Micro-Hybrid Vehicle Market to See Massive Growth by 2027 | Audi AG, General Motors Company, BMW AG, Toyota Motor Corporation, Daimler AG, Fuji Motor Corp

Hybrid electric vehicles or HEVs are a type of electric vehicles, which combine an electric propulsion system. A micro-hybrid vehicle uses “start-stop system” where regenerative braking technology helps to stop a combustion engine when the vehicle pulls to a stop, and to restart it when the driver accelerates. Micro hybrid vehicles are useful in cutting fuel consumption and the hazardous vehicular emissions. There are several different versions of the system, which are now being called as the “simplest hybrid technology” in the international market. Micro-hybrid manufacturers claim the cars can deliver 5-10% better fuel economy and therefore lower tailpipe emissions. Thus, micro-hybrid vehicles provide numerous benefits as compared to the conventional fuel-consuming vehicles.

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Covid-19 Scenario Analysis

The global market for micro-hybrid vehicle is severely impacted by the outbreak of the COVID-19 pandemic.

The COVID-19 pandemic saw a decline in the economic growth in almost all the major countries, thus affecting consumer spending patterns.
Owing to the lockdown implemented across various countries, national and international transport have been hampered, which has significantly impacted the supply chain of numerous industries across the globe, thereby increasing the supply–demand gap.

Thus, insufficiency in raw material supply is expected to hamper the production rate of micro-hybrid vehicles, which negatively impact the market growth.

However, this situation is expected to improve as government has started relaxing norms around the world for resuming business activities.

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Top impacting factors: market scenario analysis, trends, drivers, and impact analysis

The significant factors impacting the growth of global micro hybrid vehicle market are reduce in greenhouse gas emission and enhancing the fuel efficiency of the vehicles. However, reliability issues of battery terminals hampers the growth of global micro hybrid vehicle market. On the other hand, vast improvements in battery technology and cost reductions provides an opportunity to global micro hybrid vehicle market to grow in near future.

Reduce in greenhouse gas emission
Micro hybrid cars can emit 46% less greenhouse gases than regular vehicles. Micro hybrid vehicles have energy management functions like idle stop and start which emit less gases. Reduce in greenhouse gas emission results in the growth of micro hybrid vehicle market.

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Enhancing the fuel efficiency of the vehicles
Micro hybrid vehicles have very important feature of start-stop function. Start-stop systems could help to reduce exhaust pipe emissions. Reduction in the emissions through pipe boosts the fuel efficiency of vehicles. Thus improved fuel efficiency leads to the growth of micro hybrid vehicle market in near future.

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