According to The Insight Partners’ research, the global terminal tractor market was assessed at US$ 623.8 million in 2018 and is projected to be worth US$ 908.1 million by 2027, growing at 4.5% CAGR between 2019 and 2027. Advancements in the manufacturing sector and growing need of transportation among the increasingly complex supply chains are expected to be the prime drivers for the terminal tractors market.

Terminal tractors are primarily used to handle forty or twenty-foot equivalent units (TEU) in port warehouses and terminals. These tractors, also known as shunt trucks, yard trucks, or spotting trucks, recently witnessed a surge in sales. The global manufacturing industry witnessed rapid growth in recent times owing to huge investments from various governments, especially the developing economies. The manufacturing industry is expected to embrace technological advancements to enhance plant productivity, maintain an edge with customers, and gain competitive advantage. Thus, with the rise in manufacturing industry, the logistics and distribution channel is set to improve, thereby providing opportunities for the terminal tractor market.

Globalization has led to increasing domestic and international trade relations between nations. Further, as many international companies lean toward globalization and market expansion, logistical challenges have become more complex than ever. For successful market expansion, organizations focus on increasing the product assortment catering in accordance with the needs of the local market, giving rise to a highly diverse product portfolio. Supply chain is one of the key sources of competitive advantage for companies that drive growth in their businesses. Thus, many industry verticals are ensuring a strong supply chain for reaching out to their customers. Terminal tractors support the operational flow of the supply chain at the initial stage. All of the aforementioned reasons are responsible for the rapid growth of the terminal tractor market.

On the other hand, legal regulations are the prime factors hindering the terminal tractor market augmentation.

Based on type, the global terminal tractor market is bifurcated into manual and automated terminal tractor. Of these, the manual segment held 86.0% of the market share in 2018. The segment was assessed at US$ 536.6 million in 2018 and is projected to reach US$ 753.9 million by 2027, growing at 4.1% CAGR during the forecast period.

As per propulsion type, the market is divided into diesel, electric, hybrid and CNG. Of these, the diesel segment captured 59.4% of the market share in 2018. The segment was evaluated at US$ 370.5 million in 2018 and is slated to amass US$ 521.1 million by 2027, expanding at 4.1% CAGR between 2019 and 2027.

Moving on to application scope, the global terminal tractor market is divided into container handling, RoRo applications, material handling, and distribution & logistics. Among these, the container handling segment accounted for 31.9% of the market share in 2018. The segment was evaluated at US$ 221.1 million in 2018 and is slated to garner US$ 324.0 million by 2027, augmenting at 4.6% CAGR between 2019 and 2027.

From the regional frame of reference, Asia Pacific held a significant share in the global terminal tractor market in 2018. The regional market was assessed at US$ 187.4 million in 2018 and is slated to amass US$ 302.6 million by 2027, growing at a CAGR 5.7% during the forecast period.

Leading players profiled in the global terminal tractor market are Kalmar (Cargotec Corporation), Konecranes, MAFI Transport-Systeme GmbH, Mol CY NV, Terberg Group B.V, AB Volvo Terminal Investment Corporation (TICO), Blyyd, Capacity Trucks (REV Group), and Autocar, LLC.

·         In August 2019, Kalmar announced its partnerships with NFI Industries, to supply 25 Kalmar Ottawa Electric T2E Terminal Tractors to be used in the distribution centers in California.

·         In February 2017, Eagle Intermodal chose Autocar to revamp their terminal tractor fleet.