LNG Truck Market Size – By Class (Class 7, Class 8), Application (Freight Delivery, Utility Services, Construction & Mining), Ownership (Fleet Operator, Independent Operator), By Cab (Day Cab, Sleeper Cab), By Axle (4x2, 6x4, 6x2), & Forecast, 2024 – 2032

LNG Truck Market Size

LNG Truck Market was valued at USD 11.8 billion in 2023 and is estimated to register a CAGR of over 10% from 2024 to 2032. The expansion of LNG refueling infrastructure is a critical growth driver for business growth. Governments and private entities are investing significantly in developing a widespread network of LNG refueling stations along key transportation corridors. This infrastructure expansion is crucial for addressing range anxiety and ensuring the reliability of LNG-powered trucks for long-haul transport.
 

The increasing emphasis on reducing greenhouse gas emissions is driving the adoption of LNG trucks. Governments worldwide are implementing stricter emission regulations, pushing fleet operators to seek cleaner alternatives to diesel. LNG trucks, with lower CO2 and NOx emissions, are gaining traction as a viable solution. Furthermore, many logistics companies are setting ambitious sustainability goals, prioritizing the integration of eco-friendly vehicles into their fleets. As a result, the demand for LNG trucks is rising, supported by a growing number of policies and subsidies encouraging the use of alternative fuels, thus providing a strong growth business for the LNG trucks.
 

The complexity of LNG storage and handling is hindering market growth. LNG must be kept at extremely low temperatures (-162°C) to remain in liquid form, requiring specialized cryogenic tanks and insulation. This presents challenges in fuel system design, refueling processes, and maintenance. Additionally, the risk of methane leakage during storage and fueling operations poses safety concerns and can offset the environmental benefits of LNG. These technical hurdles increase operational complexity and costs, potentially deterring some fleet operators from adopting LNG technology.
 

LNG Truck Market Trends

Manufacturers operating in the LNG truck industry are engaged in various inorganic growth strategies such as mergers & acquisitions, new product launches, and partnerships to stay competitive in the market. Additionally, the development of dual-fuel technology is providing significant market opportunities. Manufacturers are increasingly offering trucks that can run on both LNG and diesel, providing flexibility and reducing dependency on a single fuel source. This dual-fuel capability enhances the operational range of trucks, making them more attractive for long-haul transport.
 

The LNG truck market is witnessing technological advancements aimed at enhancing fuel efficiency and vehicle performance. Innovations in engine design, such as high-pressure direct injection (HPDI) systems, are being adopted to optimize LNG combustion, providing greater efficiency and power output. Additionally, improvements in cryogenic tank technology are enabling longer storage times and better insulation, reducing LNG evaporation losses. These advancements not only improve the overall performance of LNG trucks but also contribute to cost savings and environmental benefits, making LNG trucks a more attractive option for fleet operators.    
      

LNG Truck Market Analysis

Based on vehicles, the class 8 segment accounted for a market share of around 80% in 2023, due to the growing demand for heavy-duty trucks for long-haul transport. LNG-powered Class 8 trucks are increasingly being adopted for their capability to handle substantial cargo loads over long distances while reducing emissions. The efficiency of LNG engines in these trucks, coupled with their ability to meet stringent emission regulations, makes them a preferred choice for logistics companies. Moreover, the expansion of LNG refueling infrastructure along major transportation routes further supports the adoption of Class 8 LNG trucks, driving growth in this segment.
 

Based on cab, the sleeper cab segment accounted for a market share of around 72% in 2023, driven by the need for comfortable long-distance travel for drivers. These cabs offer essential rest facilities, making them ideal for extended journeys in the logistics and transportation industries. As LNG trucks are increasingly used for long-haul routes, the demand for sleeper cabs equipped with LNG engines is on the rise. The combination of lower emissions, operational cost savings, and enhanced driver comfort makes LNG-powered sleeper cabs an attractive option for fleet operators. This growing preference is driving the market for LNG sleeper cab trucks.
 

