Commercial Vehicle SCR Market Size - By Vehicle, By Component, By Application, By Sales Channel Analysis, Share, Growth Forecast, 2025 - 2034

Commercial Vehicle SCR Market Size

The global commercial vehicle SCR market was valued at USD 7.9 billion in 2024 and is projected to grow at a CAGR of 5.9% between 2025 and 2034. The market is driven by stringent emissions regulations. SCR is a technology used in the post-treatment of diesel engine emissions to reduce nitrogen oxides (NOx). Government around the globe are taking emission control to the next level with noxious diesel-powered commercial vehicles that emit nitrogen oxides (NOx).
 

Regulations such as Euro VI in Europe, Bharat Stage VI in India, and EPA Tier 4 in the United States have prompted the use of advanced emission control systems, leading to a boost in SCR adoption in particular. These measures have been taken to combat climate change and improve air, carbon, and NOx emissions, as well as to strengthen the GHG emissions target at the emission level. The implementation of SCR technology is now in demand because it reduces NOx emissions as well as improves fuel economy. However, these measures will not only call for compliance; there is an ever-growing need to install newer SCR systems on all new-model and older-model vehicles already in-use.

A report published by the International Organization of Motor Vehicle Manufacturers (OICA) covering the global commercial vehicle market prospects indicated an estimate of approximately 26 million units on vehicles sales in 2023, 10% higher in comparison to the 23 million sold units in 2022. Because of this, there will also be an increase in the usage and regulations concerning commercial vehicle SCR, hence the change in the market is expected to evolve positively over time.
 

Demand for fuel efficiency is an additional particular intake for the growth market of commercial vehicle SCR. Apart from emission reduction, SCR systems further engine performance and fuel economy. Fleet operators tend to revolve around new technologies because of sharply rising fuel prices and operational costs. Through the use of SCR systems, the engines can operate at higher combustion temperatures, which increases the efficiency of the vehicle and at the same time meets emission norms.
 

Commercial Vehicle SCR Market Trends

The use of sophisticated sensor innovations that allow for real-time observation and optimization is an ongoing trend in the commercial vehicle SCR industry. Modern SCR systems use sensors strategically to enable precise dosing of Diesel Exhaust Fluids (DEF), thus improving the efficiency of emission reduction and minimizing waste. In addition, SCR systems' lightweight construction is being adopted by manufacturers to further improve fuel efficiency and vehicle performance.
 

The use of electronic control modules enforcement enables better diagnostics and compliance tracking, especially for fleet operators. There is, however, a growing concern for the environment, which forced a shift in the vehicle design towards the SCR systems for hybrid and alternative fuel commercial vehicles. These improvements aim to reconcile both operational expenses and regulations which fleet operators have to comply with.
 

As an illustration, consumption readiness in the bottom market is expected for September 2024. US – DEF, a diesel exhaust fluid product brand, specially manufactured for wholesale and retail markets in America, is expected to come onboard. The product meets the rigid API and ISO 22241 quality set standards. It has customer loyalty programs, patriotic imagery packaging, and reasonable pricing to capture truck stops, gas stations, and retail outlets across the country.
 

Set to launch first in North Texas on Veterans Day in 2024, it will pivot and extend to a nationwide release by the first quarter of 2025. Looking to build wholesaler and buyer engagements across the nation, the family-owned Texas business specializes in manufacturing diesel exhaust fluid in bulk quantities such as 2.5-gallon jugs, 330-gallon totes, and 55-gallon drums. US-DEF manufactures DEF using SCR technology, which is successful in the reduction of NOx emissions while passing the EPA tests for diesel engines and equipment. With the firm step into the market, they are contending with other industry players.
 

The challenge in the DEF SCR industry for commercial vehicles is the distribution and supply of Diesel Exhaust Fluid. Even though DEF is necessary to comply with emission standards, the supply of it is very sporadic, particularly in rural or poorly developed regions. Due to the lack of accessible locations such as gas stations, truck stops, and other stores, fleet operators find themselves in a difficult predicament of securing DEF. If this issue is not kept in check, it can greatly impede the operations of long-haul drivers. In order to adhere to emissions protocols and efficiency, having a reliable source of DEF is essential.
 

Commercial Vehicle SCR Market Analysis

Based on the application, the market is segmented into On-Highway vehicles and Off-Highway vehicles. In 2024, the off-highway segment accounted for over 60% of the market share and is expected to exceed USD 7 billion by 2034.
 

• As emission reduction technology becomes appended to construction, agriculture and mining equipment, this segment of the commercial vehicle SCR market emerges as a pole position holder. There are industries with highly regulated emissions that use SCR technology in their off-highway vehicles and other heavy-duty equipment. These industries are also looking for better fuel economy and lower costs of operation which is another reason why SCR systems are being adopted.
   
• Non-road equipment, although working under constraints, has to comply with regulations to avoid penalties. The growing focus of industrialized countries on stringent non-road machinery emission standards is causing a heightened emphasis on technological solutions for SCR systems for off-highway vehicles.

Based on the sales channel, the market is divided into OEM and aftermarket. The OEM segment held above 75% of the market share in 2024.
 

• The commercial vehicle SCR market is monopolized by the OEMs (Original Equipment Manufacturers) who use their power and the construction of vehicles laws to their advantage. Since they are the first maker on the market, OEMs have to use engines with SCR technology and other new requirements like Euro VI and EPA Tier 4 complicated standards.
   
