PUBLISHER: Guidehouse Insights | PRODUCT CODE: 1415552
PUBLISHER: Guidehouse Insights | PRODUCT CODE: 1415552
Decarbonization Means Drastic Changes for the Medium and Heavy Duty Truck Value Chain
Moving away from the internal combustion engine (ICE) is the biggest change that the truck manufacturing industry will likely ever experience. More so than mass production or regulation, decarbonization takes an established and mature industry and turns it on its head. These changes will reverberate along the entire industry value chain.
This report assesses the impact of decarbonization and electrification on the
medium and heavy duty (MHD) truck value chain for three specific stakeholder groups-OEMs, truck fleets, and dealers-and considers the viability of the current industry business model moving forward.
Table of Contents
Spark
Context
Recommendation
Decarbonizing and Electrifying the MHD Trucking Industry Will Create Significant Revenue Shortfalls
OEMs Will See Substantial Reductions in Aftermarket Revenues
Truck Fleets Will Save on Costs but Lose Fuel Surcharge Revenues
Dealers Will Be the Hardest Hit by Aftermarket Revenue Losses
A Coherent Plan for the Transition to Electrification Is a Strategic Priority for the MHD Trucking Industry
OEMs May Have to Offer Support to the Network in the Medium Term
OEMs May Need to Consider Taking Distribution In-House
The Trucking Industry Needs a New Business Model
List of Figures
PACCAR: Contribution to Revenue by Segment, Industrial Business
PACCAR: Contribution to Gross Margin by Segment, Industrial Business
Werner: Supplies and Maintenance Costs as a Percentage of Revenue
Werner: Fuel Surcharge as a Percentage of Revenue vs. Operating Ratio
Werner: Fuel Surcharge vs. Supplies and Maintenance as a Percentage of Revenue
Rush: Revenue and Gross Margin Comparisons
