Electric Trucks Market Analysis & Opportunity Outlook 2023-2035

Global Electric Trucks Market Size, Forecast, and Trend Highlights Over 2023 - 2035

The global electric trucks market size is estimated to reach ~USD 71.3 Billion by the end of 2035 by growing at a CAGR of ~42.70% over the forecast period, i.e., 2023 – 2035. In addition to this, in the year 2022, the market size of global electric trucks market was ~USD 1 Billion. The growth of the market can be attributed to the growing concern related to the environmental issues. There has been a rise in the emission of carbon dioxide from traditional trucks, as they depend on the fossil fuels such as petrol. Hence, it is expected to rise the growth of the global electric trucks market. As per the estimates, delivery trucks and tractor trailers are responsible for nearly 6 percent of the greenhouse gas emissions in the United States, as of 2020.

In addition to these, factors that are believed to fuel the market growth of electric trucks include the benefits associated with the electric truck such as low maintenance cost, and zero noise pollution. Furthermore, the government is taking initiatives to promote electric vehicles among the people, that would also reduce the cost that the countries are paying for purchasing oil from other countries. This is one of the major reasons that are leading the countries towards fiscal deficits. Hence, it is predicted to drive the growth of the market in the upcoming years.

Global Electric Trucks Market: Growth Drivers and Challenges

Growth Drivers

Growing Adoption of Electric Trucks for the Logistics Sector– According to the data, more than 70 percent of the domestic freight demand is carried by road transport, as of now. Road transportation plays an important role in connecting last-mile deliveries. Moreover, the trucks bridge the gap between the retailers, and manufacturers. As a result, it is expected to rise the growth of the global electric trucks market in the upcoming years.
Rising Development of Self-Driving Electric Truck– An increasing effort in the research and development of electric trucks will change the world of transportation. Moreover, automation is one of the developments in electric trucks, and it is anticipated to increase the market’s growth over the forecast period. Furthermore, the autonomous vehicles are more efficient than traditional transportation, and reduce the risk of serious accidents. As per the World Health Organization data, nearly 1.3 million people die every year owing to road accidents.
Increasing Growth of the E-Commerce Industry – According to the most recent data, global e-commerce sites around the globe account for nearly 12 million to 25 million in the year 2022. There has been a rise in the number of e-commerce sites, worldwide, which is increasing the need for trucks. Moreover, the additional cost that is added to the cost of the goods owing to transportation can also be reduced with the help of electric trucks. Hence, it is predicted to rise the growth of the market by the end of 2035.
Rising Investment in EV Infrastructure- As per the International Energy Agency, under the Infrastructure Investment and Jobs Act, nearly USD 7.5 Billion was allocated in order to build a neatwork of 500,000 electric vehicle chargers nationwide. The increasing investment in the electric vehicle charging station infrastructure is projected to rise the growth of the global electric trucks market.
Surging Popularity of Electric Vehicles– The electric medium- and heavy- duty truck sales have increased to more than 14, 200 across the globe in the year 2021. There has been a growing popularity of electric vehicles in the form of light, medium, and heavy duty trucks among the people, that is further expected to increase the growth of the market over the forecast period.
Strict Emission Regulations Imposed by the Government – The strict emission regulations for the commercial as well as passenger vehicles has been stated by the governments in different countries as per their environment conditions. For instance, the current standards for diesel trucks, and new registrations is Euro 6 in Europe. Moreover, the permitted emissions of NOx had reduced from 180 mg/km to 80 mg/km.

