Diesel and hybrid-electric engines are expected to continue their gain in market share through 2014 as fuel prices remain high, according to a study released by the Cleveland-based Freedonia Group Inc.
From 1999 through 2004 demand for diesel internal combustion engines (ICE) have grown at an annual rate of 16.9%. Full hybrid engines with large high-voltage battery packs have grown 44.3% annually during the same period while mild hybrid engines have grown 126.3% annually.
Diesel engines already capture nearly 50% of the European light-vehicle market. Mild hybrid engines provide less electric power to operate the vehicle but are more cost effective and easier to integrate into existing ICE drivetrains. Fuel cells remain a more distant promise.
Despite rapid gains in alternative power sources, the conventional spark ignition ICE will remain the dominant technology in the U.S. through 2014 because of its ability to cost effectively meet tighter emissions standards and provide high power levels, according to The Freedonia Group.