The Light Commercial Vehicle Market is estimated to be valued at US$ 633.98 Bn in 2023 and is expected to exhibit a CAGR of 8.1% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Overview: Light commercial vehicles (LCVs) are cargo vehicles or multipurpose vehicles used for commercial purposes like carrying consumers, goods and other cargo. These vehicles allow transportation of loads over short distances and within cities and have advantages like affordability, maneuverability and better fuel efficiency. Growing e-commerce industry and need for last-mile delivery of goods has augmented the demand for LCVs. Market key trends: The light commercial vehicle market is witnessing high growth owing to rising e-commerce sector and increasing focus on digital transformation activities globally. The pandemic outbreak has accelerated the shift towards digitalization and online shopping. This has augmented the delivery needs of e-commerce companies thereby augmenting the demand for last-mile delivery fleet especially LCVs. According to Forrester Research, the global B2C e-commerce sales are expected to grow to $6.54 trillion by 2023. The growing online purchase trends have created a consistent demand for delivery fleet and this is a major factor driving growth of light commercial vehicle market over the forecast period. Porter's Analysis Threat of new entrants: The high initial investments required to enter the market acts as a deterrence to new players. Bargaining power of buyers: The presence of many established players provides buyers with better bargaining power and choice. Bargaining power of suppliers: Major components are sourced from a few specialized suppliers globally, increasing their bargaining power. Threat of new substitutes: Electric vehicles are emerging as substitutes but require widespread infrastructure support. Competitive rivalry: Intense competition exists between existing players to gain market share. SWOT Analysis Strengths: Established distribution network and brand recognition of major players. Weaknesses: Fluctuating raw material prices and higher operating costs. Opportunities: Growth in e-commerce and last-mile deliveries. Threats: Stricter emission norms requiring large investments into technology upgrade. Key Takeaways The Global Light Commercial Vehicle Market Size is expected to witness high growth, exhibiting CAGR of 8.1% over the forecast period, due to increasing demand for last-mile delivery and urban transportation. Regionally, the market in Asia Pacific dominated with over 45% share in 2023 led by China, India and Japan. Growing e-commerce sector has been driving higher demand for delivery vans and pickups. The European market is poised to grow at a significant rate through 2030 backed by strict emission regulations mandating fleet modernization. Key players operating in the Light Commercial Vehicle market are Daimler AG, Ford Motor Company, Renault SA, Ashok Leyland Ltd, VE Commercial Vehicles Limited, Tata Motors Ltd, SML Isuzu Limited, GM Group, Mahindra & Mahindra Ltd, Volkswagen AG, Toyota Motor Corporation and Stellantis NV. Read Our More Blogs : https://www.dailyprbulletin.com/light-commercial-vehicle-market-forecast-outlook-trend-2023-2030/
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AuthorCOHERENT MARKET INSIGHTS |