PUBLISHER: The Business Research Company | PRODUCT CODE: 1653160
PUBLISHER: The Business Research Company | PRODUCT CODE: 1653160
An off-highway electric vehicle is a type of electric vehicle designed for off-road use, utilizing electricity for operation on both paved and unpaved surfaces. Common characteristics of off-highway electric vehicles include front suspension, tires with deep and wide treads suitable for grip, underbody protection, low-range gearing, and caterpillar tracks. These vehicles are employed to enhance productivity, reduce emissions, and improve safety and labor efficiency.
The primary types of off-highway electric vehicles comprise Battery Electric Vehicles (BEV), Hybrid Electric Vehicles (HEV), and Plug-in Hybrid Electric Vehicles (PHEV). BEVs are powered solely by electricity, lacking any gas engine parts, fossil fuel engines, or generators, thereby producing no emissions. Various battery types, including lithium-ion, lead-acid, and others, are utilized in applications such as mining, construction, agriculture, gardening or landscaping, among others.
The off-highway electric vehicle market research report is one of a series of new reports from The Business Research Company that provides off-highway electric vehicle market statistics, including off-highway electric vehicle industry global market size, regional shares, competitors with off-highway electric vehicle market share, detailed off-highway electric vehicle market segments, market trends and opportunities, and any further data you may need to thrive in the off-highway electric vehicle industry. this off-highway electric vehicle market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenarios of the industry.
The off-highway electric vehicle market size has grown exponentially in recent years. It will grow from $8.64 billion in 2024 to $10.92 billion in 2025 at a compound annual growth rate (CAGR) of 26.3%. The growth in the historic period can be attributed to environmental regulations, fuel efficiency, total cost of ownership, noise reduction.
The off-highway electric vehicle market size is expected to see exponential growth in the next few years. It will grow to $25.27 billion in 2029 at a compound annual growth rate (CAGR) of 23.3%. The growth in the forecast period can be attributed to electrification trends, government incentives, increased awareness and sustainability goals, infrastructure development, flexibility and adaptability, rapid charging infrastructure, autonomous and semi-autonomous operations. Major trends in the forecast period include battery technology improvements, autonomous and connected technologies, industry partnerships and collaboration, multi-purpose and modular designs, regenerative braking systems.
The off-highway electric vehicle market is expected to experience growth due to the increasing demand for electric vehicles. Electric vehicles, which are powered partially or completely by electricity from rechargeable batteries, contribute to reduced CO2 emissions and air pollution. They are supplied by renewable energy sources, leading to efficiency gains and acting as a storage source for renewable electricity. The International Renewable Energy Agency projects that the number of electric passenger cars will reach 200 million, while electric buses and light-duty vehicles will reach 10 million by 2030. This surge in demand for electric vehicles is a driving force behind the off-highway electric vehicle market.
The growth of the off-highway electric vehicle market is anticipated to be propelled by rising fuel prices. As fuel prices increase, consumers may turn to electric vehicles as a cost-saving alternative. According to the Bureau of Transportation Statistics, from January to June 2022, the price of regular motor gasoline rose by 49%, and diesel fuel increased slightly more by 55%. This increase in fuel prices is contributing to the demand for off-highway electric vehicles.
Technological advancement is a key trend gaining traction in the off-highway electric vehicle market. Major companies within this sector are concentrating on the introduction of new technologies to enhance their market position. For example, in September 2024, Komatsu Limited, a Japan-based manufacturing company, launched the PC4000-11E hydraulic mining excavator. The Komatsu PC4000-11E is an electrically powered hydraulic mining excavator that merges the digging capabilities of traditional diesel machines with the environmental benefits of electric power, achieving emissions reductions of up to 95%. It also offers lower operating costs and can reduce total ownership costs by up to 50%, thereby promoting sustainable mining practices.
Strategic partnership agreements are a focus for major companies in the off-highway electric vehicle market. A strategic partnership involves collaboration to share resources and achieve mutual success. In June 2023, Vensys Group, a German gearless wind turbine manufacturer, partnered with Parker Hannifin, a US-based motion and control technology company. This collaboration aims to convert thermal off-highway vehicles (building site machinery) to electric vehicles, reducing emissions, noise, and vibrations associated with the motorization of these machines.
In May 2022, Mahindra & Mahindra, an Indian automotive manufacturing company operating in off-road electric vehicles, entered a partnership with Volkswagen. The collaboration involves using Volkswagen's MEB electric components for Mahindra & Mahindra's new Born Electric Platform. This partnership aligns with both companies' shared objective to electrify the automotive market in India, with Volkswagen being a German motor vehicle manufacturer.
Major companies operating in the off-highway electric vehicle market include Caterpillar Inc., Volvo Construction Equipment Ab, Deere And Company, Komatsu Ltd., Hitachi Construction Machinery Co. Ltd., Doosan Corporation, JC Bamford Excavators Ltd., Cnh Industrial NV, Kubota Corporation, Duetz AG, Sumitomo Heavy Industries Ltd., Stihl Holding AG and Co. Kg, Solectrac LLC, Terex Corporation, Liebherr Group, Xuzhou Construction Machinery Group Co. Ltd., Wacker Neuson SE, Sany Heavy Industry Co. Ltd., Manitou Group, Bell Equipment Ltd., ASV Holdings Inc., Epiroc AB, Hyundai Construction Equipment Co. Ltd.
North America was the largest region in the off-highway electric vehicle market in 2024. The regions covered in the off-highway electric vehicle market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa
The countries covered in the off-highway electric vehicle market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Italy, Canada, Spain.
The off-highway electric vehicle market consists of sales of off-highway all-electric vehicles. Values in this market are 'factory gate' values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.
The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).
The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.
Off-Highway Electric Vehicle Global Market Report 2025 from The Business Research Company provides strategists, marketers and senior management with the critical information they need to assess the market.
This report focuses on off-highway electric vehicle market which is experiencing strong growth. The report gives a guide to the trends which will be shaping the market over the next ten years and beyond.
Where is the largest and fastest growing market for off-highway electric vehicle ? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward? The off-highway electric vehicle market global report from the Business Research Company answers all these questions and many more.
The report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market's historic and forecast market growth by geography.
The forecasts are made after considering the major factors currently impacting the market. These include the Russia-Ukraine war, rising inflation, higher interest rates, and the legacy of the COVID-19 pandemic.