Electric commercial vehicles face more complex systems engineering, thermal management, and operational planning than electric cars. They demand more durable and scalable solutions, which makes their development significantly more resource-intensive and tailored to specific fleet needs.
Electric trucks and buses face several additional design and manufacturing challenges compared to electric passenger vehicles (EVs) due to their size, usage patterns, and operational demands. As a result, even those manufacturers with great expertise in vehicle electrification often need to rethink the way these larger vehicles are designed and produced. They need tools that enable multi-disciplinary collaboration while supporting great flexibility to make quick changes and incorporate new technologies as they emerge.
The IEA’s recently released Global EV Outlook 2025 offers a snapshot of the electrification of heavy-duty transport. The report highlights both massive opportunities and substantial challenges for manufacturers. It concluded that with battery electric trucks and buses gaining ground globally, now is the time for manufacturers to accelerate their strategies, align with policy trends, and double down on high-potential market segments.
See also: Transforming EV Electrical Systems with Generative Design
What Makes Electric Trucks and Buses Different?
In the last year or so, the commercial vehicle segment of the vehicle electrification market has begun to get much more serious attention from auto manufacturers. As they enter the market, they find there are several notable differences between commercial EVs and EV cars that impact design, supply chains, production, and more.
To begin with, trucks and buses require much larger batteries to achieve acceptable range while hauling heavy loads or carrying passengers. Their greater weight can reduce payload capacity. Also, packaging these large batteries without compromising cargo/passenger space is complex. There are also new thermal management issues that must be addressed due to higher energy throughput.
A second factor to consider is that electric commercial vehicles typically operate for long hours over long distances. That’s in contrast to, say, a family EV car, which is often used for day-to-day chores and short commutes to and from work. As such, commercial EVs need higher capacity and faster-charging batteries. An additional factor to consider is that fast-charging large batteries repeatedly introduces thermal and degradation challenges.
Trucks and buses also need high torque at low speeds for towing or stop-and-go driving (e.g., city buses). That impacts the design and selection of driveshafts, gearboxes, and motors. These elements must handle sustained high loads. And some manufacturers are turning to more robust regenerative braking techniques.
There are also chassis and structural element differences. Vehicle frames must support heavier battery systems and provide crash safety. That requires a more robust (and thus heavier) chassis, which can affect a vehicle’s range and efficiency. Specialized designs may be needed to balance structural integrity with battery placement and safety.
One additional issue is that larger batteries and more intense operating conditions (e.g., hills, towing) generate more heat. So, cooling systems must be scaled up and intelligently managed.
Commercial EV Market Conditions and What It Means for Manufacturers
The commercial segment of the vehicle electrification market includes electric trucks and buses. According to the IEA’s Global EV Outlook 2025, this segment is gaining ground globally.
According to the report, sales of electric medium- and heavy-duty trucks grew by almost 80% in 2024 to surpass 90,000 globally. China dominated with over 80% of all sales, fueled by scrappage incentives, emission standards, and falling battery prices.
In contrast, the U.S. and Europe showed slower progress. The U.S. saw sales plateau at around 1,700 trucks, supported by the Clean Heavy-Duty Vehicles Grant Program and a $40,000 tax credit. Europe sold over 10,000 trucks for the second straight year, with some success in Denmark, Germany, and the UK.
Also, according to the report, cities are aggressively decarbonizing public transit. Electric bus sales reached over 70,000 in 2024, marking a 30% global growth. While China still leads, its share of global sales fell below 70% as other regions caught up. European countries like the UK, Italy, and Germany are ramping up deployments, especially in urban transit. Some, like the Netherlands and Norway, saw over 80% of new city bus sales being battery-electric.
In Latin America, electric bus uptake has tripled since 2020, with major progress in Mexico, Colombia, and Chile. India has also emerged as a major player, with a 4x increase in stock since 2020 and plans for up to 100,000 new buses under its Bharat Urban Megabus Mission.
A Final Word on Electric Trucks and Buses
Electrification of commercial vehicles is happening now. But it’s happening unevenly. To be part of this market, manufacturers must scale production in high-growth segments that include urban buses and regional haul trucks. (Obviously, there are geographic regional differences that come into play that must be considered.)
Electric commercial vehicles face more complex systems engineering, thermal management, and operational planning than electric cars. They demand more durable and scalable solutions, which makes their development significantly more resource-intensive and tailored to specific fleet needs.
The key takeaway of the Global EV Outlook 2025 is that the winners in this market segment will be those who build not just vehicles but ecosystems.
