In 2023, market players might incur losses due to huge gap in currency translation followed by contracting revenues, shrinking profit margins & cost pressure on logistics and supply chain.
Controlling Inflation has become the first priority for global economies from last quarter of 2022 and to be followed in 2023. With skewed economic situations, rise in interest rate by governments to control spending and inflation, spiked oil and gas prices, high inflation, geo-political issues including U.S. & China trade war, Russia-Ukraine conflict to intensify the global economic issues.
The interest rates in the U.S. may be less sensitive in 2023 as compared to 2022; sigh of relief for businesses. Positive business sentiments, healthy business balance sheets, growth in construction spending (private construction value in 2022 stood at $1,429.2 billion, 11.7 percent (±1.0 percent) above the $1,279.5 billion spent in 2021, Residential construction in 2022 was $899.1 billion, up by 13.3 percent (±2.1 percent) from $793.7 billion in 2021, non-residential construction touched $530.1 billion, 9.1 percent (±1.0 percent) above the $485.8 billion in 2021.) showcases minimal impact of recession in the country.
Similarly, spiked spending in the European and major Asia economics including, India, China & Japan to showcase less impact on the global demand.
The global fun utility vehicle (FUV) market is estimated to garner a robust CAGR over the forecast period, i.e., 2021–2030. The growth of the market can be attributed to the increasing demand for environment friendly transport solutions. FUVs are electrically powered, which reduces the pollution caused by burning of fossil fuels. Additionally, these vehicles can achieve a maximum acceleration of 75 mph, are safe, spacious and conditioned to function in any kind of weather. These features are estimated to boost the demand for FUVs for commercial as well as personal use. Moreover, innovation and development in the automotive industry, with increasing adoption of electric vehicles, is further projected to boost the market growth. More than 3 million electric vehicles were sold in 2020. The sale of EVs witnessed a significant surge of around 15% as compared to 2019, despite a dip in the overall sales of cars during this period.
The global fun utility vehicle (FUV) market is segmented by product into two-wheeled and three-wheeled, out of which, the three-wheeled segment is anticipated to hold the larger share in the market during the forecast period owing to the growing acceptance of these vehicles for locomotion in large areas such as tourist spots, shopping malls, and others. Furthermore, FUVs are also being actively used as the primary mode of transportation in various countries around the world. This is estimated to boost the growth of the segment over the forecast period. CLICK TO DOWNLOAD SAMPLE REPORT
Regionally, the global fun utility vehicle (FUV) market is segmented into five major regions including North America, Europe, Asia Pacific, Latin America and Middle East & Africa region. The market in North America region is estimated to garner largest share over the forecast period on the back of growing adoption of electric vehicles, backed by high investment in development of environment friendly vehicles. Around 240,000 all-electric vehicles (EV) were sold in the United States in 2019. Moreover, rising climate awareness among the masses, is also expected to boost the market growth in the upcoming years. The market in the Europe region is estimated to witness highest CAGR over the forecast period owing to the increasing use of EVs in tourist spots in countries, such as, France, the Netherlands, and others, to minimize the degradation of monuments, heritage sites, and scenic beauty. Availability of such vehicles on rent for tourists, is another factor estimated to boost the market growth in the region.
The global fun utility vehicle (FUV) market is further classified on the basis of region as follows:
Our in-depth analysis of the global fun utility vehicle (FUV) market includes the following segments:
The market is dominated by Arcimoto, Inc. as this is the only major company commercially producing FUVs currently. However, major players of the automotive industry are anticipated to step into the global fun utility vehicle (FUV) market over the forecast period.
Ans: Growing demand for environmentally friendly vehicles is one of the major factors driving the market growth.
Ans: The market is anticipated to attain a robust CAGR over the forecast period, i.e., 2021-2030.
Ans: Lack of awareness among the masses is a major factor estimated to hamper the market growth.
Ans: The market in the North America will provide the highest growth opportunities for the market during the forecast period on the back of increasing manufacturing and sale of electric cars, along with high awareness among the masses.
Ans: The major player in the market is Arcimoto, Inc., however, other major automotive manufacturers are estimated to enter the market in the upcoming years.
Ans: The company profiles are selected based on the revenues generated from the product segment, geographical presence of the company which determine the revenue generating capacity as well as the new products being launched into the market by the company.
Ans: The market is segmented by product, application, and by region.
Ans: The three-wheeled segment is anticipated to hold the largest market share during the forecast period on the back of increasing demand for FUVs as they are safe, and eco-friendly.