Skip navigation
Reports & Analysis Strategic Insights Research Subscriptions
Sign In / Create Account Cart
Sign In / Create Account Cart
  • Reports & Analysis
  • Strategic Insights
  • Research Subscriptions

Resources

  • Analyst Buzz
  • Press Releases
  • Blog
  • Resources & Downloads

The Freedonia Group

  • Contact
  • About
  • Our Staff
  • Help Center
  • Career Opportunities
Freedonia Market Research Freedonia Group Global Motor Vehicle Outlook 2023

Global Motor Vehicle Outlook 2023

Industry Reports, Global

Report Overview

What is driving growth in medium and heavy vehicle sales?

  • e-commerce

  • rising tourism

  • economic rebound in China
     

This Freedonia industry study analyzes the 84 million unit motor vehicle market. It presents historical sales, production and vehicle parc data (2012, 2017, and 2022) and Picture showing carsforecasts (2027 and 2032) by region (North America, Central and South America, Western Europe, Eastern Europe, Asia/Pacific, and Africa/Mideast) and vehicle type (light vehicles; medium and heavy vehicles). The study also includes annual data and forecasts from 2019 to 2026.

Featuring 205 tables and 38 figures – available in Excel and Powerpoint! Learn More

Table of Contents

    • $310.50

    • $322.66

      • $310.50

      • $310.50

    • $702.33

      • $310.50

      • $310.50

        • $310.50

        • $310.50

        • $310.50

      • $310.50

        • $310.50

        • $310.50

        • $310.50

      • $310.50

        • $310.50

        • $310.50

        • $310.50

    • $424.37

      • $310.50

      • $310.50

        • $310.50

        • $310.50

        • $310.50

      • $310.50

        • $310.50

        • $310.50

        • $310.50

      • $310.50

    • $421.52

      • $310.50

      • $310.50

        • $310.50

        • $310.50

        • $310.50

      • $310.50

        • $310.50

        • $310.50

        • $310.50

      • $310.50

    • $595.42

      • $310.50

        • $310.50

        • $310.50

        • $310.50

      • $310.50

        • $310.50

        • $310.50

        • $310.50

      • $310.50

      • $310.50

    • $447.03

      • $310.50

      • $310.50

      • $310.50

      • $310.50

    • $410.19

      • $310.50

      • $310.50

      • $310.50

      • $310.50

      • $310.50

      • $310.50

      • $310.50

    • $539.70

      • $310.50

      • $310.50

      • $310.50

      • $310.50

      • $310.50

      • $310.50

      • $310.50

      • $310.50

      • $310.50

      • $310.50

      • $310.50

    • $912.02

      • $310.50

      • $310.50

      • $310.50

      • $310.50

      • $310.50

      • $310.50

      • $310.50

      • $310.50

      • $310.50

      • $310.50

      • $310.50

      • $310.50

      • $310.50

      • $310.50

      • $310.50

      • $310.50

      • $310.50

      • $310.50

      • $310.50

      • $310.50

      • $310.50

    • $658.06

      • $310.50

      • $310.50

      • $310.50

      • $310.50

      • $310.50

      • $310.50

      • $310.50

      • $310.50

      • $310.50

      • $310.50

      • $310.50

      • $310.50

      • $310.50

      • $310.50

    • $991.40

      • $310.50

      • $310.50

      • $310.50

      • $310.50

      • $310.50

      • $310.50

      • $310.50

      • $310.50

      • $310.50

      • $310.50

      • $310.50

      • $310.50

      • $310.50

      • $310.50

      • $310.50

      • $310.50

      • $310.50

      • $310.50

      • $310.50

      • $310.50

    • $649.22

      • $310.50

      • $310.50

      • $310.50

      • $310.50

      • $310.50

      • $310.50

      • $310.50

      • $310.50

      • $310.50

      • $310.50

      • $310.50

      • $310.50

      • $310.50

      • $310.50

    • $1,129.06

      • $310.50

      • $310.50

      • $310.50

      • $560.91

      • $310.50

      • $310.50

      • $310.50

      • $310.50

      • $310.50

      • $310.50

        • $310.50

        • $310.50

Play Video: Global Motor Vehicle Outlook 2023

Global retail sales of motor vehicles are forecast to increase 4.7% annually to 106 million units in 2027, while motor vehicle production is projected to rise 4.5% annually to 106.7 million units. Sales and production gains will be driven by:

