Philippines Commercial Vehicles Market Size
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| Market Size (2024) | USD 8.92 Billion |
| Market Size (2029) | USD 14.05 Billion |
| CAGR (2024 - 2029) | 9.52 % |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
Philippines Commercial Vehicles Market Analysis
The Philippines Commercial Vehicles Market size is estimated at USD 8.92 billion in 2024, and is expected to reach USD 14.05 billion by 2029, growing at a CAGR of 9.52% during the forecast period (2024-2029).
Over the medium term, the e-commerce industry has witnessed remarkable growth over the past decade, prompting a shift in consumer behavior from traditional brick-and-mortar stores to online platforms. As a result, the demand for shipping services has surged. This evolving trend not only reshapes the retail landscape but also profoundly influences the trucking industry, underscoring the significant ramifications of e-commerce.
Advancements in road transportation infrastructure in the country significantly bolster the growth of the trucking industry. Trucks, known for their versatility, are pivotal in transporting bulk cargo and distributing goods across vast distances. Moreover, the construction industry heavily relies on trucks to transport materials between sites.
Numerous logistics companies are adopting various strategies in response to the surging demand from the e-commerce sector. These encompass just-in-time (JIT) delivery, consolidating storage facilities, and investing in smaller vehicles tailored for last-mile deliveries. Furthermore, these companies emphasize enhanced communication, transparency, real-time tracking, streamlined operations, cost efficiency, timely deliveries, and reverse logistics to ensure a seamless return process. Given these adaptations, a rise in demand for commercial vehicles is anticipated in the forthcoming years.
Philippines Commercial Vehicles Market Trends
Light Commercial Vehicle Hold Major Market Share
Light commercial vehicles (LCVs) play a crucial role in the transportation industry, primarily facilitating the movement of goods over short distances. The boom in e-commerce has led to a heightened reliance on LCVs in logistics, spurring notable growth in regional markets.
As e-commerce and logistics firms expand their foothold, they're driving the overall market growth. In response, leading industry players are tweaking their product lines, often slashing prices, to boost sales and cater to the surging demand.
As online shopping gains traction, it's not just limited to apparel and budget electronics anymore. Categories like food and beverages, beauty products, and home goods are set to see substantial growth as consumers become more at ease with digital purchases.
With the anticipated surge in online shopping across diverse product categories, there's a pressing need for specialized logistics services. This demand underscores the necessity for commercial vehicles adept at transporting these items.
Tighter vehicle emission regulations, ongoing advancements in vehicle safety, the adoption of driver-assist technologies, and the swift growth of logistics in retail and e-commerce are poised to drive the demand for advanced commercial vehicles.
Given these developments nationwide, the demand for light commercial vehicles is set to rise in the coming years.
Internal Combustion Engine Hold Major Market Share in the Current Year
While the demand for gasoline-powered vehicles remains robust in the country, the segment grapples with challenges that could hinder its long-term growth. The nation is pivoting towards electric vehicles, aiming to lessen its dependence on petrol and embrace more environmentally friendly alternatives. This shift suggests a future decline in petrol vehicle demand, though short-term interest in gasoline vehicles persists.
The once-considered financial edge of diesel vehicles has waned, as the price gap between diesel and gasoline has narrowed. Rising initial costs and fuel prices have dulled the appeal of diesel vehicles, despite their superior fuel efficiency compared to gasoline engines.
Diesel maintains a stronghold in long-haul applications, especially with light commercial vehicles. Its dominance is projected to peak in the next five years, driven by cost-effectiveness, extended range, and the sparse infrastructure for alternative fuels.
Passenger cars will lead the charge in the transport sector's electrification. However, a significant transition in medium commercial vehicles is anticipated to take at least a decade, potentially energizing the market during the forecast period.
Philippines Commercial Vehicles Industry Overview
Key players such as Hino Motor Ltd, Isuzu Motor Co. Ltd., Mitsubishi Motor Corporation, and IVECO Group dominate the Philippines Commercial Vehicle Market. The market is poised for significant growth during the forecast period, driven by the rapid expansion of vehicle manufacturers across the country. For instance,
- In February 2024, Jiangling Motors Corporation Group announced the expansion of its commercial vehicle manufacturing facility in the Philippines, broadening its product range in the country.
- In February 2023, Foton unveiled the eAUMARK, marking the debut of the country's first electric light-duty truck. This initiative aims to provide electrified transportation solutions for Filipino consumers. The new electric vehicle (EV) features dual 81 kWh LiFePO4 battery packs on either side of the chassis, leveraging a 540V architecture. With a peak torque of 1,000 Nm, it stands out as a robust and efficient choice for transportation needs.
Philippines Commercial Vehicles Market Leaders
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Isuzu Motor Limited
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Mitsubishi Motors Corporation
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IVECO S.p.A
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Jiangling Motors Corporation Group
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Hino Motors, Ltd.
