Flex Fuel Engine Market is expected to reach $105.11 billion by 2030-Allied Market Research

According to a recent report published by Allied Market Research, titled, “Flex Fuel Engine Market by Fuel Type, Vehicle Type, and Blend Type: Global Opportunity Analysis and Industry Forecast, 2020–2030,” The global flex fuel engine market was valued at $63.21 billion in 2020, and is projected to reach $105.11 billion by 2030, registering a CAGR of 5.6%.

The rest of the world dominates the market in terms of revenue, followed by North America, Europe, and Asia-Pacific. Owing to several initiatives implemented by the Brazilian government to promote the use of flex-fuel vehicles, Brazil led the global flex-fuel engine market share in 2020 and its market share is predicted to increase at a substantial rate during the forecast period.

Flex-fuel engines are utilized to lower vehicle emissions, while reducing dependence on foreign oils. Flex-fuel engines come in a variety of shapes and sizes, as well as for a variety of blended fuel applications. Flex-fuel engines can run on a mix of gasoline and other fuels. The growth in commercial vehicle fleet, expansion in transportation infrastructure, tightened government regulations, and rise in global automobile production have all contributed to a significant increase in flex-fuel engine production in recent years.

Based on changing customer preferences, the leading automobile manufacturers are focused on flex-fuel engine development, which improves the outlook of the global flex-fuel engine market. Automotive manufacturers have designed flex-fuel engines to detect ethanol mixes in fuel and modify combustion accordingly. Furthermore, the surge in global awareness of the need to reduce pollution drives demand for flex-fuel engines.

The factors, such as stringent environmental regulations, vehicle emission norms, and depleting fossil-fuel reserves are expected to drive the flex-fuel engine market. However, engine damage concerns, scarcity of flex-fuel stations, and development of electric & hybrid electric vehicles are the factors anticipated to restrict the growth of the market during the forecast period. Moreover, rise in adoption of sustainable automotive technologies and increased automotive performances on higher ethanol blends across the world are the factors projected to supplement the flex-fuel engine market’s growth in the coming years.

The sale of the flex-fuel engine is closely linked to global automotive production and sales operations. Owing to commute restrictions and poor financial performance of market players in 2020, the spread of the COVID-19 pandemic had a detrimental impact on the growth of the flex-fuel engine industry. The COVID-19 crisis has caused uncertainty in the flex-fuel engine market by slowing supply chains, limiting corporate growth, creating unclear demand scenarios, and raising customer anxiety.

Key Findings Of The Study

• By fuel type, the gasoline segment is expected to register significant growth during the forecast period.
• On the basis of vehicle type, the passenger vehicles segment is projected to lead the global market in terms of market share by the end of the forecast period.
• Based on blend type, the above E85 segment is expected to register significant CAGR during the forecast period.
• The rest of the world dominated the market in 2020, and is projected to lead the market growth and maintain its dominance in the global market.

The key players profiled in the flex fuel engine market report are Cummins Inc., Ford Motor Company, Volkswagen AG, Fiat Chrysler Automobiles, General Motors Company, Honda Motor Co., Ltd., Mitsubishi Motors Corporation, Nissan Motor Co., Ltd., Toyota Motor Corporation, and AB Volvo.