TOKYO — The global market for hybrid vehicles will more than triple to 2.19 million units a year by 2012, while the value of its worldwide parts business will double to $7 billion.
That is the outlook for the hybrid sector from Japan's Nomura Research Institute, a research and consulting firm.
Nomura says demand for hybrid vehicles, which run on gasoline engines and electric motors, will surge as automakers feel increased pressure to cut carbon dioxide emissions. Lower cost and the expansion of hybrid offerings also will fuel the market increase.
By 2012, the global market for hybrid vehicles is expected to reach 2.19 million units, up from an estimated 619,000 in 2007.
The United States is seen as leading demand, with 1.68 million units, followed by Japan at 460,000 units. Europe is projected to be buying only 52,000 units in 2012.
The value of the hybrid parts business is forecast to be 763.7 billion ($7 billion) by 2012, compared with 308.5 billion ($2.83 billion) in 2007, according to Nomura.