  • rising income levels, which will increase the numbers of first-time vehicle buyers in developing countries
  • resolution of many supply chain issues, including shortages of semiconductors, which plagued the automotive industry from 2020 to 2022

Environmental & Emission Concerns Support Sales & Production of Electric Vehicles

Electric vehicles, most notably battery-electric vehicles, are expected to increase their share of light vehicle sales and production in the wake of stricter emissions regulations and government-mandated phase-outs of gas-powered vehicles. The Asia/Pacific region will account for the largest share of growth, with automakers in China expanding their manufacturing capacity and nascent markets such as India rapidly increasing their adoption of these vehicles. Numerous OEMs expect to open new electric light vehicle plants in the coming years, with many of them based in North America and Western Europe.

Fast Growth in Eastern Europe Results from Improvement in Russian Motor Vehicle Market

Eastern Europe will see the most rapid global growth in new motor vehicle sales and production as Russia’s market rebounds off a depressed 2022 base. Although Russia’s invasion of Ukraine led to widespread sanctions and economic contraction in Russia, domestic production will expand to fill the void left by an exodus of Western brands, and sales will benefit from government efforts to provide favorable loans for Russian-made vehicles. Motor vehicle sales in Russia will also be supported by increasing availability of Chinese-made offerings.

Sales of Medium & Heavy Vehicles Driven by China, E-Commerce, & Rising Tourism

Gains in medium and heavy vehicle sales and production will significantly outpace the light vehicle segment in part due to China, the largest market for these vehicles. After lockdowns related to the country’s “Zero-COVID” policy idled some motor vehicle factories and disrupted the economy, the cessation of this policy has begun to normalize economic and manufacturing activity. This in turn will prompt many businesses to expand their medium and heavy vehicle fleets. Other factors will also support sales of medium and heavy vehicles:
  • The continued popularity of e-commerce will bolster demand for medium and heavy freight haulage and delivery vehicles. The pandemic accelerated the trend toward online shopping, and e-commerce will continue to expand its share of total retail sales.
  • The ongoing recovery of the tourism industry from pandemic-related lows in 2020 and 2021 will boost sales of motor coaches and other types of buses.

New Motor Vehicle Retail Sales

Historical Trends

Motor vehicle retail sales represent the number of units of new motor vehicles sold in a country each calendar year, including both domestically produced and imported vehicles.

Retail motor vehicle sales are affected by a number of factors, including:
  • price
  • availability of vehicles
  • availability of financing and attractive interest rates
  • overall health of the economy
  • changes in population size
  • market maturity
In general, motor vehicle sales are dependent upon consumer spending trends, which are themselves tied to the state of the overall economy. Economic prosperity tends to encourage spending on costly durable goods such as motor vehicles, while economic downturns with high levels of unemployment tend to make such purchases unfeasible.

Changes in population size can impact motor vehicle sales, with growth in a population tending to provide more potential vehicle buyers. However, this factor can be tempered by the level of market maturity in a given area, with some highly mature motor vehicle markets like North America providing fewer opportunities for growth than areas where motor vehicles are not as widely adopted or available.
Figure showing Global New Motor Vehicle Retail Sales, 2000 – 2022 (thousand units)

New Vehicle Sales by Region

The Asia/Pacific region is by far the largest region for motor vehicle sales in the world. Absolute gains will be aided by growth in income levels, particularly in India (one of the largest motor vehicle markets in the region), giving more consumers the financial resources to purchase vehicles. Although sales of light vehicles in China will grow at a relatively slow rate due to declining population, they remain significant in absolute terms.

North America is expected to see below-average growth in sales due to market maturity in the US and Canada and the increasing age of automobiles in use in North America due to improved durability of vehicles, which hinders sales of new products.

