Global Electric Commercial Vehicle Market, By Propulsion (Battery Electric Vehicle, Hybrid Electric Vehicle, Plug-in Hybrid Electric Vehicle. and Fuel Cell Electric Vehicle), Vehicle (Bus, Trucks, Pick-up Trucks and Van), Range (0-150 Miles, 151-250 Miles, 251-500 Miles, and 500 Miles and Above), Component (Electric Motor, EV Battery, and Hydrogen Fuel Cell) - Industry Trends and Forecast to 2031.
Electric Commercial Vehicle Market Analysis and Size
In the electric commercial vehicle market, the rapid advancement of technology has led to significant benefits. With innovative features such as increased range, faster charging, and improved efficiency, electric vehicles offer reduced operational costs and environmental impact. This progress drives adoption, fostering sustainability and economic viability in transportation sectors worldwide.
Data Bridge Market Research analyses that the global electric commercial vehicle market size was valued at USD 132.97 billion in 2023, is projected to reach USD 2,001.91 billion by 2031, with a CAGR of 40.35% during the forecast period 2024 to 2031. In addition to the market insights such as market value, growth rate, market segments, geographical coverage, market players, and market scenario, the market report curated by the Data Bridge Market Research team includes in-depth expert analysis, import/export analysis, pricing analysis, production consumption analysis, and pestle analysis.
Report Scope and Market Segmentation
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Report Metric
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Details
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Forecast Period
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2024 to 2031
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Base Year
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2023
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Historic Years
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2022 (Customizable to 2016 - 2021)
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Quantitative Units
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Revenue in USD Billion, Volumes in Units, Pricing in USD
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Segments Covered
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Propulsion (Battery Electric Vehicle, Hybrid Electric Vehicle, Plug-in Hybrid Electric Vehicle, and Fuel Cell Electric Vehicle), Vehicle (Bus, Trucks, Pick-up Trucks, and Van), Range (0-150 Miles, 151-250 Miles, 251-500 Miles, and 500 Miles and Above), Component (Electric Motor, EV Battery, and Hydrogen Fuel Cell)
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Countries Covered
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U.S., Canada, Mexico, Germany, France, U.K., Netherlands, Switzerland, Belgium, Russia, Italy, Spain, Turkey, Rest of Europe, China, Japan, India, South Korea, Singapore, Malaysia, Australia, Thailand, Indonesia, Philippines, Rest of Asia-Pacific, Saudi Arabia, U.A.E., South Africa, Egypt, Israel, Rest of Middle East and Africa, Brazil, Argentina and Rest of South America
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Market Players Covered
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Ford Motor Company (U.S.), General Motors (U.S.), AUDI AG (Germany), Kia Motors Corporation (South Korea), Groupe Renault (France), Groupe PSA (France), SAIC Motor Corporation Limited (China), Tesla (U.S.), Daimler AG (Germany), BMW AG (Germany), Hyundai Motor Company (South Korea), BYD Company Ltd. (China), Continental AG (Germany), TOYOTA MOTOR CORPORATION (Japan), Nissan Motor Co., LTD. (Japan), Volkswagen AG (Germany), AB Volvo (Sweden), and Honda Motor Co., Ltd. (Japan)
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Market Opportunities
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Market Definition
Electric commercial vehicles, powered solely by electricity, are revolutionizing transportation. These eco-friendly alternatives to traditional fossil fuel-powered vehicles offer reduced emissions and lower operational costs. From delivery vans to buses, commercial EV are increasingly prevalent, contributing to a sustainable future by mitigating environmental impact while meeting the demands of modern transportation needs.
Electric Commercial Vehicle Market Dynamics
Drivers
- Rising Consumer Demand
Growing consumer consciousness regarding environmental concerns fosters demand for sustainable goods delivery, compelling businesses to invest in electric commercial fleets. For instance, a prominent online retailer has pledged to electrify its delivery van fleet in response to customer demands for eco-friendly shipping options. This shift aligns with consumer values and demonstrates the market's responsiveness to environmental sustainability, driving further adoption of electric vehicles in commercial logistics.
- Government Incentives and Subsidies
Governments worldwide provide incentives, subsidies, and tax breaks to promote electric commercial vehicle adoption. These measures aim to alleviate upfront business costs, making electric vehicles more financially attractive. Through easing financial barriers, governments accelerate the transition to electric vehicles, supporting sustainability objectives and stimulating economic growth within the electric commercial vehicle industry.
Opportunities
- Urbanization and Last-Mile Delivery Demand
The surge in e-commerce and urbanization has fueled the need for efficient last-mile delivery services. Electric vehicles are ideal for this task, offering low emissions, quiet operation, and maneuverability in congested urban areas. For instance, companies such as Amazon and UPS have been increasingly deploying electric delivery vans and bikes in dense urban centers to fulfill orders swiftly while minimizing environmental impact and noise pollution.
- Public Awareness and Acceptance
Growing public awareness of transportation's environmental impact and the advantages of electric vehicles fosters greater acceptance among consumers and businesses for commercial electric vehicles. Understanding their role in reducing emissions and improving sustainability drives the shift towards embracing electric options, shaping a more environmentally conscious transportation landscape.
