Satyakam Arya, Managing Director and CEO of Daimler India Commercial Vehicles expects the commercial vehicle industry in India to clock a CAGR (Compound Annual Growth Rate) of close to 5% over the next six years.
Arya anticipates the truck segment to reach 450,000 units by 2030, a significant increase from the estimated 330,000–350,000 units expected in 2024. The bus segment is also forecast to witness healthy growth, climbing to nearly 70,000 units by 2030 from its current range of 50,000–55,000 units in 2024.
“By the end of this decade (2030), the medium and heavy commercial vehicle market in India is expected to be close to the half-million mark,” said Arya, while relying on the assumption of a stable government after elections and continued momentum in the Indian economy, which is growing at a robust growth rate of 7% GDP. He added that the massive road construction and infrastructure development taking place at present, along with the growth in the mining sector, are likely to provide strong support for the growth in demand.
Breaking down the industry forecast by sub-segment, Arya expects heavy-duty construction, mining, and tractor segments to capture a significantly larger share of the market. He predicts their combined share could grow by more than 55% of the total commercial vehicle industry.
Meanwhile, the heavy duty bus segment is poised for robust growth as well, with Arya anticipating a CAGR exceeding 10% throughout the decade.
Also read: Daimler India Commercial Vehicles posts record year in 2023, sales and revenue see over 20% growth
