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Thursday, October 19, 2023

Light duty trucks Market 2023-2030 | Size, Share and Trends

How big is the light duty truck market?

Light duty trucks are vehicle with a gross vehicle weight (GVW) of up to 10,000 pounds. They are typically used for commercial purposes, such as transporting goods and materials, but they can also be used for personal use, such as camping and towing.

The light duty truck market is driven by a number of factors, including:

The growing e-commerce market, which is driving the demand for last-mile delivery vehicles.
The increasing urbanization of the world's population, which is leading to a greater demand for compact and maneuverable vehicles.
The rising demand for light duty trucks in developing countries, where they are used for a variety of purposes, including construction, agriculture, and transportation.

The Asia Pacific region is the largest market for light duty trucks, followed by North America and Europe. The Asia Pacific region is expected to continue to be the largest market over the forecast period, due to the growing e-commerce market and the increasing urbanization of the population.

The major players in the global light duty truck market include:

Ford Motor Company
General Motors
Toyota Motor Corporation
Volkswagen Group
Nissan Motor Company
Hyundai Motor Company
Mitsubishi Motors Corporation
Isuzu Motors Limited
Daimler AG
Volvo Group
Paccar Inc.

These companies offer a wide range of light duty trucks, including pickup trucks, vans, and SUVs.

The light duty truck market is a highly competitive market, with companies constantly developing new and innovative products to meet the needs of their customers. The market is also expected to grow steadily in the coming years, driven by the factors mentioned above.

The Light duty trucks (LCVs) market is garnering substantial traction across the globe. The market growth attributes to the stringent government norms against vehicle emissions. Besides, the rising penetration of downsized engines in electric LCVs and growing crude oil prices drive the market growth, increasing investments in electric vehicles. Moreover, eco strategy, green revolution plan, and innovations escalate the market demand.

In its recent market research, The global light commercial vehicle market is expected to post a 4.5% CAGR during the assessment period (2019 – 2025). The market is to witness increasing motor vehicle production, which would expand the customer base looking for quality and profitability. LCVs hold enormous potential for the recovery of the commercial carrier vehicle industries. LCVs fulfill a vitally important role within the logistics and transportation industry.

Additionally, increasing developments of a comprehensive suite of fleet solutions specifically designed to improve the operational performance, safety, and customer service levels of vehicles of category operations substantiate the market sales. The COVID-19 outbreak has deeply impacted the lead generation and sales of Light duty trucks. However, manufacturers and dealers have shifted from the offline lead generation model to online sales.

This initiative to engage with prospective buyers through digital channels is estimated to influence the growth of the market. Conversely, the rising demand for downsized engines is a primary factor projected to impede the market growth, increasing the overall LCVs prices. Nevertheless, stringent emission norms would support market growth throughout the review period. Also, the burgeoning eCommerce industry is projected to substantiate the growth of the market.

Global LCV Market – Segmentations

The market is segmented into three dynamics;

By Type : Vans, Trucks, Buses, Coaches, and others.

By Fuel Type: Electric, Diesel, and Gasoline.

By Region : Americas, Europe, Asia Pacific, and the Rest-of-the-World.

Light duty trucks (LCV) Market – Regional Analysis

North America dominates the global Light duty trucks market. The market growth is driven by the rapidly growing electric vehicle industry and the spurring demand for lightweight, energy-efficient automobiles in the region. Besides, the e-commerce industry in the region drives market growth, leading to strong transportation industry growth.

The Asia Pacific region accounts for the second-largest market in the global light commercial vehicle market. This substantial market share attributes to stringent government regulations against commercial vehicle emissions. Additionally, the rising demand for lightweight fuel-saving commercial vehicles fosters market sales. The rising availability of innovative technologies and automotive production, alongside the burgeoning automotive industry in the region, boosts the market's growth.

Furthermore, the strong presence of several notable industry players and increased motor vehicle production capacities impact the regional market growth positively. China, India, and ASEAN countries account for significant shares in the regional market, growing with the demand for lightweight commercial vehicles with enhanced fuel efficiency.

Europe holds the third-largest share in the global Light duty trucks market. Factors such as the well-established automotive industry in the region and innovation in electric vehicles drive the market growth. Also, substantial R & D investments by industry players to drive the product and technology developments, fuel the Light duty trucks market sales.

Global Light duty trucks Market – Competitive Analysis

Highly competitive, the LCV market appears to be fragmented, with several well-established players forming a competitive landscape. Industry players incorporate strategic moves, such as mergers & acquisitions, innovation, brand reinforcement, and expansion, to gain a larger competitive share. LCV manufacturers strive to offer an extended range of heavy-duty LCVs. Due to the expected innovations and improvements in product, service, and product innovations, the market will soon witness an intensified competition.

Major Players:

Players leading the global Light duty trucks market include Volvo Group (Sweden), Dongfeng Motor Corporation (China), Daimler AG (Germany), Tata Group (India), Ford Motor Company (US), Volkswagen Group (Germany), General Motors (US), Groupe Renault (France), Groupe PSA (France), and Hyundai Motor Company (South Korea), among others.

Industry/ Innovations/ Related News

December 13, 2020 ---- Toyota Motor Corporation (Japan), a multinational automotive manufacturer, announced its fuel cell commercial vehicle development. Toyota continues to drive hydrogen commercial vehicle development in Japan and the US. Trials of light and heavy-duty hydrogen trucks have begun in both the US and Japan. In Japan, the company and its subsidiary Hino Motors with three major retail chains drive the test fuel cell Light duty trucks. In the US, Toyota is heading with near-production heavy-duty FC trucks.