The electric commercial vehicle market value is set to progress at a CAGR of 36.2% during 2022–2030, to reach $814.8 billion by 2030.
Manufacturers have been compelled to offer ECVs for the entire world by the rise in the demand for low-emission transportation and government support for zero-emission commercial vehicles, in the form of subsidies and tax rebates. With an increase in the demand, OEMs, such as Rivian, GM, Ford, and Tesla, are predicted to expand their portfolios of electric pickup trucks in the next few years.
OEMs will also have opportunities as a result of the rising public and private investments in the construction of infrastructure for hydrogen fueling and EV charging, which will increase their geographic reach and offer new revenue streams. With a high demand for electric public transit and logistics services, the Asia-Pacific region is predicted to have the largest market for electric commercial vehicles.
The industry in North America will expand when more electric pickups are sold in the region, which are expected to gain significant traction before the end of this decade.
The depleting oil reserves in the major oil-producing countries have led to an increase in crude oil prices globally. Since crude oil imports constitute a significant expenditure for most of the developing countries, the increase in crude oil prices has compelled them to cut down on their oil imports, with the adoption of alternative fuels.
Despite their high initial cost, commercial electric vehicles have considerably low operating costs. This is the reason transit agencies in developing countries are focusing on the long-term environmental and cost benefits of these vehicles. The establishment of new cities and satellite cities in developing countries has offered a significant development space to the infrastructure for commercial EVs. Moreover, these automobiles are less noisy and require lower maintenance compared to their conventional counterparts.
The U.K. had a significant share, of more than 20%, in the commercial electric vehicle market of Europe in 2022. The country is witnessing an increasing number of collaborations between local and international OEMs, which encourages the domestic production of electric vehicles for commercial use.
Moreover, the U.K. government is actively supporting the adoption of commercial electric vehicles by implementing policies, including incentives, at the national level, to smoothen the transition from conventional vehicles to electric vehicles.
The most-significant electric commercial vehicle market players are Zhengzhou Yutong Bus Co. Ltd., BYD Company Limited, Zhongtong Bus Holding Company Limited, Proterra Inc., AB Volvo, Dongfeng Motor Corporation, Hino Motors Ltd., Nikola Corporation, Workhorse Group Incorporated, and Isuzu Motors Ltd.