Market Trends of north america mlcc Industry
The development of the e-commerce industry is expected to propel light commercial vehicles
- The pandemic resulted in lockdowns and other restrictions that caused supply chain issues in the light commercial vehicle industry that had never been seen before. The pandemic caused unprecedented levels and types of mobility and travel limitations worldwide. The end-user industries that transport goods, such as infrastructure, transportation, and logistics, have completely shut down, posing new challenges for the manufacturing and freight industries. The light commercial vehicle (LCV) market is driven by the growth of North America's e-commerce sector and logistics. As the number of people with internet access and access to smartphones increases, so does the number of online retail outlets. As a result, the demand for light commercial vehicles is expected to increase, facilitating the timely delivery of products to customers.
- Canada established GHG emission caps for new light-duty vehicles by Passenger Automobile and Light Truck Greenhouse Gas Emission Regulations. The expansion of the logistics and e-commerce sectors is expected to increase the demand for LCVs. Due to rising urbanization, the market for light commercial vehicles (LCVs) is expanding with the development of new retail and e-commerce platforms that require effective logistics. The rising popularity of BEVs, the introduction of new EV models, and the development of charging infrastructure are the primary factors driving the market's growth.
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The growing awareness of driver assistance systems is creating demand
- The passenger car market in North America experienced tremendous growth, with a production of 2.97 million units in 2019. The United States is the third-largest producer of electric vehicles in the world. The shift to EVs has continued at its current rate, owing to government initiatives to promote EV growth.
- The COVID-19 pandemic hindered the growth of the market, as there was a disruption in the production of vehicles due to the collapse of supply chains across the world. However, the market is expected to witness significant growth during the forecast period due to increasing awareness about the positive environmental impacts of electric vehicles and various initiatives by governments of different countries.
- Several OEMs became interested in increasing their production capacity to meet the growing demand for electric vehicles. The government policy banning ICE engines helped boost the sales of electric vehicles. The increase in the price of gasoline and diesel due to various global reasons has made it easy for EV companies to boost their sales. Electric car sales in the United States, the third largest market, increased by 55% in 2022, reaching a sales share of 8%.
- In May 2019, the federal government launched the Incentives for Zero-Emission Vehicles (iZEV) Program. The incentive-based initiative aims to help Canadians and Canadian businesses purchase or lease zero-emission vehicles. In 2022, the Canadian federal government announced a sales mandate for zero-emission vehicles. With the aim that at least 20% of new passenger vehicles sold in Canada must be zero-emission vehicles by 2026. That will increase to 60% by 2030 and jump to 100% by 2035.
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OTHER KEY INDUSTRY TRENDS COVERED IN THE REPORT
- Expectations of a price rally are developing in reaction to rising inflation and socioeconomic uncertainty
- Government initiatives for energy-efficient ACs and growing residential and commercial sectors are driving the demand
- Technological developments in new gaming consoles are driving the demand
- The increasing focus of the government on eco-friendly products to control global warming and rapid urbanization is driving the demand
- The increasing usage of smartphones with high storage capabilities and reduced lifespans is leading to a decline in the market's growth
- Increasing viewership of online content and streaming services like OTT platforms are driving the demand
- The development of the e-commerce industry is expected to propel light commercial vehicles
- The rising demand for automotive production is expected to increase the demand for industrial automation
- The COVID-19 pandemic affected the prices and supply chain of zinc
- The interest rate hikes on desktop PC sales and reduced IT spending on such devices are decreasing the demand
- The increasing disposable income of consumers and the launch of new products with advanced features are driving the demand
- Increasing spending of consumers and frequent upgrades of newly launched smartphones are driving the demand
- The saturation of the market is expected to lower sales in the future
- The development of charging infrastructure is expected to increase the production
- The rising electric mobility is expected to increase MLCC production
- Growing demand in the healthcare sector is expected to increase the demand for service robots
