Western Europe Heavy Ground Transportation Vehicles Market to Generate $271.5 Bn Revenue by 2030
- Published: March 2022
The Western European heavy ground transportation vehicles market is progressing due to the increase in trade activities, rapid urbanization, and innovations in technologies. Due to the aforementioned reasons, the market is projected to generate $271.5 billion by 2030, advancing at a CAGR of 6.4% during 2021–2030.
As a result of the global supply and trade disruptions due to the pandemic, European truck sales dropped sharply in 2020, with the greatest drop seen in the U.K. One justification for this is likely the weak sales projections in the pre-pandemic years. Additionally, there was a sharp drop in the demand for buses, as during the initial phase of COVID-19, there had been massive reductions in the number of everyday commuters and tourists. After the lifting of the lockdown and travel restrictions, the market will regain momentum in the coming years.
Conventional Trucks Hold Majority of Revenue Share
Conventional trucks generated the majority of the revenue in the Western European heavy ground transportation vehicles market in 2021. These trucks are used the most commonly, and they are also less expensive compared to hybrid, electric, and fuel-cell variants. Moreover, they are more comfortable to drive over long distances because their wheelbase is longer, and they are also easier to inspect and maintain because it is simple to lift their bonnet.
Rising Demand for Transit Buses Fueling Market Growth
Transit buses dominated the Western European bus market with around 50% revenue share in 2021. The market for transit buses is also expected to grow with the highest CAGR during the forecast period. Buses are the most-widely used form of public transport in the region and a vital contributor to tourism. Moreover, these automobiles improve social inclusion, providing access to education, employment, and healthcare to all, including those with low incomes, those who do not drive, the older generation, people with disabilities, and people living in remote areas.
Partnerships & Collaborations Aiding Market Players in Business Growth
Players in the Western European heavy land transportation vehicles market have been involved in strategic partnerships and collaborations to dominate the competition. For instance, in September 2021, AB Volvo launched the new Volvo BZL Electric chassis, which has a two-stage automated gearbox and a 200kW motor, which offers a maximum of 540 hp. This arrangement offers a higher torque at lower speeds and evens out the peaks, thereby helping save energy and enhancing battery health and service life. Moreover, the buses allow for both depot and on-route charging.
Moreover, in December 2020, AB Volvo, Daimler Truck AG, IVECO, OMV Group, and Shell PLC collaborated to launch H2Accelerate zero-emission hydrogen trucks in Europe, to achieve the complete decarbonization of the trucking sector.
The major players operating in the Western European heavy ground transportation vehicles market are Alstom Holdings, Hitachi Ltd., Siemens Aktiengesellschaft, Wabtec Corporation, CNH Industrial N.V., AB Volvo, Mercedes-Benz Group AG, Traton Group, CAF Construcciones y Auxiliar de Ferrocarriles S.A., Mitsubishi Fuso Truck and Bus Corporation, VDL Bus & Coach B.V., BYD Motors Inc., and Toyota Industries Corporation.