Despite being a mature motor vehicle market, Western Europe will post above average sales growth, as supply shortages lessen and automakers are better able to meet pent-up demand that was limited by pandemic-related supply chain issues, temporary plant closures, and other factors.

Above-average growth in the Africa/Mideast region will be helped by increasing urbanization and industrialization, which will make motor vehicles more practical and necessary for travel. Additionally, in Turkey – the largest sales market for motor vehicles in the region – income levels will rise faster than the regional average, enabling more consumers to purchase vehicles.

Above-average sales growth in Central and South America will be aided by an acceleration in growth in income levels in Brazil, the largest motor vehicle sales market in the region.

Motor Vehicle Production

Historical Trends

At the global level, motor vehicle production is primarily affected by motor vehicle demand, which is dependent upon factors such as disposable income levels and population growth. Other important factors impacting motor vehicle production include:
  • labor costs
  • economic incentives (such as tax breaks) from host countries
  • geographic proximity to important markets
  • the ability to develop export markets
  • availability of raw materials and components
  • plant openings, closings, and expansions
In recent decades, many North American and West European motor vehicle manufacturers have sought to remain competitive by shifting a significant amount of production capacity to regions such as the Asia/Pacific and Eastern Europe where labor costs are lower and governments offer attractive incentives for setting up local production operations.

In regions such as North America, vehicles imported from overseas are not uncommon as trade agreements between nations and regions have developed over the years to facilitate the trading of numerous goods. However, vehicle suppliers can typically reduce their shipping costs by placing production operations close to the source of demand. As a result, many West European automakers have production capacity in Eastern European nations with lower production costs, which are relatively close to Western Europe markets. In addition, Northern African countries such as Morocco have become vehicle manufacturing hubs due to their proximity to Italy, Spain, and France.

Motor vehicle production is also dependent upon the availability of important raw materials and components. Because vehicles are highly complex products made of interdependent systems, a shortage of one or more components such as semiconductors and wiring harnesses makes the final assembly of vehicles impossible.
Purchase Options

Access Options

Membership

Complementary Access to Report Including:

  • consultative access to our analyst
  • unlimited downloads to reports
  • global market research in 9 languages
  • customized PPT presentations
  • passwords for your teams available
  • and more...
Become a Member
Purchase This Report

Select your license:

  • $2,400.00
  • $3,900.00
  • $5,400.00
  • — —
    Section prices in Table of Contents

Free Sample Report

A free sample report is available.

Questions & Assistance

Email us

Share This Report

Copied to clipboard. Could not copy to clipboard.

Download a Free Sample Report Now

Sample Reports include examples of all the tables, charts, infographics and topics included in this study.
By submitting this sample request you consent to receiving marketing communications from us. See our privacy policy to learn how to unsubscribe.

Use Licenses

The Single User License (SUL) authorizes a single individual to use the electronic study acquired. Agreement to the SUL is required in order to purchase the study. If you require more than one user a Departmental Site License or Global Site License should be purchased. 

The Departmental Site License (DSL) authorizes up to five users to share the study acquired. Agreement to the DSL is required in order to purchase the study. If your organization requires more than five users, the Global Site License should be purchased.

The Global Site License (GSL) allows everyone in your organization to share the study intelligence. Agreement to the Global Site License terms is necessary in order to purchase it. 

FAQs

Global sales of motor vehicles are projected to advance 4.7% annually through 2027 to 106 million units, rebounding from the declines registered during the 2017-2022 period.
In 2023, both motor vehicle segments are expected to experience robust growth, with the medium and heavy vehicle segment seeing the faster growth.
The Asia/Pacific region is by far the largest region for motor vehicle sales in the world.
Although the Asia/Pacific region will continue to comprise nearly half of new motor vehicle sales, Eastern Europe – the smallest region in terms of sales – will post the fastest growth, advancing at a double-digit pace.
;

Related Reports and Studies

  • Global Motorcycles

    Industry Reports

    This Freedonia study analyzes the 108 million unit global motorcycle market. The study presents supply and demand figures for 2012, 2017, and 2022, and forecasts for 2027 and 2032. Freedonia’s Global Motorcycles also presents product demand by type data (ICE mopeds, scooters, and motorbikes; light ICE motorcycles; medium and heavy ICE motorcycles; e-bikes; and electric motorcycles, scooters, and mopeds) for 25 countries.

