Download free PDF

Electric Last Mile Delivery Vehicle Market Size - By Vehicle, By Payload Capacity, By Application, By Delivery Mode, By Battery Capacity, Growth Forecast, 2025 - 2034

Report ID: GMI14820
   |
Published Date: September 2025
 | 
Report Format: PDF

Download Free PDF

Electric Last Mile Delivery Vehicle Market Size

The global electric last mile delivery vehicle market size was estimated at USD 21.3 billion in 2024. The market is expected to grow from USD 22.9 billion in 2025 to USD 103.5 billion in 2034, at a CAGR of 18.3%, according to latest report published by Global Market Insights Inc.

Electric last mile delivery vehicle market

The growing e-commerce surge combined with the growing need to create sustainable urban logistics and government-imposed zero-emission mobility requirements, have reshaped the market in the electric last-mile delivery vehicles around the world. Small electric vans, cargo bicycles, and three-wheelers assist operators to make their delivery more efficient, save fuel and maintenance expenses and meet the low-emission areas in large cities all over the world.
 

For example, in 2025 Mitsubishi, Ample, and Yamato launched a commercial EV pilot in Tokyo featuring battery-swapping technology on last-mile fleets. Electric delivery fleets are being constructed by OEMs like Rivian with logistics giants across the globe, and networks of electric cargo bikes are being built in dense-density urban centers by European operators. OEMs are integrating AI-enabled telematics and driver-assist to enhance the availability of their fleet, enhance safety, and resolve the requirements of regulatory compliance.
 

The pressure to make logistics greener is pushing the fleet operators with electric vans, e-trikes, and hybrid delivery trucks. Real-time fleet optimization, AI-based predictive maintenance, and vehicle monitoring with the use of telematics are turning into routine to minimize the time of downtime and prolong vehicle lifecycle. Depot fast-charging hubs and battery-swapping pilots are transforming charging strategies to facilitate the use of multi-shift operations in the congested urban areas.
 

The COVID-19 pandemic first slowed production and postponed the release of vehicles. Nonetheless, increased investments in electrified fleets accelerated post-pandemic due to the increased e-commerce deliveries. Logistics providers were increasingly adopting subscription-based leasing, cargo bike-sharing schemes, and remote diagnostics to optimize financial flexibility against delivery reliability.
 

Electric vans, cargo bikes, and three-wheelers have been in high demand due to megacity congestion management, food and grocery delivery, healthcare logistics, and the growth of e-commerce in the retail sector. Telematics that are automation-enabled, fleet monitoring through IoT, and electric micro-mobility are some of the most rapidly rising investment opportunities amongst both OEMs and fleet operators.
 

In North America and Europe, the market of last-mile delivery vehicles is highly consolidated, with policies of zero-emission transport, infrastructure investment, and extensive corporate-level programs of electrifying fleets. The incumbents, including Rivian, Stellantis, Daimler, and Volkswagen, compete with dedicated electric vans, battery technology, and connected fleet. These areas should be the world leaders in the use of smart and autonomous delivery fleets.
 

Asia-Pacific has the highest growth potential due to the high rate of urbanization, high two/three-wheeler penetration, and government policies including Smart City Mission in India, Belt and Road in China, and ASEAN infrastructure in Asia. The introduction of battery-swappable EVs, low-cost electric three-wheelers, and AI-improved fleet management is taking off in China, India, and Southeast Asia.
 

Electric Last Mile Delivery Vehicle Market Trends

The last-mile logistics is changing with the deployment of autonomous technologies, such as self-driving vehicles and delivery robots. Businesses are testing self-driving cars and drones to lessen the reliance on human manpower, lower operating expenses and enhance the speed of deliveries. The innovations are expected to ensure safety, faster, and efficient delivery of goods in cities.
 

For example, in February 2025, Kia introduced the exterior design of its PV5 electric van, its first model in the Platform Before Vehicle (PBV) brand. PV5 comes in both passenger and cargo, serving the rideshare market, delivery market, and personal markets. Uber is already a customer planning to put the PV5 into its all-electric fleet by 2040. Specifications and price should be announced at the next EV Day in Spain by Kia.
 

