Impact of the COVID-19 Outbreak on the Global Fuel Management System Market
The fuel management system is designed to manage the use of fuel as well as to efficiently measure the fuel consumption in the transportation and construction industries. It is majorly used to monitor, control, and maintain the fuel consumption and stock in any industry that utilizes transport such as rail, water, air, and road as a means of commerce trade. The primary factors increasing the demand for fuel management systems are the increase in the fuel prices, the growing automobile sector, and the decrease in the waste of oil and gas, as well as the surge in inventory storage. However, COVID-19 has had a negative impact on the automotive industry. The lockdown has resulted in revenue losses for the manufacturing companies. Companies are focusing on reducing operational costs, minimizing risks, and maximizing gains to survive in the competitive market. The shutdown of the manufacturing plants has resulted in a slowdown in the production of new vehicles, which has declined the demand for fuel, which, in turn, has declined the adoption of the fuel management system. Besides, the halt caused in the transport infrastructure across the globe due to lockdowns in the country is also impacting the fuel management system.
Source: Primary Experts, Secondary Sources, and MRFR Analysis
Average Automotive Diesel Price Per Liter in June 2020 (Price Per Liter in USD)
Source: Secondary Sources
According to the MRFR analysis, North America holds the largest market share. The region is expected to dominate the fuel management system market, post the pandemic, due to the growing transport infrastructure and rising fuel consumption from the US and Canada, where major transporting of equipment and goods are dependent on the transport system, which is expected to drive the growth of the fuel management systems market. The production of new vehicles is expected to increase the demand for fuel management systems post the pandemic.