Dublin, Sept. 14, 2023 (GLOBE NEWSWIRE) -- The "Electric Commercial Vehicle Market by Propulsion (BEVs & FCEVs), Vehicle Type (Pickups, Medium and Heavy-Duty Trucks & Vans), Range, Battery Type, Power Output, Battery Capacity, Component, End User, Body Construction and Region - Global Forecast to 2030" report has been added to ResearchAndMarkets.com's offering.
The global electric commercial vehicle market size is projected to grow from 519.4 thousand units in 2023 to 2,155.1 thousand units by 2030, at a CAGR of 22.5%. Governments support of EVs through incentives and schemes for using electric vehicles and collaborating with top automobile manufacturers will increase EV adoption. Electric commercial vehicles operate at a lower cost than ICE commercial vehicles. Growing research of EV batteries and EV charging systems will drive the electric commercial vehicle market. Electric vehicle charging stations, battery swapping stations, and fleet stations are required to be installed globally for growing the demand for electric commercial vehicles.
Less Than 150 Miles is expected to be the largest market in the forecast period.
Low performance and affordable electric commercial vehicles usually have a range of less than 150 miles. Several OEMs offer electric vans with low-cost batteries with a restricted range of 100-150 miles. OEMs have been providing trucks and vans for this segment over the years. For instance, in 2023, Rizon, a brand of Daimler, launched the e18L, e16L, and e16M medium duty electric trucks with a range of 110-160 miles. Furthermore, Bollinger Motors launched a medium duty all-electric truck Bollinger B4 in September 2022, which is an all-wheel-drive aluminum body vehicle. It has a range of 100 - 200 miles. Municipalities use low range electric vans and trucks for a variety of services, including waste collection, street sweeping, and maintenance tasks. Electric vehicles are an excellent choice for these tasks because they produce no emissions and are much quieter than gas or diesel-powered vehicles. In 2021, Irizar Group received an order for 10 electric trucks which will be used for refuse services.
NMC will be the largest segment in the forecast period by battery type.
Nickel-manganese-cobalt oxide batteries (NMC) are composed of several materials with different properties, high density, and efficiency. These batteries are ideal for use in electric commercial vehicles as they have a low self-heating rate while in operation. The chemical composition of the NMC batteries comprises lithium nickel manganese cobalt oxide as the cathode and graphite as the anode. The NMC batteries are very expensive and toxic due to the presence of cobalt. OEMs have now started to shift towards the adoption of higher content of nickel in cathodes. Compared to cobalt, nickel cells have a lower cost and higher life cycle. NMC batteries are preferable for a longer range and in colder climate conditions in Europe and North America. The NMC batteries are generally used because cobalt and nickel cells have a lower cost, higher life cycle, more stability, and higher energy density. NMC batteries are preferable for long-range and colder climate conditions in Europe and North America. NMC batteries offer high-density packs within the same dimension and same weight, due to which their demand is expected to significantly grow in upcoming years. In 2021, BHP announced the signing of a nickel supply agreement with Tesla, Inc. In addition to the supply agreement, BHP and Tesla Inc will collaborate on ways to make the battery supply chain more sustainable. In January 2022, GODI (India) announced the manufacturing of the first batch of commercial-grade NMC batteries. These factors are expected to fuel the growth of NMC batteries in electric commercial vehicles.
Asia Pacific shows high growth potential for the electric commercial vehicle market.
Asia Pacific is home to many OEMs, such as Mahindra & Mahindra Ltd. (India), BYD (China), King Long (China), Toyota Motor Corporation (Japan), and Nissan Motor Corporation (Japan). The Asia Pacific market is dominated by China, which has large sales volumes for electric commercial vehicles. Japan also plays a vital role in automotive technology in the Asia Pacific. With advancements in technologies, the Japanese electric commercial vehicle market is expected to grow. In July 2022, Toyota Motor Corporation announced that work with Allied Motors to develop fuel cell electric vans. The rising demand of customers for faster deliveries is the key factor driving the growth of the last-mile delivery market in the Asia Pacific. Governments of these countries have encouraged installing EV charging stations, formulated emission norms, and set deadlines for shifting to full or hybrid EVs from ICE vehicles. India is also working on increasing its electric vans and trucks in the market. The new vehicle scrappage policy in which old vehicles can be scrapped off for changing to low emission zones and other upcoming policies will help the country become a lucrative market for electric commercial vehicles in the coming years.