Electric delivery vehicle infrastructure, and especially two and three-wheelers, are becoming highly dependent on battery swapping infrastructure. Swapping stations enable the drivers to change the depleted batteries in a short period of time, which minimizes setbacks and eliminates range anxiety. This will enhance more efficient delivery in crowded cities and promote the use of EVs.
 

Moreover, last-mile delivery is greatly driven by sustainability. Businesses are also getting more electric cars to reduce the tougher emission standards, reduce carbon footprint, and achieve environmental targets. This is a positive trend that not only enhances the quality of air in cities but also enhances corporate responsibility and perception.
 

Delivery is being improved by advanced software solutions in route optimization and real-time tracking. GPS tracking, predictive analytics and dynamic routing can enable logistics operators to reduce travel time, lower fuel usage and deliver customers accurate delivery status, which decreases the operation performance and overall satisfaction.
 

Electric Last Mile Delivery Vehicle Market Analysis

Electric Last Mile Delivery Vehicle Market, By Vehicle, 2022 - 2034 (USD Billion)

Based on vehicle, the electric last mile delivery vehicle market is divided into two-wheeler, three-wheelers, four-wheeler, and micro mobility. The two-wheeler segment dominated the market, accounting for around 38% in 2024 and is expected to grow at a CAGR of over 18% through 2034.
 

  • The two-wheeler market dominates the market of the electric last mile delivery vehicles because it is cost-effective, agile, and applicable to urban logistics. Electric two-wheelers such as e-bikes and e-scooters are less expensive than larger vehicles making them cheaper to start up and operate initially to small businesses and delivery startups. Their small stature facilitates easy maneuvers in the busy streets of the city and delivery is done faster and the routes are more efficient.
     
  • In addition, two-wheelers use less energy and consume less maintenance thus they are best suited to frequent but short-route travel, which constitutes most of the last mile logistics. There is an increase in the demand for e-commerce, particularly food, groceries and parcel delivery, which contributes to its use. The subsidies on electric two-wheelers and the establishment of the charging infrastructure also contribute to the active promotion of the fleet operators to favor this category instead of bigger electric vans or three-wheelers, making it the leading segment in the market.
     
  • For example, in April 2025, Yadea, one of the most popular brands of electric two wheelers, has started producing locally in Brazil to meet the increased demand of sustainable transport alternatives. This action highlights the interest of the company in the Latin American market and corresponds with the transition of the region to environmentally friendly delivery services.
     
  • The four wheelers will continue to experience a CAGR growth of over 21% with the rising demand of four-wheelers with higher capacity to deliver a heavy load covering long distances. The growth of e-commerce, the demands of urban and suburban logistics, and government subsidies of electric commercial vehicles are pushing fleet operators towards using electric vans and small trucks, which have higher payload, flexibility of routes and efficiency of operation than their smaller counterparts.
     
  • Moreover, the advancement in battery range, charging networks, and low-emission policies, are pushing companies toward the development of electric four-wheeler cargo vehicles as the replacement of traditional diesel vans to enable sustainable and affordable last mile delivery.

 

Electric Last Mile Delivery Vehicle Market Share, By Payload Capacity, 2024

Based on payload capacity, the electric last mile delivery vehicle market is segmented into Less than 50 kg, 50 to 500 kg, and above 500 kg. The Less than 50 kg segment dominates the market accounting for around 41% share in 2024, and the segment is expected to grow at a CAGR of over 16.6% between 2025 and 2034.
 

  • The less than 50 kg segment is the largest segment of the electric last-mile delivery vehicle market due to the increasing popularity of small and lightweight mobility solutions in the highly populated cities. The category is dominated by electric cargo bikes, scooters, and small three-wheelers because they are relatively cheap, need a small infrastructure, and can easily maneuver in the crowded streets of cities. The low battery capacity lowers upfront and operation expenses and makes them a good alternative to startups, small retailers and large e-commerce companies that optimize their last-mile logistics in low-emission areas.
     
