Automotive Trailer Market - North America, Europe, EMEA, APAC : US, Canada, China, Germany, UK - Forecast 2023-2027

Automotive Trailer Market Forecast 2023-2027

The global automotive trailer market is estimated to increase by USD 6.25 billion, at a CAGR (Compound Annual Growth Rate) of 3.91% between 2022 and 2027. The market is poised for substantial growth, driven by various key factors. Firstly, the burgeoning transportation and logistics sector worldwide fuels the demand for trailers to facilitate efficient cargo transportation. Moreover, the European Logistics Sector, witnessing robust growth, serves as a significant market driver, with increasing demand for trailers to support logistics operations. Additionally, stringent regulations on emissions and fuel consumption incentivize the adoption of trailers equipped with advanced technologies for enhanced efficiency and reduced environmental impact, further propelling market expansion. This market research and growth report includes key drivers, trends, and challenges during the forecasted period. 

What will be the size of the Market During the Forecast Period?

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The market is a significant segment in the transportation industry, with Axle, Singlenose, Aluminum, Tandem Axle, and Non-Powered Trailers being key players. They are essential for transporting various goods and commodities, including automobiles, construction equipment, and consumer goods. The market is driven by factors such as increasing demand for efficient logistics solutions, growing e-commerce industry, and the need for cost-effective transportation. Moreover, the trend towards lighter and more durable materials, such as Aluminum, is gaining momentum in the market. The market is expected to grow at a steady pace, with key producers focusing on product innovation and cost reduction strategies. The Household and Personal Use segment is also expected to show strong growth, as more consumers opt for trailers for recreational activities and transportation needs. The market is highly competitive, with major players such as Towed Vehicles, Utility Trailer Manufacturing Co., and Paccar Inc., among others, vying for market share. The market is expected to face challenges such as increasing raw material costs and regulatory compliance, but these challenges are outweighed by the opportunities for growth and innovation.

Market Dynamics and Customer Landscape

The market is a significant segment in the transportation industry, focusing on the production, distribution, and sale of trailers designed for transporting automobiles. Industries such as Cold Chain, Pharmaceutical, and Logistics require specialized trailers for transporting their goods, leading to an increase in demand for various types of trailers. Transports like Transports and Transports are major players in the market, providing solutions for transporting automobiles and other goods. The market is witnessing a trend towards the use of Transports and Transports for transporting oversized vehicles and heavy machinery. Moreover, the market is witnessing the adoption of advanced technologies like Telematics and GPS tracking systems to enhance the efficiency and productivity of trailer fleets. The use of these technologies is expected to drive the growth of the market in the coming years. The market is also witnessing a shift towards sustainable and eco-friendly solutions, with an increasing number of players investing in the development of electric and hybrid trailers. This trend is expected to gain momentum in the coming years, as the transportation industry moves towards reducing its carbon footprint. In conclusion, the market is a dynamic and evolving industry, driven by the increasing demand for specialized trailers and the adoption of advanced technologies. The market is expected to witness significant growth in the coming years, as players invest in sustainable and eco-friendly solutions to meet the evolving needs of their customers. Our researchers analyzed the data with 2022 as the base year, along with the key drivers, trends, and challenges. A holistic analysis of drivers will help companies refine their marketing strategies to gain a competitive advantage.

Key Market Driver

The rapidly growing transportation and logistics industry is notably driving the market growth. Road transport is the most frequently used mode of transport in the logistics sector, as it has a cost advantage over other modes of transport. Therefore, logistics is one of the most important end-user industries. In addition, the rapid expansion of the manufacturing, agriculture, electronics, textile, and clothing industries has increased the demand for logistics and supply chain services. Most companies also rely on external logistics companies to reduce their investment in vehicle fleets, miniaturization, and availability of different types of containers, tanks, and flatbeds, depending on their needs.

In addition, the significant expansion of e-commerce activities has increased the reliance of e-commerce companies on logistics service providers to ensure the transportation of goods through warehouses and distribution hubs. For example, logistics companies are increasingly dependent on forwarding companies for less than truckload (LTL) and full truckload (FTL) due to their diversity in terms of load capacity. Hence, these factors are expected to drive the market growth and trends in focus during the forecast period.

Significant Market Trend

The advancements in product technologies are major market trends. Technologies such as telematics, electrification, digitalization, and autonomous driving are renovating and transforming trailers. The evolution of digital technologies is expected to create new opportunities, such as advanced trailer telematics and artificial intelligence-based optimization will lower carbon emission, traffic congestion, utilization, and overall operating costs.

In addition, the installation of advanced devices such as temperature recorders with built-in global mobile communication (GSM)/ global positioning system (GPS) modem and remote temperature monitoring in the refrigerated trailers is benefitting trailer owners and fleet managers in the real-time monitoring of the trailer. Therefore, such technological advancements are expected to provide growth opportunities for market expansion during the forecast period.

