The Indian trucking industry, a linchpin of economic development, has weathered challenges and is now steering towards recovery and growth, the recent report from ResearchAndMarkets has said.
Navigating through axle load regulations, Bharat Stage-6 emission norms, and the disruptive waves of the COVID-19 pandemic, the industry is embracing a resurgence.
In the year 2022, the industry witnessed a total of 0.87 million units in truck shipments. Notably, the light-duty segment led the charge with 0.56 million trucks, followed by the heavy-duty segment with 0.22 million trucks and the medium-duty segment with 0.09 million trucks. Despite the hurdles, strategic national initiatives like Bharatmala and Sagarmala, combined with a robust logistics policy and infrastructure pipeline, are poised to elevate the demand for truck deployment.
In a nod to environmental sustainability, compressed natural gas (CNG) trucks have gained traction, constituting 27.8% of the overall powertrain in the medium-duty segment. With revised CNG pricing on the horizon, sales are expected to surge. The dedicated liquified natural gas (LNG) policy is set to further elevate LNG usage, especially in the heavy-duty segment, offering an extended range and diesel-comparable performance. Leading Original Equipment Manufacturers (OEMs) have teased LNG models, with anticipated launches in 2024.
The industry is also witnessing a paradigm shift towards electrification, starting with light-duty trucks catering to last-mile operations. This transformative journey gains momentum as charging infrastructure improves, backed by subsidies from central and state governments. Production-linked incentives (PLI) are incentivizing OEMs to embrace this electrified future.
The rise of connectivity and telematics solutions by third-party players and OEMs is reshaping fleet management for customers, although an anticipatory eye on regulatory developments is warranted. The overall trajectory for the Indian commercial vehicle sector is on a steadfast upward curve, fueled by resilience, innovation, and a commitment to sustainable growth, the report noted.
Courtesy: ResearchAndMarkets. Photo is representational; courtesy: Ashok Leyland.