Motor Vehicles Market Report 2025

This Motor Vehicles market report provides a comprehensive analysis of the market’s characteristics, size, and growth, including segmentation, regional and country-level breakdowns, competitive landscape, market shares, trends, and strategies. It also tracks historical and forecasted market growth across various geographies.

The motor vehicles market size has grown strongly in recent years. It will grow from $2.84 trillion in 2024 to $3.09 trillion in 2025 at a compound annual growth rate (CAGR) of 8.9%. The growth in the historic period can be attributed to economic conditions, technological advancements, consumer preferences, globalization and trade.

The motor vehicles market size is expected to see strong growth in the next few years. It will grow to $4.16 trillion in 2029 at a compound annual growth rate (CAGR) of 7.7%. The growth in the forecast period can be attributed to electrification, connectivity, shared mobility, government policies. Major trends in the forecast period include electrification and lightweighting, advanced materials, additive manufacturing, digitalization and connectivity, collaboration and partnerships.

The growing demand for electric vehicles (EVs) is expected to drive the expansion of the motor vehicle market in the coming years. An electric vehicle (EV) is powered by one or more electric motors that rely on electricity stored in batteries or other energy storage devices as their primary energy source. EVs are leveraging advancements in motor vehicle technology to improve performance, sustainability, and the overall user experience, contributing to a significant shift in the automotive industry. For example, in July 2023, the International Energy Agency, a France-based intergovernmental organization, reported that electric vehicle sales reached 10 million in 2022, with a projected increase to 14 million in 2023. As a result, the rising demand for electric vehicles is driving growth in the motor vehicle market.

Anticipated growth in vehicle production is set to drive the motor vehicle market in the coming years. Vehicle production entails the mass production of vehicles of the same type for sale to the public and legal operation on public roads. Increased automobile manufacturing often aligns with economic upturns, as stronger economies lead to greater consumer purchasing power, contributing to heightened vehicle demand. For example, in May 2023, as reported by the European Automobile Manufacturers Association, global motor vehicle production in 2022 reached 85.4 million units, marking a 5.7% increase compared to 2021. Thus, the growth in vehicle production is a significant driver of the motor vehicle market.

Leading companies in the motor vehicle market are focusing on introducing advanced solutions, such as compact MPVs (Multi-Purpose Vehicles), to gain a competitive edge. Compact MPVs offer a combination of space, comfort, and reliability for families, featuring advanced technology, flexible seating arrangements, and ample luggage space. For example, in August 2023, Toyota Kirloskar Motor Private Limited, an India-based automobile company, launched the Toyota Rumion. The Toyota Rumion is designed with the signature Toyota MPV front grille, a chrome-finished front bumper, LED tail lamps with a chrome garnish on the back door, and a stylish two-tone interior. It is available in six variants, including both manual and automatic transmission options.

Major companies operating in the motor vehicle market are emphasizing partnerships and collaborations, with Stellantis N.V.'s collaboration with Amazon.com, Inc. being a noteworthy example. Stellantis N.V. and Amazon.com, Inc. have formed a substantial partnership aimed at developing and operating more intelligent vehicles and environmentally-friendly vans. This collaboration encompasses software development, connected in-vehicle experiences, and training. In January 2022, Stellantis N.V., a Netherlands-based automotive manufacturer, joined forces with Amazon.com, Inc. to implement customer-centric integrated experiences in millions of vehicles, supporting Stellantis' transition towards a software-driven future. The partnership, which includes Amazon Devices, Amazon Web Services (AWS), and Amazon Last Mile, will expedite Stellantis' transformation into a sustainable mobility innovation company. Together, the two companies will create a portfolio of software-based products and services that seamlessly integrate into consumers' digital lives and provide long-term value through frequent over-the-air (OTA) software updates. Amazon.com, Inc. is a U.S.-based technology company offering automotive software solutions.

Major companies operating in the motor vehicles market include Volkswagen AG, Toyoto Motor Corp, Daimler AG, Ford Motor Co, Honda Motor Co. Ltd., Fiat Chrysler Automobiles NV, SAIC Motor Co. Ltd., EXOR Group, Bayerische Motoren Werke AG, Hyundai Motor Co. Ltd., General Motors Company, Nissan Motor Co. Ltd., Fiat Chrysler Automobiles N.V., Renault-Nissan-Mitsubishi Alliance, Bayerische Motoren Werke AG, Zhejiang Geely Holding Group Co. Ltd., Tata Motors Limited, Suzuki Motor Corporation, Mazda Motor Corporation, Subaru Corporation, Dongfeng Motor Corporation, Groupe PSA, Mitsubishi Motors Corporation, Chang'an Automobile Co. Ltd., Great Wall Motor Co. Ltd., Mahindra & Mahindra Limited, BYD Auto Co. Ltd., Brilliance Auto Group, JAC Motors, Zotye Auto Co. Ltd., FAW Group Corporation, Beijing Automotive Group Co. Ltd., Chery Automobile Co. Ltd.

Motor vehicles are any land vehicles not powered by human muscle, including cars, motorbikes, autocycles, and slow-moving vehicles. They are typically propelled by engines like internal combustion engines, electric motors, or hybrid systems.

The main types in the motor vehicle market include motorcycles and bicycles, passenger cars, and commercial vehicles. Commercial vehicles are used for business purposes. Motor vehicles can use various fuel types like gasoline, diesel, or others, and they come with different engine capacities like 1000 cc, 1000-1500 cc, 1500-2000 cc, and >2000 cc. They can have various propulsion types, including internal combustion engines and electric vehicles.

The motor vehicle market research report is one of a series of new reports that provides motor vehicle market statistics, including motor vehicle industry global market size, regional shares, competitors with a motor vehicle market share, detailed motor vehicle market segments, market trends and opportunities, and any further data you may need to thrive in the motor vehicle industry. This motor vehicle market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

Asia-Pacific was the largest region in the motor vehicles market in 2024. North America was the second largest market in motor vehicles market. The regions covered in the motor vehicle parts market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, the Middle East, Africa. The countries covered in the motor vehicles market report are Australia, China, India, Indonesia, Japan, South Korea, Bangladesh, Thailand, Vietnam, Malaysia, Singapore, Philippines, Hong Kong, New Zealand, USA, Canada, Mexico, Brazil, Chile, Argentina, Colombia, Peru, France, Germany, UK, Austria, Belgium, Denmark, Finland, Ireland, Italy, Netherlands, Norway, Portugal, Spain, Sweden, Switzerland, Russia, Czech Republic, Poland, Romania, Ukraine, Saudi Arabia, Israel, Iran, Turkey, UAE, Egypt, Nigeria, South Africa.

The motor vehicle market consists of sales of bicycles and parts, motor scooters, other motorcycle and bicycle, hatchback, sedan, utility vehicle, light commercial vehicle, heavy trucks, buses and coaches. Values in this market are ‘factory gate’ values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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