Major Market Challenge

The high maintenance cost is a major challenge impeding the market. One of the main reasons that hinder the growth of the market is the high maintenance costs that must be incurred. The average service life of a new trailer is about 15 years, with proper maintenance. However, car trailers come with air suspension and are more costly than traditional trailers. Moreover, the maintenance costs will increase if the suspension is used for more than three years.

In addition, trailer tires have an average lifespan of 25,000 to 50,000 miles, so changing tires further increases vehicle maintenance costs. Furthermore, refrigerated trailers are equipped with a number of components that require regular maintenance, such as compressors, condensers, and evaporators, which increases maintenance costs. Therefore, such high maintenance costs will hinder the growth of the market during the forecast period.

Customer Landscape

The market growth analysis report includes the adoption lifecycle of the market, covering from the innovator’s stage to the laggard’s stage. It focuses on adoption rates in different regions based on penetration. Furthermore, the market growth and forecasting report also includes key purchase criteria and drivers of price sensitivity to help companies evaluate and develop their growth strategies.

Customer Landscape

Market Segmentation

The market primarily consists of dry trailers, which are utilized for transporting non-perishable goods, including food and beverages, household items, clothing, plastic, and construction materials. They offer cost-effective solutions due to their high availability and protection against outside influences. However, they come with a higher maintenance cost compared to other trailer types. Environmental concerns have emerged as a significant challenge in the trailer industry. The use of rigid trucks and disposable income for purchasing new vehicles contributes to increased road accidents and toxic substance emissions, such as Chlorofluorocarbons (CFCs), which harm the ozone layer. FleetPulse platform and CAN harness technology are being adopted to improve operational efficiency and reduce maintenance costs. Trippers, which are sensors that monitor trailer usage, help fleet managers optimize their workforce and carriage capacity. Containers, tanks, and flatbeds are other trailer types used in the industry, each with unique characteristics and applications. Addressing the high maintenance cost and environmental concerns while ensuring operational efficiency remains a priority for trailer manufacturers and fleet operators.

By Type

The market share growth by the dry trailers segment will be significant during the forecast period. A dry trailer is an enclosed box used to transport non-perishable goods. They are used to transport non-perishable food and beverages, household goods, clothing, plastic, and construction materials.

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The dry trailers segment was valued at USD 8.84 billion in 2017 and continued to grow until 2021. Owing to their versatility in holding various products, they are the most commonly used equipment type. Theyhave been completely closed and sealed. As a result, freight is safe from outside influences. Furthermore, as dry trailers lack temperature control, they can only be used to transport non-perishable goods. These trucks can handle up to 45,000 pounds of freight per full truckload or less-than-truckload. Additionally, they are the most popular trailer type in the freight shipping industry due to their high availability and protection. They are intended to transport cargo and equipment in the form of boxes or pallets. Therefore, their advantages are expected to drive the growth of the market during the forecast period.

Regional Analysis

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APAC is estimated to contribute 53% to the growth of the global market during the forecast period. Technavio’s analysts have elaborately explained the regional trends and drivers that shape the market during the forecast period.

The market in APAC is significant, with China and India leading in production volume due to a large automotive production base. The logistics industry in APAC is anticipated to experience growth, particularly in cold chain transportation, driven by the surge in demand for automotive trailers. Factors such as transportation costs, supply chain disruptions, and working capital are influencing the market. Perishable goods, including pharmaceutical products, fresh flowers, poultry, fish, dairy products, fruits, and vegetables, are major commodities transported using cold chain logistics. The ones used for transporting non-perishable goods, such as household goods, electronics, clothing, automotive parts, and chemicals, also contribute to the market. The tandem axle segment is expected to dominate due to its ability to carry heavier loads. Emissions, fuel utilization, and road safety concerns are key considerations in the market. Automotive trailers come in various types, including unpowered, towed, and powered vehicles, and include hitches for attachment to commercial vehicles, passenger cars, two-wheelers, and bikes. The ones used for transporting dry goods are classified as dry van and box trailers, while refrigerated trailers are used for perishable goods. Other types include tipper trailers, flatbed trailers, single-axle trailers, three or more than three-axle trailers, and tandem axle trailers.

Who are the Major Market Companies?

Companies are implementing various strategies, such as strategic alliances, partnerships, mergers and acquisitions, geographical expansion, and product/service launches, to enhance their presence in the market.

ACPS Automotive GmbH - The company focuses on developing, manufacturing and selling safe trailers, carrier systems, and towbars for passenger cars, SUVs, and vans. 

The market research and growth report also includes detailed analyses of the competitive landscape of the market and information about 15 market companies, including:

• Big Tex Trailer Manufacturing LLC
• Bockmann Fahrzeugwerke GmbH
• Brian JamesTrailers Ltd.
• China International Marine Containers Group Ltd.
• DennisonTrailers Ltd.
• EuropeTrailers Pty Ltd.
• Great Dane LLC
• Heil Trailer International
• Humbaur GmbH
• Hyundai Motor Group
• Ifor WilliamsTrailers Ltd.
• Kentucky Trailer
• MAXX-D-Trailers
• MCR Safety
• Miller Industries Inc.

