Europe Gearing Up to Usher in More Diesel Hybrids

September 29, 2011 / No Comments

Can you believe that 50% of all European vehicles will spew only 120 gm of carbon dioxide, by 2015? Frost & Sullivan says that awareness of sustainable mobility has prompted automakers to develop low-emission vehicles. And so, the consulting firm, quite confidently, claims that one out of every two vehicles sold in Europe will emit less CO2 in four years.

diesel hybrid Europe Gearing Up to Usher in More Diesel Hybrids

But Frost & Sullivan’s hopes are likely to crash, as the high costs of diesel-electric vehicles are likely to drive the potential buyers away from such hybrid vehicles.

Though there is no denying the fact that their inherently low emissions will accelerate their popularity in Europe, the elevated costs of the technologies found in diesel hybrids will continue to limit their penetration for at least a decade.

Since European automakers – including Fiat, PSA, Renault and Volkswagen – all have strong diesel portfolios, diesel hybrids are the best logical answer to scaling down emissions, Frost & Sullivan says.

But it remains a fact that several automakers are shying away from diesel hybrid vehicles. VW even commented that diesel hybrids “don’t make good business sense.”

All these negative comments notwithstanding, Frost & Sullivan hopefully predicts that the demand for diesel hybrids will touch 300,000 units a year by the end of 2017. Demand may reach that level, they say.

But it is unlikely that production will also touch that level.