North America Electric Truck Market Size - By Vehicle, By Axle, By Application, By Propulsion, By Superstructure, By Battery Capacity, By Range Capacity, Analysis, Share, Growth Forecast, 2024 - 2032

North America Electric Truck Market Size

North America Electric Truck Market size was valued at USD 1.6 billion in 2023 and is estimated to grow at a CAGR of over 71% from 2024 to 2032. Stringent emission regulations in North America are propelling the adoption of electric trucks. Federal and state governments are implementing strict targets to curb carbon emissions, compelling fleets to transition from diesel to electric vehicles. Many major cities are establishing low-emission zones, imposing penalties or restrictions on diesel-powered vehicles. For instance, in March 2024, U.S. Environmental Protection Agency announced final national pollution standards for light-duty trucks, passenger cars and medium-duty vehicles.
 

These standards, applicable to model years 2027 through 2032 and beyond, are projected to prevent more than 7 billion tons of carbon emissions. They are expected to provide nearly USD 100 billion in annual net benefits to society, including USD 13 billion in annual public health benefits from improved air quality and USD 62 billion in reduced annual fuel, maintenance, and repair costs for drivers. This regulatory landscape motivates businesses to invest in electric trucks, enabling them to comply with regulations while reaping the benefits of reduced long-term operational costs, particularly in fuel and maintenance.
 

Corporate sustainability initiatives are fueling the demand for electric trucks. Major companies are establishing ambitious targets to decrease their carbon emissions, with transportation playing a vital role in their strategies. Fleet operators across logistics, retail, and construction sectors are making significant investments in electric trucks to fulfill these sustainability pledges. This trend is particularly noticeable among corporations that publicly disclose their environmental performance, such as Walmart and Amazon. The adoption of electric trucks allows these businesses to showcase their commitment to corporate responsibility while reaping economic benefits through reduced operational costs and enhanced brand image among environmentally conscious consumers.
 

North America Electric Truck Market Trends

Charging-as-a-Service (CaaS) is reshaping the electric truck industry in North America. Fleet operators are increasingly utilizing third-party service providers to manage charging infrastructure, which reduces the need for significant upfront capital investments. These services encompass the installation, maintenance, and operation of charging stations, allowing fleet owners to concentrate on their primary business activities. For instance, For instance, in October 2023, Electrada, a fleet electrification solutions provider, and Daimler Truck Financial Services, a leading financial service provider for commercial vehicles, announced a partnership to promote sustainable transportation adoption.

This collaboration combines Daimler's expertise in commercial Battery Electric Vehicles (BEVs) with Electrada's comprehensive 360 Charging-as-a-Service solution. The partnership aims to provide the essential infrastructure for powering medium- and heavy-duty electric vehicle fleets. The integrated solution will be initially offered to select customers in the United States during the first half of 2024. The ongoing expansion of public and private charging networks, coupled with CaaS solutions, is accelerating the adoption of electric trucks by providing scalable and cost-effective infrastructure tailored to fleet requirements.
 

The North American electric truck market faces significant challenges due to battery costs and supply chain constraints. The high initial cost of electric trucks is primarily attributed to expensive battery components, including lithium-ion and cobalt, whose prices fluctuate with raw material costs. Additionally, supply chain bottlenecks for critical battery components can cause production delays, hindering manufacturers' ability to scale production to meet increasing demand. These factors make it difficult for fleet operators, especially smaller businesses with limited capital, to justify the cost of transitioning to electric trucks, thereby restricting market growth.
 

North America Electric Truck Market Analysis

Based on vehicle, the market is divided into light duty trucks, medium duty trucks and heavy duty trucks. In 2023, the light duty segment was valued at over USD 900 million. The North American electric truck market is experiencing substantial growth in the light-duty segment, driven primarily by the increasing need for efficient last-mile delivery solutions. As e-commerce continues to expand, the demand for urban and suburban deliveries has surged, creating an ideal environment for light-duty electric trucks to showcase their efficiency and maneuverability advantages.
 

These vehicles' compact dimensions and reduced weight enable them to navigate city streets with ease, while simultaneously offering lower operational costs compared to their heavier electric counterparts. Government incentives aimed at promoting electric vehicle adoption in urban areas have further bolstered the growth of this segment. Additionally, major corporations such as Amazon and UPS are actively transitioning to emission-free delivery fleets, contributing significantly to the rising demand for light-duty electric trucks. This combination of factors has positioned the light-duty segment as a key driver of growth in the market.
 

Based on propulsion, the market is categorized into BEV, HEV, PHEV, FCEV. In 2023, the PHEV segment held a market share of over 55%. Plug-in hybrid electric vehicles (PHEVs) lead the North American electric truck market, owing to their versatility and extended range capabilities. These vehicles combine a conventional engine with an electric battery, providing fleets the flexibility to operate in regions where charging infrastructure is limited.
 

