Global cargo bike market is estimated to be valued at US$ 3,749.3 Mn by 2030.
Freight bicycle, carrier cycle, freight tricycle, cargo bikes, and cycle trucks are human powered as well as electric battery powered, designed and constructed specifically for transporting loads. Vehicle designs include area that consists of open or an enclosed box, flat platform, or a wired basket, usually mounted over one or both wheels. Moreover, cargo bikes frame and the drivetrain are generally constructed to handle loads larger than those of an ordinary cycle.
Global Cargo Bike Market: Regional Insights
Europe held dominant position in the global cargo bike market in 2022, accounting for 42.2% share in terms of value, followed by North America and Asia Pacific.
Figure 1: Global Cargo Bike Market Share (%), By Region, 2022
Europe region held the largest market share in year 2020 and is expected to retain its dominance over the forecast period. The growth of cargo bikes market in Europe region is boosted by the existing widely spread and high quality infrastructure for the electric cargo bikes, and the presence of cargo bike manufacturers are expected to provide ample opportunity for the significant growth rate over the forecast period (2023 – 2030). Moreover, Government of Europe is taking collective efforts for reducing air pollution level across the region, and countries are providing support in form of subsidies and incentives to encourage manufacturing and sales of cargo vehicles across the region. For instance, in March 2023, The European Cyclists’ Federation (ECF) has launched a Cargo Bike Friendly Cities Dashboard, a new tool that evaluates the cargo bike friendliness of over 100 cities across Europe.
Global Cargo Bike Market - Impact of Coronavirus (COVID-19) Pandemic
COVID-19 has made significant negative impact on manufacturing industry and the global supply chain. Furthermore, it has made a noticeable shift in freight travel pattern and the cargo shifting pattern. During the COVID – 19 pandemic, the demand for freight transportation majorly reduced, owing to nationwide lockdown in many countries such as India, Italy, and U.K. in the year 2020. In addition, during COVID – 19, lockdown cargo bikes was majorly used for the delivery of healthcare products such as medicines, medical products, and retail food delivery, as it is a convenient and affordable delivery option as compared to other petrol or diesel based delivery vehicles.
Global Cargo Bike Market- Drivers:
Technological Advancement in Cargo Bike
Increasing research and development, and new product launches of technologically advanced cargo bikes, such as extended battery life of electric cargo bikes, are further boosting the demand for the same. For instance, in February 2021, Aberdeen City Council planned to launch hydrogen-powered cargo bikes. Council planned to lower the emission caused due to petrol or diesel powered cargo bikes. This hydrogen powered cargo bikes will be developed under a European project called Fuel Cell Cargo Pedelecs. Under this project, a contract for six e-cargo bikes has been submitted on Public Contracts Scotland to be modified with hydrogen fuel cell subsystems.
Rising Demand of Efficient Transportation
Lower running prices, reduction in transportation times, and lower environmental impacts of using cargo bikes instead of different mediums to transport the goods, are the factors attributing to the growth rate of cargo bike market. For an instance on April 2023 Ferla Bikes introduced its newest cargo bike, Lagom, the most powerful long-tail electric cargo bike ever built.
Global Cargo Bike Market- Opportunities:
Manufacturing opportunities in emerging economies
Increasing focus of many governments for reducing carbon emission is expected to significantly boost the adoption of electric cargo bikes, for transportation over the forecast period. For this, governments are implementing various regulations or offering subsidy for the purchasing of electric cargo bikes. For instance, the Italian government allocated EUR 2 million for companies that purchased cargo bikes in 2021.
Research and development activities among market players
Foldable cargo bikes are convenient to use and park as they can be stored in less space by folding the bike. The companies are focusing on shrinking the bike’s size while still retaining proper cargo qualities. For instance in Nov 2022 Radio Flyer launched small cargo electric bike that folds in half.
Global Cargo Bikes market was valued at US$ 1,281.4 Mn in 2022 and is forecast to reach a value of US$ 3,749.3 Mn by 2030, exhibiting CAGR of 14.36% between 2023 and 2030.
