The global sales for light duty natural gas vehicles (NGV) are expected to reach 25.4 million units by 2019, according to a new report.
According to the Pike Research report, "Light Duty Natural Gas Vehicles", the market for light duty NGVs will grow steadily over the next 7 years, reaching 3.2 million vehicles sold in 2019 alone.
High costs of gasoline and diesel fuel, in addition to the extensive and growing supplies of low-cost natural gas in many countries will give a boost to NGVs, the report revealed.
Pike Research senior research analyst Dave Hurst said while the sparse variety of available vehicle models and the slow spread of NGV refuelling infrastructure remain key concerns in many countries, it's clear that the low cost of natural gas, combined withgeopolitical forces, will expand the market for these vehicles.
"Many governments have promoted the growth of NGVs, either by offering reduced taxes on the vehicles or by increasing investment in refueling infrastructure," Hurst said.
Light duty natural gas trucks, which include small commercial vehicles, will sell more than passenger cars in most regions, as consumer demand for NGVs prolongs to lag.
The report revealed that Asia Pacific will be the largest regional market for NGVs by the end of 2020 due to the strong growth in countries which include Thailand, India, and China.
NGV Sales in North America is expected to grow at a compound annual growth rate of 10.2% from 2012 to 2019, the report revealed.
