The global electric truck market is set to grow by $20.32 billion from 2024 to 2028, with a robust compound annual growth rate (CAGR) of 35.44%, according to Technavio.
While demand for low-emission, fuel-efficient vehicles is driving growth, the steep cost of electric trucks poses a significant challenge.
Electric trucks currently cost between $150,000 and $300,000, substantially higher than traditional internal combustion engine (ICE) trucks. This price disparity remains a barrier, particularly in emerging markets like India and Eastern Europe, where cost sensitivity is high.
Despite these hurdles, advancements in battery technology and government incentives are helping to offset costs, making electric trucks increasingly viable for logistics, municipal operations, and e-commerce. Major players like Tesla, Daimler, and BYD are expanding their electric portfolios to meet global demand, with Europe leading market adoption at 42%.
Hybrid electric trucks are emerging as a transitional solution, combining traditional engines with electric motors to offer reduced emissions and improved fuel efficiency without the range limitations of fully electric models. These vehicles are gaining traction in logistics and municipal operations, especially in regions where charging infrastructure is still developing.