  • The governments in Europe, Asia, and Latin America are also encouraging micro-mobility solutions to reduce congestion and emissions. These vehicles are chosen because they can charge fast, have minimal maneuverability, and require less maintenance when it comes to short-distance parcel delivery, food, and grocery transportation. The increasing consumer needs to have instant and same-day delivery is another factor that expands the use of the less than 50 kg vehicles, making it more dominant in the market of electric last-mile delivery.
     
  • For instance, in June 2025, Honda introduced a new business division called Fastport, with the Fastport eQuad, an electric quadricycle to make last-mile urban deliveries in North America and Europe. The eQuad has interchangeable batteries, can be used in bike lanes, and has a fleet-as-a-service pay model, which includes hardware, software and maintenance. It will start producing later in the year in Ohio and pilot programs will focus on parcel and food delivery industries.
     
  • The 50 to 500 kg segment is expected to grow at a CAGR of around 20.1% because it caters to medium-sized urban deliveries, such as parcels, groceries, and retail goods. Its vehicles balance payload capacity and maneuverability, making them ideal for fleet operators to expand last-mile electrification, while rising e-commerce and same-day delivery demand further accelerate adoption.
     

Based on application, the electric last mile delivery vehicle market is segmented into retail & e-commerce, food & grocery delivery, healthcare & pharmaceuticals, mail and packages, and others. Retail & e-commerce segment is expected to dominate the market with around 46% share in 2024, driven by the rapid growth of online shopping, rising consumer demand for fast delivery, and fleet electrification initiatives by major e-commerce and logistics companies.
 

  • The electric last-mile delivery vehicle market is dominated by the retail and e-commerce sectors because of the rapid growth in online shopping across the globe. The rapid expansion of e-commerce infrastructure, coupled with increased consumer demand to use delivery services faster, safely, and at a reasonable price, has caused logistics firms to go to electric delivery vehicles in large numbers.
     
  • Such vehicles are cost-effective, less emitting, and in line with the low-emission zones in urban areas, which makes them highly applicable in congested city operations. Smart e-commerce companies and third-party logistic companies are spending a lot of money to electrify their delivery vehicles, especially in major cities where urban congestion and environmental policies become challenges to ordinary diesel-powered vehicles.
     
  • Moreover, the current tendency toward same and next-day delivery has increased the pressure on new, eco-friendly models with high amounts of parcels transportation potential. Electric vans, cargo bikes, and light trucks enable the retailer to maximize route, lower operational expenses and achieve sustainability levels. Electric vehicles are also subsidized in Europe, North America, and Asia, which increases adoption, which contributes to the dominance of retail and e-commerce as the most popular way to use the market of electric last-mile delivery.
     
  • For example, in September 2025, Amazon tested 12 GM BrightDrop electric delivery vans as it continues to build an EV fleet. The experiment supplements its current Rivian collaboration, which assists in testing BrightDrop vans in terms of logistics. Amazon seeks to implement 100,000 electric delivery vans in 2030.
     
  • The food and grocery delivery market will have the highest CAGR of more than 21% because customer demand will be high to have fast and on-demand deliveries, online grocery stores are growing exponentially, and people are required to use efficient and eco-friendly electric vehicles in their busy cities because of congestion.
     

Based on delivery mode, the electric last mile delivery vehicle market is divided into regular delivery, same-day delivery, express delivery. The regular delivery segment dominated the market, accounting for around 42% share in 2024.
 

  • The regular delivery segment is the largest segment in the electric last-mile delivery vehicle market because of the steady demand for scheduled parcel and goods delivery. The logistic and e-commerce firms that are traditional in nature utilize the daily routes to ensure operational efficiency; huge volumes of packages are moved by predictable routes. This segment is increasingly experiencing electric vehicles such as small vans and light trucks due to their low fuel consumption, reduced emissions and ability to meet the urban low-emission zone regulations. Their predictable patterns of usage are also in tandem with the range of EV and hence are a viable option among businesspersons in fleet ownership.
     