Last Mile Delivery is expected to be the largest in the market in the forecast period.
The rise of e-commerce has significantly increased the demand for last-mile delivery services, leading to various developments in the commercial vehicle sector. Companies are adding electric commercial vehicles, such as electric vans, electric trucks, and pickup trucks, to their fleets to reduce expenses and reduce vehicle emissions. In May 2022, Terrago (India) used a fleet of 65 Mahindra Treo Zor cargo vehicles for delivery purposes in India. The electric commercial market will grow due to the increasing investments by governments across the globe.
Competitive landscape
The electric commercial vehicle market is dominated by established players such as BYD (China), Mercedes Benz Group AG (Germany), AB Volvo (Sweden), Tesla, Inc (US), and PACCAR Inc (US). The market ranking has been derived by considering ECV sales and a certain percentage of segmental revenue for each of the companies mentioned above. These companies also offer extensive products and solutions for the automotive industry. These companies have strong distribution networks at the global level, and they invest heavily in R&D to develop new products.
Premium Insights
- Increased Ownership of Fuel-Efficient Vehicles to Drive Demand for Electric Commercial Vehicles
- Full-Size to Secure Leading Market Position Between 2023 and 2030
- Vans to Surpass Other Segments During Forecast Period
- Bevs to Record Highest CAGR by 2030
- Nmc Batteries to Acquire Maximum Shares from 2023 to 2030
- 60-120 Kwh to be Largest Segment by 2030
- Less Than 100 Kw to Exceed Other Segments During Forecast Period
- Less Than 150 Miles to Hold Majority Shares Between 2023 and 2030
- Last-Mile Delivery to be Largest End-Use Application During Forecast Period
- Asia-Pacific to Account for Largest Market Share in 2023
Market Dynamics
Drivers
- Reduced Cost of EV Batteries
- Hike in Price of Fossil Fuels
- Increased Preference for Emission-Free Commercial Vehicles in Logistics Industry
- Government Support for Electric Commercial Vehicles
Restraints
- High Initial Investment in Electric Commercial Vehicle Production
- Concerns Associated with Battery Safety
- Lack of Robust Charging Infrastructure
- Low Vehicle Range
Opportunities
- New Revenue Pockets in North America and Northern Europe
- Development of Wireless Ev Charging Technology for On-The-Go Charging
- Use of Electric Vehicles for Fleets and Commercial Applications
Challenges
- Limited Battery Capacity
- Low Availability of Lithium for Ev Batteries
- Insufficient Grid Infrastructure Globally
Case Study Analysis
- User Experience of Battery-Electric Trucks in Norway
- Electric Vehicle Fleets for Public Sector in Vermont
Company Profiles
Key Players
- Mercedes-Benz Group Ag
- BYD
- Ab Volvo
- Tesla, Inc
- Paccar Inc
- Renault
- Scania Ab
- Ford Motor Company
- Yutong
- Dongfeng Motor Corporation
- Proterra
- Vdl Groep
- Rivian
Other Players
- Tata Motors Limited
- Workhorse Group
- Nikola Corporation
- Ashok Leyland
- Isuzu Motors Ltd.
- Irizar Group
- Iveco
- Bollinger Motors
- Xos Trucks Inc
- Man Se
- Golden Dragon
- Zenith Motors
- Arrival
- Lordstown Motors
Key Attributes:
| Report Attribute | Details |
| No. of Pages | 287 |
| Forecast Period | 2023 - 2030 |
| Estimated Market Value in 2023 | 519.4 Thousand Units |
| Forecasted Market Value by 2030 | 2155.1 Thousand Units |
| Compound Annual Growth Rate | 22.5% |
For more information about this report visit https://www.researchandmarkets.com/r/m0czuu
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