• Due to their magnitude and existing distribution networks, they are able to design and produce SCR systems and sell them on the market for all types of vehicles. The suppliers are also working with the manufacturers in order to make SCR systems more efficient and less expensive. In addition, OEMs provide complete packages which makes the assemblance of vehicle parts with SCR systems easier. This form of integration assists OEMs in vehicle construction as well as meeting the requirements of the complex regulatory environment, which enables them to maintain a dominant position in the market.

In 2024, the China accounted for a commercial vehicle SCR market share of above 60% in Asia Pacific and is expected to exceed USD 2.5 billion by 2034.
 

• With strict emissions regulations in place, China is the leader on the market supported by its strong production of heavy-duty trucks, buses, and off-highway vehicles. China’s rapid industrialization and infrastructure growth has created a market for SCR systems in line with the environmental requirements such as China VI.
   
• The country has the requisite supply chain and manufacturing infrastructure for SCR parts which makes it a center for SCR parts both for local and international sales. The pollution and fuel use control measures have been implemented to accelerate the usage of SCR Technology. In addition, the increase of fleet operators in China also creates greater need for emission controlling technology. The commercial vehicle SCR market in Europe is also boosted by the Euro VI policies which are key for SCR systems to cut down NOx emissions.
   
• The dynamic shift in consumer attitudes too contributes to the market within the transportation and logistics industry, which now prefers greater fuel and emission efficiency. Europe remains as base for SCR technologies to mature as primary and reputed industries are willing to invest to improve the efficiency of the systems. These technologies are widely used, accepted, and implemented in other applications for on-highway and off-highway use. Policies advocating for green technologies also enhance Europe’s commercial vehicle SCR market, thereby pushing the continent towards an environmentally friendly carbon neutral future.
   
• North America market for heavy-duty diesel fueled trucks and agricultural equipment is expanding due to increased investment on transport infrastructures and adoption of regulatory policies such as the EPA Tier 4. Both the US and Canada have made significant strides in enhancing their SCR technology. Urban air quality improvement initiatives have further fueled this market expansion. The region's technology vendors and creators have adeptly met this heightened demand, bolstered by mounting regulatory pressures from both nations.
   

Commercial Vehicle SCR Market Share

Tenneco Inc., Continental AG, and Robert Bosch GmbH collectively held a substantial market share of over 40% in the commercial vehicle SCR industry in 2024.
 

• With their profound expertise in emission control and a robust global presence, Tonneco Inc, Robert Bosch GmbH, and Continental AG have emerged as dominant players in the commercial vehicle SCR market. These industry leaders engage in mass production for businesses and the aftermarket.
   
• The company’s broad production volumes together with efficient logistics enable the companies to meet the emission standards. By installing SCR devices, the regulatory needs are met and so are the many customers. Those companies have very strong ties with fleet operators, which further enhances their position in the market, contributing to the SCR market growth in all areas.
   

Commercial Vehicle SCR Market Companies

Major players operating in the commercial vehicle SCR industry are:

• Aisin Seiki
• BASF SE
• BorgWarner
• Continental
• Cummins
• Denso
• Magna
• Robert Bosch
• Tenneco
• ZF Friedrichshafen
   

In the commercial vehicle Selective Catalytic Reduction (SCR) market players are focusing on innovative and compliance actions to strengthen their competitiveness. They are adopting new technologies to improve the effectiveness and reliability of the SCR systems, thereby assuring that the vehicles operate within the physically set emission limits, achieving maximum engine output.
 

Cost efficient manufacturing processes and the use of nontraditional materials are being pursued by manufacturers to decrease the total system weight which will result in greater fuel economy. SCR integration is one of the common and adopted modification procedures that is done in collaboration with the OEMs so that it is incorporated into the vehicle design. In addition, market players are allocating funds/investments to R&D in the adoption of new policies and new markets, particularly the ones that require cleaner commercial vehicles.
 

Commercial Vehicle SCR Industry News

• In September 2024, The UK government decided to put an end to the SCR retrofit scheme for buses forever after it was revealed in a report that the technology was only somewhat useful in regard to reducing emissions in the real world. The scheme which was launched back in 2017 aimed to curb the emission of Nitrogen Oxide (NOx) it was found to have an 11% average success rate, with a portion of the buses not seeing any improvement at all. The report raised factors that included system malfunctions, and low working temperature of the catalysts.
   
• In October 2021, in the US, approximately 43% of the Class 3-8 diesel vehicles (around 11 million commercial vehicles) are equipped with SCR as a standard feature, following its mandate in 2011. In India, 52,130 commercial vehicles were sold in July 2021. Almost all M&HCVs (Medium and Heavy Commercial Vehicles) are now equipped with SCR as standard.
   

The commercial vehicle SCR market research report includes in-depth coverage of the industry with estimates & forecasts in terms of revenue ($ Mn/Bn) and volume (Units) from 2021 to 2034, for the following segments:

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Market, By Vehicle

• Heavy-Duty trucks
• Light commercial vehicles
• Buses
• Others

Market, By Component

• SCR catalyst
• Urea tank
• DEF injector
• SCR control module
• Others

Market, By Application

• On-Highway vehicles
• Off-Highway vehicles

Market, By Sales Channel

• OEM
• Aftermarket

The above information is provided for the following regions and countries:

• North America
  • U.S.
  • Canada
• Europe
  • UK
  • Germany
  • France
  • Italy
  • Spain
  • Russia
  • Nordics
• Asia Pacific
  • China
  • India
  • Japan
  • South Korea
  • ANZ
  • Southeast Asia
• Latin America
  • Brazil
  • Mexico
  • Argentina
• MEA
  • UAE
  • Saudi Arabia
  • South Africa