NEW YORK, April 11, 2016 /PRNewswire/ -- The LCV market in Europe is expected to register a revenue $X billion by the end of 2020, growing at a CAGR of 5.45% during the forecast period. France, UK, Germany are some of the major LCV markets, owing to their commercial and economic importance in the region. LCVs cover the portfolio of all light vehicles, which are used for commercial application and have a gross vehicle weight of lower than 3.5 tones. Within all the commercial vehicles in Europe, LCV segment constitutes more than 85% of the market by the end of 2015. The growing concern for fuel economy and the stringency for compliance in the emission levels, is compelling the OEMs to shift towards a portfolio of lighter vehicles for commercial purposes. In addition, increased demand for logistics market, especially from the retail segment would foster significant development.
The automobile regulatory framework in Europe has been instrumental in the attainment of a sustainable but dynamic environment in the European automobile industry. The latest regulatory framework is the Euro 6, which was introduced in 2011, but came into effect from September 2014. The changes in the regulatory standards have been crucial to the growth of LCVs in Europe over the years. The EC, along with the help of the EEA from 2013, strictly maintains the record of the emission performance standard for each new LCV registered in Europe. The increased concerns towards harmful emissions has affected the rise of global warming forcing the OEMs to change the type of LCVs manufactured in the recent years. However, the growth of the LCV models in the region has forced OEMs to alter their existing business models and make huge investments in the region. One such development is the purchase of MAN by Volkswagen (previously owned by Scania) in 2011, to increase its emphasis in the light commercial vehicle segment.
However, the growth of the market in the country has been affected by inflation, and the subsequent increase in price for consumer goods has affected the transportation and logistics industry to a significant extent. The economic issues bothering the market in Europe are expected to subside over the forecast period, and the LCV market is expected to grow. The registration of commercial vehicles are expected to gain momentum during the forecast period because of the increase in LCV sales, despite a considerable slump in the sales of M&HCVs. The underlying factors driving the growth of the LCV market in Europe are the increased preference for pickup trucks and small vans over heavy-duty trucks and railways for the logistics purpose. In addition, the emission target involved with the LCV in Europe would be fairly feasible with the advancement in technology -such as the evolution of the electronic drivetrain and turbochargers.
The market is segmented on the basis of vehicle type (pickup-van, pickup-trucks, and others) engine type (gasoline- diesel, petrol, LPG; electric vehicles and others), end consumer type (fleet owners, load carriers, Governments, and others) and by countries (Germany, France, UK, Italy, Spain, and others). Among the vehicle type, pickup vans are expected to dominate the market in the forecast period, with fleet owners aiming to downsize their fleet, in terms of weight. There has been a trend in the increase of fleet size for pickup vans, due to the fleet owners optimizing the use of LCVs for their commercial applications. Among the consumer segment, the demand for LCVs form the load carrier- segment is expected to receive the maximum growth rate-more than 13%, owing to the demand and upturn from the manufacturing segment. Volvo, Daimler, MAN, Renault, Peugeot Citroen are some of the leading manufacturers in the Europe LCV market.
WHAT THE REPORT OFFERS
Market Definition along with identification of key drivers and restraints for the market.
Market analysis with country specific assessments and competition analysis on the market
Identification of factors instrumental in changing the market scenarios, rising prospective opportunities and identification of key companies, which can influence the market.
Extensively researched competitive landscape section with profiles of major companies along with their strategic initiatives and market shares.
Identification and analysis of the Macro and Micro factors that affect the industry in the region as well as in the countries.
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