North America Truck Market By Class Type (Class 1, Class 2, Class 3, Class 4, Class 5, Class 6, Class 7, and Class 8), By Fuel Type (Diesel, CNG, and Others), By Application Type (Logistics, Construction, Mining, and Others), By Country, Competition, Forecast and Opportunities, 2028F

The North American truck market is projected to expand in the coming years due to a variety of factors, including robust replacement demand, infrastructure expansion, technological progress (e.g., telematics, electric vehicles, etc.), and government incentives.

North America Truck Market Scope

The truck market of North America is segmented into class type, fuel type, application type, and by country. Based on the class type, the market is divided into class 1, class 2, class 3, class 4, class 5, class 6, class 7, class 8, class 9, and class 10. These classes are divided based on the gross vehicle weight of the trucks. Further, based on fuel type, the market is segmented into diesel, CNG, and others (like, methanol blended fuels, electric, hydrogen, etc.). Based on the application type, the market is divided into logistics, construction, mining, and others (like e-commerce, FMCG, etc.). And lastly, the truck market in North America is divided into countries which comprises of Canada, United States, and Mexico.

North America Truck Market Overview

The North American trucking industry has been an integral part of the national economy for many years; however, the sector is undergoing a rapid transformation due to the emergence of new technologies and evolving consumer preferences. From the emergence of autonomous trucks to the development of supply chain management based on blockchain technology, the outlook for trucking in the future is both promising and captivating. Additionally, electric trucks are emerging technologies that have the potential to transform the trucking sector. Electric trucks run on battery instead of diesel fuel, thus reducing emissions and saving fuel costs. Furthermore, electric trucks require less maintenance due to the reduced number of moving parts compared to traditional diesel trucks.

North America Truck Market Drivers

The demand for trucks is increasing in North America owing to the growth of the logistics industry in that region. And trucks are an integral part of the logistics industry. In the logistics world, road transportation plays a vital role in connecting the final mile of delivery, and to accomplish this, trucks play a crucial role. When it comes to business logistics, it's all about shifting stuff from one place to another. That means getting raw materials to where they need to go, getting finished goods to where they're needed, getting inventory to where it needs to go, and so on. It's usually made up of a bunch of different parts, like customer service, predicting demand, storing stuff, handling materials, keeping track of inventory, processing orders, and getting stuff from place to place. There is an increasing demand from the emerging economies for foreign goods which is leading to the growth of the logistics industry. Moreover, the North American Free Trade Agreement (NAFTA) has encouraged the trade between the US, Mexico, and Canada by reducing tariffs on imports and exports. Thus, this has helped in increasing the demand for commercial trucks in North America.

The demand for trucks in North America is also led by the infrastructural development in the triad countries. The US and Canada’s government has recently announced federal budget initiative regarding the development of clean energy. Separate battery storage and subsectors, such as Clean Hydrogen, Carbon Capture & Storage (CCS), Pumped-Storage Hydro and Renewable Natural Gas are expected to see further growth, particularly considering US tax credit transferability and the refundability of Canadian tax credits. Further, the US economy depends highly upon road networks such as highways, bridges, roads, ports, etc. The infrastructure Investments and Jobs Act 2021 has provided funding to repair the ageing infrastructure in the country which is directly helping the growth of trucks.

Government and other regulatory bodies are continuously imposing the emission regulations in the automotive industry due to environmental concerns and transition towards electric vehicles. These regulations are forcing the increase in the replacement of trucks in North America. This scenario is further enhanced by the ageing vehicles in the region. Therefore, all these factors are leading to the increase in replacement trucks in the market.

North America Truck Market Trends

The trucking industry in North America is going through rapid digitalization which includes connectivity and telematics. In the trucking world, telematics is being used to gather data using a combination of sensors, GPS, and on-board diagnostic codes. This data usually includes things like driver behavior, where the truck is, how often it moves, what kind of activity it's doing, how much fuel it's using, and more. It's all managed on software platforms, so managers can keep an eye on their company's assets from anywhere. Plus, advanced systems offer data on each driver's vehicle utilization rate, so fleets can rank drivers based on how much they're using. Keeping an eye on idling drivers and coaching them as needed can help reduce fuel wastage. After all, fuel is one of the biggest costs of running a fleet. Cutting down on idling will help you save money on fuel bills, which in turn will help you save on operating costs. Plus, telematics helps fleet managers spot vehicle maintenance issues before they lead to breakdowns or other problems. By scheduling preventive maintenance, companies can extend the life of their assets.