  • In addition, frequent delivery services enjoy economies of scale, enabling companies to invest in electric fleets and charging infrastructure with ease. The trend of e-commerce, subscription-delivery, and business-to-business logistics, where volume and frequent deliveries are prevalent, strengthens the leadership of the segment even further. The adoption is also driven by the incentives and policies of the governments that promote urban electrification so that regular delivery continues to be the key in the electric last-mile vehicles market.
     
  • For example, in March 2025, 2-Mann-Handling subsidiary of DHL deployed 21 electric vehicles in a variety of states to support large and bulky e-commerce deliveries, including furniture and white goods. The initiative will help in achieving sustainability related objectives of DHL and improve its regular delivery services.
     
  • In addition, the same-day delivery market segment will experience the fastest growth because the number of consumers who want fast and convenient deliveries increases. Logistics providers can make short, efficient trips with minimal emissions and lower operating expenses, responding to strict delivery schedules with the help of e-commerce development, urbanization, and the use of electric vehicles.

 

US Electric Last Mile Delivery Vehicle Market Size, 2022- 2034 (USD Billion)

US dominated the electric last mile delivery vehicle market in North America with around 86% share and generated USD 6.8 billion in revenue in 2024.
 

  • The U.S. is the largest market for electric last-mile delivery vehicles in North America. This is mainly due to government incentives for EV adoption, better urban logistics infrastructure, and growing demand from e-commerce businesses. Investments in charging stations and fleet electrification are also driving market growth.
     
  • Moreover, automation, AIs based fleet management, and telematics are also changing the way global companies conduct their deliveries and by enabling companies to plan their routes, minimize their operational expenses and maximize their energy efficiency. Firms are turning to electric vans, cargo bicycles, and small delivery trucks to fulfill the delivery pressures in the urban environment.
     
  • For instance, in June 2022, FedEx stated it received its first 150 electric delivery trucks by BrightDrop. BrightDrop is a startup by General Motors that aims to cut down on the emissions in the delivery system. This delivery constitutes one of the plans of the FedEx to switch its fleet to zero emission cars.
     
  • Major OEMs, such as Ford, Rivian, and Workhorse, are deploying electric delivery vehicles and charging infrastructure, which is scalable to electrify fleets. The partnerships with such logistic giants as UPS and Amazon also contribute to the rapid acceptance and practical implementation of electric vehicles.
     
  • Canada is expected to be the fastest-developing market in North America, with governmental incentives to use e-vehicles, increased e-commerce demand, and growth in urban logistics. The adoption of electric vans and cargo vehicles is being expedited by investments in charging infrastructure, fleet electrification, and partnerships between OEMs and delivery companies.
     

The electric last mile delivery vehicle market in Germany is expected to experience robust growth between 2025 and 2034.
 

  • Europe accounts for around 18% of the electric last mile delivery vehicle market in 2025 and is expected to grow at a CAGR of over 16.1% due to the growing demand in e-commerce, the implementation of urban emission regulations, and the continued growth of the use of electric delivery fleet by logistics companies as viable and sustainable solution to the last mile.
     
  • Germany is the market leader in Europe, supported by strong infrastructure. With more people living in communities and online shopping is on rise, there is a growing need for faster, efficient, and eco-friendly delivery options. In addition, to meet this demand, logistics companies in Germany are using electric vans, bikes, and trikes for last-mile deliveries, helping to reduce traffic and pollution.
     
  • Government policies are playing a key role in driving market growth. In Germany, strict emission rules and low-emission zones in major cities are encouraging companies to switch to electric delivery vehicles. To support this change, the government offers grants, subsidies, and tax breaks, helping logistics providers lower their costs. These efforts not only promote greener investments but also speed up the move to sustainable urban logistics and help meet environmental goals.
     
  • The presence of large logistics companies also supports the market. In cities these companies are implementing large electric vehicle fleets that have a visible network of electric delivery vehicles. This does not only enhance their efficiency but also serves as a model for others in the industry, who are being encouraged by their competitors and new entrants to implement electric delivery solutions.
     
