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

 

On the basis of product type, the two-wheel electric cargo bikes held dominant position in the market as they can easily navigate through most city infrastructures. They are preferred due to maneuverability, cheap, and are suitable especially across the congested city tracks. For example, Tern Bicycles and Riese & Müller manufactures two-wheel models for both business and individual use they have great cargo space and are relatively small in size. Their increasing use reinforces their dominant status in the market for electric cargo bikes.

 

On the basis of end-user, the courier and parcel service providers segment held largest market position as electric cargo bike offer convenience and an environment-friendly solution to last-mile delivery. For instance, UPS has incorporated e-cargo bicycles into its fleet in numerous locations as an effort to achieve zero-emitting status. Similarly, Amazon has implemented e-cargo bikes in densely populated areas to solve practical issues of final deliveries ameliorating last-mile delivery challenges. Such applications showcase the use of e-cargo bikes as a solution to the rising logistics requirements of the expanding e-commerce industry.

 

Europe is the largest market for electric cargo bikes due to robust environmental goals and urbanization plans. Germany became the biggest market for cargo bikes in Europe for 2020 by selling 103, 000 bikes while Denmark and Netherlands were selling 25, 000, 16, 000 respectively. These bikes are now in common use in such cities as Amsterdam and Copenhagen where they function as part of public transport system with focus on green urban delivery. Recent development include EU encouragement of zero emission vehicles, to transport items through electrically powered cargo bicycles. Such a strategic direction at the regional level has helped Europe cement itself as the leading market for green shipping solutions.

 

Key Players

• Tern Bicycles

• Riese & Müller

• Yuba Bicycles

• Rad Power Bikes

• Urban Arrow

• Xtracycle

• Butchers & Bicycles

• Douze Cycles

• Babboe

• Carqon

 

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.