Qualitative and quantitative analysis of companies has been conducted to help clients understand the wider business environment as well as the strengths and weaknesses of key market players. Data is qualitatively analyzed to categorize companies as pure play, category-focused, industry-focused, and diversified; it is quantitatively analyzed to categorize Companies as dominant, leading, strong, tentative, and weak.

Market Analyst Overview

The market is a significant sector in the transportation industry, focusing on the production, sale, and rental of trailers used for transporting vehicles. The market consists of various types, including open top trailers, covered trailers, flatbed trailers, and specialized trailers. These trailers are produced using materials such as aluminum, steel, and composite materials. The market is driven by several factors, including the increasing demand for automotive transportation services, the growing automotive industry, and the need for efficient and cost-effective transportation solutions.

Additionally, the market is influenced by regulatory requirements, technological advancements, and economic conditions. The market is competitive, with key players including C.H. Robinson Worldwide, Inc., Schneider National, Inc., J.B. Hunt Transport Services, Inc., and XPO Logistics, Inc. These companies offer a range of transportation services, including trucking, intermodal, and logistics services, and have a significant presence in the market. The market is also witnessing several trends, including the increasing adoption of telematics and automation technologies, the growing popularity of electric and hybrid trailers, and the increasing focus on sustainability and reducing carbon emissions. Overall, the market is expected to grow significantly in the coming years, driven by these trends and the increasing demand for transportation services.

 

The market encompasses a wide range of trailers used for various purposes, including transporting goods, vehicles, and materials. Labor intensive industries heavily rely on road transportation facilitated by trailers to move products such as fruits & vegetables efficiently. For two-wheeler & bike enthusiasts, trailers provide a convenient means of transport. Different types like Dry van & box trailers and refrigerator trailers cater to diverse cargo requirements, from chemical & liquid transportation to carrying non-perishable products. Safety remains paramount in the market, with emphasis on reducing road fatalities and minimizing environmental impact, especially concerning toxic substances. The market also addresses environment concerns related to unpowered vehicles and hitch, ensuring efficient and secure transportation solutions for various industries.

Segment Overview

The market analysis and report covers market growth by revenue at global, regional & country levels and provides an analysis of the latest trends and growth opportunities from 2017 to 2027. 

• Type Outlook 
  • Dry-trailers
  • Refrigerated trailer
  • Tank trailer
  • Flatbed-trailers
  • Others

• Vehicle Type Outlook 
  • Commercial vehicle
  • Passenger car
  • Two-wheeler and bicycle

• Region Outlook 
  • North America
    • The U.S.
    • Canada
  • Europe
    • The U.K.
    • Germany
    • France
    • Rest of Europe
  • APAC
    • China
    • India
  • Middle East & Africa
    • Saudi Arabia
    • South Africa
    • Rest of the Middle East & Africa
  • South America
    • Chile
    • Brazil
    • Argentina

Market Scope
Report Coverage	Details
Page number	166
Base year	2022
Historic period	2017-2021
Forecast period	2023-2027
Growth momentum & CAGR	Decelerate at a CAGR of 3.91%
Market growth 2023-2027	USD 6.25 billion
Market structure	Fragmented
YoY growth 2022-2023(%)	4.09
Regional analysis	APAC, Europe, North America, South America, and Middle East and Africa
Performing market contribution	APAC at 53%
Key countries	US, China, India, Germany, and UK
Competitive landscape	Leading Companies, Market Positioning of Companies, Competitive Strategies, and Industry Risks
Key companies profiled	ACPS Automotive GmbH, Big Tex-Trailer Manufacturing LLC, Bockmann Fahrzeugwerke GmbH, Brian James-Trailers Ltd., China International Marine Containers Group Ltd., Dennison-Trailers Ltd., Europe-Trailers Pty Ltd., Great Dane LLC, Heil-Trailer International, Humbaur GmbH, Hyundai Motor Group, Ifor Williams Trailers Ltd., Kentucky-Trailer, MAXX-D Trailers, MCR Safety, Miller Industries Inc., Pace American-Trailers, Premier-Trailer Mfg. Inc., Schmitz Cargobull AG, and Wabash National Corp.
Market dynamics	Parent market analysis, Market growth inducers and obstacles, Fast-growing and slow-growing segment analysis, COVID-19 impact and recovery analysis and future consumer dynamics, and Market condition analysis for the forecast period.
Customization purview	If our market report has not included the data that you are looking for, you can reach out to our analysts and get segments customized.

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What are the Key Data Covered in this Market Research Report?

• CAGR of the market during the forecast period
• Detailed information on factors that will drive the growth of the market between 2023 and 2027
• Precise estimation of the market size and its contribution to the parent market
• Accurate predictions about upcoming trends and changes in consumer behavior
• Growth of the industry across APAC, Europe, North America, South America, and Middle East and Africa
• Our market trends and analysis report includes a thorough analysis of the market’s competitive landscape and detailed information about companies
• Market forecasting of factors that will challenge the growth of market companies

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