Most automobiles in use today are propelled by gasoline (also known as petrol) or diesel internal combustion engines, which are known to cause air pollution and are also blamed for contributing to climate change and global warming.[18] Increasing costs of oil-based fuels, tightening environmental laws and restrictions on greenhouse gas emissions are propelling work on alternative power systems for automobiles. Efforts to improve or replace existing technologies include the development of hybrid vehicles, and electric and hydrogen vehicles which do not release pollution into the air.
The automotive market is formed by the demand and the industry. This article is about the general, major trends in the automotive market, mainly from the demand side.
The European automotive market has always boasted more smaller cars than the United States. With the high fuel prices and the world petroleum crisis, the United States may see its automotive market become more like the European market with fewer large vehicles on the road and more small cars.[49]
For luxurious cars, with the current volatility in oil prices, going for smaller cars is not only smart, but also trendy. And because fashion is of high importance with the upper classes, the little green cars with luxury trimmings become quite plausible
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