Asia Pacific region dominated 60% share of the LNG truck market in 2023, driven by the rapid industrialization and growing logistics industry in countries such as China and India. The increasing awareness of environmental issues and government initiatives to reduce carbon emissions are promoting the adoption of LNG trucks. Investments in expanding LNG refueling infrastructure across key transportation routes further enhance the market potential. The region's large-scale manufacturing capabilities and cost-effective production further contribute to the rising availability and affordability of LNG trucks, making them a viable alternative to diesel trucks for regional and long-haul transportation.
 

In North America, the LNG truck market is driven by strong government support and favorable policies promoting the use of cleaner fuels. The region has seen significant investments in LNG refueling infrastructure, with a growing number of stations being established along major highways to support long-haul trucking. Additionally, the presence of leading LNG truck manufacturers and technology providers in the region contributes to innovation and the availability of advanced LNG trucks. The focus on reducing greenhouse gas emissions and meeting strict environmental regulations further fuels the adoption of LNG trucks in the North American market.
 

LNG Truck Market Share

Daimler and Volvo are the major market players operating in the global LNG truck industry accounting for over 20% of market share in 2023.  Daimler is a key player in the LNG truck industry, leveraging its strong brand presence and technological expertise to maintain a competitive edge. The company focuses on innovation, offering LNG-powered trucks that meet stringent emission standards while providing high performance and efficiency. Daimler also invests in expanding LNG refueling infrastructure and collaborates with energy providers to enhance fuel availability. By offering comprehensive service and maintenance packages, Daimler ensures customer satisfaction and reliability, strengthening its market position and attracting fleet operators seeking sustainable and efficient transportation solutions.
 

Volvo remains competitive in the market through its commitment to sustainability and innovation. The company offers a range of LNG-powered trucks that are designed for long-haul and heavy-duty applications, catering to the growing demand for cleaner transport solutions. Volvo invests in research and development to enhance the performance and efficiency of its LNG trucks.
 

LNG Truck Market Companies

Major players operating in the LNG truck industry are:

• Daimler AG
• Dongfeng Motor Corporation
• FAW Group (First Automobile Works)
• IVECO
• Kenworth (PACCAR Inc.)
• MAN Truck & Bus
• Peterbilt Motors (PACCAR Inc.)
• Scania AB
• Shaanxi Automobile Group
• Volvo Trucks
   

LNG Truck Industry News

• In August 2024, Volvo Eicher Commercial Vehicles (VECV) announced to enter into a preliminary agreement with Baidyanath LNG Private to deploy 500 LNG trucks. This initiative aims to promote the development of green trucking routes and expand the LNG Corridor across India.
   
• In December 2023, Tata Motors took a significant step at CII EXCON 2023 with the commercial launch of its LNG-powered Tata Prima trucks and tippers. The Tata Prima 5528.S LNG and the Tata Prima 3528.K LNG, India's LNG-powered tipper, mark pioneering advancements in sustainable transportation. This launch aligns with Tata Motors' goal of achieving net-zero greenhouse gas emissions by 2045, underscoring the company's commitment to clean energy solutions and innovation in eco-friendly vehicle technology.
   

This LNG truck market research report includes in-depth coverage of the industry with estimates & forecast in terms of revenue ($Mn) and shipment (Units) from 2021 to 2032 for the following segments:

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Market, By Class

• Class 7
• Class 8

Market, By Cab

• Day cab
• Sleeper cab

Market, By Application

• Freight delivery
• Utility services
• Construction & mining
• Others

Market, By Axle

• 4x2
• 6x4
• 6x2

Market, By Ownership

• Fleet operator
• Independent operator

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

• North America
  • U.S.
  • Canada
• Europe
  • UK
  • Germany
  • France
  • Italy
  • Russia
  • Belgium
  • Sweden
  • Rest of Europe
• Asia Pacific
  • China
  • India
  • Japan
  • South Korea
  • Indonesia
  • Thailand
  • Vietnam
  • Rest of Asia Pacific
• Latin America
  • Brazil
  • Mexico
  • Argentina
  • Rest of Latin America
• MEA
  • South Africa
  • UAE
  • Saudi Arabia
  • Iran
  • Turkey
  • Rest of MEA