    September 2023 589 pages
    Free sample available
  • US Hand Tools

    Industry Reports

    This Freedonia industry study analyzes the $6.7 billion US hand tool industry. It presents historical demand data (2012, 2017 and 2022) and forecasts (2027 and 2032). Annual data from 2019-2026 is also presented.

    June 2023 232 pages
    Free sample available
  • Global E-Bikes

    Industry Reports

    This Freedonia study analyzes the 28 million unit global e-bike market. The study presents demand figures for 2012, 2017, and 2022, and forecasts for 2027 and 2032. We also offer annual data for the 2019-2026 period and historical e-bike demand charts for the 2000-2022 period for all countries.

    January 2024 275 pages
    Free sample available
  • Global Power Tools

    Industry Reports

    This Freedonia industry study analyzes the $43.8 billion global power tools industry. It presents historical sales data (2014, 2019, and 2024) and forecasts (2029 and 2034) by product, market, and region.

    NEW! March 2025 481 pages
    Free sample available
  • Global Engine Oils

    Industry Reports

    Global demand for engine oils is expected to advance an average of less than 1.0% per year through 2024 to 21.5 million metric tons.

    March 2021 139 pages
    Free sample available
  • Global Automotive Coatings

    Industry Reports

    Through 2024, demand for automotive coatings is forecast to rise 2.5% per year to 3.9 million metric tons. The Asia/Pacific region is by far the largest outlet for automotive coatings.

    May 2021 146 pages
    Free sample available
  • Global Silicones

    Industry Reports

    This Freedonia industry analyzes the $30 billion global market for silicones. It presents historical demand data (2013, 2018 and 2023) and forecasts (2028 and 2033). Annual historical data and forecasts are also provided for 2020-2027.

    May 2024 455 pages
    Free sample available
  • Global Construction Machinery

    Industry Reports

    This Freedonia study analyzes the $237 billion global construction machinery market. It provides supply and demand figures for 2012, 2017, and 2022, and forecasts for 2027 and 2032.

    June 2023 474 pages
    Free sample available
  • Global Hybrid & Electric Vehicles

    Industry Reports

    The global market for hybrid and electric vehicles (HEVs) is forecast to increase 22% per year through 2026, almost tripling to 30.5 million units. Sales rose dramatically in 2021 in spite of an overall weak environment.

    May 2022 290 pages
    Free sample available
  • Global Material Handling Equipment

    Industry Reports

    Global material handling equipment demand is forecast to grow 5.1% annually through 2026 to $194.5 billion.

    August 2022 377 pages
    Free sample available
View More

Have unique research needs?

Freedonia Strategic Insights listens intently to your needs and objectives. Then we work diligently to define a service offering to meet them.
Learn About Our Custom Research Services

Stay informed with Freedonia

Receive periodic updates about new market research in areas relevant to your business. Have the convenience of Freedonia research at your fingertips when you need it.
The Freedonia Group needs the contact information you provide to us to contact you about our products and services. You may unsubscribe from these communications at any time. For information on how to unsubscribe, as well as our privacy practices and commitment to protecting your privacy, please review our Privacy Policy.
  • Contact
  • About
  • Help Center
  • Career Opportunities
  • Press Contact
  • User Agreement
  • Privacy Policy
  • Site Map

Additional Resources

  • Market Size Resources
  • Lawn & Garden Market Research
  • Roofing Market Research
  • Pet Products Market Research
  • Countertops Market Research
  • Power Tools Market Research
  • Publishing for the PreK-12 Market Research
  • Insulation Market Resaerch
  • Cabinets Market Research
  • Flooring Market Research
  • Pet Supplements Market Research
  • Agricultural Equipment Market Research
  • Open Access Publishing Market Research
  • Silicones Market Research
  • For Legal Inquiries, contact Cohen & Cohen
Copyright © 2025 The Freedonia Group, Inc. All rights reserved.