The global market for Sports Utility Vehicles (SUVs) is projected to surpass 21 million units by 2020

Robust Demand for Luxury Cars in Emerging Markets Drives the Sports Utility Vehicles Market, According to a New Report by Global Industry Analysts, Inc.

GIA launches comprehensive analysis of industry segments, trends, growth drivers, market share, size and demand forecasts on the global Sports Utility Vehicles (SUVs) market. The global market for Sports Utility Vehicles (SUVs) is projected to surpass 21 million units by 2020, driven by declining fuel prices, safe, convenient, comfortable and luxuriant personal mobility needs in emerging markets, and growing preference for recreation driving in remote & rugged areas.

The global sports utility vehicles (SUVs) market is booming with consumers demanding versatility and performance in their automobiles. Offering a combination of features such as higher seating position, softer ride, higher ground clearance, increased towing and off-road capability, SUVs are gaining increased acceptance among consumers across the globe. SUVs combine the looks of a car and the power and functionality of a utility vehicle. These vehicles offer more capacity, higher vantage point for drivers, and carry several features of a passenger car including comfortable seating, connected car features, and attractive styling, in addition to off-roading capabilities. Capability to drive like a car, better fuel economy, all-wheel or four-wheel drive, and more seating space, are major factors driving SUV sales. Improving global economy, rising consumer confidence, falling gas prices, cutting edge automobile innovations, declining interest rates, and growing consumer taste for bigger vehicles, are benefiting growth in the market. Emergence of SUVs as versatile and spacious five/seven-seater for both business and family use, introduction of redesigned models and successful launch of all-new models, growing use of high-performance engines to reduce toxic gases emissions, also represent other key factors driving sales of these vehicles.

Automakers are focusing on the development of compact and mid-size SUVs, given that affordable SUVs represent a logical upgrade from sedans for consumers in emerging markets. New models with creative designs, technology savvy features, and fuel efficient engines will continue to be launched into the market creating ample opportunities for growth. Intelligent navigation, and safety features will also generate substantial interest in the market. The trend towards fuel-efficient SUVs is fuelling the use of turbochargers, particularly in subcompact SUVs. Strict fuel efficiency and emission control standards will continue to drive adoption of turbochargers among SUV manufacturers. Growing replacement needs are expected to generate substantial demand for SUVs in the coming years. Typically, the average effective life of a SUV varies between 7-9 years, depending on the engine capacity, power, usage and driving habits. Apart from technological advancements, a key reason attributed to the rising average age of vehicles in developed markets is the prevailing dull economic and financial climate which has compelled owners to retain their vehicles for longer period of time.

As stated by the new market research report on Sports Utility Vehicles (SUVs), Asia-Pacific represents the largest and the fastest growing market worldwide. Despite slowing economic growth and the subsequent weakness in new car sales, China and India continue to remain primary markets for SUVs. The growth in these markets is supported by the sheer size of population and large untapped opportunities among the rural and expanding urban middle class consumer segment. Continued industrialization, rising employment levels, improving standard of living, increasing discretionary spends, and development of road infrastructure, represent other factors driving growth in the market. The United States with a CAGR of 7.7% through the analysis period ranks as one of the major markets worldwide.

Major players covered in the report include Bayerische Motoren Werke AG, Dongfeng Motor Corporation, Fiat Chrysler Automobiles Group, Ford Motor Company, General Motors Company, Great Wall Motor Company Ltd., Honda Motor Co., Ltd., Hyundai Motor Company, Mahindra & Mahindra Ltd., Maruti Suzuki India Ltd., Mitsubishi Motors Corporation, Nissan Motor Co., Ltd., Toyota Motor Corporation, Volkswagen AG, and Volvo Car Corporation, among others.

The research report titled “Sports Utility Vehicles (SUVs): A Global Strategic Business Report” announced by Global Industry Analysts Inc., provides a comprehensive review of market trends, issues, drivers, acquisitions and other strategic industry activities of global companies. The report provides market estimates and projections in Thousand Units for all major geographic markets such as the US, Canada, Japan, Europe (France, Germany, Italy, UK, Spain, Russia, and Rest of Europe), Asia-Pacific (China, India, South Korea, and Rest of Asia-Pacific), Latin America (Brazil, Mexico, and Rest of Latin America), and Rest of World.

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