Semi-Trailer Market Report Scope & Overview:

The Semi-trailer Market Size was valued at USD 28.31 Billion in 2023 and is expected to reach USD 45.96 Billion by 2032 and grow at a CAGR of 5.56% over the forecast period 2024-2032.

Semi-trailer is one of the pivotal components of the global transport and logistics industry, as demand has increased for the cost-effective solution in freight services, especially concerning retail, construction, and automobile sectors. Government policies and technological advancement have also kept many changes in the market under control. Such a shift towards sustainability, innovation, and efficiency in handling will continue to be one of the prime forces behind growth in the future as well. Government policies, particularly those in the area of emissions reduction and energy efficiency, are also affecting the semi-trailer market.

The semi-trailer market holds tremendous growth potential, especially in the USA. With incentives from the government regarding electric and self-driving vehicle technologies, there's a basis for new opportunities. Building smart trailers and solutions for logistics which can be highly autonomous may serve to increase efficiency in long-haul transport.

In the United States, the Department of Transportation has started initiatives aimed at improving transportation infrastructure and encouraging more fuel-efficient and electric trucks. This comes in line with other sustainable goals envisioned by companies like the International Energy Agency (IEA), where carbon emissions will be reduced in the freight industry. The IEA's road map to Net Zero by 2050 rightly recommended that freight, even semi-trailers, must become more energy-efficient through the adoption of clean technologies and electrification of the transport system so that it can meet future climate targets.Additionally, in Europe the European Green Deal has been launched and forced manufacturing to innovate in producing lightweight and energy-efficient semi-trailers.

Technological innovation has left the semi-trailer market revolutionized. One of the key innovations in this area is found in the installation of telematics systems that allow real-time monitoring of the state of the trailers and predictive maintenance features. Examples include Thermo King's TracKing Pro, introduced last 2023, which relies on predictive analytics to optimize fleet operations, improve routes, and prevent mechanical failures.

Also, the semi-trailers have more frequently used light-weight materials such as aluminum alloys, which increase fuel economy and decrease emissions. Electric semi-trailers are also becoming increasingly popular. Their producers now develop hybrid or even fully electric vehicles to keep up with tightened emission standards.

Semi-Trailer Market Dynamics

Key Drivers: 

• Growing E-commerce sector stimulates the need for an efficient freight transportation system across the globe.

A significant driving force behind the semi-trailer market is the growth of e-commerce, as companies become more laden with the quest to get good efficient and reliable logistics solutions to enable fast deliveries in keeping with the demand of consumers. More so, retail sales of e-commerce in the U.S Census Bureau represented 15.4% of total retail sales in 2023, further emphasizing the importance of freight transportation infrastructure including semi-trailers.

Although this trend is associated with high demand for both dry van and refrigerated trailers for the movement of semi-perishables, electronics, among other ranges of products, the increasing need among retailers and logistics providers for larger more efficient transport systems is intensified by the growth in online shopping post-pandemic. This demand trend cuts across regions; developing regions in Asia-Pacific have registered rapid e-commerce growth, resulting in a growing need for flexible and durable semi-trailers to support both urban and long-haul freight transportation

• Stringent government regulations positively impact improving fuel efficiency.

Restraint:

• Supply chain disruptions and rising raw material cost hindrances to the growth of production.

Supply chain disruptions accompanied by fluctuating raw material costs are important barriers to the semi-trailer market. The global pandemic exposed vulnerability in the supply chain. This exposed delayed production of essential parts, which led to slowing down production for trailers. In the case of steel and aluminum, two critical materials used in the production process, declined considerably with the prices of these metals increasing as much as 37% in parts of the region last year. These bottlenecks are contemporaneous with those logistical bottlenecks that are shipping container shortages and transport vehicles which cause delays in the delivery of semitrailers to consumers.

Since the material used in semi-trailers consumes huge amounts in the manufacturing process, the producers of semi-trailers experience challenges to maintain the production levels while at the same time keeping costs down. Geopolitical tensions and trade barriers between countries, such as the imposition of tariffs on imported steel, further intricately complicated the scenario of the market, forcing companies to seek alternative suppliers or material that may alter the quality and life of the product. All these factors not only delay growth in the market but also restrict innovation.

