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Growing Demand for Hybrid Vehicles – Implications for Motor Manufacturers - New analysis from Frost & Sullivan Strategic Analysis of Hybrid Automobiles and Impact on the U.S. Motors Markets, reveals that revenues in this market totaled $373.2 million in 2005 and expects to reach $851.9 million in 2012.
Growing Demand for Hybrid Vehicles – Implications for Motor Manufacturers

 

NewswireToday - /newswire/ - Palo Alto, CA, United States, 2006/09/19 - New analysis from Frost & Sullivan Strategic Analysis of Hybrid Automobiles and Impact on the U.S. Motors Markets, reveals that revenues in this market totaled $373.2 million in 2005 and expects to reach $851.9 million in 2012..

   
 
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Confronted with rising fuel prices; automotive consumers in the United States are increasingly opting for alternative means to reduce their overall fuel expenditure. Being almost twice as fuel efficient and half as polluting as the conventional gasoline vehicle, hybrid vehicles are drawing considerable interest and even have huge waitlists for their delivery. This growing demand for hybrid vehicles promises excellent opportunities for the U.S. motor manufacturers, provided they work closely from a very early stage, with cross-functional product teams within the automotive industry to deliver a quality product that adheres to the expectations of the automotive industry.

New analysis from Frost & Sullivan Strategic Analysis of Hybrid Automobiles and Impact on the U.S. Motors Markets, reveals that revenues in this market totaled $373.2 million in 2005 and expects to reach $851.9 million in 2012.

If you are interested in a virtual brochure, which provides manufacturers, end users, and other industry participants an overview of the latest analysis of the U.S. hybrid vehicle motors markets, then send an e-mail to Tori Foster, Corporate Communications, at tori.foster[.]frost.com with your full name, company name, title, telephone number, fax number, and e-mail address. Upon receipt of the above information, an overview will be sent to you by e-mail.

Presently, the vast majority of hybrid vehicle manufacturers produce their motors in-house, within their facilities. As their motor requirements need extensive customization and there is no standardized technology, these manufacturers opt to manufacture not only the motors, but also most of the other hybrid components in-house. However, as demand increases, they would prefer to outsource their motors to vendors that have a deeper understanding of the operational, supply chain and technical requirements of the hybrid automotive industry.

“The need to reduce greenhouse emissions and the U.S. dependence on foreign oil will fuel the demand for hybrid vehicles in the future,” notes Frost & Sullivan Research Analyst Sanjeev R. Sridharan. “As the demand for hybrid vehicles increases, the demand for starters and electric motors used in hybrid vehicles would also rise, offering greater opportunities for commercial motor manufacturers.”

However, uncertainty regarding profitability and the pace of acceptance of hybrid vehicles remain a cause of concern for both automotive manufacturers as well as their motor suppliers. Since the premium on hybrid vehicles is quite substantial, there is still a degree of skepticism among customers regarding the payback on their initial investment in such vehicles.

As a result, the penetration of hybrid vehicles into the U.S. automobile market is expected to be steady, rather than explosive. Until volumes reach profitable levels, motor manufacturing for hybrid vehicles expects to be carried out in-house by the automotive manufacturers, with a very small volume being sourced from traditional automotive suppliers.

“In order for commercial motor manufacturers to succeed in the hybrid-vehicle space, they must obtain a deep understanding of specific automotive requirements and be aware of the operational, supply chain and technical needs of the automotive industry,” says Sridharan. “Due to the absence of standardized technologies, every order is customized, requiring motor manufacturers to fully understand the design constraints and requirements of the automotive manufacturer before they embark on developing such motors in large volumes.”

Strategic Analysis of Hybrid Automobiles and Impact on the U.S. Motors Markets is part of the Motors, Drives and Controls Subscription, which also includes research in the following markets: Growth prospects for the world pneumatics equipment market, North American motion control, feedback elements and controllers markets, world medium voltage drives markets, North American DC integral horsepower motors markets, North American belt and chain drive market and North American AC integral horsepower motors markets. All research included in subscriptions provide detailed market opportunities and industry trends that have been evaluated following extensive interviews with market participants. Interviews are available to the press.

Frost & Sullivan, a global growth consulting company, has been partnering with clients to support the development of innovative strategies for more than 40 years. The company's industry expertise integrates growth consulting, growth partnership services, and corporate management training to identify and develop opportunities. Frost & Sullivan serves an extensive clientele that includes Global 1000 companies, emerging companies, and the investment community by providing comprehensive industry coverage that reflects a unique global perspective and combines ongoing analysis of markets, technologies, econometrics, and demographics.

Strategic Analysis of Hybrid Automobiles and Impact on the U.S. Motors Markets
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Growing Demand for Hybrid Vehicles – Implications for Motor Manufacturers

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Publisher Contact: Tori Foster 
210.477.8448 tori.foster[.]frost.com
 
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