., Delta Fuel Company, Viatec Incorporated, Cenergy Solutions Inc., Mijo Auto Gas Pvt. Ltd., Corban Energy Group Corp., Altech-Eco Corporation, NGV Motori Inc., American Power Group, Greenkraft Inc., Nat G CNG Solutions
Asia Pacific was the largest region in the CNG powertrain market in 2024. The regions covered in the cng powertrain market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
The countries covered in the cng powertrain market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.
The CNG powertrain market consists of sales of transmission driveshaft, engine, and hybrid powertrains. Values in this market are 'factory gate' values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.
The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).
The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.
CNG Powertrain Global Market Report 2025 from The Business Research Company provides strategists, marketers and senior management with the critical information they need to assess the market.
This report focuses on cng powertrain market which is experiencing strong growth. The report gives a guide to the trends which will be shaping the market over the next ten years and beyond.
Where is the largest and fastest growing market for cng powertrain ? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward? The cng powertrain market global report from the Business Research Company answers all these questions and many more.
The report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market's historic and forecast market growth by geography.
The forecasts are made after considering the major factors currently impacting the market. These include the Russia-Ukraine war, rising inflation, higher interest rates, and the legacy of the COVID-19 pandemic.