*Disclaimer: Major Players sorted in no particular order
Philippines Commercial Vehicles Market News
- June 2024: Isuzu Philippines Corporation (IPC) has recently unveiled the 2024 Isuzu D-MAX pickup truck with a range of variant options to cater to different customer preferences.
- March 2023: Mazda Philippines introduced the BT-50 4x2 AT Black Edition, a new value-packed variant that enhances the style and sophistication of Mazda's pickup truck.
Philippines Commercial Vehicles Market Report - Table of Contents
1. INTRODUCTION
1.1 Study Deliverables
1.2 Study Assumptions
1.3 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET DYNAMICS
4.1 Market Drivers
4.1.1 Rapid Expansion of E-Commerce Industries Across the Country
4.2 Market Restraints
4.2.1 Growing Investment in Rental Business To Slow Down the Market Growth
4.3 Industry Attractiveness - Porter's Five Forces Analysis
4.3.1 Threat of New Entrants
4.3.2 Bargaining Power of Buyers/Consumers
4.3.3 Bargaining Power of Suppliers
4.3.4 Threat of Substitute Products
4.3.5 Intensity of Competitive Rivalry
5. MARKET SEGMENTATION (Market Size in Value - USD)
5.1 By Vehicle Type
5.1.1 Light Commercial Vehicles
5.1.2 Medium-Duty Commercial Vehicles
5.1.3 Heavy-Duty Commercial Vehicles
5.1.4 Commercial Vehicles
5.2 By Propulsion
5.2.1 Internal Combustion Engine
5.2.2 Battery Electric Vehicle
5.2.3 Fuel Cell Electric Vehicle
5.2.4 Others (CNG, etc.)
6. COMPETITIVE LANDSCAPE
6.1 Vendor Market Share
6.2 Company Profiles
6.2.1 Hino Motor Ltd.
6.2.2 Mitsubishi Motor Corporation
6.2.3 IVECO Group
6.2.4 Jiangling Motors Corporation Group
6.2.5 Isuzu Motor Limited
6.2.6 Beiqi Foton Motor Co., Ltd.,
6.2.7 Honda Motor Co. Ltd
6.2.8 Daihatsu Motor Co. Ltd
6.2.9 Ford Motor Company
6.2.10 AB Volvo
6.2.11 Hyundai Motor Company
6.2.12 Scania AB
- *List Not Exhaustive
7. MARKET OPPORTUNITIES AND FUTURE TRENDS
8. GOVERNMENT POLICES FOE ELECTRIC VEHICLE AND FUEL CELL ELECTRIC VEHICLE**
Philippines Commercial Vehicles Industry Segmentation
A commercial vehicle refers to any motorized vehicle that is used for the transportation of goods or materials instead of passengers. A commercial vehicle is used for commercial or business purposes.
The Philippines Commercial Vehicle Market is segmented by vehicle type and propulsion. By Vehicle type, the market is segmented into Light Commercial Vehicles, Medium-Duty Commercial Vehicles, and Heavy-Duty Commercial Vehicles. By Propulsion, the market is segmented into Internal Combustion engines, Battery Electric Vehicles, Fuel Cell Electric Vehicles, and Others(CNG, etc.). For each segment, the market sizing and forecast have been done based on the value(USD) and Volume (Units).
| By Vehicle Type | |
| Light Commercial Vehicles | |
| Medium-Duty Commercial Vehicles | |
| Heavy-Duty Commercial Vehicles | |
| Commercial Vehicles |
| By Propulsion | |
| Internal Combustion Engine | |
| Battery Electric Vehicle | |
| Fuel Cell Electric Vehicle | |
| Others (CNG, etc.) |
Philippines Commercial Vehicles Market Research Faqs
How big is the Philippines Commercial Vehicles Market?
The Philippines Commercial Vehicles Market size is expected to reach USD 8.92 billion in 2024 and grow at a CAGR of 9.52% to reach USD 14.05 billion by 2029.
What is the current Philippines Commercial Vehicles Market size?
In 2024, the Philippines Commercial Vehicles Market size is expected to reach USD 8.92 billion.
Who are the key players in Philippines Commercial Vehicles Market?
Isuzu Motor Limited, Mitsubishi Motors Corporation, IVECO S.p.A, Jiangling Motors Corporation Group and Hino Motors, Ltd. are the major companies operating in the Philippines Commercial Vehicles Market.
What years does this Philippines Commercial Vehicles Market cover, and what was the market size in 2023?
In 2023, the Philippines Commercial Vehicles Market size was estimated at USD 8.07 billion. The report covers the Philippines Commercial Vehicles Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the Philippines Commercial Vehicles Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Philippines Commercial Vehicles Industry Report
Statistics for the 2024 Philippines Commercial Vehicles market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Philippines Commercial Vehicles analysis includes a market forecast outlook for 2024 to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