Restraints/Challenges
- Insufficient EV charging infrastructure
The scarcity of charging infrastructure, especially for heavy-duty electric vehicles, hampers their deployment. Essential investment in fast-charging stations along major transport corridors and urban hubs is imperative to facilitate fleet operations, address range limitations, and promote widespread adoption of electric commercial vehicles.
- High Cost of Batteries
The formidable expense of batteries is a major hurdle for electric commercial vehicles (ECVs), affecting initial purchase prices and total ownership costs versus traditional counterparts. To boost market feasibility, reducing battery costs is crucial. This entails leveraging economies of scale and advancing battery production and efficiency technologies to make ECVs more competitive and attractive in the market.
This market report provides details of new recent developments, trade regulations, import-export analysis, production analysis, value chain optimization, market share, impact of domestic and localized market players, analyses opportunities in terms of emerging revenue pockets, changes in market regulations, strategic market growth analysis, market size, category market growths, application niches and dominance, product approvals, product launches, geographic expansions, technological innovations in the market. To gain more info on the market contact Data Bridge Market Research for an Analyst Brief, our team will help you take an informed market decision to achieve market growth.
Recent Development
- In June 2023, Volkswagen Commercial Vehicles commences autonomous driving tests using the all-electric Volkswagen ID. The program, initiated in Texas, USA, extends to European centers. The objective is to bolster commercially available transport services and expand the mobility portfolio of the Volkswagen Group
- In December 2022, Mercedes-Benz Vans, in collaboration with the Polish government and partners, unveiled plans for a new van production plant in Jawor, Poland. This facility, the first fully electric plant for Mercedes-Benz vans, aims to revolutionize electric vehicle manufacturing
- In December 2022, Mercedes-Benz and Rivian sign an MOU for a strategic partnership to jointly produce electric vans. The collaboration entails establishing a new joint venture manufacturing company in Central/Eastern Europe, leveraging an existing Mercedes-Benz site, to manufacture large electric vans for both brands
- In January 2022, AB Volvo launched an upgraded version of the Volvo VNR Electric. With an 85% increased range and quicker charging capabilities, this version exemplifies Volvo's commitment to advancing electric vehicle technology and sustainability in transportation
Electric Commercial Vehicle Market Scope
The market is segmented on the basis of propulsion, vehicle, range, and component. The growth amongst these segments will help you analyse meagre growth segments in the industries and provide the users with a valuable market overview and market insights to help them make strategic decisions for identifying core market applications.
Propulsion
- Battery Electric Vehicle
- Hybrid Electric Vehicle
- Plug-in Hybrid Electric Vehicle
- Fuel Cell Electric Vehicle
Vehicle
- Bus
- Trucks
- Pick-up Trucks
- Van
Range
- 0-150 Miles
- 151-250 Miles
- 251-500 Miles
- 500 Miles and Above
Component
- Electric Motor
- EV Battery
- Hydrogen Fuel Cell
Electric Commercial Vehicle Market Regional Analysis/Insights
The market is analysed and market size insights and trends are provided, propulsion, vehicle, range, and component as referenced above.
The countries covered in the market report are U.S., Canada, Mexico, Germany, France, U.K., Netherlands, Switzerland, Belgium, Russia, Italy, Spain, Turkey, Rest of Europe, China, Japan, India, South Korea, Singapore, Malaysia, Australia, Thailand, Indonesia, Philippines, Rest of Asia-Pacific, Saudi Arabia, U.A.E., South Africa, Egypt, Israel, Rest of Middle East and Africa, Brazil, Argentina and Rest of South America.
North America is expected to dominate the electric commercial vehicle market due to advanced technology adoption and increasing research and development activities. This trend positions the region at the forefront of electric mobility advancements, driving innovation and market leadership.
Asia-Pacific is expected to witness significant growth in the electric commercial vehicle market during the forecast period. This is attributed to prevalent government subsidies incentivizing adoption, particularly in the region, fostering a conducive environment for market expansion.
The country section of the report also provides individual market impacting factors and changes in regulation in the market domestically that impacts the current and future trends of the market. Data points like down-stream and upstream value chain analysis, technical trends and porter's five forces analysis, case studies are some of the pointers used to forecast the market scenario for individual countries. Also, the presence and availability of global brands and their challenges faced due to large or scarce competition from local and domestic brands, impact of domestic tariffs and trade routes are considered while providing forecast analysis of the country data.
Competitive Landscape and Electric Commercial Vehicle Market Share Analysis
The market competitive landscape provides details by competitor. Details included are company overview, company financials, revenue generated, market potential, investment in research and development, new market initiatives, global presence, production sites and facilities, production capacities, company strengths and weaknesses, product launch, product width and breadth, application dominance. The above data points provided are only related to the companies' focus related to the market.
Some of the major players operating in the market are:
- Ford Motor Company (U.S.)
- General Motors (U.S.)
- AUDI AG (Germany)
- Kia Motors Corporation (South Korea)
- Groupe Renault (France)
- Groupe PSA (France)
- SAIC Motor Corporation Limited (China)
- Tesla (U.S.)
- Daimler AG (Germany)
- BMW AG (Germany)
- Hyundai Motor Company (South Korea)
- BYD Company Ltd. (China)
- Continental AG (Germany)
- TOYOTA MOTOR CORPORATION (Japan)
- Nissan Motor Co., LTD. (Japan)
- Volkswagen AG (Germany)
- AB Volvo (Sweden)
- Honda Motor Co., Ltd. (Japan)
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