Trade Resources Market View The Increasingly Stringent Emission Standards Are Changing The Landscape

The Increasingly Stringent Emission Standards Are Changing The Landscape

Taipei, Nov. 16, 2012 (CENS)--The increasingly stringent emission standards are changing the landscape of some automotive markets, in which originally non-mainstream powertrain vehicles might enjoy clear growth.

According to a recent report from Pike Research, regions that have not traditionally been strong markets for diesel-engine cars, such as North America, are now starting to open up—particularly as increasingly stringent emissions regulations in Europe, Japan, and North America accelerate the spread of so-called "clean diesel" vehicles. Diesel cars, in fact, have long been tremendously popular in Europe, where high fuel prices mean that the price premium of a diesel car can be recouped quickly.

Pike Research forecast that sales of clean diesel vehicles, including light-duty vehicles and medium-duty trucks, would grow from just under 10 million in 2012 to almost 13 million in 2018. Nearly 80 million clean diesel vehicles would be sold worldwide from 2012 to 2018, the study concluded.

"Makers of diesel vehicles have had two primary barriers to overcome, particularly in the United States: the price premium, which can be from $1,000 to $3,000 more than gasoline vehicles, and the perception that diesels are dirtier than gasoline cars," says senior research analyst Lisa Jerram. "New clean diesel models are helping automakers overcome those characteristics and are being rewarded with a more positive impression among car buyers."

One other key enabler for clean diesel technology is the widespread availability of ultra-low sulfur diesel (ULSD). Not only is sulfur itself an air pollutant, but also, more importantly, sulfur compounds can poison certain diesel vehicle emissions control devices, such as the NOx absorber often found in clean diesel engines. The United States, Canada, the EU, Australia, Japan, South Korea, Turkey, and New Zealand all require that highway diesel fuel be ULSD, and as such will be primary markets for clean diesel vehicles going forward. Other countries, such as India, that are major diesel vehicle markets will not see clean diesel options until more stringent fuel and vehicle emissions regulations are in place.

(by Quincy Liang)

Source: http://www.cens.com/cens/html/en/news/news_inner_42085.html
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80 M. Clean Diesel Vehicles Sold Worldwide 2012-2018: Pike Research
Topics: Transportation