PHEVs alleviate operational concerns by enabling long-distance travel while simultaneously reducing emissions. This hybrid solution particularly appeals to logistics operators transitioning from diesel trucks, as it lowers fuel costs and emissions without complete reliance on electric charging stations. Consequently, PHEVs emerge as a practical choice for diverse operational needs in the trucking industry.
 

U.S. region accounted for a electric truck market share of over 78% in 2023 and is expected to exceed USD 177 billion by 2032. Regulatory incentives and corporate sustainability initiatives are driving the U.S. electric truck market. The Biden administration's focus on clean energy and zero-emission vehicle targets is encouraging investments in electric truck infrastructure, including expanded charging networks and tax incentives for electric vehicle purchases.
 

Concurrently, major logistics companies such as FedEx and Walmart are committing to transition their fleets to electric trucks as part of their broader sustainability strategies. California has become a key market for electric truck adoption, owing to its stringent emission regulations and substantial state-level incentives, which have fostered a strong demand for electric trucks in the United States.
 

The electric truck market in Canada is expanding, driven by the government's active efforts to reduce greenhouse gas emissions. Significant rebates for electric vehicle purchases and more stringent emission regulations are motivating fleet operators to switch to electric trucks. The logistics industry's emphasis on sustainable transportation and the ongoing development of public charging infrastructure further encourage the adoption of electric trucks. Canada's dedication to lowering its carbon footprint, especially in major urban areas such as Toronto and Vancouver, is fueling growth in the market. This growth is supported by initiatives at both the federal and provincial levels.
 

North America Electric Truck Market Share

Volvo and Daimler held a significant market share of over 30% in 2023. Volvo maintains a strong presence in the electric truck industry, leveraging its established position in the global trucking industry. The company is expanding its electric truck portfolio, which includes the Volvo VNR Electric for urban and regional transport.
 

Volvo invests significantly in research and development for battery technology and autonomous driving solutions. Its partners
hips with major logistics companies, such as Amazon, further strengthen its market position. Additionally, Volvo provides comprehensive fleet management services, integrating telematics and charging infrastructure support to enhance operational efficiency for electric truck fleets.
 

Daimler is a key player in the North American electric truck market, primarily through its Freightliner brand. The company offers models like the eCascadia, which caters to both long-haul and urban transportation needs. Daimler is investing in battery technology and expanding its production capabilities to meet the growing demand for electric trucks. To address range concerns, the company collaborates with various charging infrastructure providers. Daimler also focuses on reducing the total cost of ownership for fleet operators, enhancing its competitive advantage through strategic partnerships and fleet services.
 

North America Electric Truck Market Companies

Major players operating in the North America electric truck industry are:

• BYD
• DAF Trucks
• Daimler
• Hino
• Isuzu
• Nikola Corporation
• PACCAR
• Renault
• Traton
• Volvo
   

North America Electric Truck Industry News

• In May 2024, Hyundai Motor Company (Hyundai Motor) and autonomous driving software provider, Plus have introduced the first Level 4 autonomous Class 8 hydrogen fuel cell electric truck in the U.S. at the Advanced Clean Transportation (ACT) Expo, North America's largest event for advanced clean transportation technologies and fleets. The Level 4 autonomous XCIENT Fuel Cell truck is currently undergoing initial autonomous driving tests in the U.S., marking the first-ever Level 4 self-driving trial on a Class 8 hydrogen fuel cell electric truck in the country. This collaboration aims to demonstrate how autonomous hydrogen fuel cell trucks can enhance safety, efficiency, and sustainability in the trucking industry.
   
• In September 2023, Nikola announced the launch of fuel cell electric vehicle truck. Nikola's hydrogen fuel cell electric truck provides a range of up to 500 miles and can be refueled in approximately 20 minutes. This vehicle is expected to have one of the longest ranges among commercially available zero-emission Class 8 trucks. Its versatile applications span drayage, intermodal transport, metro-regional truckload, less-than-truckload, and specific specialized hauling operations.
   

North America electric truck market research report includes in-depth coverage of the industry with estimates & forecast in terms of revenue (USD Million) & volume (Units) from 2021 to 2032, for the following segments:

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Market, By Vehicle

• Light duty trucks
• Medium duty trucks
• Heavy duty trucks

Market, By Axle

• 2-axle
• 3-axle
• 4-axle

Market, Application

• On-road
• Off-road

Market, Propulsion

• Battery electric trucks (BEV)
• Hybrid electric trucks (PHEV)
• Plug-in hybrid electric trucks (FCEV)
• Fuel cell electric trucks (ICE)

Market, Superstructure

• Box body
• Refrigerated body
• Flatbed body
• Curtainside body
• Tanker body
• Tipper body
• Crane body
• Skip loader body
• Fire engine body
• Hooklift body
• Spreading
• Ploughing
• Concrete mixer
• Refuse collector
• Sweeper
• Recovery vehicle

Market, Battery Capacity

• Below 100 kWh
• 100-300   kWh
• Above 300 kWh

Market, Range Capacity

• Short range (Up to 150 miles)
• Medium range (150 to 250 miles)
• Long range (Over Range 250 miles)

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

• North America
  • U.S.
  • Canada