Electrification of powertrains of off-highway vehicles such as construction, agriculture, and mining machinery has been in focus owing to concerns on emissions and noises generated by conventional diesel-powered machinery. Electrically propelled off-highway vehicles offer various advantages such as high overall efficiency, high maneuverability, and accuracy during operations. Fuel costs are a significant expenditure for most operations. In many sectors of the construction industry, we see a rise in electric and hybrid equipment. It’s a trend that will continue to impact more segments of the industry as engineering knowledge and capabilities continue to grow.
Stringent Emission Norms Encouraging OEMs to develop Off-Highway Hybrid Machinery
The increasing demand for machinery which generates low emissions and delivers high fuel efficiency have led the manufacturers to develop and manufacture hybrid off-highway vehicles. Equipment manufacturers have been investing in these technologies to gain consumer acceptance as these machines offer many advantages. Besides low emissions and low noise pollution, the machinery propelled by hybrid will significantly lower operational costs as the energy utilization by electrically powered drives is high. The electrically powered off-highway vehicles also offer high efficiency compared to their hydraulic counterparts as hydraulic machinery utilize less than 10 percent of the energy generated by the fuel.
Low Operational Costs of Hybrid Off-Road Vehicles compared to IC engine Off-Highway Vehicles is expected to increase its demand
The cost of fuel accounts for a major share of operating expense of an Off-Highway vehicle. As hybrid powertrain runs on both engine and a motor, the vehicle does not burn fuel when the motor is operating, saving approximately 20-30% of fuel. This is one of the major advantages of hybrid off-highway vehicles. Major construction and mining equipment manufacturers have been developing hybrid electric off-highway machinery as the demand for such equipment increasing as they offer both fuel economy and generate lesser emissions compared to their conventional counterparts.
For example, Caterpillar’s 336E H, its first hybrid excavator, which saves 33% of fuel compared to CAT 330/336D, the conventional variant of the excavator. Although the vehicle’s cost is 20 percent higher than its conventional counterpart, which can be covered in the course of 3 years as operational costs are low.
Key Developments in the Market
- April 2018: Dana Incorporated revealed its new technologies to support the rapidly evolving development of hybrid and electric-powered construction and other off-highway vehicles at Intermat, the international exhibition for the civil engineering and structural building industries.
- April 2018: Kobelco Construction Machinery launches SK210H, the world’s first lithium-ion battery powered hybrid excavator. Lithium-ion battery packs retain their charge for a longer period and can deliver power with low fluctuations, which ensure optimum fuel utilization.
Major Players: Dana Inc., Kobelco Construction Machinery, Hitachi Construction Machinery, Volvo Construction Equipment, and Caterpillar among others.
Reasons to Purchase this Report
- Latest technology trends adopted by the manufacturers in the off-highway hybrid vehicle market.
- Analyzing various perspectives of the market with the help of Porter’s five forces analysis.
- Study on the machinery type that is expected to dominate the market.
- Study on the region that is expected to dominate the market.
- Identify the latest developments, market shares and strategies employed by the major market players.
- 3 months of analyst support, along with the Market Estimate Sheet (in excel)
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1.1 Scope of the Market
1.2 Executive Summary
2. Research Methodology
2.1 Study Deliverables
2.2 Study Assumptions
2.3 Research Methodology
3. Market Insights
3.1 Current Market Scenario
3.2 Regulatory Analysis
3.3 Industry Attractiveness – Porter’s Five Forces Analysis
3.3.1 Bargaining Power of Suppliers
3.3.2 Bargaining Power of Buyers
3.3.3 Threat of New Entrants
3.3.4 Threat of Substitute Products and Services
3.3.5 Competitive Rivalry Within the Industry
3.4 Technology Trends
4. Market Dynamics
5. Market Segmentation and Analysis (Market Size, Growth, and Forecast)
5.1 By Machinery Type
5.1.4 Other Machinery
5.2 By Application
6. Regional Market Analysis (Market Size, Growth, and Forecast)
6.1 North America
6.4 South America
6.5 Rest of the World (Middle East and Africa)
7. Competitive Landscape
7.2 Market Share Analysis
8. Company Profiles (Overview, Financials**, Products & Services, SWOT Analysis, and Recent Developments)
8.1 Caterpillar Inc.
8.2 Liebherr-International AG
8.3 Terex Corporation
8.4 Volvo Construction Equipment
8.5 Komatsu Ltd.
8.6 Doosan Infracore
8.7 CNH Industrial
8.8 Yanmar Co. Ltd.
8.9 Hitachi Construction Machinery
8.10 Mitsubishi Heavy Equipment
8.11 SANY Heavy Industry
*List not Exhaustive
9. Future of the Market
**Subject to Availability on Public Domain