CNG Vehicles Market Research Report Information By Product Type (OEM, Car Modification), By Application (Personal Use, Commercial Use), And By Region (North America, Europe, Asia-Pacific, And Rest Of The World) –Market Forecast Till 2032

CNG Vehicles Market Overview:

The CNG Vehicles market industry is projected to grow from USD 132.78 Billion in 2024 to USD 347.25 billion by 2032, exhibiting a compound annual growth rate (CAGR) of 12.77% during the forecast period (2024 - 2032). The CNG Vehicles Market Size was valued at USD 115.75 billion in 2023. Increased growing need for alternative fuel in the auto industry for emission control, fuel efficiency, and cost-effectiveness growing demand for cars having dual fuel systems like CNG and petrol, and concerns on constant swelling pollution are the key market drivers enhancing the market growth.

Source: Secondary Research, Primary Research, MRFR Database, and Analyst Review

CNG Vehicles Market Trends

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  Demand for alternative fuel to bolster is driving the market growth

  
  

Over the course of the projected period, market expansion is anticipated to be supported by the rising demand for alternative fuel in the car sector for pollution control, fuel efficiency, and cost-effectiveness. Growing interest from the transportation and trucking industry, the unstable and disruptive pricing structure associated with petrol and diesel, growing demand for vehicles with dual fuel systems such as CNG and petrol, concerns about constantly rising pollution, government regulations and policies of different countries to reduce vehicle air pollution are boosting the use of eco-friendly LPG and CNG cars, and more are all factors contributing to the value of the CNG Vehicles Market. In addition, environmental concerns, an increase in the middle class, and a growing need for vehicles all contribute to the market's CAGR development.

Additionally, the global push for reducing emissions is expected to drive the demand for low-emission fuel vehicles like CNG and LPG. Countries in Europe have committed to reducing emissions, making them a potential market for these vehicles shortly. Meanwhile, Asian countries have already promoted alternative fuel vehicles due to their lower emissions and reduced costs, particularly in light of high petroleum import prices. Because of the affordable conversion of existing vehicles to CNG or LPG fuel systems, there is potential for significant growth in the CNG and LPG vehicle market, including the aftermarket. Furthermore, as the demand for advanced automotive vehicles increases, market players will likely have ample opportunities in the coming years. Thus, these factors drive the CNG Vehicles market revenue.

CNG Vehicles Market Segment Insights:

CNG Vehicles Type Insights

Based on product type, the CNG Vehicles Market segmentation includes OEM and Car Modification. The car modification segment dominated the market, with the growing demand for eco-friendly cars and a hike in fuel prices. Besides, the rise in product ranges of CNG conversion kits for buses, trucks, and cars is also adding to the segmental growth.

CNG Vehicles Application Insights

Based on Application, the CNG Vehicles Market segmentation includes personal use and commercial use. The personal use segment dominated the market; growing refueling stations for CNG cars and increased affordability added to the segment's growth.

Figure 1: CNG Vehicles Market, by Distribution Channel, 2022 & 2032 (USD billion)

Source: Secondary Research, Primary Research, MRFR Database, and Analyst Review

CNG Vehicles Regional Insights

By Region, the study provides market insights into North America, Europe, Asia-Pacific, and Rest of the World. The North American CNG vehicles market will dominate, owing to an increase in the growing need for alternative fuel in the auto industry for emission control and fuel efficiency and the growing demand for cars with dual fuel systems like CNG and petrol boost market growth in this Region.

Further, the major countries studied in the market report are The U.S., Canada, German, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.

Figure 2: CNG Vehicles Market Share By Region 2022 (%)

Source: Secondary Research, Primary Research, MRFR Database, and Analyst Review

Europe's CNG Vehicles market accounts for the second-largest market share due to the technological advancements in the auto industry, growing concerns about carbon emissions, and strict environmental regulations that have impelled auto manufacturers to focus on alternative fuel vehicles. Further, the German CNG Vehicles market held the largest market share, and the UK CNG Vehicles market was the fastest-growing market in the European Region.

The Asia-Pacific CNG Vehicles market is expected to grow at the fastest CAGR from 2024 to 2032. This is due to the Booming automotive industry, strict government policies on vehicle emissions, high potential consumer base, and affluent automotive centers in this Region. Moreover, China’s CNG Vehicles market held the largest market share, and the Indian CNG Vehicles market was the fastest-growing market in the Asia-Pacific region.

CNG Vehicles Key Market Players & Competitive Insights

Leading market players are investing heavily in research and development to expand their product lines, which will help the CNG Vehicles market grow even more. Market participants are also undertaking various strategic activities to expand their global footprint, with important market developments including new product launches, contractual agreements, mergers and acquisitions, higher investments, and collaboration with other organizations. The CNG vehicles industry must offer cost-effective items to expand and survive in a more competitive and rising market climate.

Manufacturing locally to minimize operational costs is one of the key business tactics manufacturers use in the global CNG Vehicles industry to benefit clients and increase the market sector. In recent years, the CNG Vehicles industry has offered some of the most significant advantages. Major players in the CNG Vehicles market, including Volkswagen Group, Ford Motor Company, Suzuki Motor Corporation, Renault, Volvo Group, General Motors, Groupe PSA, Fiat Chrysler Automobiles, Hyundai Motor Company, Daimler AG, Honda Motor Co. Ltd., Toyota Motor Corporation., and others, are attempting to increase market demand by investing in research and development operations.

Honda Motor Co., Ltd., headquartered in Tokyo, Japan, is a multinational public conglomerate producing automobiles, motorcycles, and power equipment. Since 1959, Honda has held the title of the world's largest motorcycle manufacturer, and by the end of 2019, it had produced 400 million motorcycles. Recently, Honda unveiled its 9th generation Civic model prototype, which is anticipated to be available for purchase in the latter half of 2021.

Ford Motor Company, an American multinational automaker based in Dearborn, Michigan, produces and sells automobiles and commercial vehicles under the Ford brand and luxury vehicles under the Lincoln brand.Henry Ford founded the company, which was incorporated on June 16, 1903. The company recently introduced the Ford Bronco Sport, a small sports utility vehicle designed for tough terrains and with standard 4x4 configurations. An EcoBoost engine powers the vehicle.

Key Companies in the CNG vehicles market include

• Volkswagen Group


• Ford Motor Company


• Suzuki Motor Corporation


• Renault


• Volvo Group


• General Motors


• Groupe PSA


• Fiat Chrysler Automobiles


• Hyundai Motor Company

CNG Vehicles Industry Developments

CNG Vehicles Market Segmentation:

CNG Vehicles Product Type Outlook

• OEM


• Car Modification

CNG Vehicles Application Outlook

• Personal Use


• Commercial Use

CNG vehicles Regional Outlook

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  North America
  
  
  
  • US
  
  
  • Canada
  
  
  
  


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  Europe
  
  
  
  • Germany
  
  
  • France
  
  
  • UK
  
  
  • Italy
  
  
  • Spain
  
  
  • Rest of Europe
  
  
  
  


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  Asia-Pacific
  
  
  
  • China
  
  
  • Japan
  
  
  • India
  
  
  • Australia
  
  
  • South Korea
  
  
  • Australia
  
  
  • Rest of Asia-Pacific
  
  
  
  


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  Rest of the World
  
  
  
  • Middle East
  
  
  • Africa
  
  
  • Latin America