According to a new market research report published by Credence Research, the overall global commercial vehicle market was valued at US$ 1.05 Tn in 2018 and is set to grow at 6.2% CAGR during the forecast period.
Enhancing the logistics industry and increasing infrastructure spending worldwide are driving the growth of the global commercial vehicle market. Growth in the e-commerce sector, improved road infrastructure and increasing demand for commercial vehicles worldwide are other key factors in the growth of the global commercial vehicle market. According to OICA, 26,365,470 commercial vehicles were sold in 2018 compared to 24,965,772 in 2017. Original equipment manufacturers (OEMs) are now launching products with telematics and connectivity features that include traffic data, accident warnings, roadwork updates, navigation, weather reports and others. These features provide extra safety for vehicles which, in turn, help the market to grow. As a result, we expect that the global market for commercial vehicles will show significant growth during the forecast period.
The global commercial vehicle market was driven by the logistics segment in 2018 on the basis of end-use. The Logistics segment contributed around 30% of the revenue share for the same year. The global logistics industry was projected to grow by around US$ 8.5 Tn in 2018 and is expected to grow by almost 4.5% in the coming years at CAGR. The Logistics segment is dominated by the growing e-commerce industry and trade activities worldwide. Consequent need for multi-channel distribution and rising globalization are helping the logistics segment to grow.The development of road infrastructure is another major factor in the growth of the segment. As a result, we expect the segment to continue to dominate throughout the forecast period.
Based on geography, North America was the largest region by volume and value in 2018. North America contributed about 40 per cent of total market revenue and nearly 50% of total market volume in the same year. North America is dominated by continuous infrastructure development and easy financing options. On the other hand, we expect the Asia Pacific to be the fastest-growing region, both in terms of value and volume. The Asia Pacific will show the highest growth due to growing road infrastructure, Developing Asia-Pacific economies, such as China and India, will be the largest contributor to Asia-Pacific commercial vehicle market growth. As a result, we expect the Asia Pacific to be the fastest-growing region in the forecast period.
Some of the major players profiled in the report include Daimler AG, Tata Motors, Volkswagen AG, Ashok Leyland, Volvo Car Corporation, General Motors, Fiat Chrysler Automobiles N.V., China National Heavy Duty Truck Group Co., Ltd., PACCAR Inc, IZUSU Motors Ltd., Ford Motor Company, JAC Motors, Toyota Motor Corporation, among others.