Large SUVs Market Size, Share, and Trends 2024 to 2033

Large SUVs Market Size and Growth 

The global large SUVs market size was USD 324.11 billion in 2023, calculated at USD 326.38 billion in 2024 and is projected to surpass around USD 347.53 billion by 2033, expanding at a CAGR of 0.70% from 2024 to 2033. The market is majorly driven by the increasing demand from the Middle East and Europe, attributed to the rising popularity of sports utility vehicles.

Large SUVs Market Key Takeaways

• The North America large SUVs market size reached USD 168.54 billion in 2023 and is predicted to cross around USD 182.45 billion by 2033, at a CAGR of 0.79% from 2024 to 2033.
• North America held the largest revenue share of 52% in 2023.
• By fuel type, the petrol segment has contributed more than 53% of revenue share in 2023.
• By fuel type, the electric segment is expected to grow at a faster rate in the market over the forecast period.

U.S. Large SUVs Market Size and Growth 2024 to 2033

The U.S. large SUVs market size was valued at USD 126.40 billion in 2023 and is expected to be worth around USD 137.75 billion by 2033 with a CAGR of 0.86% from 2024 to 2033.

North America held the largest share of the large SUVs market in 2023. The high market share of large SUVs can be attributed to their immense popularity, the strong presence of major manufacturers in the region, significant spending on passenger vehicles, and higher purchasing power. According to the International Energy Agency, the robust demand and sales rates in the U.S. substantially contribute to North America's share in the global large SUVs market. Moreover, the growing popularity and shifting consumer preference towards large SUVs have led to the discontinuation of models such as sedans.

• In March 2024, Volkswagen confirmed a larger electric SUV coming to the U.S. Despite several automakers pulling back, Volkswagen says it’s sticking to its EV plans. Meanwhile, automakers may add hybrids as they look to boost sales in the U.S.

Asia Pacific is expected to grow at the fastest rate in the large SUVs market during the forecast period. This growth is primarily driven by rising consumer preference towards more convenient and robust vehicles. As rapid urbanization in the region is supported by the growing net spending by consumers and disposable income, consumers are attracted to the growing arrays of modes released by market players.

• In January 2024, Morris Garages (MG) launched the MG Astor 2024. This new car is the first car to launch with Personal AI Assistant in India. The new Astor 2024 comes with a host of other features, including a wireless charger, wireless Android Auto, and Apple CarPlay. 

Europe is expected to expand at a notable rate in the large SUVs market over the projected period. The demand for large SUVs continues to rise, driven by stringent government regulations aimed at reducing carbon emissions. Europe, mirroring trends in the United States and China, has seen a surge in SUV popularity. Recent estimates indicate that SUVs have become the top-selling vehicle segment in Europe. Therefore, these factors are expected to boost the demand for large SUVs in the European large SUVs market in the future.

Market Overview

The large SUVs market includes a variety of automobiles designed to provide versatility, comfort, and capability in various driving conditions and terrains. They typically have higher ground clearance and sturdy chassis and often come with all-wheel or four-wheel drive options, making them suitable for both city driving and off-road adventures. These vehicles cater to diverse consumer needs, serving as spacious family transportation or providing rugged performance for outdoor enthusiasts. Large SUVs offer flexibility for urban commutes and off-road journeys, with multiple seating configurations to accommodate different passenger and cargo requirements. Leading manufacturers in this market segment include Toyota, BMW, Ford, and Chevrolet.

Large SUVs Market Growth Factors

• Rising consumer preference towards these types of vehicles is expected to drive market growth.
• Increasing urbanization has created the demand for SUVs, which can further fuel market growth.
• Enhancements in fuel efficiency are likely to help the large SUVs market expand in the near future.
• Growing net spending by consumers, followed by rising disposable income, can impact the large SUVs market positively.

Large SUVs Market Scope

Large SUVs Market Dynamics

Driver

Rising consumer demand

Automobile manufacturers have successfully marketed SUVs by emphasizing the lifestyle and status associated with owning one. The large SUVs market is diversified to cater to various segments, including luxury, mid-range, and compact options. Changes in regulations and emissions standards may encourage the development and adoption of electric or hybrid SUVs, supporting the overall growth of the large SUVs market. Additionally, demand for SUVs is rising in emerging nations, driven by the desire for larger vehicles with more advanced features.

