The global crossover vehicles market is expected to exhibit a CAGR of 9% over the forecast period from 2018 to 2023, according to the latest research report from Market Research Future (MRFR). The global crossover vehicle market is mainly driven by the growing investment in crossover vehicles by automotive giants and the growing demand for crossover vehicles in the passenger vehicles space.
The growing demand for larger, more spacious passenger vehicles is likely to be a key driver for the global crossover vehicle market over the forecast period. While SUVs are the popular option for people looking for larger cars, some SUVs can be too expensive for a significant share of the population, especially in emerging regions, where the automotive industry is experiencing the fastest growth. This has led to a growing demand for crossover vehicles, which offer the benefits of both smaller passenger cars and larger SUVs. The passenger comfort is significantly higher than in smaller cars, while the fuel economy is increased due to the smaller size and lower weight of crossover vehicles in comparison to SUVs. Crossover vehicles can also present a style enhancement to consumers, as they are mainly based on the platform of the respective small car and offer a more stylish version of the same design base.
The demand for commercial crossover vehicles is also likely to increase over the forecast period due to the growing recognition of the benefits they offer. The lower fuel consumption of crossover vehicles than SUVs and larger vehicles is a key point likely to drive the demand for crossover vehicles in commercial applications, as is the incorporation of four-wheel drive on most crossover vehicles, which offers higher stability and driving comfort. Fleet owners are also likely to lean towards crossover vehicles rather than SUVs due to the lower maintenance costs of the former, leading to steady growth of the global crossover vehicles market over the forecast period.
Leading players in the global crossover vehicles market include Volvo Cars, Volkswagen, FCA US LLC, Kia Motor Corporation, Subaru of America Inc., Toyota Motor Corporation, Mazda Motor Corporation, Nissan Motor Company Ltd., Ford Motor Company, and Honda Motor Company Ltd.
In April 2019, Ford made an investment of USD 500 million in Rivian, a leading player in the sustainable transportation scenario. The two companies are expected to collaborate on next-generation battery-electric vehicles. This move supplements Ford’s own increasing investment in fully battery electric vehicles in recent years, with the company expected to come up with a fully battery electric crossover version of the iconic Ford Mustang in 2020.
The global crossover vehicles market is segmented on the basis of type, drive type, fuel type, gear transmission, and region.
On the basis of type, the global crossover vehicles market is segmented into small size, mid-size, and large vehicles.
On the basis of drive type, the global crossover vehicles market is segmented into front wheel, rear wheel, and all-wheel drive.
On the basis of fuel type, the market is segmented into petrol and diesel.
On the basis of transmission, the crossover vehicles market is segmented into manual and automatic.
Asia Pacific is likely to dominate the global crossover vehicles market over the forecast period due to the growing demand for crossover vehicles in countries such as China, Japan, and India. Crossover vehicles are seen as a luxury item in these countries, which is likely to drive the crossover vehicles industry in the region over the forecast period. The growing automotive production in China, India, and Japan is likely to be a major driver for the crossover vehicles market in the region over the forecast period, as crossover vehicles are likely to be among the dominant vehicle classes produced in the region over the forecast period.
North America and Europe are also likely to play a key role in the growth of the global crossover vehicle market over the forecast period due to the strong presence of the automotive industry in these regions and the growing demand for fuel-efficient, lightweight crossover vehicles.