by The global commercial vehicles market is estimated to be valued at US$1071.68 billion in 2022, and it is expected to exhibit a CAGR of 18% over the forecast period 2023-2030, according to a new report published by Coherent Market Insights.
Market Overview: Commercial vehicles refer to a wide range of vehicles used for transportation of goods and passengers for commercial purposes. These vehicles include trucks, buses, vans, and trailers. The market for commercial vehicles is witnessing significant growth due to the increasing need for efficient and sustainable transportation solutions. Commercial vehicles offer advantages such as higher payload capacity, cost-effectiveness, and versatility, which are essential for various industries such as logistics, construction, and public transportation.
Market Key Trends: One of the key trends observed in the commercial vehicles market is the growing demand for electric and hybrid vehicles. With increasing environmental concerns and government regulations promoting clean energy, the adoption of electric and hybrid commercial vehicles is on the rise. These vehicles offer lower emissions, reduced fuel consumption, and cost savings in the long run. Major industry players such as Ashok Leyland, General Motors Company, Daimler AG, and Volvo Group are investing heavily in the development of electric and hybrid commercial vehicles to meet the evolving customer demands and regulatory requirements.
Porter’s Analysis
Threat of new entrants: The commercial vehicles market is highly competitive, making it difficult for new entrants to establish a strong foothold. Established companies already have a significant market share and economies of scale, making it challenging for new players to compete effectively.
Bargaining power of buyers: Buyers in the commercial vehicles market have a moderate level of bargaining power. They have the ability to negotiate prices and terms with suppliers due to the availability of multiple options. However, the long-term relationships between buyers and suppliers may limit their bargaining power.
Bargaining power of suppliers: Suppliers in the commercial vehicles market have a moderate level of bargaining power. There are several suppliers available in the market, providing buyers with options. However, some suppliers have established long-term collaborations with key players, which can give them an advantage.
Threat of new substitutes: The threat of new substitutes in the commercial vehicles market is low. Commercial vehicles are essential for businesses that require transportation of goods or passengers. Currently, there are limited alternatives that can provide the same level of efficiency and capacity as commercial vehicles.
Competitive rivalry: Competitive rivalry in the commercial vehicles market is high. Key players are constantly striving to gain a larger market share through product innovation and competitive pricing. This leads to intense competition and a constant need to differentiate products and services.
Key Takeaways
The global Commercial Vehicles Market Size is expected to witness high growth, exhibiting a CAGR of 18% over the forecast period (2023-2030). This growth can be attributed to several factors, including the increasing need for efficient transportation of goods and passengers, growing industrialization and infrastructure development in emerging economies, and the rising demand for electric commercial vehicles.
In terms of regional analysis, Asia Pacific is anticipated to be the fastest-growing and dominating region in the commercial vehicles market. Countries like China and India are witnessing rapid urbanization and economic growth, leading to an increased demand for commercial vehicles. Additionally, government initiatives to develop smart cities and improve transportation infrastructure further drive the market growth in this region.
Key players operating in the commercial vehicles market include Ashok Leyland, General Motors Company, Bosch Rexroth AG, Xiamen Golden Dragon Bus Co., Ltd., Daimler AG, Volvo Group, Volkswagen AG, Mahindra and Mahindra Ltd., Toyota Motor Corporation, and Tata Motors Ltd. These players have a strong market presence and are continuously investing in research and development to enhance their product offerings and maintain their competitive edge.
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1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
