Government Policies to Flank Automotive Emission Test Equipment Market Growth

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Government Policies to Flank Automotive Emission
Test Equipment Market Growth
As the global community becomes increasingly
concerned about the environmental impacts of
automotive emissions, governments worldwide have
implemented various policies to curb pollutants
from vehicles. These policies encourage the
development and use of cleaner, more
energy-efficient vehicles and aim to improve air
quality and reduce the harmful effects of
greenhouse gases. Also, these policies
have significantly impacted the global
demand for futuristic emission test
equipment. According to Inkwood Research, the
global automotive emission test equipment market
is expected to surge with a 5.23 CAGR
during the forecast period 2023- 2032.

• Governments worldwide have recognized the need
  for policies to address automotive emissions. Key
  areas of focus include
• Emission Standards Governments have
  established stringent emission standards,
  pushing automakers to develop cleaner
  technologies and reduce vehicle emissions.
• Incentives for Electric Vehicles (EVs) Many
  governments are offering financial incentives,
  such as tax credits and subsidies, to
  encourage the adoption of electric vehicles and
  reduce dependence on fossil fuels.
• Infrastructure Development Governments are
  investing in infrastructure to support the
  growth of electric vehicles, such as
  charging stations and public transportation
  networks.

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• Important Government Policies Curbing Pollutants
  from Automotive Emissions
• European Union Emission Standards
• The European Union (EU) has established
  a comprehensive set of emission
  standards for vehicles to ensure the
  reduction of harmful pollutants such as
  hydrocarbons (HC), nitrogen oxides (NOx),
  particulate matter (PM), and carbon monoxide
  (CO). These standards, progressively
  tightened over time, apply to passenger
  and commercial vehicles. The latest
  standard, Euro 6, has significantly reduced
  the permissible emission levels compared to
  previous iterations.
• Key features of the EU Emission Standards
• This standard applies to new vehicles sold
  within the EU and European Economic Area (EEA)
• Regular updates to set more stringent emission
  limits
• Differentiates between diesel and gasoline
  vehicles for certain pollutants due to their
  different combustion properties
• Corporate Average Fuel Economy (CAFE) Standards
  in the United States
• In the United States, the Environmental
  Protection Agency (EPA) and the National
  Highway Traffic Safety Administration
  (NHTSA) jointly regulate fuel economy
  standards for new passenger cars and light
  trucks under the Corporate Average Fuel
  Economy (CAFE) program. This program aims
  to reduce fuel consumption and greenhouse
  gas emissions from vehicles. The
  CAFE standards have successfully encouraged
  the development of more fuel-efficient vehicles.
• Key aspects of the CAFE Standards
• Sets mandatory minimum fuel efficiency targets
  for vehicle manufacturers
• Gradually increasing fuel economy requirements
  over time
• Manufacturers receive credits for exceeding
  standards and can trade or bank them for
  future use
• Indias Bharat Stage Emission Standards
• India has implemented its emission
  standards, Bharat Stage (BS), to address the
  increasing air pollution caused by
  automotive emissions. Like the EU Emission
  Standards, the Bharat Stage standards have
  evolved, with the latest BS-VI norms coming
  into effect in April 2020. These stringent
  standards have led to the rapid adoption of
  cleaner technologies in the automotive sector,
  significantly reducing the emission of harmful
  pollutants.
• Key highlights of the Bharat Stage Emission
  Standards

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• Chinas New Energy Vehicle (NEV) mandate,
  introduced by the Ministry of Industry
  and Information Technology (MIIT) in 2017,
  encourages the adoption of NEVs by setting
  credit targets for manufacturers.
  Inspired by Californias Zero Emission Vehicle
  (ZEV) mandate, the policy focused on passenger
  cars and aimed for a 10 NEV credit target in
  2019 and 12 in 2020. Credit allocation is
  based on factors like electric range, energy
  efficiency, and fuel cell system power.
• Key aspects of Chinas NEV Policy
• China promotes NEV adoption by offering financial
  incentives, contributing to the countrys
  position as the largest electric vehicle market
  globally.
• Automakers in China must produce a specific
  percentage of NEVs, earning credits based on
  production and sales. Excess credits can be sold
  to other manufacturers.
• China is dedicated to increasing the number
  of public charging stations, enhancing
  convenience for electric vehicle users.
• Impact of Government Policies on the Global
  Automotive Emission Test Equipment Market
• It is evident that as governments continue to
  introduce and enforce stringent policies, the
  global automotive emission test equipment
  market will experience significant growth. To
  remain competitive and compliant with
  these evolving regulations, automotive
  manufacturers and testing equipment providers
  should continue to invest in research and
  development, paving the way for a cleaner
  and more sustainable future for the automobile
  industry.
• Furthermore, the demand for advanced emission
  test equipment has surged, driving innovation
  and growth in the global automotive emission
  test equipment market. Initiatives such as the
  Euro 6 and the Bharat Stage Emission Standards
  have led to the development of cleaner and
  more efficient engines, directly influencing
  the emission test equipment industry.
  Furthermore, incentive programs promoting
  electric and hybrid vehicles, such as the
  Faster Adoption and Manufacturing of Hybrid
  and Electric Vehicles (FAME) in India,
  have bolstered the need for specialized
  testing equipment.
• FAQs
• 1. What are some of the major findings in the
  global automotive emission test equipment market?
• A Government regulation is a key growth enabler,
  vehicular emissions are a major contributor to
  greenhouse gases, and passenger car testing
  constitutes a large market share are some of the
  major findings in the global automotive emission
  test equipment market.

2. What are the key growth restraints of the
global automotive emission test equipment
market? A Non-compliance to vehicle emission
standards and low emissions from electric
vehicles are the key growth restraints of the
global automotive emission test equipment mark