Electric Cargo Bikes Market By Product Type (Four-Wheeled Electric Cargo Bikes, Three-Wheeled Electric Cargo Bikes, Two-Wheeled Electric Cargo Bikes); By Battery Type (Lead-Based Batteries, Lithium-Ion Batteries, Nickel-Based Batteries); By End-Use (Courier and Parcel Service Providers, Service Delivery, Personal Use, Large Retail Suppliers, Waste Municipal Services, Others); By Geography, Segment revenue estimation, Forecast, 2024–2032.

The electric cargo bikes market was worth USD 1.95 billion in 2023 and will be worth USD 9.50 billion by 2030, growing at a CAGR of 21.9% during the forecast period.

 

The market for electric cargo bikes is growing at a fast pace mainly because of the growing interest in green urban delivery vehicles. For instance, UPS, Amazon and City Oxford has incorporated electric cargo bikes in their logistics to overcome transport pollution and daily traffic challenges in city centers. Countries like Amsterdam and Copenhagen have supported the infrastructure and policies that have marked remarkable increases in the employment of the electric cargos bike for delivery services and self-transportation. Further, the improved battery technology has increased the range and payload capacity of these bicycles making them more suitable substitutes for conventional delivery tricycles.

 

Market Dynamics

Some of the major trends contributing to the electric cargo bike market include the rise of e-commerce and the need to find better solutions to last-mile delivery. With the increase in the market for E-commerce, many urban centers are experiencing increased traffic menace and pollution. Electric cargo bikes can be used as an effective and environmentally friendly option to move within the congested urban environment. For example, Amazon uses e-cargo bikes in such cities like London with an intention to decrease emission rates and shorten delivery intervals. Likewise, UPS has also adopted the use of electric cargo bikes to increase delivery services in European cities while minimizing emissions. Such measures reflect escalating trends of adopting e-cargo bikes in fulfilling the distribution requirements that has been triggered by sprouting e-commerce companies.

 

The Electric Cargo Bikes market has a big chance for the developing demands for eco-friendly urban delivery solutions. Cities have been trying to avoid traffic jams and pollution hence electric cargo bikes are one of the best substitutes for delivery vehicles. The IEA has estimated that urban freight has a transport emission footprint greater than 20% of city transport, which has triggered the need to explore zero-emission solutions. Such opportunities have resulted in new trends, for example, electric cargo bikes recently introduced by DHL for use in European cities and plans to replace up to 60% of the urban delivery bikes. Truck-mounted bicycles can be easily maneuverable in populated areas, bear a lot of mass, and help save time and fuel. As electric cargo bikes are becoming increasingly popular in businesses for their advantages, including being environmentally friendly and financially viable, there is high potential for growth in this market.

 

 

Market Segmentation

By Product Type:

• Four-Wheeled Electric Cargo Bikes

• Three-Wheeled Electric Cargo Bikes

• Two-Wheeled Electric Cargo Bikes

 

By Battery Type:

• Lead-Based Batteries

• Lithium-Ion Batteries

• Nickel-Based Batteries

 

By End-Use:

• Courier and Parcel Service Providers

• Service Delivery

• Personal Use

• Large Retail Suppliers

• Waste Municipal Services

• Others

 

By Region

North America

• US

• Mexico

• Canada

• Rest of North America

 

Europe

• Switzerland

• Russia

• France

• Germany

• U.K

• Finland

• Turkey

• Netherlands

• Belgium

• Spain

• Italy

• Rest of Europe

 

Asia Pacific

• India

• China

• South Korea

• Japan

• Singapore

• Thailand

• Indonesia

• Malaysia

• Philippines

• Australia

• Rest of Asia-Pacific

 

LAMEA

• Brazil

• Argentina

• Uruguay

• Saudi Arabia

• Rest of LAMEA

 

Segment Analysis of the Electric Cargo Bikes Market

By Product Type:

Leading Segment: Four-Wheeled Electric Cargo Bikes

Four-wheeled electric cargo bikes are the market’s workhorse, accounting for over 55% of current deployments. Their robust design offers enhanced stability & a larger cargo capacity, which is essential for urban freight & last-mile delivery operations. For example, European brands like Urban Arrow have successfully implemented four-wheeled models in cities such as Amsterdam and Copenhagen, where narrow streets and high delivery volumes demand both strength and reliability. With steady urbanization and a continuous push for low-emission delivery solutions, this segment is forecast to grow at a CAGR of around 10% over the next decade.

Fastest-Growing Segment: Three-Wheeled Electric Cargo Bikes

Three-wheeled vehicles are becoming very popular because they are easy to maneuver & cost less to make than four-wheeled vehicles. Their flexible design makes them perfect for busy city areas where navigating tight spaces quickly is important. Start-ups and local delivery companies like these vehicles because they are versatile and easy to use. This segment is expected to grow quickly, about 15% per year, as cities look for flexible and affordable solutions to meet the increasing demand for urban cargo transport.

