|Fastest Growing Market:||Asia Pacific|
|Largest Market:||Asia Pacific|
Need a report that reflects how COVID-19 has impacted this market and its growth?
The Medium and Heavy Duty Commercial Vehicles Market was valued at USD 300 billion in 2021 and is expected to grow to USD 480 billion by 2027, registering a CAGR of over 8% during the forecast period (2022 - 2027).
Production was stopped when the world manufacturing units were shut down due to the COVID-19 pandemic. Due to this, the need for transport was completely reduced. Due to disruption in the supply chain, leading truck manufacturers stopped production. But the increased need for transport in the aftermath of the Covid-19 pandemic is a ray of hope for medium and heavy-duty commercial vehicles. With the gradual relaxation of lockdown and restrictions, the medium and heavy-duty commercial vehicles market has a great chance to bounce back from the economic crisis.
Some major factors driving the growth of the market are the expansion of industrial sectors in the emerging market, growing demand from the logistics industry, and rising demand from the construction sector (owing to growing construction activities). The market is expected to witness growth in the coming years due to growing economies across developing and developed counties.
Owing to consistent technological advancements and the enactment of stringent emission norms, automakers (OEMs) are shifting their focus toward electric vehicles. The increasing number of construction and e-commerce activities increased demand for material transportation, resulting in increased sales of commercial vehicles worldwide.
Scope of the Report
The medium and heavy-duty commercial vehicle market has been segmented by Tonnage (3.5 - 7.5 Tons, 7.5 - 16 Tons, and above 16 Tons), Propulsion Type (IC Engine, Plug-In Hybrid, Electric, and Alternative Fuel Powered), and Geography (North America, Europe, Asia-Pacific, and Rest of the World). The report offers market size and forecasts for Medium and Heavy-Duty Commercial Vehicles in terms of volume (units) and value (USD billion) for all the above segments.
|3.5 - 7.5 ton|
|7.5 - 16 ton|
|Above 16 ton|
|By Propulsion Type|
|Plug-In Hybrid Electric|
|Alternative Fuel Powered|
Key Market Trends
Electric Commercial Vehicle to Witness Steady Sales
Across the globe, some countries have banned old commercial vehicles from running on public roads to tackle growing vehicle emissions. Thus, the possibility of freight businesses adopting new commercial vehicles that are eco-friendly, cost-effective, and align with the emission standards, will increase globally during the forecast period.
Major players are collaborating to develop and manufacture electric trucks. For instance, in October 2020, BYD Auto and Hino Motors announced jointly setting up a company to develop battery-powered trucks and buses. BYD Auto Industry Co., a unit of battery producer BYD Ltd and Hino Motors Ltd, said each would supply 50% of the investment for the company.
The heavy-duty commercial electric vehicle market, driven by logistics and the construction & e-commerce industry developments, is expected to witness significant growth in the coming years, with good opportunities opening in infrastructure, logistics, and transportation sectors.
Furthermore, government incentives and subsidies, along with structural & functional design improvements, drive the sales of hybrid and electric trucks.
To understand key trends, Download Sample Report
Asia-Pacific is the Leading Market
The Asia-Pacific region is the leading regional segment of the market owing to several infrastructure investments and construction projects in progress and announced for the future. These projects are expected to significantly increase the demand for heavy-duty transportation trucks for material transport across and inside several countries of the region. The increase in spending on several infrastructure development projects in countries in the Asia-Pacific region drives the market growth.
In China, for a total of 11 provinces, including Yunnan, Sichuan, and Fujian, the total infrastructure investment amount for key projects announced in 2020 totaled CNY 27.68 trillion. Investments in infrastructure, like the Indonesian National Medium-term Development Plan (USD 460 billion) and Vietnam Socio-Economic Development Plan (USD 61.5 billion are expected to offer opportunities for commercial vehicles. In November 2020, Australia announced an investment of AUD 110 billion over 10 years into transport infrastructure development.
In March 2021, India announced INR 118,101 crores investment into the country's infrastructure development.
To understand geography trends, Download Sample Report
The market studied is moderately consolidated and is captured by major players, like Daimler AG, Toyota Motor Corporation, Scania, and MAN trucks owned by the Volkswagen GroupVolvo Trucks, ISUZU, and Mitsubishi Motor Corporation, among others, with Daimler AG leading the market.
