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Hybrid Drivetrain Market Size

Report ID: GMI4495
Published Date: Jun 2021
Report Format: PDF

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Hybrid Drivetrain Market Size

Hybrid Drivetrain Market size surpassed USD 80.69 billion in 2020 and is estimated to exhibit more than 27.2% CAGR from 2021 to 2027. Rising awareness pertaining to vehicular emissions will drive the industry growth.

Government incentives for low and zero-emission vehicles is likely to fuel the market demand. Financial stimuli, such as tax credits and tax exemptions, encourages vehicle adoption by decreasing the upfront costs. For instance, in Shenzhen (China), local authorities are offering support of USD 4 to 5 thousand for every New Energy Vehicle (NEV) to stimulate automotive sales, which was declined impelled by the COVID-19 epidemic. Such initiatives are generating a substantial demand for hybrid drivetrains.

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Research, Development and Demonstration (RD&D) initiatives to lower the overall hybrid vehicle battery cost and resource-associated problems will positively influence the hybrid drivetrain market revenue. Lowering the battery cost and performance enhancement are important to attract more consumers to use hybrid vehicles. According to the International Energy Agency (IEA), the battery cost will lower from USD 5 to 8 hundred per kwh to USD 3 to 4 hundred per kwh to reach breakeven price in comparison with the ICE vehicle driving system.

Numerous automotive producers are reducing CO2 emissions due to strict new requirements taking effect in 2020 and 2025. For instance, in 2020, European Union has implemented the regulation that from 2021 onward the average fleet carbon emissions will be restricted to 95 g of CO2 per km, which is influencing the market demand.

Hybrid Drivetrain Market Report Attributes
Report Attribute	Details
Base Year:	2020
Hybrid Drivetrain Market Size in 2020:	USD 80.69 Billion
Forecast Period:	2021 to 2027
Forecast Period 2021 to 2027 CAGR:	27.2%
2027 Value Projection:	USD 388.75 Billion
Historical Data for:	2017 to 2020
No. of Pages:	225
Tables, Charts & Figures:	228
Segments covered:	Level, Type, Component and Region
Growth Drivers:	Increasing financial incentive and spending for supporting infrastructure Stringent emission regulations and initiatives to reduce carbon footprint Presence of multiple automotive OEMs along with investments for technology advancements Increasing requirement for clean mobility & transportation solutions Presence of lithium reserves High spending on prohibitive cost vehicles and government initiatives to decrease dependency on crude oil
Pitfalls & Challenges:	Lack of charging infrastructure High battery cost and supply chain constraints

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Authors: Preeti Wadhwani, Aishvarya Ambekar

Frequently Asked Questions (FAQ) :

The hybrid drivetrain market revenue valued at around USD 80.69 billion in 2020 and will grow at a CAGR of over 27.2% up to 2027.

The hybrid drivetrain industry share from the PHEV level segment could surpass USD 60 billion by 2027 due to the higher sales and production of plug-in hybrid electric vehicles over the past few years.

Demand for series-parallel type hybrid drivetrains reached nearly 65% of the overall market share in 2020 and will grow with the rising need for higher operational output.

Battery components are pegged to record close to 50% of the hybrid drivetrain market share by 2027 with higher adoption in electric vehicles.

Europe hybrid drivetrain industry size is poised to expand at a 25% CAGR up to 2027 driven by the rise in the number of government policies and initiatives for low and zero-emission vehicles in the region.