Flexible fuel, also known as flex fuel, is a fuel that contains a variable mixture of gasoline and ethanol. Flexible fuel vehicles are designed to operate on blends of gasoline and ethanol ranging from pure gasoline up to 85% ethanol (E85). The growing range of flex-fuel vehicles helps reduce gasoline consumption and carbon emissions. Flexible fuel vehicles deliver the power, performance, and reliability expected from conventional vehicles while also providing the option of using renewable fuels like ethanol. With over 30 years of experience, E85 fuel has proven itself as an affordable, reliable alternative to gasoline for use in flexible fuel vehicles. The global Flexible Fuel Market is estimated to be valued at US$ 93.57 Bn in 2023 and is expected to exhibit a CAGR of 9.2% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights. Market Opportunity: The increasing use of flexible fuel vehicles in the automotive industry provides a significant market opportunity. As environmental concerns rise and countries aim to reduce vehicular emissions, demand for alternative fuel vehicles is growing. Flexible fuel vehicles offer automakers and consumers an affordable and readily available option to transition away from pure gasoline. With over 300 flexible fuel models available in North America, the established flex fuel infrastructure makes it convenient for drivers to choose E85. As more automakers introduce flex fuel options across their model lines, the flexible fuel market is expected to witness considerable growth in the coming years driven by the opportunity in the automotive sector. Porter’s Analysis Threat of new entrants: The global flexfuel market has moderate threat of new entrants. Significant capital is required to manufacture or distribute flex fuel which may discourage new players from entering the market. However, the steadily rising demand for flexfuel vehicles provides opportunities for new players. Bargaining power of buyers: The bargaining power of buyers is moderate in the flexfuel market. Buyers have multiple options for different vehicle fuel types such as gasoline, diesel, CNG, etc. Switching costs for buyers are also moderate. Bargaining power of suppliers: The flexfuel suppliers have moderate bargaining power due to the presence of numerous global and regional suppliers. However, their bargaining power is strengthened due to the unique expertise required in flex fuel production and supply chain. Threat of new substitutes:The threat from substitutes is moderate as alternate renewable fuels like electric vehicles, biofuels are gaining popularity. However, flexfuel still has an edge over others in terms of price, performance and widespread vehicle compatibility. Competitive rivalry: The competitive rivalry is high among the key global players operating in the flexfuel market. SWOT Analysis Strength: Growing global demand for renewable fuel blends, Flexible fuel compatibility with existing vehicle engines, Potential to reduce reliance on crude oil imports Weakness: Higher infrastructure and manufacturing costs compared to gasoline, Limited retail availability, Issues with cold start in colder temperatures Opportunity: Stringent emission regulations driving adoption of low-carbon fuels, Investments by governments in flex fuel infrastructure, Growing production of ethanol Threats: Slow adoption rates in developing nations, Competition from electric vehicles and other biofuels Key Takeaways Global Flexfuel Market Size is expected to witness high growth over the forecast period supported by the rising sales of flexible fuel vehicles and investments in flex fuel infrastructure by governments worldwide. The Asia Pacific region currently dominates the flexfuel market and is estimated to grow at the fastest pace during 2023-2030 supported by large flexfuel vehicle fleets and production centers in countries like Brazil and the USA. Key players operating in the global flexfuel market are Takara Bio Inc., ViaCyte Inc., PromoCell GmbH, Merck KgaA, PeproTech Inc., Astellas Pharma Inc., Thermo Fisher Scientific, Lineage Cell Therapeutics Inc., and STEMCELL Technologies Inc., among others. These players are focused on expanding their flexfuel production capacities and global footprint through mergers & acquisitions. Regional analysis North America accounts for a significant share in the global flexfuel market supported by the presence of major flexfuel producers like the USA. The USA is the largest flexfuel producer globally with states like California and Oregon leading flex fuel vehicle sales. Key players operating in the global flexfuel market are Takara Bio Inc., ViaCyte Inc., PromoCell GmbH, Merck KgaA, PeproTech Inc., Astellas Pharma Inc., Thermo Fisher Scientific, Lineage Cell Therapeutics Inc., Discover More@ https://www.newsanalyticspro.com/global-flex-fuel-market-analysis/
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. Archives
December 2023
Categories |