• In December 2023, Jaecoo, a brand from the Chinese automotive group Chery, officially confirmed it will launch in the UK. Its first new car will be the J7, a large SUV that will arrive on our shores in the summer of 2024. The new off-road-focused car brand will naturally only sell SUVs in the markets it enters. Along with the UK, the Jaecoo brand has already confirmed it has entered the South African, Russian, and Filipino large SUVs market and will likely launch in others outside of China. 

Restraint

Fluctuating fuel prices

Achieving this balance requires significant investment in research and development to produce lightweight materials, aerodynamic designs, and efficient powertrains. One of the main challenges for manufacturers in the large SUVs market is finding the right balance between fuel efficiency and performance. This is especially important because consumers are placing more emphasis on environmental concerns and fuel economy. In addition, fluctuating fuel prices and government regulations on emissions and fuel efficiency standards make it difficult to meet consumer expectations while also complying with regulations.

Opportunity

Rapid development of electric and hybrid SUVs 

The rapid growth of electric and hybrid SUVs is a key trend in the large SUVs market, reflecting a shift towards more sustainable transportation. These vehicles offer emission-free driving by reducing greenhouse gas emissions, while hybrid models combine internal combustion engines with electric power, enhancing fuel efficiency and minimizing the environmental impact. This trend is fueled by growing consumer awareness of environmental issues, along with government incentives and advancements in electric vehicle infrastructure.

• In December 2023, the French carmaker company Renault said its  Brazilian unit will going to invest 350 million euros ($379.12 million) to produce a new hybrid engine C-SUV car for distribution in Latin America. The model will be produced at the Curitiba Veiculos de Passeio factory, at the Ayrton Senna Industrial Complex in Sao Jose dos Pinhais in the state of Parana in Brazil, which is Renault's second-largest market after France.

Fuel Type Insights

The global large SUVs market in 2023 was dominated by the petrol segment. In recent years, many manufacturers have stopped producing diesel vehicles due to their higher pollution levels. This shift has led to an increased preference for petrol vehicles among consumers. Petrol SUVs are popular due to their better fuel efficiency, easier maintenance, and widespread availability. On the other hand, electric vehicles are not as widely available and tend to be more expensive.

The electric segment is expected to grow at a faster rate in the large SUVs market over the forecast period. Electric vehicles (EVs) are powered by electricity rather than a gasoline-fueled internal combustion engine. As such, they are seen as potential replacements for current-generation vehicles to address issues like rising pollution, global warming, and dwindling natural resources. The primary driver of the electric segment in the large SUVs market revenue is the increasing fuel prices. Additionally, key trends in the global electric large SUVs market include the growing demand for high-performance vehicles that are fuel-efficient and low-emission and the rising preference for SUVs and MUVs, which can propel segment growth further.

• In May 2024, Genesis announced that its new electric SUV is set for production late next year, and it’s poised to take on the Cadillac Escalade and Range Rover. Genesis expects its first full-size electric SUV to have a big impact on the brand as it looks to outpace luxury rivals.

Large SUVs Market Companies

•  Stellantis NV
•  Toyota Motor
•  Renault
•  Volkswagen
•  Hyundai Motor Company
•  Volvo Car Corporation
•  Suzuki Motor Corporation
• General Motors
• Ford Motor Company
•  BMW Group
•  Peugeot S.A.
•  Geely

Recent Developments

• In July 2023, Volkswagen announced that it planned to launch autonomous, or self-driving, vehicles for ride-hailing and goods delivery services by 2026. Volkswagen plans to test 10 ID Buzz electric vehicles retrofitted with Mobileye's autonomous driving platform with safety drivers on board in limited areas of Austin, including downtown.
• In October 2022, Mercedes-Benz, Stellantis, Siemens, and TotalEnergies agreed to a joint venture to build three gigafactories in Europe to support electric vehicle manufacturing.
• In June 2022, Ferrari planned to expand vehicle manufacturing plants across Italy.  The company increased its premium vehicle portfolio across the country because of this expansion.

Segments Covered in the Report

By Fuel Type 

• Petrol
• Diesel
• Electric
•  Others

By Geography

• North America
• Asia Pacific
• Europe
• Latin America
• Middle East & Africa