Study Forecasts that Hybrids will Account for 20% of U.S. Car Sales by 2020

By the end of the next decade, hybrid car sales in the U.S. will account for 19.4 percent of the total market, according to a new study from JPMorgan. The investment bank's auto analysts also predict that global hybrid car sales will increase more than 23-fold in the same period, from 480,000 units or 0.7 percent of the market in 2008, to a staggering 11.28 million cars or 13.3 percent of total global sales in the next 12 years.

JP Morgan study asserts that the boost in hybrid car sales around the globe will be spurred by the stricter government regulation of carbon dioxide emissions in the United States and the Europe Union as well as the falling production costs of hybrid drivetrains. According to the investment bank's analysts, whereas a complete hybrid system that includes the batteries, electric motor(s) and computer hardware adds on average $5,667 to a standard car's price today, by 2020 the cost is estimated to drop to just $1,890.

Via: ANE (Sub. Req.)

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