Off-Highway Electric Vehicles Market To Generate Revenue Worth $97,754.1 Million in 2030
- Published: March 2022
The global off-highway electric market is booming due to the rising demand for low-noise and emission-free construction machines. Because of these factors, the industry is projected to generate $97,754.1 million revenue by 2030 and show significant growth during the forecast period.
By 2030, Ireland, the Netherlands, and Norway will ban the sale of gasoline and diesel automobiles, and over the next two decades, several additional countries will impose similar prohibitions. Additionally, since the construction industry accounts for 11% of the energy-related carbon emissions, countries will ban the sale of heavy diesel equipment at some point in time. All-electric heavy equipment generates low noise and zero emissions and has a lower total cost of ownership and reduced service time.
Equipment with LI-Ion Batteries To Grow Fastest in Market
The Li-ion category is expected to witness the fastest growth during the forecast period (2022–2030). This will mainly be due to the lower weight, longer life, better temperature tolerance, consistent power output, high power-to-weight ratio, high energy efficiency, and low self-discharge rate of such batteries.
Moreover, the BEV category held the largest volume share in 2021. This can be attributed to the stringent emission regulations and increasing demand for low or zero-emission vehicles. Additionally, the slowdown in the adoption of internal combustion engine vehicles and targets for CO2 emission reduction, decrease in lithium-ion battery prices, and advancements in the battery technology, as well as the continued attempts to establish charging infrastructure and hydrogen fueling stations are expected to make off-highway BEVs quite popular in the coming years.
Geographically, APAC held the largest share in the market in 2021. The increasing demand for electric excavators, electric loaders, electric dozers, electric mining dump trucks, electric lawnmowers, and electric tractors, to reduce pollution and noise, is expected to drive the APAC region's market growth. The adoption of electric off-highway vehicles in APAC is also driven by the rising demand for higher productivity, lower fuel expenses, and a smaller carbon footprint. Furthermore, the major manufacturers in the market, such as Hitachi Ltd., Sany Heavy Industry Co. Ltd., BYD Co. Ltd., and Komatsu Ltd., will drive the APAC market growth during the forecast period with their focus on the domestic market.
Partnerships & Collaborations Are Most-Effective Strategic Measures Taken by Players
Players in the global off-highway electric vehicles industry have been frequently involved in partnerships & collaborations to gain a significant position. For instance, in December 2021, Volvo Group, Daimler Truck, and the TRATON GROUP partnered to install and operate at least 1,700 high-performance green-energy public charging points for battery electric, heavy-duty long-haul trucks and coaches close to highways, as well as at logistical and destination points across Europe.
Similarly, in November 2021, Volvo Autonomous Solutions and Holcim Switzerland collaborated to jointly develop autonomous electric haulers and further, test them in a limestone quarry. Holcim’s quarry Gabenchopf in Siggenthal has been chosen as the site for this project, which showcases a sustainable transport solution that is commercially viable and combines connectivity, automation, and electrification.
Major players operating in the global off-highway electric vehicles market include Hyundai Doosan Infracore Co. Ltd., AB Volvo, Komatsu Ltd., Caterpillar Inc., J.C. Bamford Excavators Limited, LIEBHERR-International Deutschland GmbH, Xuzhou Construction Machinery Group Co. Ltd. (XCMG), Sany Heavy Equipment International Holdings Company Limited, Epiroc AB, Sandvik AB, CNH Industrial N.V., DEERE & COMPANY, and Hitachi Ltd.