Electric Truck Market Analysis

Electric Truck Market Analysis

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Based on vehicle, the market is divided into light-duty trucks, medium-duty trucks, and heavy-duty trucks. The light-duty trucks segment accounted for a market share of over 65% in 2023. In the light-duty truck segment, a notable trend is the emergence of compact electric models tailored for urban delivery and personal uses. These vehicles offer nimble maneuverability, reduced emissions, and lower operating costs, catering to the growing demand for sustainable transportation solutions in densely populated areas.

For instance, in January 2024, Mitsubishi Fuso, a subsidiary of Daimler Truck, introduced the latest iteration of the eCanter electric truck in Hong Kong. The eCanter is specifically engineered to tackle urban environmental concerns including noise pollution, exhaust emissions, and carbon dioxide output. This launch reinforces Mitsubishi Fuso's commitment to advancing electric truck technology, particularly in the light-duty segment, thereby bolstering the market for electric trucks.

Based on battery technology, the electric truck market is categorized into battery electric trucks, hybrid electric trucks, plug-in hybrid electric trucks, and fuel cell electric trucks. The hybrid electric trucks segment is expected to hold over USD 40 billion revenue by 2032. Hybrid electric trucks segment is poised for significant growth due to its ability to offer a balance between fuel efficiency and environmental sustainability.

With increasing regulations on emissions and fuel consumption, fleet operators are turning to hybrid electric trucks as a viable solution to reduce their carbon footprint while maintaining operational efficiency. Additionally, advancements in hybrid technology and infrastructure support are driving adoption, making hybrid electric trucks an attractive option for various industries.

Europe dominated the global electric truck market with a major share of over 11% in 2023. In Europe, stringent emissions regulations and ambitious climate targets are driving a surge in electric truck adoption. Government incentives, such as subsidies and tax breaks, coupled with the expansion of charging infrastructure, are accelerating the transition to cleaner transportation solutions, positioning Europe as a leader in the market.

For instance, in January 2024, Mars, a renowned manufacturer of confectionery, food, and pet care items, joined forces with Einride, a freight technology firm, to introduce a fleet of 300 electric and digitally optimized heavy-duty trucks across its European network by 2030.

In North America, the electric truck market is experiencing a shift toward connectivity and data-driven solutions. Fleet operators are increasingly leveraging telematics and onboard sensors to gather real-time data on vehicle performance, driver behavior, and logistics optimization. This trend enables enhanced fleet management, predictive maintenance, and improved operational efficiency, thereby driving the adoption of advanced technologies in the region.

In Asia Pacific, rapid urbanization and growing environmental concerns are fueling the demand for electric trucks. Government initiatives promoting electrification coupled with investments in infrastructure & manufacturing capabilities, are driving the expansion of the market, particularly in densely populated urban centers facing air quality challenges.