The worldwide transportation industry is growing with a transformative shift, with electric trucks coming out as a major player in the race for sustainability and innovation. As the pressure for reducing carbon emissions increases, the global electric trucks market is expected to grow at an unprecedented rate. Progress in battery technology also adds to growth. The blog explores the current market state and growth projections, with instances tied to recent times.
Why Electric Trucks Are Gaining Ground?
Electric trucks are considered to be the future of freight transportation. Their adoption has increased mainly with the rising consciousness of climate change and government initiatives. For instance, in January 2023, the International Energy Agency (IEA) reported that the global electric vehicles market, which includes electric trucks, would grow exponentially by 2030. These projections came on the heels of major automakers investing billions in electrification.
For example, Tesla’s semi electric truck, launched in December 2022, marked a pivotal moment in the industry. Initial deliveries by Tesla to PepsiCo demonstrated electric trucks are not just a concept. Instead, it is a viable solution for commercial use. This milestone underscores electric trucks’ potential in disrupting traditional logistics and freight industries.
(Source: IEA)
Electric Truck Market Projections: What’s Next?
According to a report published by Coherent Market Insights, the global electric trucks market is estimated at approximately USD 4.45 billion in 2025. The report also forecasted a CAGR of 18.1%, projecting the market value to reach USD 14.26 billion by 2032.
Government policies play a crucial role in this growth. In March 2023, the European Union announced strict carbon emission regulations. Companies were therefore compelled to accelerate the adoption of electric trucks. Similarly, California made a mandate with all the trucks sold requiring in a state to be zero emissions by 2035. The commitments by corporations, such as Amazon, Walmart and FedEx, to incorporate electric trucks into their fleet also contribute to the market growth. In June 2023, Amazon announced to deploy electric delivery trucks by Rivian in several U.S. cities.
(Source: CounciloftheEuropeanUnion and GeekWire)
Battery and Automation Innovations Drive the Revolution
Battery technology has been emerging and is the core of the electric truck revolution. In August 2023, CATL, a top manufacturer of batteries, launched a new fast charging battery. The battery has the capability of providing a 400 km range with only 10 minutes of charging. This development addresses one of the major concerns associated with electric trucks, which is charging downtime.
In addition, self-driving features are being integrated into electric trucks. An example includes Daimler Trucks announcing a deal with Waymo to develop autonomous electric trucks, in October 2020. Such innovations are anticipated to improve efficiency and minimize operational expenses, driving the popularity of electric trucks, especially within businesses.
(Source: Bloomberg and DaimlerTruck)
How Different Regions Embrace Electric Trucks
The electric truck market is growing globally, but the speed of its adoption is fragmented. In North America, the U.S. has been a major contributor to the adoption. This is evident with the presence of companies such as Tesla, Rivian, and Nikola. In March 2025, the U.S. Department of Energy allocated around USD 321 million to support EV infrastructure. The EU’s stringent emission standards have propelled the European electric truck market. Similarly, in Asia Pacific, China’s leadership in electric vehicle production, including electric trucks, drives growth. BYD’s electric truck (e-truck) sales marked a dramatic surge in April 2025. It experienced explosive 1,248% growth in e-truck sales.
(Source: IEA, Reuters and AutomotiveWorld)
Innovations Shaping the Future of Electric Trucks
The future of the electric industry is quite bright. Numerous auto makers are expected to launch new models of electric trucks. These models would address both commercial and consumer needs. For instance, the much-awaited Ford’s F-150 Lightning is set to increase its production to address increasing demand from consumers.
Renewable energy integration is also expected to play a key role in the market growth. In October 2023, Volvo Trucks, a major contributor to the Volvo Group, announced that it is building charging infrastructure through Milence, a joint venture created with Daimler Truck and the Traton Group. The collaboration will lead to the installation and operation of a minimum of 1,700 fast green energy charging points on and near highways as well as at logistics hubs throughout Europe.
(Source: VolvoTrucks)
Conclusion
The global electric truck industry is growing at an impressive pace. Advances in technologies, favorable government policies, and corporate commitments drive the growth. As we look ahead, the electric trucks industry is all set to reshape the transportation sector and drive us to a cleaner and more sustainable future. Whether you are a logistics company, an auto maker, or even an environmental advocate, the revolution of electric trucks is one to watch closely.
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