Small Cars - Lithuania

Lithuania

Highlights

Revenue in the Small Cars market is projected to reach US$28m in 2024.
Revenue is expected to show an annual growth rate (CAGR 2024-2029) of 3.03%, resulting in a projected market volume of US$32m by 2029.
Small Cars market unit sales are expected to reach 2.0k vehicles in 2029.
The volume weighted average price of Small Cars market in 2024 is expected to amount to US$16k.
From an international perspective it is shown that the most revenue will be generated China (US$13bn in 2024).

Key regions:

Market definitionIn-Scope/Out-of-scopeMarket structureReportsMethodology

The Small Cars market in Lithuania has been experiencing significant growth in recent years, driven by changing customer preferences, market trends, and local special circumstances.

Customer preferences: In Lithuania, there is a growing preference for small cars due to their compact size, fuel efficiency, and affordability. With the increasing urbanization and traffic congestion in major cities, small cars are becoming a popular choice for commuting and navigating through narrow streets. Additionally, the younger generation is more inclined towards smaller vehicles that are easier to park and maintain.

Trends in the market: One of the key trends in the Small Cars market in Lithuania is the shift towards electric and hybrid vehicles. As the government and consumers become more environmentally conscious, there is a growing demand for eco-friendly transportation options. This trend is further supported by the availability of government incentives and subsidies for electric vehicles. Furthermore, there is a rising trend of car-sharing services in Lithuania, which is driving the demand for small cars. These services provide an affordable and convenient alternative to car ownership, especially in urban areas. The increasing popularity of car-sharing is influencing the choice of vehicles, with small cars being preferred for their ease of maneuverability and cost-effectiveness.

Local special circumstances: Lithuania has a well-developed infrastructure for electric vehicles, with a growing number of charging stations across the country. This infrastructure development, coupled with the government's focus on promoting electric mobility, has created a favorable environment for the adoption of electric small cars. Additionally, the Lithuanian government has implemented various policies and regulations to encourage the purchase of small cars. These include lower taxes and registration fees for vehicles with smaller engine capacities, making them more affordable for consumers.

Underlying macroeconomic factors: The overall economic stability and rising disposable incomes in Lithuania have contributed to the growth of the Small Cars market. As people have more purchasing power, they are able to afford personal transportation, and small cars are often the preferred choice due to their lower price points. Furthermore, the increasing number of international automobile manufacturers entering the Lithuanian market has led to a wider availability of small car models. This increased competition has resulted in more affordable prices and a greater variety of options for consumers. In conclusion, the Small Cars market in Lithuania is witnessing growth due to changing customer preferences, the adoption of electric and hybrid vehicles, the rise of car-sharing services, local special circumstances such as infrastructure development and government incentives, and underlying macroeconomic factors such as economic stability and rising disposable incomes.

Data coverage:

The data encompasses B2C enterprises. Figures are based on the sales of new passenger cars. Data on the specifications of the sold vehicles is based on the base models of the respective makes.

Modeling approach:

Market sizes are determined through a bottom-up approach, building on specific predefined factors for each market segment. As a basis for evaluating markets, we use company reports and websites, vehicle registries, car dealers, and environment agencies among other sources. In addition, we use relevant key market indicators and data from country-specific associations, such as GDP and car stock per capita. This data helps us estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the relevant market. For example, we use the ARIMA model for the Passenger Cars market. The main drivers are GDP per capita and consumer spending per capita.

Additional notes:

The data is modeled using current exchange rates. The impact of the COVID-19 pandemic and the Russia-Ukraine war are considered at a country-specific level. The market is updated twice a year. In some cases, the data is updated on an ad hoc basis (e.g., when new, relevant data has been released or significant changes within the market have an impact on the projected development).