Allied Market Research

Global Self-Driving Truck Market Expected to Reach $1,669 Million by 2025


quote North America is expected to dominate the global self-driving truck market during the forecast period. In addition, in 2020, China is also projected to remain dominant in the Asia-Pacific market. Similarly, the U.S. is anticipated to dominate the market in North America, whereas the UK is anticipated to lead in Europe in 2020. quote

Chandani Poddar & Supradip Baul
Lead Analysts, Automotive & Transportation at Allied Market Research

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According to a recent report published by Allied Market Research, titled,"Self-Driving Truck Market by Level of Autonomy and Industry Vertical: Global Opportunity Analysis and Industry Forecast, 2020 - 2025,"the global self-driving truck market was valued at $1,004 million in 2020, and is projected to reach at $1,669 million by 2025, growing at a CAGR of 10.4% from 2020 to 2025.

At present, North America dominates the self-driving truck industry. In 2020, China is expected to register the highest self-driving truck market growth in Asia-Pacific. Similarly, the UK is expected to lead the overall self-driving truck market share in Europe in 2020. In the same year, according to self-driving truck market analysis, the U.S. is estimated to dominate the North American market.

Factors such as rising environmental concern and increasing road accidents are driving the growth of global self-driving truck market. However, security concern due to the automation is anticipated to hinder the growth of the market. Furthermore, decongestion of traffic provides a remarkable growth opportunity for the key players operating in the self-driving truck market.

Many self-driving truck companies are developing new innovative and advanced technologies, which in turn is anticipated to propel the market. For instance, TuSimple, a self-driving truck technology developer has introduced a new vision system and proprietary automotive-grade camera which will be deployed in the vehicle in third quarter of 2019. This custom designed camera allows low light and reliable night operations doubling the current truck utilization.

The global self-driving truck is segmented based on industrial vertical which includes logistics, construction & manufacturing, mining, and ports. The upcoming trend of self-driving trucks is expected to have an impact on the logistics industry, as it is estimated that logistic industry will adopt the self-driving technology much faster than any other industry. Furthermore, rise in demand for automation of transportation mode has been witnessed to meet consumer expectations.

North America is a dominant market for self-driving truck, and has major players offering advanced solutions. The key factors that drive the growth of the North American market include surge in demand for artificial intelligence (AI), increase in the level of automation, availability of high-end infrastructure, and emergence of Internet of Things (IoT). Furthermore, rise in investments by the automakers, government initiatives to promote the development of automation, and increase the overall market productivity boost the market growth. Increase in adoption of self-driving trucks in the European region due to surge in demand for road safety drives the market growth.

Autonomous self-driving trucks in construction and manufacturing industry optimize efficiency with diagnostic sensors so as to monitor asset performances with safer job sites and work being done more accurately. The driverless trucks deliver loads more efficiently and minimize delays & fuel use. These trucks are controlled by operators remotely, which ensure safety of the workers, and maximize precision and equipment utilization.

Self-driving mining trucks are autonomous trucks, which are capable to derive an exact route every time without getting tired or taking time off. The elimination of human errors improves safety concerns of the operator and helps to increase the productivity. Furthermore, self-driving truck needs few people at site and minimizes human errors due to fatigue. Moreover, self-driving truck in mining industry employs both radar and LIDAR to sense objects around the vehicle. This, combined with GPS, creates an overall picture of location, speed, and possible obstacles. Thus, all these factors drive the market growth of self-driving trucks in the mining industry.
Autonomous self-driving trucks in ports assist in relieving shortage of manpower and raise productivity with more cargo transported per driver. Furthermore, they improve work efficiency, save labor cost, track environment, and can navigate & decide the ideal route to move containers within the port using artificial intelligence and chips. These factors together fuel the adoption of self-driving trucks at the ports.

The global self-driving truck market size is projected to register significant growth during the forecast period attributed to rise in environmental concern and increase in number of road accidents. However, threat of hackers and rise in cybercrime restrict the growth of the market.

In 2020, based on level of autonomy, the level one segment is anticipated to dominate the global self-driving truck market size, in terms of revenue. However, based on industry vertical, construction & manufacturing is projected to dominate the global market in the same year.

Key Findings of the Self-Driving Truck Market:

  • Level one is expected to generate the highest revenue in 2020.
  • In 2020, the construction & manufacturing segment is projected to account the highest revenue in the self-driving truck market.
  • Asia-Pacific is anticipated to exhibit the highest CAGR during the forecast period.

The key players profiled in the report include BMW AG, Isuzu Motors Limited, General Motors, Otto motors, AB Volvo, Daimler AG, Tesla, Waymo, Toyota, and Volkswagen.

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quote Self-Driving Truck Market by Level of Autonomy (Level One, Level Two, Level Three, and Level Four) and Industry Vertical (Logistics, Construction & Manufacturing, Mining, and Port) - Global Opportunity Analysis and Industry Forecast, 2020 - 2025 quote

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