Cargo Bike Market Report Coverage
|Base Year:||2022||Market Size in 2022:||US$ 1,281.4 Mn|
|Historical Data for:||2017 to 2021||Forecast Period:||2023 to 2030|
|Forecast Period 2023 to 2030 CAGR:||14.36 %||2030 Value Projection:||US$ 3,749.3 Mn|
Accell Group, Bodo Vehicle Group Co., Ltd, Butchers & Bicycles ApS, CERO Electric Cargo Bikes, DOUZE Factory SAS, Dutch Cargo Bike, G & O Family Cyclery, Gessato, Jinhua Jobo Technology Co., Ltd, Tern, Urban Arrow, Worksman Cycles, Xtracycle Inc, XYZ CARGO, and Yuba Bicycles LLC
|Restraints & Challenges:||
Global Cargo Bike Market- Trends:
Modular Cargo Bikes
Another trend in the Cargo Bikes market is the emergence of modular cargo bikes. These bikes are designed to be highly versatile, with interchangeable components that allow the rider to switch between different cargo configurations. For example, a modular cargo bike might be used as a family bike for transporting children one day, and then as a cargo bike for carrying groceries or other goods the next day. This flexibility makes modular cargo bikes an attractive option for a wide range users, from families to businesses. In addition, modular cargo bikes often have similar footprints than traditional cargo bikes, making them easier to store and transport. For instance, in July 2022, Tern launches modular last mile delivery range, new Tern Business service will give firms the opportunity to customize delivery vehicles with various types of cargo box and can also include fleet tracking software.
Electric Cargo Bikes
One of the most significant trend in cargo bikes is the increasing popularity of electric cargo bikes. These bikes are equipped with an electric motor that provides pedal assistance, making it easier to carry heavy load and navigate challenging terrain. E-cargo bikes are ideal for people who need to transport goods or cargo over longer distances or in hilly areas, as the electric cargo bikes are increasingly being adopted by logistics and delivery companies, as well as by individuals who need to transport goods or cargo in urban areas. For instance in Jan 2023 Toyota and Douze Cycles team up to release new electric cargo bike. The cargo e-bike will be made available in France and cater to the last-mile delivery sector.
Global Cargo Bike Market- Restraints:
Limited driving range
Electric powered cargo bikes has limited range and it travels with a less speed as compared to diesel or petrol powered cargo bikes, owing to their small engine, which is expected to hamper the sales of cargo bikes over the forecast period.
Lack of infrastructure and regulatory support for cycling
Many parts the world there is unavailability of proper infrastructure for cycling. While some countries, such as the Netherlands and Denmark, have well-developed cycling infrastructure and policies that support sustainable transportation options, many other regions lack the necessary bike lanes, parking facilities, and other infrastructure needed to promote the use of cargo bikes for transportation and delivery. This can make it more difficult for consumers and businesses to adopt these vehicles as a viable alternative to cars and trucks. In addition, many countries have regulations and laws that restricts the use of cargo bikes, such as weight limits or restrictions on operating in certain areas, which can limit their utility for certain types of tasks
Figure 2: Global Cargo Bike Market Share (%), By Segment, 2022
Global Cargo Bike Market- Segmentation:
Global Cargo Bikes market report is segmented into type and Application and by fuel type.
Global Cargo Bike Market: Key Developments
Major market players are focusing on product launches in order to enhance their product portfolio. For instance, in January 2023, Toyota launches its first electric cargo bike, but cargo bike is only available in France.
In July 2022, Amazon has announced the launch of its first fleet of electric cargo bikes on London’s congested streets.
In December 2020, Smartron India has announced the launch of ‘tbike flex’. It is an electric cargo bike, which in February 2023, Trek has launched two new cargo e-bikes, both with the capability to carry children and cargo in various ways.
In November 2021, Dutch design office Studio MOM has teamed up with hydrogen battery pioneer LAVO to develop an electric bike that can carry heavy cargo over long distances.
Global Cargo Bike Market: Key Companies Insights
Global Cargo Bikes market is highly competitive, owing to rising launch of new technologies due to ongoing R&D and efforts by value chain participants. Moreover, key players are adopting various business growth strategies in order to expand their presence on regional as well as global basis. Some of the key players in the Global Cargo Bikes market are Major companies operating in the global cargo bike market are: Accell Group, Bodo Vehicle Group Co., Ltd, Butchers & Bicycles ApS, CERO Electric Cargo Bikes, DOUZE Factory SAS, Dutch Cargo Bike, G & O Family Cyclery, Gessato, Jinhua Jobo Technology Co., Ltd, Tern, Urban Arrow, Worksman Cycles, Xtracycle Inc, XYZ CARGO, and Yuba Bicycles LLC
*Definition: Cargo Bikes are designed and equipped specially for carrying goods and cargo. They are similar to regular bicycle in many ways, but have a variety of features like elongated frame that make them more suitable for carrying heavier load.
Frequently Asked Questions