by Overview:
Commercial vehicles are automobiles designed and used primarily for business and commercial purposes rather than personal transportation. These vehicles play a crucial role in the transportation of goods, services, and people, supporting various industries and economies worldwide. Commercial vehicles include trucks, vans, buses, and specialized vehicles like delivery trucks, tankers, refrigerated trucks, and construction vehicles. They are distinguished from private or passenger vehicles by their purpose-built designs, larger carrying capacities, and ability to withstand heavy loads and frequent use. Commercial vehicles are subject to various regulations and safety standards due to their impact on road infrastructure, public safety, and environmental concerns. Manufacturers continuously strive to improve the efficiency and sustainability of commercial vehicles, introducing hybrid and electric models to reduce emissions and fuel consumption. Overall, commercial vehicles are essential components of the modern economy, supporting trade, logistics, and public transportation, while contributing significantly to the growth and development of industries and societies.
Market Dynamics:
Rising acquisitions are estimated to augment the growth of the global commercial vehicles market during the forecast period. For instance, Toyota Motor Corporation acquired a Silicon Valley-based US company Renovo Motors, in September 2021. The company is aiming to become a “smart mobility company,” with this acquisition. Moreover, the rising impact of emissions on the environment is anticipated to restrain the growth of the global commercial vehicles market during the forecast period.
Impact of COVID-19:
COVID-19 had long-term effects on various sectors of society. The pandemic led to the imposition of travel bans, social distancing, quarantines, and strict lockdowns in many countries. These restrictions hampered the growth of sectors like semiconductors, automobiles, electronics, and many more. Manufacturing activities in several sectors were halted owing to these lockdowns. The automotive industry was facing several challenges during the pandemic such as lack of skilled professions and shortage of raw materials. Supply chains were also disrupted in many regions. This also hampered the growth of the market. There was a decrease in demand for commercial vehicles. Thus, the pandemic had a negative impact on the growth of the global commercial vehicles market. However, the market is estimated to witness growth in the post-pandemic era.
Key Takeaways:
The global Commercial Vehicles Market is expected to witness high growth, exhibiting a CAGR of 18 % over the forecast period, due to increasing agreements among key players. For instance, Tata Motors has a strategic Memorandum of Understanding with BigBasket, DOT, Amazon, LetsTransport, Yelo EV, Flipkart, City Link, and MoEVing, in May 2022. Through this MoU, they will be delivering 39,000 ACE electric vehicles to the logistics service providers.
Asia-Pacific is anticipated to witness significant growth in the global commercial vehicles market during the forecast period, due to growing urbanization, and rising demand for light, medium, and heavy commercial vehicles.
Key players operating in the global commercial vehicles market are Golden Dragon, Bosch Rexroth AG, General Motors, Ashok Leyland, TATA Motors, Daimler, VOLVO, Toyota Motor Corporation, Mahindra and Mahindra, and Volkswagen AG.
Money Singh is a seasoned content writer with over four years of experience in the market research sector. Her expertise spans various industries, including food and beverages, biotechnology, chemicals and materials, defense and aerospace, consumer goods, etc.
