Press Release

India Light Commercial Market to be dominated by West Region During the Forecast Period 2029

Increasing demand for transportation and development in technologies like EV, smart tire, hybrid engine technologies are driving the growth of India Light Commercial Vehicle Market in the forecast period 2024-2028.

According to TechSci Research report, “India Light Commercial Vehicle Market – By Region, Competition, Forecast, and Opportunities, 2019-2029F,” India Light Commercial Vehicle Market is growing at a considerable rate as a result of fast-growing logistic industry and rising tourism in the country. The automotive industry is considered to be one of the major driving forces of economic expansion. A light commercial vehicle is a commercial transport vehicle with a gross vehicle weight of up to 7.5 metric tonnes. The development of the e-commerce industry has contributed to the growth of the light commercial vehicle market in India. Sales of LCV should increase as a result of the government's emphasis on enhancing infrastructure and the expansion of the real estate and mining industries. Also, after the improvement of COVID-19 situation, the majority of corporations, companies, and colleges are increasingly opening up. This is increasing the need for commercial vehicles in the region. The light commercial vehicle market is also anticipated to grow as a result of the growing need for transportation of necessities like groceries within cities and the expansion of e-commerce.


The Indian government is aggressively supporting the growth of the country's automotive sector. Furthermore, the government is encouraging a shift towards cleaner energies by putting the BS VI standards into effect from April 2020. Also, government subsidies provided under FAME II are promoting the use of electric vehicles in India. This results in the increasing demand for light commercial vehicles in the coming years.

The price of crude oil was also influenced by pandemic and geopolitical restrictions. The purchasing power of both big fleet owners of light commercial vehicles and individual customers is impacted by the continually rising cost of energy. As a result, it limits light commercial vehicle sales. Nonetheless, the manufacturing of large automobiles, electric vehicles (EVs), and autonomous vehicles is on the rise in India's automotive sector in post pandemic period. With several measures, the government actively contributes to the growth of the auto sector. Major firms are also releasing a range of products to maintain the competitiveness of the light commercial vehicle market in India. Additionally, the expansion of networks throughout all tier 1, tier 2, and tier 3 cities is predicted to cause the India light commercial vehicle market to grow at a high rate during the next years.

Many companies are collaborating and developing new technologies to further boost the light commercial vehicle market in India. In 2023, Uber, one of the top ridesharing services, and Tata Motors agreed to include 25,000 XPRES-T EVs into Uber's premium service. In February 2023, a new commercial vehicle dealership, was established in Kerala, by Eicher Trucks & Buses, a company division of VE Commercial Vehicles. Mahindra & Mahindra has released 14 Mahindra LCVs, six of which are new electrified versions, in an effort to further diversify its product line. In February 2023, Tata Motors gave the West Bengal government 218 Winger veterinary vans. In November 2022, Force Motors unveiled the Urbania van, with prices starting at USD 35,000 (INR 28.99 lakh) ex-showrooms, in India. Overall, with such above developments, it is expected that in the upcoming years, the market will grow at a moderate rate.

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The India Light Commercial Vehicle Market can be segmented by vehicle type, by propulsion type, by end user, and by region. Based on vehicle type, the market is segmented into Pickup Trucks and Vans. On the basis of propulsion type, the market is segmented into ICE vehicles and Electric vehicles. In terms of end user, market is divided into individual and fleet owner. The market analysis also studies the region wise segmentation to devise light commercial vehicle market, divided among North, West, East and South.

Some of the major companies operating in the India Light Commercial Vehicle Market include:

  • Tata Motors Limited
  • Mahindra & Mahindra Ltd.
  • Ashok Leyland Limited
  • VE Commercial Vehicles Limited
  • Maruti Suzuki India Limited
  • Force Motors Limited
  • SML Isuzu Limited
  • Piaggio Vehicles Private Limited
  • Toyota Motor Corporation
  • Eicher motors

These are the key players developing advanced technologies and launching new products to stay competitive in the market. Other competitive strategies include mergers with tech firms, new product developments, and marketing activities to increase customer outreach.

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“An increase in the number of development projects, constantly improving road infrastructure and penetration of electric vehicles in logistics industry is expected to boost the light commercial vehicle market in India. Additionally, increasing E commerce activities and light commercial vehicle for public transportation further increase demand for commercial vehicles in India light commercial vehicle market.” said Mr. Karan Chechi, Research Director with TechSci Research, a research-based global management consulting firm.

 

“India Light Commercial Vehicle Market Segmented By Vehicle Type (Pickup Trucks, Vans), By Propulsion Type (ICE Vehicles, Electric Vehicles), By End User (Individual, Fleet Owner), By Region (North, South, West, East), By Competition, Forecast & Opportunities, FY2019-FY2029F” has evaluated the future growth potential of India Light Commercial Vehicle Market and provides statistics & information on market size, structure, and future market growth. The report intends to provide cutting-edge market intelligence and help decision makers take sound investment decisions. Besides, the report also identifies and analyzes the emerging trends along with essential drivers, challenges, and opportunities in the India Light Commercial Vehicle Market.


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Relevant Reports

India Light Commercial Vehicle Market Segmented By Vehicle Type (Pickup Trucks, Vans), By Propulsion Type (ICE Vehicles, Electric Vehicles), By End User (Individual, Fleet Owner), By Region (North, South, West, East), By Competition, Forecast & Opportunities, 2019- 2029F

Automotive | May, 2013

Increasing demand for transportation and development of technology are driving the growth of India Light Commercial Vehicle Market in the forecast period 2025-2029.

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