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Europe Light Commercial Vehicle Market, Volume Forecast and Growth Opportunities, 2024 - 2032

  • Report

  • 84 Pages
  • September 2024
  • Region: Europe
  • Frost & Sullivan
  • ID: 6020771

Strong Decarbonization Measures are Driving Transformational Growth in Electric Vehicles toward Penetration of 60% by 2032

The overall light commercial vehicle (LCV) market size is forecast to reach 2.4 million units by 2032. The European LCV market is on track to achieve a compound annual growth rate (CAGR) of 2.9% between 2023 and 2032. Electric vehicle (EV) penetration will increase to reach 60% during this period, up from 6.9% in 2023.

The overall size of the LCV market in Europe in 2023 was 1.9 million units. Vans held the largest volume at 1.7 million units and contributed 92.4% of the total LCV volumes. The less than 3.5t segment held 99.1% of the overall volume, and the greater than 3.5t segment made up the remaining share.

One out of every 3 LCVs sold in Europe belongs to the Stellantis Group. Next comes Ford at a distant second, with a market share of 18.0%, followed closely by Renault-Nissan Group at 15.0%. German manufacturers Volkswagen and Mercedes-Benz with a combined share of 21.5% complete the top five players.

Diesel is the primary powertrain technology for LCVs, powering 86.0% of them. Diesel powers 86.1% of the vehicles in the less than 3.5t segment, and even less in the higher-weight class of the greater than 3.5t segment, with a 75.0% share, due to the significant presence of EVs.

Pickups in Europe are almost entirely used for personal applications. Meanwhile, 32.9% of vans are used for parcel and delivery applications. Utilities, mobile services, and construction applications make up 37.0% of van sales, with personal and passenger applications holding a combined share of 30.2%.

The study period for this European LCV research service is 2023 to 2032.

Key Issues Addressed

  • What is the size of the Europe LCV market in 2023? What are the market's future growth prospects?
  • Who are the key OEMs, and what are the major applications in the LCV segment?
  • What are the prospects for electrification in the market, and who are the key players driving it?
  • How does the total cost of ownership for eLCVs compare with that of ICE LCV?
  • What is the volume of the eLCV market expected to be in the future? What are the drivers for the growth of this market? 

LCV Market Segmentation

GVWR < 6 tons LCV: 

  • Pickups: Compact, Mid-size, Full-size, and Heavy-Duty (HD)
  • Vans: Small, Medium, and Large
  • Cab-over-engine (COE) Trucks: Mini, Small, and Light

Powertrain Types:

  • Gasoline
  • Diesel
  • Natural Gas
  • Electric Vehicle (represented as both EV and xEV in this study)

Top 3 Strategic Imperatives impacting the European LCV Market

Industry Convergence

Why:

  • Collaborations among automotive original equipment manufacturers (OEMs), Tier I suppliers, and tech companies will likely address common challenges in emissions, safety, and connectivity.
  • Synergies will allow stakeholders to develop innovative solutions faster, cut costs, and mitigate risks.

Analyst Perspective:

  • Partnerships between automotive and tech companies are already happening and will become more common.
  • The confluence of ideas from diverse area and expertise is expected to transform the next decade.

Internal Challenges

Why:

  • The trucking industry, dominated by legacy companies with old ideas and resistance to change, has attracted interest from tech-savvy start-ups in recent years.
  • These young companies are rewriting the rules of the game through high-level technology and artificial intelligence (AI).

Analyst Perspective:

  • The following 2 to 5 years will see many new participants entering the market, especially in electrification.
  • Numerous technology companies want a piece of the trucking pie and are working on connectivity, freight brokerage, and autonomous driving.

Transformative Megatrends

Why:

  • The Mobility Revolution Megatrend considers how autonomous mobility, green transportation, and new mobility models will shape the future.
  • In the trucking industry, the keywords are connected, autonomous, shared, and electric (CASE).
  • Each will contribute to a cleaner, safer, and more sustainable environment.

Analyst Perspective:

  • Connected and shared technologies in the form of telematics and digital freight brokerage are in the nascent stage but already in deployment.
  • A proliferation of electric trucks are expected in this decade.
  • Depending on the level, autonomous driving is still 5 to 10 years away.

