Off-highway Electric Vehicle Market Size was valued at USD 1.7 Billion in 2022. The Global Off-highway Electric Vehicle market industry is projected to grow from USD 1.94 Billion in 2023 to USD 5.75 Billion by 2032, exhibiting a compound annual growth rate (CAGR) of 14.50% during the forecast period (2024 - 2032). The environmental regulations and sustainability, cost savings and operational efficiency, technological advancements and performance, government incentives and support, noise reduction and operator comfort, corporate social responsibility and brand image, are the key market drivers enhancing the market growth.
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
The off-highway electric vehicles market is being primarily driven by the increased focus on environmental rules and sustainability. The need of combating climate change and lowering greenhouse gas emissions is being recognised by the international community more and more. Off-highway electric vehicles provide a long-term answer to lowering the environmental effect of sectors like forestry, mining, construction, and agriculture. Off-highway businesses can considerably lower their carbon footprint by switching to electric vehicles in place of internal combustion engines. Zero tailpipe emissions from electric vehicles reduce air pollution and the release of dangerous toxins into the environment. This is especially important in off-highway settings where diesel-powered vehicle emissions may negatively affect air quality, wildlife habitats, and human health.
Off-Road electric vehicles are also primarily motivated by the prospect for significant cost savings. Despite having a higher initial investment than cars with internal combustion engines, electric cars are far less expensive to operate and maintain. Off-highway electric vehicles typically cost less to fuel with electricity than with diesel or petrol. Businesses will immediately save money thanks to the sharply reduced cost per mile or per hour of operation. In addition, compared to conventional automobiles, electric vehicles have fewer moving components and need maintenance less frequently. Overall lower maintenance expenses are a result of fewer oil changes, fewer engine parts that need to be fixed or replaced, and less wear and tear on the vehicle.
In conclusion, cost reductions and environmental concerns are what essentially drive the off road electric vehicle market. Environmental rules have become more stringent and there is a greater need for cleaner alternatives as a result of the need to combat climate change, decrease emissions, and encourage sustainable practises. Off-highway electric vehicles are popular among enterprises due to the large operating cost reductions they provide, including cheaper fuel and maintenance costs. Together, these forces are driving the off-highway industry towards the adoption of electric vehicles, paving the way for an off-road application future that is greener and more sustainable. Thus, driving the Off-highway Electric Vehicle market revenue.
The Off-highway Electric Mobility Market segmentation, based on Vehicle type includes HEV and BEV. The HEV segment dominated the market, accounting for 60.54 % of all sales.. Typically heavy-duty electric vehicle are created for demanding applications requiring high levels of capability and power.
The Off-highway Electric Vehicle Market segmentation, based on energy storage capacity, includes <50 kWh, 50–200 kWh and >200 kWh. The>200 kWh segment dominated the market held the market share of 42.5%. Off-road vehicles employed in labor-intensive industries like forestry, mining, and construction frequently need a lot of power to do their tasks. Higher energy storage capacity vehicles can produce the power output required to run heavy equipment, handle severe workloads, and navigate difficult terrain.
The Off-highway Electric Vehicle Market segmentation, based on battery type includes Lithium-Ion (Li-Ion) and Lead–Acid. The lithium-ion (Li-Ion) segment dominated the market held the Off-highway Electric Vehicle market share of 62.4%. Lithium-ion batteries are appropriate for heavy-duty off-highway applications that demand reliable performance and quick acceleration because to their high power output capacity. Off-highway vehicles can effectively tackle difficult activities thanks to the large power capacities of lithium-ion batteries.
The Off-highway Electric Vehicle Market segmentation, based on application includes Mining, Construction, Agriculture and Others. The construction segment dominated the market held the market share of 40.1%. The demand on the construction sector to lower emissions and lessen the impact of its activities on the environment is growing. In line with more stringent environmental restrictions and sustainability objectives, electric vehicles provide a clean and sustainable substitute for conventional diesel-powered construction machinery.
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
By region, the study provides the Off-highway Electric Vehicle market insights into North America, Europe, Asia-Pacific and Rest of the World. The North America Off-highway Electric Vehicle Market dominated this market in 2022 (45.80%). Off-highway EV adoption in the area has been aided by government financing and incentive schemes designed to promote sustainable energy and cut emissions. Further, the U.S. Off-highway Electric Vehicle market held the largest market share, and the Canada Armor Materials market was the fastest growing market in the North America region.
Further, the major countries studied in the market report are The U.S., Canada, German, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
Europe Off-highway Electric Vehicle market accounts for the second-largest market share. This is due to the transition to electric construction and agricultural equipment has been expedited by strict pollution rules, particularly in metropolitan areas. Further, the German Off-highway Electric Vehicle market held the largest market share, and the UK Off-highway Electric Vehicle market was the fastest growing market in the European region
The Asia-Pacific Off-highway Electric Vehicle Market is expected to grow at the fastest CAGR from 2023 to 2032. This is due to growing concerns about air pollution and the need to cut carbon emissions. Moreover, China’s Off-highway Electric Vehicle market held the largest market share, and the Indian Off-highway Electric Vehicle market was the fastest growing market in the Asia-Pacific region.
