The global Racing Vehicles market size was estimated at USD 5.8 billion in 2022 and is projected to reach USD 10.4 billion in 2030 at a CAGR of 8.7% during the forecast period 2023-2030.
The popularity of motorsport has been on the rise globally, which has led to an increase in the number of racing vehicle enthusiasts. Racing vehicles are high-performance engineered vehicles that are specifically designed for use in racing events. Racing sport is practiced in various forms across the world, including on roads, tracks, and closed circuits. Racing vehicles differ from those driven on the road in many ways, including their adaptability to different racing conditions. The engines of racing vehicles are designed to operate every part just under its limit, which means that even small errors can have disastrous consequences.
The racing vehicles market is being driven primarily by the rise in popularity of racing events across the globe. This means that as more people become interested in watching and participating in racing events, the demand for racing vehicles increases. Another factor driving the market growth is the increasing number of racing vehicle enthusiasts. These are people who are passionate about racing vehicles and are willing to invest in them, either for personal use or for racing competitions. Technological advancements in racing vehicles are also fueling the market growth. As new technologies are developed, racing vehicles become faster, more efficient, and more powerful, which makes them more appealing to both enthusiasts and professional racers the high cost of racing vehicles is hampering the market growth. Racing vehicles are often expensive to produce and maintain, which means that they are not accessible to everyone. This limits the potential market size and can make it difficult for new players to enter the market.
Due to Covid-19 the outbreak has heavily impacted OEMs (Original Equipment Manufacturers) and parts suppliers, leading to a stoppage in production capacity. This means that the companies that manufacture racing vehicles and their parts are unable to produce them due to the pandemic. The economic uncertainties caused by the pandemic are expected to rise, which is likely to further impact the racing vehicles market. This is because people may not have the financial resources to invest in racing vehicles or attend racing events. As a result of the pandemic, companies have started to cut salaries and lay off employees. This is because the pandemic has led to a decrease in revenue generation, and companies are trying to reduce their expenses to stay afloat.
The market for racing vehicles is growing rapidly due to the increasing obsession for these vehicles among people. The development of racing vehicles is a heavily invested area, which is contributing to the growth of the market. One of the latest developments in racing vehicles is the electric racing vehicles, which is gaining popularity due to its eco-friendly nature. In 2013, an electric-powered car developed by ETH Zurich University won against all cars with internal combustion (IC) engines, which is a significant achievement for electric racing vehicles. The Formula E event was started in 2014, which is a racing event exclusively for electric racing vehicles, further promoting the growth of this segment. Manufacturers like Nissan are heavily investing in electric car racing, which indicates the potential of this segment in the future.
North America to Dominate the Market