Table of Contents

Growth Environment - Transformation in European Light Commercial Vehicle Sector
  • Why is it Increasingly Difficult to Grow?
  • The Strategic Imperative 8™
  • The Impact of the Top Three Strategic Imperatives on the Light Commercial Vehicle (LCV) Industry
Growth Environment
  • Key Findings
  • LCV Sales Volume and Application Share
  • LCV Powertrain Split
  • Volume Forecast and EV Penetration
Ecosystem
  • Research Scope
  • LCV Market Segmentation
LCV Market Outlook
  • Europe - Regional Outlook
  • LCV Volumes
  • LCV Powertrain Split
  • LCV OEM Market Share
  • Major LCV Applications
  • Key LCV Applications Share
Key Country Insight
  • Country Insight - Germany
  • Country Insight - France
  • Country Insight - Italy
  • Country Insight - Spain
  • Country Insight - United Kingdom
LCV Electrification
  • Electrification Use Cases - Pickups
  • Electrification Use Cases - Vans
  • eLCV Technology Roadmap
  • Drivetrain Architecture Mapping - OEMs
  • eLCV Models by Vehicle Size
  • Electric Platforms of Key OEMs
  • Key Metrics for Electric Pickups
  • Mileage Range of Electric Vans
  • Price Range of Electric Vans
  • Volume Forecast and EV Penetration
  • Small Electric Vans - Battery Capacity and Motor Power
  • Medium Electric Vans - Battery Capacity and Motor Power
  • Large Electric Vans - Battery Capacity and Motor Power
  • Key eLCV Launches
  • EV Incentives - Select Countries
Volumes Forecast
  • Volume Forecast by Segment
  • Powertrain Share Forecast
  • Electric Powertrain Share Forecast
  • Pickup Volume Forecast and EV Penetration
  • Van Volume Forecast and EV Penetration
  • COE Truck Volume Forecast and EV Penetration
  • LCV Future Outlook by Body Style
TCO Analysis
  • TCO Analysis - Key Assumptions
  • Large Vans - TCO Share and per Mile Cost
  • Large Vans - Payback Period
  • Large Vans - TCO Components
  • Small Vans - TCO Share and per Mile Cost
  • Small Vans - Payback Period
  • Small Vans - TCO Components
Growth Opportunity Universe in Light Commercial Vehicle Sector
  • Growth Opportunity 1 - Challenging Macro-economic Conditions
  • Growth Opportunity 2 - Pick-ups to Compensate for Decline in Cab-over-Engine (COE) Trucks
  • Growth Opportunity 3- Growing Electric Vehicle (EV) Ecosystem
Best Practices Recognition
List of Tables
  • LCV Market: Key Findings, Europe, 2023-2032
  • LCV Market: Sales Volume and Application Share, Europe, 2023
  • LCV Market: Powertrain Split, Europe, 2023
  • LCV Market: Volume and xEV Penetration Forecast, Europe, 2023-2032
  • LCV Market: Regional Outlook, Europe, 2023-2032
  • LCV Market: LCV Volumes, Europe, 2023
  • LCV Market: LCV Powertrain Split, Europe, 2023
  • LCV Market: OEM Share, Europe, 2023
  • LCV Market: Major LCV Applications, Europe, 2023
  • LCV Market: Key LCV Applications Share, Europe, 2023
  • LCV Market: Country Insight, Germany, 2023
  • Total Sales by Body Style, Germany, 2023
  • Market Share of Top 5 OEMs, Germany, 2023
  • Total Sales by Body Style, France, 2023
  • LCV Market: Country Insight, France, 2023
  • Market Share of Top 5 OEMs, France, 2023
  • LCV Market: Country Insight, Italy, 2023
  • Total Sales by Body Style, Italy, 2023
  • Market Share of Top 5 OEMs, Italy, 2023
  • LCV Market: Country Insight, Spain, 2023
  • Market Share of Top 5 OEMs, Spain, 2023
  • Total Sales by Body Style, Spain, 2023
  • LCV Market: Country Insight, United Kingdom, 2023
  • Total Sales by Body Style, United Kingdom, 2023
  • Market Share of Top 5 OEMs, United Kingdom, 2023
  • LCV Market: Electrification Use Cases - Pickups, Europe, 2023
  • LCV Market: Electrification Use Cases - Vans, Europe, 2023
  • LCV Market: eLCV Technology Roadmap, Europe, 2023-2032
  • LCV Market: Drivetrain Architecture Mapping, Europe, 2023
  • LCV Market: eLCV Models by Vehicle Size, Europe, 2023
  • LCV Market: Electric Platforms of Key OEMs, Europe, 2023
  • LCV Market: Key Metrics for Electric Pickups, Europe, 2023
  • LCV Market: Mileage Range of Electric Vans, Europe, 2023
  • LCV Market: Price Range of Electric Vans, Europe, 2023
  • LCV Market: Volume and xEV Penetration Forecast, Europe, 2023-2032
  • LCV Market: Small Electric Vans' Battery Capacity and Motor Power, Europe, 2023
  • LCV Market: Medium Electric Vans' Battery Capacity and Motor Power, Europe, 2023
  • LCV Market: Large Electric Vans' Battery Capacity and Motor Power, Europe, 2023
  • LCV Market: Key eLCV Launches, Europe, 2023
  • LCV Market: EV incentives: Select Countries, Europe, 2024
  • LCV Market: Volume Forecast by Segment, Europe, 2023-2032
  • LCV Market: Powertrain Share Forecast, Europe, 2023-2032
  • LCV Market: Electric Powertrain Share Forecast, Europe, 2023-2032
  • LCV Market: Pickup Volume Forecast and EV Penetration, Europe, 2023-2032
  • LCV Market: Van Volume Forecast and EV Penetration, Europe, 2023-2032
  • LCV Market: COE Truck Volume Forecast and EV Penetration, Europe, 2023-2032
  • LCV Market: LCV Future Outlook by Body Style, Europe, 2023-2032
  • LCV Market: TCO Analysis, Key Assumptions, Europe, 2024-2038
  • LCV Market: Large Vans' TCO Share, Europe, 2024-2038
  • LCV Market: Large Vans' Cost per Mile, Europe, 2024-2038
  • LCV Market: Large Vans' Payback Period: No Incentives, Europe, 2024-2038
  • LCV Market: Large Vans' Payback Period: With Incentives, Europe, 2024-2038
  • LCV Market: Large Vans' TCO Components, Europe, 2024 and 2038
  • LCV Market: Small Vans' TCO Share, Europe, 2024-2038
  • LCV Market: Small Vans' Cost per Mile Cost, Europe, 2024-2038
  • LCV Market: Small Vans' Payback Period: No Incentives, Europe, 2024-2038
  • LCV Market: Small Vans' Payback Period: With Incentives, Europe, 2024-2038
  • LCV Market: Small Vans' TCO Components, Europe, 2024 and 2038