  • The UK market is the most rapidly expanding in Europe in the field of electric last-mile delivery vehicles due to the tight regulations of the emission, the high prospects of e-commerce development, and the high sustainability goals. Urban congestion and low-emission areas are forcing logistics operators to migrate to electric vans, bikes, and cargo vehicles, and fleet electrification is not only feasible and cost-effective but encouraged by incentives and infrastructure regarding market growth.
     

The electric last mile delivery vehicle market in China is expected to experience strong growth between 2025 and 2034.
 

  • Asia-Pacific accounts for more than 36% of the electric last mile delivery vehicle market in 2025 and is the fastest-growing region with a CAGR of around 20.2%. Rapid urbanization, booming e-commerce, government incentives around electric mobility, and increased environmental awareness have stimulated this growth, and consequently, logistics companies are looking to implement electric vehicles to make deliveries that are efficient and sustainable.
     
  • China dominates the Asia-Pacific market because the booming e-commerce in China and the high urban population density generate enormous quantities of deliveries. Electric vans, tricycles, and cargo bikes enable logistics firms to go through street congestion. Electric vehicles play a significant role in meeting the need for the high last-mile delivery demands due to speed and maneuverability and low operation costs.
     
  • The market growth is also accelerated by government incentives. Low-emission zone policies, tax incentives, and subsidies are driving logistics operators to electrify their fleets. Such actions reduce the cost of acquisition and make electric vehicles a feasible option, and the compliance of urban environmental regulations makes companies orient towards sustainable delivery options.
     
  • For example, in September 2025, BYD launched its E-VALI electric light commercial vehicle at the IAA Transportation 2024 event in Hannover, Germany. The E-VALI will serve the purpose of the last-mile delivery and will come in 3.5-ton and 4.25-ton models. BYD also entered a partnership with France's CEVA Logistics to deliver four ETH8 all-electric trucks in January 2025.
     
  • The domestic production of EVs in China contributes to the growth of the market through the production of cheap yet technologically advanced electric delivery cars to serve in urban logistics. Competitive pricing and easy accessibility have enabled businesses to rapidly fleet scale, save on emissions and expenses and cement the role of China as a leader in the last-mile electric delivery systems.
     
  • Moreover, India is emerging as a pivotal hub in the Asia-Pacific electric last-mile delivery vehicle market, fueled by government-backed mobility programs, rising fuel costs, and strong investments in EV infrastructure. The proliferation of startups, coupled with increasing adoption of electric two- and three-wheelers for hyperlocal deliveries, is reshaping the country’s urban logistics ecosystem.
     

The electric last mile delivery vehicle market in Brazil is expected to experience significant and promising growth from 2025 to 2034.
 

  • Latin America has approximately 6% of the market of electric last mile delivery vehicles in 2025 with a CAGR of approximately 18.7%. The rising e-commerce needs, urbanization, government support toward clean mobility, development of charging networks, and investment in electric delivery vehicles by international OEMs contribute to this growth. Further, the increased awareness of sustainable logistics and smart city movements is further accelerating its use in the region.
     
  • Brazil dominates the Latin American market of the last mile electric delivery vehicles driven by corporate sustainability commitments and international trade dynamics. Multinational retailers and logistics firms operating in Brazil are setting carbon-neutral targets, which accelerate the shift to electric fleets.
     
  • Moreover, global OEM investments and technology transfers are strengthening local EV assembly and component production, making electric vans, bikes, and trikes more accessible. Growing public awareness of air quality in major cities like São Paulo and Rio de Janeiro is further encouraging adoption, as consumers increasingly prefer eco-friendly delivery services.
     
  • Local operators and fleet companies are also spending more on telematics and digital management systems to streamline routes and cut down on operational expenses. Foreign manufacturers are also coming with cheap electric vans and micro-delivery vehicles that are fitted to suit the Brazilian urban infrastructure. With the ongoing modernization of urban logistics, Brazil will probably remain the market leader in Latin America when it comes to electric last mile delivery vehicles.
     
