Medium-duty Engine Market Opportunity, Growth Drivers, Industry Trend Analysis, and Forecast 2025 - 2034

PUBLISHED: November 21, 2024

PAGES: 180 Pages

DELIVERY TIME: 2-3 business days

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Description

The Global Medium-Duty Engine Market, valued at USD 9.2 billion in 2024, is anticipated to grow at a compound annual growth rate (CAGR) of 6.4% from 2025 to 2034. This growth is largely driven by the surge in e-commerce, which has increased the demand for efficient last-mile delivery vehicles. Medium-duty trucks are particularly suited for urban routes, where balancing payload capacity and maneuverability is critical for navigating congested city streets.

The rise of online shopping and the expansion of urban fulfillment centers have further fueled the need for medium-duty engines that deliver both performance and efficiency. These engines are designed to support logistics operations by offering the power required for short-distance deliveries while maintaining fuel efficiency.

Sustainability is another significant factor shaping the market. As governments and corporations prioritize greener technologies, manufacturers are developing medium-duty engines with lower emissions and improved fuel efficiency. Regulatory frameworks such as the Euro 6 standards in Europe and similar policies in other regions drive advancements in hybrid and low-emission engine technologies. The push for eco-friendly solutions prompts companies to adopt cleaner engines to meet their environmental goals and reduce their carbon footprint.

Market Scope
Start Year	2024
Forecast Year	2025-2034
Start Value	$9.2 Billion
Forecast Value	$16.9 Billion
CAGR	6.4%

In terms of vehicle classification, the market is divided into Class 4, Class 5, and Class 6 vehicles. Class 6 vehicles held over 60% of the market share in 2024 and are projected to surpass USD 9.5 billion by 2034. To enhance fuel efficiency and maximize payload capacity, manufacturers increasingly use lightweight materials like aluminum and composites in Class 6 vehicles. These innovations not only improve cargo space but also offset the weight of electric powertrains, ensuring a balance between environmental performance and operational utility.

The modular design of Class 6 vehicles allows for greater flexibility and customization, catering to diverse industry needs. Scalable platforms enable manufacturers to offer various body styles, powertrain configurations, and specialized equipment, making these vehicles adaptable for different applications.

Based on horsepower, the market is segmented into engines below 150 HP, 150-250 HP, and above 250 HP. The 150-250 HP category is expected to exceed USD 3 billion by 2034, driven by the demand for cleaner combustion and alternative fuel powertrains. Integrated powertrain systems that combine engines, transmissions, and other components are becoming increasingly popular for their enhanced reliability and efficiency.

Regionally, China dominated the market in 2024, contributing over 30% of the global revenue. Chinese manufacturers are focusing on localized production and developing engines optimized for domestic conditions. Meanwhile, North American manufacturers are investing in clean diesel technologies to comply with stringent emissions regulations while maintaining performance and fuel efficiency.

Product Code: 12347

Chapter 1 Methodology & Scope

1.1 Research design
- 1.1.1 Research approach
- 1.1.2 Data collection methods
1.2 Base estimates and calculations
- 1.2.1 Base year calculation
- 1.2.2 Key trends for market estimates
1.3 Forecast model
1.4 Primary research & validation
- 1.4.1 Primary sources
- 1.4.2 Data mining sources
1.5 Market definitions

Chapter 2 Executive Summary

2.1 Industry 360° synopsis, 2021 - 2034

Chapter 3 Industry Insights

3.1 Industry ecosystem analysis
3.2 Supplier landscape
- 3.2.1 Component manufacturers
- 3.2.2 Automotive OEMs
- 3.2.3 Tier 1 Suppliers
- 3.2.4 Technology integrators
- 3.2.5 End users
3.3 Profit margin analysis
3.4 Cost breakdown analysis
- 3.4.1 Raw material cost
- 3.4.2 Manufacturing costs
- 3.4.3 R & D cost
- 3.4.4 Profit margins and overheads
- 3.4.5 Others
3.5 Key news & initiatives
3.6 Technology and innovation landscape
3.7 Regulatory landscape
3.8 Impact forces
- 3.8.1 Growth drivers
  - 3.8.1.1 Rising demand for medium-duty vehicles in last-mile delivery
  - 3.8.1.2 Technology advancements in engine efficiency
  - 3.8.1.3 Growing demand for fleet modernization
  - 3.8.1.4 Increasing focus on engine sustainability
- 3.8.2 Industry pitfalls & challenges
  - 3.8.2.1 Adoption of alternate powertrains
  - 3.8.2.2 Fluctuating raw material prices
3.9 Growth potential analysis
3.10 Porter's analysis
3.11 PESTEL analysis

Chapter 4 Competitive Landscape, 2024

4.1 Introduction
4.2 Company market share analysis
4.3 Competitive positioning matrix
4.4 Strategic outlook matrix

Chapter 5 Market Estimates & Forecast, By Vehicle Class, 2021 - 2034 ($Bn, Units)

5.1 Key trends
5.2 Class 4
5.3 Class 5
5.4 Class 6

Chapter 6 Market Estimates & Forecast, By Horsepower, 2021 - 2034 ($Bn, Units)

6.1 Key trends
6.2 Below 150 HP
6.3 150 HP- 250 HP
6.4 Above 250 HP

Chapter 7 Market Estimates & Forecast, By Sales Channel, 2021 - 2034 ($Bn, Units)

7.1 Key trends
7.2 OEM
7.3 Aftermarket

Chapter 8 Market Estimates & Forecast, By End Use, 2021 - 2034 ($Bn, Units)

8.1 Key trends
8.2 Construction machinery
8.3 Agricultural machinery
8.4 Commercial vehicles
8.5 Special vehicles

Chapter 9 Market Estimates & Forecast, By Region, 2021 - 2032 ($Bn, Units)

9.1 Key trends
9.2 North America
- 9.2.1 U.S.
- 9.2.2 Canada
9.3 Europe
- 9.3.1 UK
- 9.3.2 Germany
- 9.3.3 France
- 9.3.4 Spain
- 9.3.5 Italy
- 9.3.6 Russia
- 9.3.7 Nordics
9.4 Asia Pacific
- 9.4.1 China
- 9.4.2 India
- 9.4.3 Japan
- 9.4.4 South Korea
- 9.4.5 ANZ
- 9.4.6 Southeast Asia
9.5 Latin America
- 9.5.1 Brazil
- 9.5.2 Mexico
- 9.5.3 Argentina
9.6 MEA
- 9.6.1 UAE
- 9.6.2 South Africa
- 9.6.3 Saudi Arabia