Strategic Analysis of Hybrid Automobiles and Impact on the U.S. Motors Markets

Abstract

Research Overview

The Frost & Sullivan research service entitled Strategic Analysis of Hybrid Automobiles and Impact on the U.S. Motors Markets provides an overview of the revenue forecasts for the electric motors market for hybrid automobiles in North America along with a comprehensive analysis of the various market drivers, industry challenges, and trends prevailing in the market.

Market Overview

Sky-Rocketing Fuel Prices Heighten Interest in Hybrid Automobiles

With oil prices surging to record levels, fuel conscious consumers in the United States are increasingly on the lookout for vehicles that deliver maximum fuel efficiency. Sales of many gas-guzzling vehicles such as SUVs and trucks continue to decrease, giving way to smaller and more fuel-efficient vehicles. Being almost twice as fuel efficient and half as polluting as conventional gasoline vehicles, hybrid vehicles are drawing considerable interest and even have huge waitlists for their delivery. Initiatives and support from the federal and local governments, private organizations, and environmentalists are also driving the usage of hybrid vehicles, resulting in their sales to reach 200,000 in 2005 from the meager 10,000 recorded in 2000.

With regards to the competitive structure, there are few participants within in the U.S. motors market for hybrid vehicles. The major hybrid vehicle manufacturers such as Toyota and Honda, that together account for around 85 percent of the hybrid-vehicle market in the United States, manufacture their motors in-house within their facilities. "Since the motor requirements are customized and there is no standardization in technology, these manufacturers prefer to manufacture not only the motors, but most of the other hybrid components within their facilities," explains the analyst of this research service. "The quality requirements and the technical criteria required for these motors are very different from other commercial industrial motors and hence, industrial motor manufacturers are not that prevalent in this market."

Growing Demand for Hybrid Vehicles may Necessitate Outsourcing of Motors

Spurred by Government and private incentives and tax credits as well as the need to reduce fuel consumption amidst soaring prices, consumers are increasingly opting for the cleaner and more fuel-efficient hybrid automobile. As a result, there is expected to be a consistent growth in demand for such vehicles and this could force hybrid vehicle manufacturers to outsource their motor requirements in future. In order to actualize the resultant opportunities, motor manufacturers must obtain a profound understanding of the specific automotive requirements and be aware of the operational, supply chain, and technical needs of the hybrid automotive industry. 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 building such motors.

Despite the fuel efficiency and environment friendliness of hybrid-vehicles, there remains a degree of skepticism among consumers, due to the high premium that these vehicles command. "Taking this into account, the penetration of hybrid vehicles into the U.S. automobile market is expected to be steady rather than explosive," says the analyst. "Until volumes reach profitable levels, in-house motor manufacturing for hybrid vehicles is expected to continue with a very small volume being sourced from traditional automotive suppliers."

Table of Contents

1. Executive Summary

• 1. Executive Overview
  • 1. Introduction to the Market

2. Fuel Situation in the U.S. - A Primer

• 1. Strategic Analysis of the Fuel Situation in the U.S.
  • 1. Introduction
  • 2. Global Geopolitical Events Affecting the Fuel Situation in the U.S.
  • 3. Impact of the Fuel Situation on the U.S. Automotive Industry
  • 4. Probable Alternative Sources of Oil
  • 5. Conclusion

3. Alternative Fuel Vehicles - A Primer

• 1. Strategic Analysis of Alternative Fuel Markets and Technologies 1. Strategic Analysis of the Diesel Market in the U.S.
• 2. Strategic Analysis of Flex-fuel Market in the U.S.
• 3. Strategic Analysis of the Hydrogen Fuel Cell Market and Other Alternative Fuel Technologies

4. Hybrid Automobiles - A Primer

• 1. Strategic Analysis of the Hybrid Automobile Market and Technology
  • 1. Hybrid Automobiles - A Primer
  • 2. Major Automaker Hybridization Strategies
  • 3. Analysis of Hybrid Automobiles Incentives and Credits
  • 4. Analysis of the U.S. Regulatory and Environmental Issues for Hybrid Automobiles
  • 5. The Hybrid Debate
  • 6. Hybrid Vehicle Forecasts for the U.S.

5. Electric Motors Market for Hybrid Automobiles in the U.S.

• 1. Strategic Analysis of Motors Market for Hybrid Automobiles in the U.S.
  • 1. Electric Motors and Starter/Generators for Hybrid Automobiles - A Primer
  • 2. Starter/Generator Market Forecasts for Hybrid Automobiles
  • 3. Electric Motor Market Forecasts for Hybrid Automobiles
  • 4. Competitive Structure
  • 5. Strategic Recommendations and Conclusion

• Hydrogen Production: Number of Plants (U.S.), 2003

• Automobiles Market: Tier 2 Emission Standards for Cars and Light Trucks Effective (U.S.), 2004-2009
• Automobiles Market: Light Vehicle Exhaust Emission Standards in Effect When U.S. Tier 2 Standards Are Final (grams/mile) (U.S.), 2009
• Hybrid Automobiles Market: Unit Shipment Forecasts (U.S.), 2000-2012
• Mild Hybrid Automobiles Market: Unit Shipment Forecasts (U.S.), 2000-2012
• Micro Hybrid Automobiles Market: Unit Shipment Forecasts (U.S.), 2000-2012
• Full Hybrid Automobiles Market: Shipment Forecasts (U.S.), 2000-2012

• Belt Driven Starter Market: Unit Shipment Forecasts (U.S.), 2002-2012
• Belt Driven Starter Market: Price Forecasts (North America), 2002-2012
• Belt Driven Starter Market: Revenue Forecasts (U.S.), 2002-2012
• Crankshaft Mounted Starter Market: Unit Shipment Forecasts (U.S.), 2002-2012
• Crankshaft Mounted Starter Market: Price Forecasts (U.S.), 2002-2012
• Crankshaft Mounted Starter Market: Revenue Forecasts (U.S.), 2002-2012
• Motors Market: Unit Shipment Forecasts for Mild Hybrid Automobiles (U.S.), 2002-2012
• Motors Market: Price Forecasts for Mild Hybrid Automobiles (U.S.), 2002-2012
• Motors Market: Revenue Forecasts for Mild Hybrid Automobiles (U.S.), 2002-2012
• Motors Market: Unit Shipment Forecasts for Full Hybrid Automobiles (U.S.), 2002-2012
• Motors Market: Price Forecasts for Full Hybrid Automobiles (North America), 2002-2012
• Motors Market: Revenue Forecasts for Full Hybrid Automobiles (North America), 2002-2012
• Motors Market for Hybrid Automobiles: Competitive Structure (U.S.), 2005
• Motors Market for Hybrid Automobiles: Company Market Ranking (U.S.), 2005