 

By Battery Type:

Leading Segment: Lithium-Ion Batteries

Lithium-ion batteries dominate the electric cargo bikes market, powering more than 80% of the available models. Their high energy density, long cycle life & lightweight profile make them ideal for applications that demand reliability & extended range. Major suppliers such as Bosch and Panasonic have developed optimized lithium-ion battery systems that are now standard in many electric cargo bike designs, ensuring that fleets can operate efficiently throughout long delivery shifts. The proven performance and decreasing cost trends continue to reinforce their leading position.

Fastest-Growing Segment: Nickel-Based Batteries

While currently representing a smaller share of the battery mix, nickel-based batteries—such as the improved nickel-metal hydride (NiMH) systems—are emerging as the fastest-growing segment within this category. Advances in this technology have led to better energy density & durability at a lower cost, making them particularly attractive for mid-range cargo bike applications in emerging markets. With a projected CAGR of about 12%, nickel-based batteries are gaining traction where initial cost & ease of recycling are key factors in the purchasing decision.

 

By End-Use:

Leading Segment: Courier and Parcel Service Providers

Courier and parcel delivery companies remain the largest end-users of electric cargo bikes, accounting for over 50% of market demand. The rapid expansion of e-commerce & the necessity for sustainable last-mile delivery solutions have driven traditional logistics players like UPS and DHL as well as numerous regional operators to integrate electric cargo bikes into their fleets. These bikes not only help reduce urban congestion and emissions but also offer significant operational cost savings. As a result, this segment continues to lead the market in terms of both volume & technological innovation.

Fastest-Growing Segment: Service Delivery

The service delivery segment which encompasses food delivery, healthcare logistics, and on-demand services is witnessing the fastest growth. Urban centers are increasingly adopting electric cargo bikes to support a variety of service-based applications, where quick, flexible, and eco-friendly transport is essential. For example, pilot projects by food delivery companies in cities like Berlin and Amsterdam have shown the benefits of using electric cargo bikes. This has led to an expected annual growth rate of about 14% for this segment. The fast growth is driven by changing consumer preferences & supportive local government policies that encourage sustainable urban mobility.

 

By Region:

Leading Region: Europe

Europe is currently the largest market for electric cargo bikes, driven by stringent environmental regulations, a strong cycling culture & high urban density. Cities across the continent from Copenhagen to Berlin have embraced electric cargo bikes as a critical component of their sustainable urban transport networks. Supportive policies & incentives to reduce air pollution and traffic congestion have increased the use of these vehicles. With a well-established market and high acceptance from consumers and municipalities, Europe continues to be a leader in both volume and innovation.

Fastest-Growing Region: Asia Pacific

The APAC region is emerging as the fastest-growing market, buoyed by rapid urbanization, expanding e-commerce activities & increasing environmental awareness in cities like Beijing, Singapore & Mumbai. Local manufacturers and start-ups are launching cost-effective electric cargo bike models tailored to the specific needs of densely populated urban centers. Supportive government initiatives aimed at reducing vehicular emissions are also spurring adoption. This dynamic environment is expected to drive a robust CAGR of around 16% in the region, positioning Asia Pacific as a key growth engine for the electric cargo bikes market over the coming years.

 

Key Players

• Tern Bicycles

• Riese & Müller

• Yuba Bicycles

• Rad Power Bikes

• Urban Arrow

• Xtracycle

• Butchers & Bicycles

• Douze Cycles

• Babboe

• Carqon

 

Electric Cargo Bikes Market Report Coverage

Report Attribute	Details
Forecast Period	2023 – 2030
Market Size Value in 2023	USD 1.95 billion
Revenue Forecast in 2030	USD 9.50 billion
Overall Growth Rate	CAGR of 21.9%
Base Year for Estimation	2022
Historical Data	2017 – 2021
Unit	USD Billion, CAGR (2023 - 2030)
Segmentation	By Product Type, By Battery Type, By End-Use, By Region
By Product Type	Four-Wheeled Electric Cargo Bikes, Three-Wheeled Electric Cargo Bikes, Two-Wheeled Electric Cargo Bikes
By Battery Type	Lead-Based Batteries, Lithium-Ion Batteries, Nickel-Based Batteries
By End-Use	Courier and Parcel Service Providers, Service Delivery, Personal Use, Large Retail Suppliers, Waste Municipal Services, Others
By Region	North America, Europe, Asia Pacific, LAMEA
Country Scope	US, Mexico, Canada, Germany, UK, France, China, Japan, India, etc.
Pricing and Purchase Options	Avail customized purchase options to meet your exact research needs.

 

Recent Development

• In October 2024, Optima Cycles, maker of e-bikes and electric cargo bikes, announced that it has purchased Dolly, a well-known and inventive electric cargo bike company. Optima Cycles, the company behind the Dutch ID and Lovens brands, expands its market share in the quickly expanding electric cargo bike sector and opens up new growth prospects with this strategic acquisition.
   

• In August 2024, Amazon has established its first micromobility hub in Norfolk at its Norwich delivery station. In order to reduce traffic and enhance air quality, the hub now has a fleet of brand-new electric cargo bikes that will transport thousands of goods to Amazon customers every week. These bikes will replace traditional delivery vans on city center roadways.