Electric Utility Vehicle Market Report 2026

The electric utility vehicle market size has grown strongly in recent years. It will grow from $15.91 billion in 2025 to $17.06 billion in 2026 at a compound annual growth rate (CAGR) of 7.2%. The growth in the historic period can be attributed to urban electrification programs, lead-acid to lithium transition, demand for compact utility vehicles, municipal fleet upgrades, low maintenance benefits.

The electric utility vehicle market size is expected to see strong growth in the next few years. It will grow to $23.14 billion in 2030 at a compound annual growth rate (CAGR) of 7.9%. The growth in the forecast period can be attributed to fast-charging infrastructure rollout, lithium-ion cost reduction, smart fleet management adoption, sustainability mandates, growth in commercial electrification. Major trends in the forecast period include adoption of electric utility fleets, growth of battery swap models, rising use in municipal operations, expansion of off-road electric vehicles, demand for low-noise utility transport.

The growth of e-commerce and warehousing is significantly driving the expansion of the electric utility vehicle market. E-commerce encompasses the exchange of products and services, as well as the transmission of money or data over an electronic network, while warehousing refers to the practice of storing items for later sale or distribution. Electric utility vehicles, such as forklifts, are widely utilized in e-commerce warehouses to achieve carbon-neutrality objectives. For example, in August 2024, the United States Census Bureau, a government agency, reported that U.S. retail e-commerce sales, adjusted for seasonal variations, reached $291.6 billion in Q2 2024, reflecting a 1.3% increase from Q1 2024. Total retail sales were estimated at $1.82 trillion, showing a 0.5% rise from the previous quarter. Year-over-year, e-commerce sales grew by 6.7%, while total retail sales increased by 2.1%. E-commerce accounted for 16% of total sales. On an unadjusted basis, e-commerce sales for Q2 2024 stood at $282.3 billion, representing 15.2% of total sales. Therefore, the growth of e-commerce and warehousing is propelling the growth of the electric utility vehicle market.

The rise in tourism is also expected to boost the growth of the electric utility vehicle market going forward. Tourism involves individuals or groups traveling to destinations outside their usual environment for leisure, recreation, business, or personal reasons. Increased tourism creates demand for sustainable transportation solutions, government incentives, and eco-friendly practices, thereby supporting the electric utility vehicle market. For instance, in May 2023, according to the United Nations World Tourism Organization, a Spain-based specialized agency, international tourist arrivals in the first quarter of 2023 rebounded to 80% of pre-pandemic levels, with approximately 235 million travelers - more than double the same period in 2022. Revised data for 2022 indicated that over 960 million international tourists traveled abroad, reaching two-thirds (66%) of pre-pandemic levels and demonstrating the tourism sector's resilience and recovery. Therefore, the rise in tourism is driving growth in the electric utility vehicle market.

Major companies in the electric utility vehicle market are focusing on innovative products such as street-legal utility vehicles to expand their customer base and revenue. Street-legal utility vehicles are designed for use on public roads, meeting legal requirements and safety standards. For instance, in March 2023, Club Car, a US-based electric vehicle manufacturer, launched the Club Car Urban LSV and XR. The Club Car Urban offers low operational costs compared to conventional pickup trucks or vans, facilitated by multiple lithium-ion battery options that allow rapid and efficient charging. Additionally, the vehicle prioritizes safety with automotive-grade features, including roll-over protection, 3-point safety belts, and rigorous testing through Club Car's comprehensive quality processes.

Major companies operating in the electric utility vehicle market report include Club Car LLC, Polaris Industries Inc., Ligier Professional, E-Z-GO, Alke' S.r.l., Marshell Inc., Taylor-Dunn, Deere & Company, STAR EV, Guangdong Lvtong Electric Vehicles Co. Ltd., Melex Group, Addax Motors, Esagono Energia SRL, PILOTCAR Otomotiv San. ve Tic. A.Ş, Tropos Technologies Inc., Proterra Inc., Rivian Automotive Inc., Arcimoto Inc., Canoo Inc., BYD Company Limited, SAIC Motor Corporation Limited.

North America was the largest region in the electric utility vehicle market in 2025. The regions covered in the electric utility vehicle market report include Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the electric utility vehicle market report include Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The electric utility vehicles market consists of sales of electric utility vehicles such as ground vehicles, pure-electric vehicles, hybrid EVs, plug-in electric vehicles, range-extended electric vehicles, on- and off-road EVs, and rail borne EVs. 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.

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