  • In February 2023, Brazilian firm Arrow Mobility has released the Arrow ONE, an all-electric delivery van tailored to urban logistics. The Arrow ONE will support the last mile delivery in Brazilian cities with 2,000 kg of capacity and 270 km range, thus offering a sustainable and efficient solution.
     
  • Mexico is the most rapidly expanding market of the electric last mile delivery vehicles in Latin America because of the high urbanization rates, industrial belt development. High usage of compact electric delivery vehicles is being propelled by government programs of smart cities, foreign investment, and clean mobility as well as OEM collaborations with local rental firms.
     

The electric last mile delivery vehicle market in UAE is expected to experience significant and promising growth from 2025 to 2034.
 

  • Middle East and Africa (MEA) constitute approximately 2% of the market of electric last mile delivery vehicles in 2024, and this is growing steadily due to rapid urbanization, infrastructure development, and rising housing demand. Governments are also actively encouraging the idea of smart cities, renewable energy plants, and modernization of transport infrastructure. The region is becoming increasingly occupied with international OEMs, rental companies, and foreign equipment manufacturers, making MEA a growing center of electric last mile delivery vehicle adoption.
     
  • The UAE is the market leader in the MEA region because of its developed infrastructure, well-developed logistic market and sustainability. The adoption of electric vehicles is supported by the efforts of the government, including introducing battery-swapping stations to deliver e-bikes in Dubai.
     
  • Furthermore, the pilot project of driverless delivery vehicles in Masdar City of Abu Dhabi underscores the innovation-focused and sustainable urban logistics in the UAE. This program helps to facilitate efficient, low-emission delivery, incorporates innovative technology in urban movement, and strengthens the leadership of the country in terms of implementing next-generation electric last mile delivery systems.
     
  • For example, in September 2025, Abu Dhabi introduced a pilot program of autonomous delivery vehicles in Masdar City. It is a crucial move to the realization of AI-oriented logistics in daily life, as this initiative is developed in the context of a public-privatized partnership between local technology and logistics companies. The pilot seeks to lower traffic congestion and carbon emission as well as improve delivery logistics. The program has official license plates, and this means that it is ready to regulate, and it encourages wider adoption.
     
  • Saudi Arabia is experiencing a fast-paced development of the electric last mile delivery vehicles due to its Vision 2030 and the massive investments the country is making in infrastructure. The interest of the government in electrification, such as EV charging infrastructure and subsidies to become electric car users, is driving the shift to sustainable logistics solutions.
     

Electric Last Mile Delivery Vehicle Market Share

  • The top 7 companies in the electric last mile delivery vehicle industry are Mahindra Electric, General Motors, Ford Motor, GreenPower Motor Company, Rivian, Mercedes-Benz, and Stellantis, contributed around 48% of the market in 2024.
     
  • Mahindra Electric specializes in small and medium-sized and affordable electric vans and three-wheelers to carry out delivery services in urban areas. They focus on small size, battery performance, and affordable fleet solution to the Indian and emerging markets. Collaborations with logistics companies at a strategic level can increase adoption in urban congested areas.
     
  • General Motors, operating under the BrightDrop brand, aims at fleet-scale electrification of giant vans, custom-made to carry parcels and groceries. The plan encompasses scalable fleet solutions, integrated telematics, battery management, and collaboration with key e-commerce participants such as Amazon to scale up global last-mile electrification.
     
  • Ford focuses on the electrification of its commercial van fleet, including the E-Transit family, including modular battery and fleet management options. The plan focuses on the efficiency of its urban routes, partnerships with logistics services such as DHL, and its scale of EV manufacturing using the global manufacturing base, offering an opportunity to satisfy the demand of the last mile of delivery.
     
  • GreenPower designs electric buses and vans specifically to last-mile logistics. Their design approach is lightweight vehicle design, zero-emission fleets to municipal and commercial customers as well as providing full-service packages such as charging infrastructure, and they focus on North American urban delivery and school transport fleet.
     