Challenges

Lack of Electric Vehicle Charging Infrastructure- The developing countries, such as India, are still facing problems with the installation of electric vehicle charging infrastructure. Moreover, the charging station should be allocated after a few points of location, such as the petrol pumps, that is still a concern for the electric vehicles. Hence, it is anticipated to restrain the growth of the global electric trucks market in the upcoming years.
Limited Driving Range
High Cost of the Electric Trucks

Global Electric Trucks Market Segmentation

The global electric trucks market is also segmented and analyzed for demand and supply by type into medium, light, and heavy-duty trucks. Among these, the heavy-duty trucks segment is predicted to hold the significant share over the forecast period. This can be attributed to the rising sale of heavy-duty trucks across the globe, as they are more commonly used for long-haul transportation. Moreover, they are adopted by industries for the transportation of raw materials such as cars, cement, and others. As per the reported data by the International Energy Agency, there were 66,000 electric heavy duty truck stocks around the world in the year 2021. Moreover, the heavy-duty trucks are highly durable, and provide better performance, as compared to the other electric truck type, which in turn is anticipated to boost the segment growth in the market.

The global electric trucks market is segmented and analyzed for demand and supply by propulsion type into battery, plug-in hybrid, hybrid, and fuel cell electric truck. Out of these, the battery electric truck segment is expected to hold the largest share with a share of 60 percent by the end of 2035. This can be attributed to the decline in the price of batteries, followed by government initiatives to make them affordable for different classes of people. Moreover, there have been government restrictions related to zero emission vehicles, that is further anticipated to boost the growth of the segment in the market.

Our in-depth analysis of the global electric trucks market includes the following segments:

By Type	Medium Light Heavy-Duty Trucks
By Range	Upto 200 Miles Above 200 Miles
By Propulsion Type	Battery Electric Truck Plug-in Hybrid Electric Truck Hybrid Electric Truck Fuel Cell Electric Truck

Global Electric Trucks Market Regional Synopsis

The market share of electric trucks in Asia Pacific, amongst the market in all the other regions, is projected to be the largest with a share of about ~41% by the end of 2035. The growth of the market can be attributed majorly to the government initiatives for the manufacturers to produce electric trucks at a lower cost. Furthermore, there has been an increase in the sale volume of electric vehicle, such as trucks in countries such as China, that is further anticipated to rise the growth of the market in the region. Moreover, the increasing restrictions related to carbon dioxide emissions, and the surging investments in research and development in order to improve the efficiencies of the electric trucks, are the factors that are projected to extend the market in the region. In the year 2021, China registered more than 75,000 battery electric trucks ahead of Europe, which registered more than 50,000 battery electric trucks.

The North America electric trucks market is estimated to be the second largest, registering a share of about ~20% by the end of 2035. The growth of the market can be attributed majorly to the growing e-commerce sector in the region. Moreover, there has been growing environmental concern in the countries such as the United States, and Canada, that is further expected to boost the growth of the electric trucks market in the region. In addition, they are countries that have an advanced infrastructure for electric vehicles, that is one of the major factors that is expected to contribute to the growth of the market in the region.

Further, the market in the European, amongst the market in all the other regions, is projected to hold a majority of the share by the end of 2035. The growth of the market can be attributed majorly to the presence of large automobile manufacturers such as Volkswagen, Daimler AG, and others. Furthermore, there has been a presence of high efficiency batteries at a lower cost if purchase, that is further predicted to expand the market’s growth in the Europe region.

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Top Featured Companies Dominating the Global Electric Trucks Market

AB Volvo
- Company Overview
- Business Strategy
- Key Product Offerings
- Financial Performance
- Key Performance Indicators
- Risk Analysis
- Recent Development
- Regional Presence
- SWOT Analysis
BYD Company Ltd
Tata Motors Ltd.
Ford Motor Company
PACCAR Inc.
Mercedes-Benz Group AG
Rivian, LLC
Dongfeng Motor Corporation
ISUZU Motors Limited
Workhorse Group Incorporated

In The News

March 2023: Workhorse Group Incorporated announced the launch of its new Certified Dealer Program, an initiative to create an official network of verified dealers who have passed the protocols required to safely repair and maintain the Company's vehicles. Moreover, Kingsburg Truck Center in California, has been appointed as Workhorse's first certified electric vehicle ("EV") dealer in California.
May 2018: BYD Company Ltd announced the first delivery of battery electric 8TT truck to the Port of Oakland. Moreover, the truck belongs to Class 8 was granted funds by the CARB and used for the three year feasibility study in order to detect whether the zero-emission trucks will be able to replace the diesel trucks.