Semi-Trailer Market Segmentation Overview

By Type

Dry Van segment accounted for the largest share in 2023 at 35%. Dry vans are highly in demand because they are applicable to haul non-perishable cargo items like retail products, electronics, and building materials, where this unit forms a primary accommodation in e-commerce and general freight. Such markets reap the benefits of international trade's upward momentum as well as an upsurge in demand for logistics in support of fast shipping requirements developed across multiple industries.

Refrigerated semi-trailer is expected to be growing at the fastest pace of 7.10% during the forecast period, 2024 to 2032, primarily due to the growth prospects of food and pharmaceutical sectors. Perishable goods are largely transported using temperature-controlled trailers. These include fresh produce, frozen foods, and vaccines. Other recent innovations in refrigeration technology, such as smart cooling and solar-powered units, are driving the demand for refrigerated trailers, particularly within markets with stricter food safety guidelines. Increased awareness of cold chain logistics in countries like India and Southeast Asia also drives this market.

By Axles

Below 3 axles had the largest share in 2023, capturing 39% of the total share. These are mainly used for carrying goods that have medium weight in cities and cities. Due to the capabilities for handling restricted passage, the popularity is ascribed to them, while they are very good for urban deliveries where larger trailers might find drawbacks because of limitations in infrastructure.

Additionally, growing environmental concerns are forcing logistics providers to resort to light-duty trailers that consume lesser fuel and emit fewer pollutants. This varies from consumer product to light industrial equipment, making them a preferred choice of many industries.

Semi-Trailer Market Regional Analysis

Asia-Pacific had the most prominent share in 2023 at 39%. The major reason behind this is that the region is experiencing rapid industrialization, urbanization, and expansion of logistics networks across China, India, and Japan. Online shopping is promoting demand for a semi-trailer, mainly for short-haul and long-distance freight transportation across the above-mentioned nations.

North America will see the most growth, recording a CAGR of 6.55% from 2024 to 2032. Electric and autonomous semi-trailers are seen on the rise in the US and Canada largely due to government incentives and changing customers toward sustainability. Growth in infrastructure and increased demand for cold chain logistics, especially for pharmaceuticals and perishables, are also on the rise for refrigerated trailers in the region. When businesses rebound from these disruptions caused by their supply chains, North America can look forward to increased investment in smart and efficient transportation solutions​.

Key Players in Semi-Trailer Market

Some of the major players in the Semi-trailer Market are  

• Schmitz Cargobull (Dry Vans, Refrigerated Trailers)

• Wabash National Corporation (Refrigerated Trailers, Flatbed Trailers)

• Utility Trailer Manufacturing Company (Dry Vans, Refrigerated Trailers)

• Great Dane Trailers (Flatbeds, Refrigerated Trailers)

• Krone Commercial Vehicle Group (Dry Vans, Refrigerated Trailers)

• Hyundai Translead (Dry Vans, Tank Trailers)

• Manac Inc. (Flatbeds, Lowboy Trailers)

• Kögel Trailer GmbH & Co. KG (Refrigerated Trailers, Tankers)

• Stoughton Trailers (Dry Vans, Flatbeds)

• Fontaine Trailer Company (Flatbeds, Lowboys)

• Triton Trailers LLC (Flatbeds, Dry Vans)

• Polar Tank Trailer LLC (Tankers, Refrigerated Trailers)

• Vanguard National Trailer Corporation (Dry Vans, Flatbeds)

• CIMC Vehicles Group (Tankers, Flatbeds)

• Doepker Industries Ltd. (Flatbeds, Lowboys)

• East Manufacturing Company (Flatbeds, Dry Vans)

• Fahrzeugwerk Bernard Krone GmbH (Refrigerated Trailers, Tankers)

• Tirsan Treyler (Lowboys, Flatbeds)

• Paccar Inc. (Dry Vans, Flatbeds)

• Trail King Industries (Lowboys, Flatbeds)

Recent Trends

• June 2024: Semi-trailer manufacturer Schmitz Cargobull AG has acquired a majority stake in Spanish telematics solutions provider Atlantis Global System (AGS). This company reports to supply the solutions for monitoring and maintaining the cold chain in most of Spain's 50 biggest companies for temperature-controlled good transport. As a consequence of the deal, the AGS system will be available with immediate effect for all Schmitz Cargobull refrigerated semi-trailers produced at its Zaragoza plant.