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The international commercial vehicle market is expected to reach 27.9 million units by 2026 - Global Commercial Vehicles Market Report.

Posted by Priya Singh On 24-Sep-2022 06:06 AM

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  • Global Commercial Vehicles Market Report 2022-2026 - Trends with the Potential to Redefine the Commercial Vehicle Space


    The global market for Commercial Vehicles, which was anticipated to be 23.4 million units in 2022, is expected to increase to 27.9 million units by 2026, rising at a CAGR of 4.4% over the forecast period.

    The availability of freight and the amount of transportation and logistics activity, which is based on economic growth and the health of commercial, corporate, and industrial activities, drive growth in the commercial vehicle industry. Government spending on infrastructure projects like electricity production, road construction, mining, and mega and smart cities will also fuel demand for a variety of commercial vehicles employed in various areas of transportation.

    Open trade policies, tax policies geared toward the automobile industry, the availability of consumer finance, currency fluctuations, and variable inflation levels all have an impact on the industry's growth prospects. Stringent environmental rules, globalization of vehicle designs, transportation infrastructure in place, and technological improvements such as enhanced driver assistance systems for passenger/car safety and accident prevention are other key elements in the commercial vehicle market.

    Variations in international oil prices can have a significant impact on demand for automobiles, particularly commercial vehicles. This tendency is especially prevalent in poor countries. The demand for light commercial vehicles remains dominating in the market due to their versatility in a variety of situations, ease of maintenance, comfort, and cost-effectiveness.

    Rising levels of economic activity, increased road traffic, and global production and trade recovery are driving up consumer expenditure on trucks. Recovery in corporate spending in 2021 and beyond will restore growth fundamentals that have been hampered by virus-driven disruption and economic contraction.

    Commercial vehicle sales are gradually increasing in certain countries, owing to increased demand from the construction, agriculture, and mining sectors. Furthermore, the inventory push and substantial discounts offered by commercial vehicle manufacturers are contributing to the increase in volume sales to some extent.

    The United States market is expected to reach 11 million units in 2022, while China is expected to reach 5.7 million units by 2026.

    The commercial vehicle industry in the United States is expected to reach 11 million units by 2022. China, the world's second-largest economy, is expected to have a market size of 5.7 million units by 2026, with a CAGR of 6.5% over the analysed period. Other notable global markets include Japan and Canada, which are expected to increase at 2.9% and 3.2%, respectively, over the analysed period.

    Germany is expected to expand at a CAGR of around 3.4% in Europe. While the United States remains the world's biggest commercial vehicle manufacturer, the Asia-Pacific market is becoming into a sector with enormous production potential.

    Due to the high demand for commercial vehicles and corresponding increases in production in these nations, China and India will continue to be market growth engines in the short to medium term.

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