  • Rivian provides electric delivery vans to Amazon, initially aiming at high-volume and dependable EVs with sophisticated software to optimize delivery routes. The plan combines sustainability objectives with fleet-wide telematics, battery performance, and large-scale production to fulfill the rising needs of e-commerce delivery.
     
  • Mercedes-Benz focuses on high-quality electric last-mile delivery vans, such as eSprinter and eVito. They plan to do this with customizable payload, fleet management, connecting with smart urban logistics platforms, and a slow European and North American expansion.
     
  • Stellantis focuses specialized in versatile electric delivery vehicles, providing fleet services and modular vans. The strategies involve electrification of existing commercial van lines, collaboration with logistics operators and the use of EU incentives to scale up the urban last-mile delivery systems to be efficient.
     

Electric Last Mile Delivery Vehicle Market Companies

Major players operating in the electric last mile delivery vehicle industry are:

  • BYD
  • Ford Motor Company
  • General Motors
  • GreenPower Motor Company
  • Mahindra Electric
  • Mercedes-Benz
  • Rivian
  • Stellantis
  • Tata Motors
  • Xos

     
  • The companies are working on development of multi-functional and versatile equipment with the help of new technologies such as telematics, artificial intelligence, automation, and electric/hybrid powertrains. Latest advances in attachments, operator assistance systems are used to assist the contractor to work more effectively, less downtime and conform to sustainability and emission requirements.
     
  • Business growth is being pushed to emerging markets and urban construction regions. They employ dealer networks, Rental partnerships and service centers to enhance ease of access, minimize maintenance problems and expand market coverage. A powerful distribution and support system ensures customer confidence, and it promotes the use of compact equipment in the long run.
     
  • Companies are also focusing on after sales services, flexible payment schemes and leasing to make equipment more affordable and easier to operate. They specialize in cost saving, efficiency and safety promotion and provide solutions to urban, industrial and small-scale construction projects in response to changing customer demands.
     

Electric Last Mile Delivery Vehicle Industry News

  • In July 2025, Ford Pro announced that the E-Transit Custom will soon be available in an advanced all-wheel-drive (AWD) variant, set to debut in spring 2026, adding a front electric motor to the rear-wheel setup for enhanced traction. The 64 kWh battery powers 100–210 kW motors, offering 337 km WLTP range, 125 kW fast charging, 1,011 kg payload, 6.8 m³ cargo, and 2.3 ton towing for harsh-weather deliveries.
     
  • In May 2025, Fiat introduced the Tris, its first electric three-wheeled vehicle designed for last-mile delivery. Available in chassis-cabin, flatbed, and pickup configurations, the Tris offers a 90 km range, 540 kg payload capacity, and is initially launched in the Middle East and Africa.
     
  • In February 2025, DHL 2-Mann-Handling deploying 21 electric vans across Germany to enhance low-emission delivery of large and bulky goods. This initiative supports DHL Group's sustainability goals and aligns with its broader strategy to electrify over 66% of last-mile delivery vehicles by 2030.
     
  • In July 2024, Workhorse introduced a 208-inch extended W56 electric step van, expanding cargo to 1,200 ft³ while keeping a 150-mile range and 10,000 lb payload. Over 100 enhancements, including improved access, additional charge ports, modular doors, rear-box upgrades, and liftgate/lighting options, support diverse commercial applications and easier upfitting.
     
  • In March 2024, Renault announced plans to invest USD 324.68 million in its Sandouville plant in northern France to produce new-generation electric vans starting in 2026. The initiative will add 550 jobs to the current workforce of 1,850. The project focuses on a light van designed for last-mile parcel delivery and is part of Renault's electric vehicle unit Flexis, a joint venture with Volvo and CMA CGM.
     

