The global industrial electric vehicle market size surpassed USD 23.25 billion in 2023 and is anticipated to cross around USD 72.28 billion by 2033, expanding at a CAGR of 12.01% from 2024 to 2033.
Key Points
- Asia Pacific led the market with the largest market share of 41% in 2023.
- North America is expected to witness the fastest growth rate during the forecast period.
- By vehicle, the forklift segment has contributed the major market share of 36% in 2023.
- By propulsion type, the hybrid electric vehicle segment dominated the market in 2023.
- By application, the manufacturing segment has held the largest market share of 41% in 2023.
The industrial electric vehicle market is experiencing robust growth driven by increasing emphasis on sustainability, technological advancements in battery technology, and the need for efficient and cost-effective transportation solutions in industrial settings. Industrial electric vehicles (IEVs) encompass a wide range of vehicles used across sectors like manufacturing, logistics, mining, agriculture, and construction. These vehicles offer advantages such as reduced emissions, lower operating costs, and enhanced workplace safety compared to traditional fossil fuel-powered counterparts.
Get a Sample: https://www.precedenceresearch.com/sample/4247
Growth Factors
Several key factors are fueling the growth of the industrial electric vehicle market. Environmental regulations aimed at curbing emissions are pushing industries to adopt cleaner transportation solutions, driving the demand for IEVs. Additionally, advancements in battery technology, including higher energy densities and faster charging capabilities, have overcome many of the historical limitations of electric vehicles, making them more attractive for industrial applications. The rising cost competitiveness of electric vehicles, driven by declining battery prices and operational savings, is further accelerating market growth.
Region Insights
The adoption of industrial electric vehicles varies by region based on factors such as regulatory environment, infrastructure development, and industrial activity. Developed regions like North America and Europe have been early adopters due to stringent emission standards and government incentives for electric vehicle adoption. In Asia Pacific, rapid industrialization and government support for electric vehicle manufacturing are driving market growth, with countries like China and India emerging as key markets. Latin America and the Middle East are also showing increasing interest in IEVs as awareness of environmental issues grows.
Industrial Electric Vehicle Market Scope
| Report Coverage | Details |
| Growth Rate from 2024 to 2033 | CAGR of 12.01% |
| Industrial Electric Vehicle Market Size in 2023 | USD 23.25 Billion |
| Industrial Electric Vehicle Market Size in 2024 | USD 26.04 Billion |
| Industrial Electric Vehicle Market Size by 2033 | USD 72.28 Billion |
| Largest Market | Asia Pacific |
| Base Year | 2023 |
| Forecast Period | 2024 to 2033 |
| Segments Covered | By Vehicle, By Propulsion, and By Application |
| Regions Covered | North America, Europe, Asia-Pacific, Latin America, and Middle East & Africa |
Industrial Electric Vehicle Market Dynamics
Drivers
Several drivers are propelling the industrial electric vehicle market forward. The primary driver is the global push towards sustainability, with businesses seeking to reduce their carbon footprint and comply with environmental regulations. IEVs offer a viable solution by eliminating tailpipe emissions and reducing overall energy consumption. Additionally, the operational benefits of electric vehicles, such as lower maintenance costs and quieter operation, appeal to industries looking to optimize their operations and improve workplace conditions.
Opportunities
The industrial electric vehicle market presents significant opportunities for innovation and growth. There is a growing demand for specialized electric vehicles tailored to specific industrial applications, such as heavy-duty trucks, forklifts, and AGVs. Collaboration between industry stakeholders and technology providers to enhance charging infrastructure and develop smart grid solutions will be crucial to supporting widespread adoption. Moreover, the integration of IoT and telematics technologies into electric vehicles opens up opportunities for advanced fleet management and operational optimization.
Challenges
Despite its promising outlook, the industrial electric vehicle market faces several challenges. One major hurdle is the high upfront cost of electric vehicles compared to conventional counterparts, although declining battery prices are expected to alleviate this barrier over time. Range limitations and the need for robust charging infrastructure in industrial settings pose logistical challenges, especially for heavy-duty applications. Additionally, concerns about battery recycling and disposal require concerted efforts to ensure the sustainability of electric vehicles throughout their lifecycle.
Read Also: Recycling Equipment Market Size to Surpass USD 47.87 Bn By 2033
Industrial Electric Vehicle Market Recent Developments
- In March 2024, Hyundai Motor India Limited (HMIL) announced that it is planning to launch solution into the Indian electric vehicle market with the development of five latest manufacturing units across the India by 2030.
- In April 2024, the founder of Tesla, Elon Musk stated that he is planning to launch a range of affordable electric vehicle models by the year 2025. Production will start by the second half of 2025.
- In April 2024, Hyundai Motor Group is announcing the launch of the first hybrid cars in India by 2026. As per the reports, the company is currently assessing the hybrid sport-utility vehicle (SUV) similar in size to the bestselling mid-sized Creta SUV.
- In April 2024, Daimler Truck’s, Rizon, a latest brand is proudly announcing the launch of its battery-electric Class 4-5 trucks in Canada. The brand will showcase in Canada for the first time in Truck World in Toronto from April 18th to 20th and will be in the Canadian market with the preorders starts from June 2024.
- In May 2024, Toyota Motor North America, Inc. (Toyota) and FuelCell Energy, Inc. are celebrating the launch of first-of-its-kind “Tri-gen” system at the Port of Long Beach, California. The latest launch Tri-gen uses biogas to renewable hydrogen, produce renewable electricity, and usable water, and designed to support the vehicle distribution and processing center for Toyota Logistics Services (TLS) at Long Beach.
- In May 2024, BorgWarner, the first to the market for the electric torque Vectoring and Disconnect (eTVD) system for battery electric vehicles (BEVs) introduces the Polestar and an additional major European OEM.
- In April 2024, Daimler India Commercial Vehicles (DICV), the branch of the Daimler Truck AG launched the light duty redesigned eCanter all electric in India. It will used as the light duty commercial truck segment.
- In April 2024, Al Masaood Commercial Vehicles & Equipment (CV&E), the part of the well-known business conglomerate Al Masaood Group, announced that they secure the distributorship rights for Dongfeng Commercial Vehicles with the one of China’s premier automotive manufacturers- Dongfeng Automobile Corporation.
Industrial Electric Vehicle Market Companies
- Toyota Industries Corporation
- Hyster-Yale Materials Handling, Inc.
- Balyo
- John Bean Technologies Corporation (JBT)
- Seegrid Corporation
- Kuka AG
- Jungheinrich AG
- Swisslog Holding AG
- Dematic
- Daifuku Co., Ltd.
- Bastian Solutions, Inc.
- Schaefer Holding International GmbH
Segments Covered in the Report
By Vehicle
- Tow Tractors
- Forklifts
- Container Handlers
- Aisle Trucks
- Others
By Propulsion
- Hybrid Electric Vehicles (HEVs)
- Battery Electric Vehicle (BEVs)
By Application
- Manufacturing
- Warehouses
- Freight and Logistics
- Others
By Geography
- North America
- Asia Pacific
- Europe
- Latin America
- Middle East & Africa
Contact Us:
Mr. Alex
Sales Manager
Call: +1 9197 992 333
Email: sales@precedenceresearch.com
Web: https://www.precedenceresearch.com
Blog: https://www.expresswebwire.com/
Blog: https://www.uswebwire.com/