Due to the increasing need for logistics services due to the growth of e-commerce and retail, as well as manufacturing, supply chain companies and logistics providers are getting involved in swapping out their vehicles for more eco-friendly ones. Moreover, it has been observed that electric trucks are helping the logistics industry in reducing huge operational cost as compared to diesel trucks. Governments all over the world are urging vehicle manufacturers to cut carbon emissions from the combustion of diesel fuel and address greenhouse gas emissions, thus encouraging vehicle manufacturers to invest in the development of electric trucks. As a result, governments are offering incentives in the form of programs and schemes to manufacture battery electric trucks. This is expected to drive market growth. Governments are also encouraging the buying of electric mobility through tax credits and other incentives. Hence, with the adoption of the emission regulation for fossil fuel powered vehicles, it has increased the burden of vehicle manufacturers, in particular commercial vehicle manufacturers. This is driving the market growth of electric trucks. Strict emission standards imposed on fossil fuel powered commercial vehicles are significantly driving the electric truck market growth.

North America Truck Market Challenges

In addition to inflation, the volatile oil market is also a major contributor to our increasing gas prices. While oil and gas prices started to spike due to the COVID-19 pandemic, prices are now on the rise because as people resume their daily work commute and go out more on nights and weekends, demand for gas increases. The gas shortage has only made what was already a challenging job even more so. Trucking — which is a labor-intensive industry with long hours and a high turnover rate — is the vital circulatory system of the economy, moving consumer goods from warehouses to their destination, the consumer’s home. The higher prices and fuel shortage, even temporary, make it much more difficult for truck drivers to deliver goods to consumers. As consumer spending increases, the economy will need more truck drivers, specially to help mitigate the current gasoline shortage. In addition, the current geopolitical tensions, trade wars, and the Russia-Ukraine conflict are further exacerbating the volatility in oil prices, which is having a huge impact on the truck market here in North America.

Driver shortage is a significant problem in both Canada and USA. This is due to an aging workforce and fewer workers entering the workforce opting for this type of work, choosing a different lifestyle. This is leading to a driver shortage that is making it very difficult for carriers to find skilled drivers. As the number of professional drivers decreases and the demand for drivers increases, carriers are forced to offer more competitive wages and better benefits to retain their current drivers or hire new drivers.

Market Opportunities

The truck market in North America presents several opportunities for growth and innovation to its stakeholders. The North American truck market is experiencing a period of rapid growth due to the increasing urbanization and the ongoing pressure from governments to improve infrastructure. This has opened a wide range of opportunities for Original Equipment Manufacturers (OEMs) and new market entrants to bid for various projects, as well as providing a platform for innovation and development within the trucking sector. To reduce carbon emissions, improve efficiency, and address the challenges posed by the industry, truck OEMs are investing heavily in electrification and alternative fuels. Additionally, the electrification phase has resulted in the emergence of various auxiliary industries, providing further opportunities for investors and new companies in the sector. All these factors will create numerous opportunities in the coming years.

Market Segmentation

The North America truck market is analyzed on three fronts: class type, fuel type, application type and region. Based on class type, the market is segmented into Class 1, Class 2, Class 3, Class 4, Class 5, Class 6, Class 7, and Class 8. Based on fuel type, the market is segmented into Diesel, CNG, and Others. Based on region, the market is divided into North, South, East, and West.

Company Profiles

Daimler Truck North America LLC, PACCAR Inc., Volvo Trucks North America Inc., ISUZU Commercial Truck of America Inc., Ford Motor Company, Mack Trucks Inc., Navistar International Corporation, General Motors, Hino Motors Ltd, and FCA US LLC are some of the major players in the North America truck market.

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Report Scope:

In this report, North America truck market has been segmented into the following categories, in addition to the industry trends which have also been detailed below:

• North America Truck Market, By Class Type:
• Class1
• Class2
• Class3
• Class4
• Class5
• Class6
• Class7
• Class8
• North America Truck Market, By Fuel Type:
• Diesel
• CNG
• Others
• North America Truck Market, By Application Type:
• Logistics
• Construction
• Mining
• Others
• North America Truck Market, By Country:
• Canada
• United States
• Mexico

Competitive Landscape

Company Profiles: Detailed analysis of the major companies present in the North America truck market.

Available Customizations:

With the given market data, TechSci Research offers customizations according to a company’s specific needs. The following customization options are available for the report:

Company Information

• Detailed analysis and profiling of additional market players (up to five).

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