· In April 2021, Isuzu Motors completed the acquisition of UD Trucks from the Volvo Group as part of a strategic alliance between the Volvo Group and Isuzu Motors.
· In Mar 2021, Mitsubishi Fuso Truck and Bus Corporation (MFTBC), under the umbrella of Daimler Trucks Asia, announced the launch of the improved Canter Light-duty Truck, which complies with Japanese regulations.
In April 2021, Beijing Foton Daimler Automotive Co. Ltd signed an agreement in Beijing for a bank loan of CNY 5.169 billion to support its local production of Mercedes-Benz heavy-duty trucks in China. According to the agreement, four banks, including the Industrial and Commercial Bank of China and Bank of China, may grant the loan to Foton Daimler, which is likely to use the loan to develop China-made Mercedes-Benz heavy-duty trucks.
In February 2021, Daimler Truck AG and Cummins Inc. announced a global plan for developing medium-duty commercial vehicle engine systems. This partnership identifies potential synergies in areas such as powertrain and engine system components.
Table of Contents
1.1 Study Assumptions
1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET DYNAMICS
4.1 Market Driver
4.2 Market Restraint
4.3 Industry Attractiveness - Porter's Five Forces Analysis
4.3.1 Threat of New Entrants
4.3.2 Bargaining Power of Buyers/Consumers
4.3.3 Bargaining Power of Suppliers
4.3.4 Threat of Substitute Products
4.3.5 Intensity of Competitive Rivalry
5. MARKET SEGMENTATION
5.1 By Tonnage
5.1.1 3.5 - 7.5 ton
5.1.2 7.5 - 16 ton
5.1.3 Above 16 ton
5.2 By Propulsion Type
5.2.1 IC Engine
5.2.2 Plug-In Hybrid Electric
5.2.3 Battery Electric
5.2.4 Alternative Fuel Powered
5.3 By Geography
5.3.1 North America
18.104.22.168 United States
22.214.171.124 Rest of North America
126.96.36.199 United Kingdom
188.8.131.52 Rest of Europe
184.108.40.206 South Korea
220.127.116.11 Rest of Asia-Pacific
5.3.4 Rest of the World
18.104.22.168 South Africa
22.214.171.124 Other Countries
6. COMPETITIVE LANDSCAPE
6.1 Vendor Market Share
6.2 Company Profiles*
6.2.1 PACCAR Inc.
6.2.2 Daimler AG
6.2.3 Volvo Group
6.2.4 MAN SE
6.2.5 Tata Motors Limited
6.2.6 Renault Trucks
6.2.7 Isuzu Motors Ltd
6.2.8 Scania AB
6.2.9 FAW Group Corporation
6.2.10 Hyundai Motor Company (Hyundai Commercial Vehicle)
6.2.11 Dongfeng Motor Corporation
7. MARKET OPPORTUNITIES AND FUTURE TRENDS
You can also purchase parts of this report. Do you want to check out a section wise price list?
Frequently Asked Questions
What is the study period of this market?
The Medium And Heavy Duty Commercial Vehicles market is studied from 2018 - 2027.
What is the growth rate of Medium And Heavy Duty Commercial Vehicles?
The Medium And Heavy Duty Commercial Vehicles is growing at a CAGR of 8% over the next 5 years.
What is Medium And Heavy Duty Commercial Vehicles size in 2018?
The Medium And Heavy Duty Commercial Vehicles is valued at 300 Billion USD in 2018.
What is Medium And Heavy Duty Commercial Vehicles size in 2027?
The Medium And Heavy Duty Commercial Vehicles is valued at 480 Billion USD in 2027.
Which region has highest growth rate in Medium And Heavy Duty Commercial Vehicles?
Asia Pacific is growing at the highest CAGR over 2021- 2026.
Which region has largest share in Medium And Heavy Duty Commercial Vehicles?
Asia Pacific holds highest share in 2021.
Who are the key players in Medium And Heavy Duty Commercial Vehicles?
PACCAR Inc, Daimler AG, Volvo Group, MAN SE, Tata Motors Limited are the major companies operating in Medium And Heavy Duty Commercial Vehicles.