Truck Rental Market Size & Share Analysis - Trends, Drivers, Competitive Landscape, and Forecasts (2024 - 2030)

Truck Rental Market Trends & Growth Drivers

Expanding Truck Rental Fleet Is Key Trend in Market

• In this market, the major players are expanding their fleets with the intention of fulfilling the growing demand for rentals. Their focus remains on procuring specialized trucks for different commercial and industrial applications. Nowadays, businesses recognize the benefit of renting a truck instead of buying one, and rental companies have started to invest heavily in acquiring new trucks and diversifying their offerings.
• This trend is influenced by the growth of several end-use markets, need to fulfill customer demands, geographical expansion, the demand of users to do away with replacements and upgrades.
• Expanding the rental truck fleet helps fulfill the continuously growing demand for logistics and transportation services. Moreover, with a larger fleet, service providers can offer cost-effective solutions for their needs. The advent and growing popularity of online truck rental platforms further this trend.
• With the growing demand for goods transportation, logistics companies seek numerous benefits associated with renting, such as financial savings, reduced maintenance, and freedom from parking hassles. Similarly, to fulfill customers’ demands, market players offer various models with different payloads and utilities, according to the demand.
• Companies in the industry are also carrying out regular parts replacement and upgrades to meet consumers’ changing requirements and meet the government regulations on emissions and fuel consumption.

Growing Industrialization and Urbanization Worldwide Are Key Drivers for This Market

• The rapid expansion of the world economy has led to an improvement in infrastructure. The easy availability of logistics and transportation services speeds up industrialization and urbanization around the world. This is because commercial vehicles help move people and goods across significant distances in bulk, thereby making resources available for construction and other purposes at a lower cost.
• Heavy-duty trucks have played an important role in advancing industries and improving the overall quality of life with their high payload capacities, by moving large volumes of consumer and industrial goods.
• The demand for HDTs is growing as a result of the increasing shipping, mining, and construction activities globally. Thus, the market is growing because fleet operators can effectively and cost-efficiently satisfy the need for freight transportation by renting vehicles instead of buying them.

Strict Emission Regulations and Growing Fuel Prices Affect Market Growth

• Various countries have implemented regulations for equipment and vehicle rental companies with regard to safety, environmental impact, and licensing.
• Adjusting to the evolving rules may result in increased administrative and operational difficulties, such as compliance, regular parts replacement and upgrades, and regular pollution checks.
• The growing prices of diesel can affect the rental market too.
• The high price of fuel directly increases the operational costs for rental companies and their customers and, as a result, affects the demand for rental services.

Truck Rental Market Analysis

Type Insights

• The pickup truck category contributes 45% revenue and dominates the market in 2024, as pickup trucks are used for both personal and commercial purposes. These vehicles have a strong consumer base, which appreciates the combination of cargo capacity, passenger space, and towing capability.
• Under this category, the 0.5 tons category holds the largest share, due to the growing preference for eco-friendly and fuel-efficient vehicles.
• The cargo van category is expected to witness a CAGR of 7.6% during 2024–2030. This is because of the growth in e-commerce, which leads to a rise in the necessity for delivery and logistics solutions, especially in urban and suburban areas.
• Under this category, the high-roof category is the fastest-growing. This trend is driven by the rising demand for fuel-efficient, versatile vehicles that can easily navigate narrow spaces, while offering a sizable cargo space.

Types covered in the report include:

• Box Truck     
• Cargo Van (Fastest-Growing Category)
• Pickup Truck  (Largest Category)
• Stake Bed

Industry Insights

• The commercial category holds the largest share, of 30%, in 2024, and it is expected to witness the highest CAGR, during 2024–2030. The increasing demand for transportation and logistics services in the retail and e-commerce industry strongly drives the market in this category.
• Commercial trucks are rented by various businesses, including retailers, manufacturers, service providers, wholesalers, and construction firms for transporting equipment, merchandise, goods, and materials to suppliers, distribution centers, and industrial sites.
• As businesses aim for flexibility and cost-effectiveness in their operations, they are increasingly renting trucks instead of owning them.