Leading market players are investing heavily in research and development in order to expand their product lines, which will help the off road electric vehicle market, grow even more. The Off-highway Electric Vehicle Market participants are also undertaking a variety of strategic activities to expand their global footprint, with important market developments including new product launches, contractual agreements, mergers and acquisitions, higher investments, and collaboration with other organizations. To expand and survive in a more competitive and rising market climate, Sustainable Off-road Vehicles industry must offer cost-effective items.
Manufacturing locally to minimize operational costs is one of the key business tactics used by manufacturers in the global Off-highway Electric Vehicle industry to benefit clients and increase the market sector. In recent years, the Electric UTVs industry has offered some of the most significant advantages to medicine. Major players in the off road electric vehicle market, including LIEBHERR-International Deutschland GmbH, Cargotec corporation, Clark, CNH Industrial, Narrow Isle inc., Toyota Motor Corporation, SANY Group, Sandvik, Epiroc, Caterpillar, Komatsu Ltd., Hitachi Construction Machinery, DEERE & COMPANY, JCB, AB Volvo, Anhui Heli Co., Ltd., Hyundai Doosan Infracore Co. Ltd. and others, are attempting to increase market demand by investing in research and development operations.
LIEBHERR-International Deutschland GmbH was founded in 1949. Construction machinery is designed, manufactured, and supplied globally by Liebherr-International AG (Liebherr). Tower cranes, wheeled loaders, truck cranes, hydraulic excavators, hydraulic rope excavators, pipe-laying machines, dumper trucks, crawler tractors and loaders, concrete batching plants, and truck mixer models are among the goods offered by Liebherr. The organisation also offers logistical, leasing, and hospitality services, as well as supplies of replacement parts and components.
Global solutions and service provider for cargo handling is Cargotec Corporation. The business specialises in providing tools, software, and services for smooth cargo movement in a range of sectors, including ports, terminals, distribution hubs, and heavy industries. The solutions offered by Cargotec are created to increase cargo handling processes' productivity, sustainability, and safety.
JULY 2021: A entirely electric (non-hydraulic drive), remote-controlled compact excavator was just introduced, according to Komatsu Ltd. This 3-ton class excavator is entirely electric and is powered by a lithium-ion battery.
January 2022: In North America, Volvo Group unveiled an electric truck with a longer range. This truck is a modified Volvo VNR Electric with a range increase of up to 85% and faster charging. This is a variation of the class 8 electric vehicle with a greater energy storage capacity of up to 565 kwh and an operational range of up to 440 km (275 miles).
March 2021: A massive 100-ton excavator type was introduced by Hyundai Doosan Infracore Co. Ltd. The device uses an electronic-integrated hydraulic system, Smart Power Control, and a fuel optimization system to improve fuel efficiency and offer ideal work performance with lossless power and speed for challenging working situations, including those found in mines.
| Report Attribute/Metric | Details |
| Market Size 2022 | USD 1.7Billion |
| Market Size 2023 | USD 1.94 Billion |
| Market Size 2032 | USD 5.75 Billion |
| Compound Annual Growth Rate (CAGR) | 14.50% (2024-2032) |
| Base Year | 2023 |
| Market Forecast Period | 2024-2032 |
| Historical Data | 2018- 2023 |
| Market Forecast Units | Value (USD Billion) |
| Report Coverage | Revenue Forecast, Market Competitive Landscape, Growth Factors, and Trends |
| Segments Covered | Vehicle Type, Energy Storage Capacity, Battery Type and Application |
| Geographies Covered | North America, Europe, Asia Pacific, and the Rest of the World |
| Countries Covered | The U.S., Canada, German, France, UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil |
| Key Companies Profiled | LIEBHERR-International Deutschland GmbH, Cargotec corporation, Clark, CNH Industrial, Narrow Isle inc., Toyota Motor Corporation, SANY Group, Sandvik, Epiroc, Caterpillar, Komatsu Ltd., Hitachi Construction Machinery, DEERE & COMPANY, JCB, AB Volvo, Anhui Heli Co., Ltd., Hyundai Doosan Infracore Co. Ltd. |
| Key Market Opportunities | the transition to electric construction and agricultural equipment has been expedited by strict pollution rules, particularly in metropolitan areas |
| Key Market Dynamics | growing concerns about air pollution and the need to cut carbon emissions |
Off highway Electric Vehicle Market Highlights:
Frequently Asked Questions (FAQ) :
The Off-highway Electric Vehicle Market size was valued at USD 1.7Billion in 2022.
The global market is projected to grow at a CAGR of 14.50% during the forecast period, 2023-2032.
North America had the largest share in the global market
The key players in the market are LIEBHERR-International Deutschland GmbH, Cargotec corporation, Clark, CNH Industrial, Narrow Isle inc., Toyota Motor Corporation, SANY Group, Sandvik, Epiroc, Caterpillar, Komatsu Ltd., Hitachi Construction Machinery, DEERE & COMPANY, JCB, AB Volvo, Anhui Heli Co., Ltd., Hyundai Doosan Infracore Co. Ltd.
The HEV category dominated the market in 2022.
The >200 kWh had the largest share in the global market.
Team Lead - Research With a technical background as bachelor's in mechanical engineering, with mba in operations management , swapnil has 6+ years of experience in market research, consulting and analytics with the tasks of data mining, analysis, and project execution. he is the poc for our clients, for their consulting projects running under the automotive/a&d domain. swapnil has worked on major projects in verticals such as aerospace & defense, automotive and many other domain projects. he has worked on projects for fortune 500 companies' syndicate and consulting projects along with several government projects.
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