Global Economic Impact

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Despite Inflation & Fearing Recession, Businesses Across the Globe Expected to Do Better in 2023:

In 2023, market players might incur losses due to huge gap in currency translation followed by contracting revenues, shrinking profit margins & cost pressure on logistics and supply chain.
Controlling Inflation has become the first priority for global economies from last quarter of 2022 and to be followed in 2023. With skewed economic situations, rise in interest rate by governments to control spending and inflation, spiked oil and gas prices, high inflation, geo-political issues including U.S. & China trade war, Russia-Ukraine conflict to intensify the global economic issues.
The interest rates in the U.S. may be less sensitive in 2023 as compared to 2022; sigh of relief for businesses. Positive business sentiments, healthy business balance sheets, growth in construction spending (private construction value in 2022 stood at $1,429.2 billion, 11.7 percent (±1.0 percent) above the $1,279.5 billion spent in 2021, Residential construction in 2022 was $899.1 billion, up by 13.3 percent (±2.1 percent) from $793.7 billion in 2021, non-residential construction touched $530.1 billion, 9.1 percent (±1.0 percent) above the $485.8 billion in 2021.) showcases minimal impact of recession in the country.
Similarly, spiked spending in the European and major Asia economics including, India, China & Japan to showcase less impact on the global demand.

Key Questions Answered in the Report

1) What are the major factors driving the growth of the electric trucks market?

Ans: Growing adoption of electric trucks for logistics sector, strict emission regulations imposed by the government, and surging popularity of electric vehicles are the major factors driving the market growth.

2) What would be the CAGR of electric trucks market over the forecast period?

Ans: The market size of electric trucks is anticipated to attain a CAGR of ~42.70% over the forecast period, i.e., 2023 – 2035.

3) What are the challenges affecting the electric trucks market growth?

Ans: Limited driving range, and high cost of the electric trucks are estimated to be the growth hindering factors for the market expansion.

4) Which region will provide more business opportunities for growth of electric trucks market in future?

Ans: The market in the Asia Pacific region is projected to hold the largest market share by the end of 2035 and provide more business opportunities in the future.

5) Who are the major players dominating the electric trucks market?

Ans: The major players in the market are BYD Company Ltd, Tata Motors Ltd., Ford Motor Company, PACCAR Inc., Mercedes-Benz Group AG, Rivian, LLC, Dongfeng Motor Corporation, ISUZU Motors Limited, Workhorse Group Incorporated, AB Volvo, and others.

6) How are the company profiles selected?

Ans: The company profiles are selected based on the revenues generated from the product segment, the geographical presence of the company which determines the revenue generating capacity as well as the new products being launched into the market by the company.

7) What are the segments in the electric trucks market?

Ans: The market is segmented by type, range, propulsion type, and by region.

8) Which segment captures the largest market size in the electric trucks segment in the type market?

Ans: The heavy-duty trucks segment is anticipated to garner the largest market size by the end of 2035 and display significant growth opportunities.

Base Year	2022
Forecast Year	2023-2035
CAGR	~42.70%
Base Year Market Size (2022)	~ USD 1 Billion
Forecast Year Market Size (2035)	~ USD 713.0 Billion
Regional Scope	North America (U.S., and Canada) Latin America (Mexico, Argentina, Rest of Latin America) Asia-Pacific (Japan, China, India, Indonesia, Malaysia, Australia, Rest of Asia-Pacific) Europe (U.K., Germany, France, Italy, Spain, Russia, NORDIC, Rest of Europe) Middle East and Africa (Israel, GCC North Africa, South Africa, Rest of the Middle East and Africa)