The following industries are included in the report:

• Municipal
• Power & Energy
• Mining & Metals
• Oil & gas
• Electrical
• Commercial (Largest and Fastest-Growing Segment)

Propulsion Insights

• The ICE category dominates the market with 40% revenue in 2024. Traditional powertrains offer reliability and are supported by well-established maintenance, service, and refueling infrastructure.
• Widespread availability and familiarity, cost-effectiveness, durability, and increasing compliance with emission standards make these models popular.
• The battery electric truck category is expected to witness the highest CAGR, during 2024–2030. With the growing concerns about the environment and need for emission reduction, pure-electric trucks are becoming increasingly popular.
• The technological advancements in traction motors and batteries, their reducing costs, government subsidies on EVs, and corporate sustainability initiatives drive the market growth in this category.

These propulsions have been analyzed in the report:

• ICE (Largest Category)
• Battery Electric (Fastest-Growing Category)
• Hybrid/Plug-in Hybrid Electric
• Fuel Cell Electric

Service Provider Insights

• The OEMs category holds the larger share of the market, of 65%, in 2024. This dominance is because of the presence of major truck manufacturers around the world that have dedicated financing arms offering leasing and rental services for their branded vehicles.
• Users also majorly prefer OEMs because of the latter’s knowledge on their own models and their long-standing expertise in the industry.
• Commercial banks and financial companies are expected to witness the higher CAGR, of 7.5%, during 2024–2030. This is because many major banks and companies recognize the potential of the truck rental market, establishing divisions or partnerships for offering these services.

The service providers covered in the report are:

• OEM (Larger Category)
• Commercial Banks and Financial Companies (Faster-Growing Category)
• Others

Geographical Analysis

APAC Is Largest Region

• APAC has acquired the largest market share, of 45%, in 2024, and it is expected to be the fastest-growing market, with a CAGR of 7.7%, during 2024–2030. This is because many countries of APAC are experiencing considerable economic growth, which leads to an increase in industrial and commercial activities.
• According to NITI Aayog, almost 4 million trucks were running on Indian roads in 2022.
• Many Businesses provide transportation solutions, as a result requiring medium- and heavy-duty commercial vehicle rentals. The growing level of urbanization increases the demand for freight transportation services across cities and metropolitan areas. The rising scale cost of construction activities will further drive the demand for rental services in the future.
• North America holds a significant market share in 2024 too due to the well-established manufacturing industry. In this region, small and mid-scale industries are dependent on rental services for their logistical needs. The presence of a strong road transportation infrastructure in this region further increases the demand for rental trucks.
• During the forecast period, Europe will witness significant growth in this industry. This region also has a well-established transportation infrastructure, which raises the suitability of renting trucks. As environmental concerns arise, several businesses Could offer electric trucks on lease.

The regions and countries analyzed in this report include:

• North America
  • U.S. (Larger Country Market)
  • Canada (Faster-Growing Country Market)
• Europe
  • Germany (Largest Country Market)
  • U.K. (Fastest-Growing Country Market)
  • France
  • Italy
  • Spain
  • Rest of Europe
• Asia-Pacific (APAC) (Largest and Fastest-Growing Regional Market)
  • China (Largest Country Market)
  • Japan
  • India (Fastest-Growing Country Market)
  • South Korea
  • Australia
  • Rest of APAC
• Latin America (LATAM)
  • Brazil (Largest and Fastest-Growing Country Market)
  • Mexico
  • Rest of LATAM
• Middle East and Africa (MEA)
  • Saudi Arabia (Largest Country Market)
  • South Africa
  • U.A.E. (Fastest-Growing Country Market)
  • Rest of MEA

Truck Rental Market Share

Market Concentration – Fragmented

Major players in this market are spending money to expand their product lines, which helps this market grow faster. As this market is fragmented, many companies are engaging in the expansion of their worldwide footprint, mergers and acquisitions, contractual agreements, and collaborations.

Truck Rental Market News

• In March 2024, Flex Fleet Rental adopted the name Summit Fleet, reflecting its strategic merger with Kaizen Automotive Group.
• In February 2024, Mercedes-Benz entered into a partnership with Daimler Truck Financial Services and introduced Mercedes-Benz Locações Caminhões e Ônibus (Mercedes-Benz Truck and Bus Rentals) in Brazil. With this, Mercedes wants to expand the availability of its truck rental services in Latin America.
• In April 2023, Penske Corporation Inc. acquired Star Truck Rentals Inc. to offer commercial truck rental, full-service leasing, used truck sales, contract maintenance, and other services.
• In September 2022, Enterprise Holdings Inc. expanded its presence to across 500 locations in the U.S. and Canada.