Pickup Trucks Market

Pickup Trucks Market Size (2022 - 2027):

The Global Pickup Trucks Market size is estimated to reach a valuation of US$ 228.4 billion by 2027 and is predicted to register a  CAGR of 2.5% from 2022 to 2027.

Market Overview:

Pickup trucks are a type of vehicle that is typically designed for carrying heavy loads or towing large trailers. They are typically more extensive and rugged than other types of vehicles and are often used for construction, farming, and other types of work. Some pickup trucks are also used as personal vehicles and can be found in various sizes and styles.

Market Drivers:

Increasing usage of pickup trucks from the e-commerce sector propels the market growth. Pickup trucks are often used in e-commerce to make deliveries and transport goods. Their large cargo beds make them well-suited for carrying large or bulky items, and their rugged design and high towing capacity make them capable of handling a wide range of tasks. Some companies may use pickup trucks for their delivery fleets, while others may contract with third-party pickup truck owners to handle their delivery needs. In either case, pickup trucks play an essential role in the eCommerce sector by helping to ensure that goods are delivered safely and efficiently. Due to the factors mentioned above, the demand for pickup trucks to handle the day-to-day operations of the e-commerce sector has accelerated the usage of these vehicles, promoting market growth.

Growing urbanization and rapid infrastructure development further boost the pickup truck market growth. Urbanization is a trend that has been ongoing for many years, and it is expected to continue in the future. There are many reasons for this trend, including economic opportunities, access to better education and healthcare, and improved infrastructure. As more people move to urban areas, cities, and towns must find ways to accommodate the influx of new residents, which can often lead to overcrowding, traffic congestion, and strain on public services. Pickup trucks are often used in urban areas for various tasks, including commercial and residential deliveries, construction, and landscaping. Their versatility and rugged design make them well-suited for the challenges of urban environments. As urbanization continues to grow, the demand for pickup trucks is likely to increase as more and more people and businesses rely on these vehicles to help them move goods and services around the city. At the same time, urbanization can also create challenges for pickup trucks, such as traffic congestion and the need for efficient parking solutions. Overall, the relationship between pickup trucks and urbanization is complex and dynamic and will likely continue to evolve as urbanization and pickup truck technology advance.

Furthermore, factors such as growing spending on passenger vehicles, increasing R&D activities, and a rising number of product launches are fuelling the growth rate of the pickup trucks market.

Market Restraints:

High costs associated with pickup trucks are key factors hampering the market's growth rate. The cost of a pickup truck can vary depending on several factors, such as the make and model of the vehicle, its age, condition, features, and where it is purchased. On average, a new pickup truck can cost anywhere from $20,000 to $60,000 or more, depending on the model and its features. Used pickup trucks may be available at a lower cost, but it is important to carefully inspect the vehicle and consider its condition before making a purchase. In general, pickup trucks are a significant investment, and it is essential to carefully research and compare options before making a decision. In addition, the strict measures that governments are taking to keep the automobile industry functioning well and reduce the number of accidents are further estimated to limit the market’s growth rate.

Market Opportunities:

The growing adoption of electric pickup tricks is one of the biggest opportunities for the global market. Electric pickup trucks are a growing trend in the automotive industry. These vehicles are powered by electric motors rather than gasoline engines and are designed to offer many of the same capabilities as traditional pickup trucks. Electric pickup trucks' benefits include lower operating costs, reduced emissions, and improved performance. For example, electric pickup trucks may be able to accelerate more quickly and achieve higher top speeds than their gasoline-powered counterparts. Electric pickup trucks are also becoming more affordable, with some models available at prices comparable to traditional pickup trucks. However, the availability of charging infrastructure and the limited range of some electric pickup trucks may still be barriers to broader adoption. Overall, the use of electric pickup trucks is expected to continue to grow as the technology improves and becomes more widely available. In addition, increasing adoption of technological advancements, rising concerns about environmental health, and increasing efforts from key market participants are estimated to offer lucrative growth possibilities.

Market Key Developments:

• In September 2021, Ford announced it would establish a new Tennessee factory to produce electric pickup trucks. This new factory will be part of Ford's ongoing efforts to expand its electric vehicle (EV) lineup and meet the growing demand for EVs. The factory is expected to create thousands of jobs in Tennessee and produce a new electric pickup truck model, which has yet to be announced. This is a significant development for the automotive industry, showing that major automakers continue investing in electric vehicle technology and production. In addition, establishing this new factory will likely help accelerate the adoption of electric pickup trucks in the coming years.

PICKUP TRUCKS MARKET REPORT COVERAGE:

Market Segmentation

Pickup Trucks Market – By Fuel Type:

• Diesel
• Petrol
• Electric
• Other

Based on the fuel type, the diesel segment had the most significant share of the global pickup trucks market in 2021 and is estimated to dominate the forecast period. The key market participants are manufacturing pickup trucks with all engines by default, which is a significant factor contributing to the segment’s growth. In addition, advantages associated with diesel engines over the other available types, such as more extended durability and increased end-user preference for diesel pickup trucks, further promote the segment’s growth rate.

On the other hand, the electric fuel segment is anticipated to register a healthy CAGR during the forecast period. Concerning the environmental issues with diesel and petrol vehicles, the manufacturers are shifting their focus towards manufacturing electric pickup trucks, primarily helping the electric segment to rise.

Pickup Trucks Market – By Vehicle Type:

• Light-duty
• Heavy-duty

Based on the vehicle type, the light-duty segment captured the largest share of the global market in 2021. The increasing efforts of crucial market participants towards light-duty vehicles and the increasing popularity of these vehicles from the end-users majorly drive the domination of light-duty pickup trucks.

The heavy-duty segment is expected to gain traction and register a healthy CAGR during the forecast period.

Pickup Trucks Market – By Region:

• North America
• Europe
• Asia-Pacific
• Latin America
• Middle East and Africa

The North American region captured the leading share of the global market in 2021, and the domination of North America is expected to continue in the global market throughout the forecast period. The presence of key market players in the North American region is majorly propelling the pickup truck market in North America. The market in this region is concentrated with several market participants. In addition, growing awareness regarding the benefits associated with pickup trucks and increasing spending from the public on automobiles are further boosting the market growth in this region.

COVID-19 Impact on the Pickup Trucks Market:

The COVID-19 pandemic has had a significant impact on the pickup truck market. In the early months of the pandemic, many people turned to pickup trucks to safely transport essential goods and supplies. This led to a surge in demand for pickup trucks, and many dealers reported struggling to keep up with the demand. However, as the pandemic continued and economic conditions worsened, the demand for pickup trucks declined. Many people could not afford the high prices of new pickup trucks, and others could not secure financing due to job losses and other economic challenges. As a result, the pickup truck market has seen a significant downturn in recent months. However, considering the decline in COVID-19 cases worldwide, the pickup trucks market is expected to regain momentum and showcase a healthy CAGR during the forecast period.

Market Key Players:

1. Nissan Motor Co. Ltd.
2. Volkswagen Group
3. Tata Motors Ltd.
4. Ashok Leyland Ltd.
5. Suzuki Motor Corp.
6. Kia Corporation
7. Mahindra & Mahindra Ltd.
8. Ford Motor Company
9. Toyota Motor Corp.
10. General Motors Company
11. Stellantis N.V.
12. Hyundai Motor Company