The electric last mile delivery vehicle market research report includes in-depth coverage of the industry with estimates & forecasts in terms of revenue ($Bn) and shipment (Units) from 2021 to 2034, for the following segments:

Market, By Vehicle

  • Two-Wheeler
    • E-Bikes
    • E-Scooters
    • E-Motorcycles 
  • Three-Wheeler
    • E-Auto Rickshaws
    • E-Tricycles
    • Light Commercial Three-Wheelers
  • Four-Wheeler
    • Micro Commercial Vehicles
    • Light Commercial Vehicles (LCV)
    • Medium Commercial Vehicles
    • Specialized Four-Wheelers
  • Micro Mobility
    • Personal Mobility
    • Cargo Micro Mobility

Market, By Payload Capacity

  • Less than 50 kg
  • 50 to 500 kg
  • Above 500 kg

Market, By Application

  • Retail & E-commerce
  • Food & Grocery Delivery
  • Healthcare & Pharmaceuticals
  • Mails and Packages
  • Others

Market, By Delivery Mode

  • Regular Delivery
  • Same-Day Delivery
  • Express Delivery

Market, By Battery Capacity

  • Below 30 kWh
  • 30–70 kWh
  • Above 70 kWh

The above information is provided for the following regions and countries:

  • North America
    • US
    • Canada
  • Europe
    • Germany
    • UK
    • France
    • Italy
    • Spain
    • Russia
    • Nordics
  • Asia Pacific
    • China
    • India
    • Japan
    • Australia
    • South Korea
    • Philippines
    • Indonesia
  • Latin America
    • Brazil
    • Mexico
    • Argentina 
  • MEA
    • South Africa
    • Saudi Arabia
    • UAE

 

Authors: Preeti Wadhwani, Aishvarya Ambekar
Frequently Asked Question(FAQ) :
What are the upcoming trends in the electric last-mile delivery vehicle market?
Key trends include autonomous vehicles and drones, battery swapping, fleet electrification, advanced route optimization, and real-time tracking.
Who are the key players in the electric last-mile delivery vehicle industry?
Key players include BYD, Ford Motor Company, General Motors, GreenPower Motor Company, Mahindra Electric, Mercedes-Benz, Rivian, Stellantis, Tata Motors, and Xos.
What was the valuation of the less than 50 kg segment in 2024?
The less than 50 kg segment accounted for a 41% market share in 2024 and is set to expand at a CAGR of over 16.6% between 2025 and 2034.
Which segment is expected to dominate the market in 2024?
The retail and e-commerce segment is expected to lead the market with a 46% share in 2024, led by the growth of online shopping, demand for fast delivery, and fleet electrification initiatives.
Which region leads the electric last-mile delivery vehicle sector?
The U.S. leads the North American market with an 86% share, generating USD 6.8 billion in revenue in 2024. This growth is supported by government EV incentives, advanced urban logistics infrastructure, and rising e-commerce demand.
What is the market size of the electric last-mile delivery vehicle in 2024?
The market size was estimated at USD 21.3 billion in 2024, driven by the rise in e-commerce, sustainable urban logistics, and government zero-emission mandates.
What is the projected value of the electric last-mile delivery vehicle market by 2034?
The market is poised to reach USD 103.5 billion by 2034, growing at a CAGR of 18.3%, fueled by advancements in autonomous technologies, battery swapping infrastructure, and fleet electrification.
What was the market share of the two-wheeler segment in 2024?
The two-wheeler segment dominated the market with a 38% share in 2024 and is expected to witness over 18% CAGR through 2034.
What is the expected size of the electric last-mile delivery vehicle market in 2025?
The market size is expected to grow to USD 22.9 billion in 2025.
Electric Last Mile Delivery Vehicle Market Scope
  • Electric Last Mile Delivery Vehicle Market Size
  • Electric Last Mile Delivery Vehicle Market Trends
  • Electric Last Mile Delivery Vehicle Market Analysis
  • Electric Last Mile Delivery Vehicle Market Share
Authors: Preeti Wadhwani, Aishvarya Ambekar
Trust Factor 1
Trust Factor 2
Trust Factor 1
Premium Report Details

Base Year: 2024

Companies covered: 28

Tables & Figures: 162

Countries covered: 22

Pages: 209

Download Free PDF

Top
We use cookies to enhance user experience. (Privacy Policy)