The inventive mobility leasing solutions such as electric vehicle (EV) leasing is gaining traction in the light vehicle leasing market. Government bodies, who are constantly striving towards reducing environmental pollution, are promoting the adoption of electric vehicles. For instance, in August 2019, Energy Efficiency Services Ltd (EESL), a joint venture collectively owned by four government-owned entities including Power Finance Corporation Ltd. (PFC), Rural Electrification Corporation Limited (REC), Power Grid Corporation of India Limited and NTPC Limited announced the procurement of 10,000 electric cars to be leased out to government departments. Similar electric vehicle initiatives are being undertaken by regulatory bodies in China and Japan to promote automotive leasing, which is supplementing the growth of Asia Pacific light vehicle leasing market. The simultaneous development in the EV charging infrastructure is anticipated to further boost the market growth. About 92 public chargers have been installed across major States in India, while as on August 2020, 1 million public charging plugs were collectively deployed in China and Europe. Hence, favorable government initiatives towards adoption of e-mobility solutions showcases positive growth prospects for the light vehicle leasing market participants over the forecast period.
The outbreak of the novel coronavirus has adversely impacted the sales of automobiles globally. In order to overcome the challenges in terms of sales volume brought about by the pandemic induced economic downturn, automotive manufacturers are considering the adoption of vehicle leasing model to cater the demand requirement of consumers within their budgetary considerations. Maruti Suzuki India Limited (MSIL), an India-based automotive manufacturer, for instance announced plans to lease out light vehicles to the retail customers through their dealership network in the country. The company through this scheme, plans to provide the urban consumers with an alternative option given that the affordability of consumers at large have been adversely impacted due to the pandemic. The rapid spread of the virus has constrained the public transport sector and also ride hailing services market to an extent. Thus, the prevailing situation showcases growth opportunities for Asia Pacific light vehicle leasing market over the coming years.
In terms of revenue, Asia Pacific light vehicle leasing market was valued at US$ 14,180.8 Mn in 2019 and is anticipated to grow at a CAGR of 3.8% over the forecast period (2020 – 2028). The study analyses the market in terms of revenue across all the major countries.
The detailed research study provides qualitative and quantitative analysis of Asia Pacific light vehicle leasing market. The market has been analyzed from demand as well as supply side. The demand side analysis covers market revenue across all the major countries. The supply side analysis covers the major market players and their regional presence and strategies. The geographical analysis done emphasizes on each of the major countries across Asia Pacific.
Key Findings of the Report:
- Operating lease of light vehicles is anticipated to register highest growth rate over the forecast period in the Asia Pacific light vehicle leasing market. The growing need among consumers to procure mobility benefits without undertaking risks associated with future resale value is expected to boost the segment’s growth.
- Corporate end users in the region are largely opting for fully-maintained leasing services, which is propelling the segment’s growth in the Asia Pacific light vehicle leasing market
- China held the highest market share in Asia Pacific light vehicle leasing market in 2019. The matured used car market in the country along with growing awareness of the leasing business model is supplementing the country’s growth in the market. However, India is anticipated to register highest CAGR over the forecast period.
- Some of the players operating in the Asia Pacific light vehicle leasing market are ALD Automotive Private Limited, ALTERNATIVA, Arval Belgium NV/SA, Avis Rent A Car, Daimler Fleet Management Singapore, Drive.SG Pte. Ltd., Driveline Fleet Ltd., DriveMyCar, ExpatRide International, Flexi Lease, Hitachi Capital Vehicle Solutions, Lease2Go, LeasePlan, Mountsville Pty Ltd., ORIX New Zealand Ltd, Singapore Mobility Corporation Pte Ltd, SmasIndia.com and Tokyo Century Corporation amongst other market participants.
Asia Pacific Light Vehicle Leasing Market:
- By Type
- Operating Lease
- Finance Lease
- By Offering
- Fully-Maintained Leasing Services
- Non-Maintained Leasing Services
- Tyre Servicing and Management
- Insurance Services
- Repair & Maintenance Services
- Registration Services
- By Vehicle Type
- By Vehicle Condition
- New Car
- By Vehicle Propulsion
- By Lease Duration
- Less than 12 Months
- 13 Months to 36 Months
- 37 Months to 48 Months
- More than 48 Months
- By End Users
- Small and Medium Enterprises
- Large Enterprises
- By Country
- New Zealand
- South Korea
- Southeast Asia
- Rest of Southeast Asia
- Rest of Asia Pacific
Company: Absolute Markets Insights
Email id: [email protected]
Contact Name: Shreyas Tanna