Gaseous and liquid gases

Sales of gas-powered cars are plummeting, but the technology remains important for Italia

Uncertainty in the automotive sector is taking its toll. The Ministry of Economic Development has confirmed the incentives for an option that is particularly relevant for those who are unable to switch to electric or hybrid vehicles

 (Imagoeconomia)

4' min read

Translated by AI
Versione italiana

4' min read

Translated by AI
Versione italiana

Whilst there has often been bad news of one sort or another in the automotive sector’s challenging landscape of late, good news does occasionally emerge. In the early months of 2026, the number of new LPG car registrations was down by 30 per cent compared with 2025, and conversions (from petrol to LPG) have seen a drastic drop of 82 per cent since 2012. However, LPG remains one of the main fuel types in Italia – buoyed by the very significant figures from previous years – and ranks first among alternative fuels, whilst some major car manufacturers continue to roll out new petrol-LPG dual-fuel models; indeed, a model has even been launched in the last few months that is triple-fuel (petrol, electric, LPG). Italia is a European leader in this technology.

 Good news, however, comes from the Assogasliquidi-Federchimica assembly, which met at the headquarters of the Ministry of Enterprise and Made in Italy, representing the Italian LPG and LNG industrial sectors. Meanwhile, in a bid to reverse the trend, the Ministry of Enterprise and Made in Italy has renewed the incentives for retrofitting – that is, converting cars to run on LPG and natural gas. After all, there is a section of consumers who do not have sufficient purchasing power to afford an electric or hybrid car.

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Liquefied gas: gas-powered cars produce lower emissions

“The trend in new LPG registrations must be viewed within the context of the wider crisis in the automotive sector,” explain representatives from Assogasliquidi. But it is clear that the LPG car segment is also suffering from the uncertainty linked to the EU bans on the registration of cars with internal combustion engines – from 2035 – which, in effect, is paralysing the market. After all, we know that, over time, motorists have shown they appreciate LPG cars, as they offer a more environmentally friendly option given their lower emissions of particulate matter and CO₂ compared to conventional fuel.”

Not to mention that the price of LPG currently fluctuates only slightly between 70 and 80 cents per litre, which is an advantage over all other fuel types.

 Returning to the figures, by the end of 2025 the number of LPG-powered cars on the road had reached 3.25 million. This sector can count on 4,600 sales outlets spread evenly across the country.

Supporting gas-powered cars benefits Italian technology

“Supporting conversions to LPG and CNG – adds Assogasliquidi – helps not only to maintain momentum in the transition towards a less environmentally damaging transport model, but also to support ‘Made in Italy’, as the underlying technology is largely Italian, produced by the Italian supply chain and often exported abroad.”

LPG consumption split equally between transport and heating

However, the LPG market is not limited to the transport sector; total demand for LPG in 2025 stood at 3.2 million tonnes (+0.6 per cent). Consumption was divided almost equally between the two main segments: the transport sector, which stood at 1.5 million tonnes, down 1.3 per cent, and the heating sector (which accounted for 1.6 million tonnes, +2.6 per cent), which represents one of the very few alternatives for all users not connected to the natural gas network and for those with intermittent usage throughout the year.

The future potential of biofuels

There are also great opportunities for the future linked to the development of biofuels. “No infrastructure changes are needed,” Assogasliquidi explains, “as the same vehicles, equipment and infrastructure that use LPG can accommodate bio-LPG without the need for modifications. The same applies to the switch from LNG to bio-LNG in lorries and ships. What is needed, however, are tax reliefs and tax credits for LNG and bioLNG because, at present, the running costs of a heavy goods vehicle powered by traditional fuels are still lower. We need to redress this imbalance.”

MIT has allocated a fund of 590 million for the renewal of the heavy goods vehicle fleet, but the implementing regulations have yet to be adopted.

Excellent prospects also in the maritime transport sector

Whilst the main market for LNG today is heavy goods transport, followed by industrial users, the outlook for maritime transport looks very promising. According to a Bip study commissioned by the association, a sharp increase in orders for LNG-powered ships is on the horizon, and the first bunkering operations (i.e. the refuelling of these ships) took place in the Mediterranean last year. The feeling is that LNG for maritime use could experience a real boom in the coming years.

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Cimenti: signs of a new EU approach to the transition

“In recent months,” said Matteo Cimenti, President of Assogasliquidi, in his address to the assembly, “there have been signs of a promising new EU approach to managing the transition. If this is confirmed in practice, liquefied gases will play an even greater role in the daily lives of consumers and businesses, thanks in part to the efforts made by Italian industry in terms of investment, infrastructure and technology.”

According to Cimenti, this same approach “should be applied to the implementation of the ‘Green Homes’ Directive, which – if not applied in a technologically neutral manner – will only manage to address a very small proportion of Europe’s housing stock, moving us further away from achieving our decarbonisation targets”.

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