Truck Refrigeration Unit Market Size (By Type, By Product Type, By Vehicle Type, By Application, By End-User, and By Geography) - Global Industry, Share, Analysis, Trends and Forecast 2024 - 2032

Truck Refrigeration Unit Market Highlights

• The global truck refrigeration unit market is expected to reach USD 19.8 billion by 2032, growing at a CAGR of 6.4% from 2024 to 2032
• North America's truck refrigeration unit market was valued at approximately USD 3.9 billion in 2023
• The European truck refrigeration unit market is forecasted to grow at a CAGR of over 7% from 2024 to 2032
• Medium commercial vehicles accounted for 44% of the truck refrigeration unit market share in 2023
• Expansion of cold chain logistics driven by e-commerce and retail growth is a popular truck refrigeration unit market trend that fuels the industry demand

A truck refrigeration unit is a system installed in commercial trucks to maintain a specific temperature range inside the cargo space, ensuring the safe transportation of perishable goods. These units are crucial for industries that require cold chain logistics, such as food, pharmaceuticals, and chemicals. They can be powered by diesel, electricity, or hybrid sources. Common applications include transporting frozen and chilled foods, medicines, and temperature-sensitive products.

According to United Nations Development Programme, cooling has become widespread across various sectors of the economy, including residential and commercial buildings, cold chain logistics, vaccine storage, refrigeration, transportation, and industrial applications. This increasing demand for cooling across sectors directly contributes to the growth of the truck refrigeration unit market by driving the need for efficient temperature-controlled transport solutions.

Global Truck Refrigeration Unit Market Dynamics

Market Drivers

• Growing demand for cold chain logistics due to rising perishable goods trade
• Increasing consumer preference for fresh and temperature-sensitive products
• Advancements in refrigeration technology, improving energy efficiency and performance

Market Restraints

• High initial investment and maintenance costs for refrigeration units
• Environmental concerns regarding emissions from diesel-powered refrigeration systems
• Limited infrastructure in some regions for temperature-controlled transportation

Market Opportunities

• Rising demand for pharmaceutical and vaccine transportation requiring precise temperature control
• Expansion of e-commerce and grocery delivery services driving refrigerated transport needs
• Technological innovations in electric and hybrid refrigeration units promoting sustainable solutions

Truck Refrigeration Unit Market Report Coverage

Truck Refrigeration Unit Market Insights

As global trade in perishable goods like food, pharmaceuticals, and chemicals increases, the need for efficient temperature-controlled transportation grows. For instance, according to Invest India, the Indian cold chain market reached a size of INR 1,81,490 Cr in 2022, and it is anticipated to grow to INR 3,79,870 Cr by 2028, reflecting a compound annual growth rate (CAGR) of 12.3% from 2023 to 2028. The projected growth rate indicates a strong demand for cold chain logistics, which includes temperature-controlled transportation, such as truck refrigeration units, to handle perishable goods efficiently. This rising demand drives the growth of the truck refrigeration unit market.

Technological innovations, such as more energy-efficient and eco-friendly refrigeration systems, have led to improved performance and lower operational costs. For instance, U.S. Environmental Protection Agency states most of the 45,500 retail food establishments in the United States rely on centralized direct expansion (DX) systems to chill their products. These refrigeration systems are typically charged with 3,000 – 4,000 pounds of refrigerant, with more than 20 percent of the charge leaking annually. Due to this, advancements in refrigeration technology are expected to drive the growth of market by improving the efficiency and sustainability of refrigerated transport systems. As a result, the market for truck refrigeration units is benefiting from the development of greener, more reliable solutions.

The purchase and installation of truck refrigeration units require significant capital investment. Additionally, the maintenance and servicing of these units can be costly over time, which may deter smaller businesses or fleet owners from investing. This high upfront cost is a major restraint for the market, especially in regions with limited budgets.

The global need for the safe transportation of pharmaceuticals, vaccines, and temperature-sensitive medical products has increased in recent years. The World Health Organization reports that more than half of all vaccines globally are lost due to freeze damage. According to the Institute of Packaging Professionals, temperature-controlled packaging (TCP) is a crucial component of the cold chain, designed and validated to strict standards to maintain products within a specific temperature range for a designated duration. For example, many pharmaceuticals require temperatures between 2 °C and 8 °C, while some materials must remain frozen, and others need to be kept at a controlled room temperature, such as 15 °C to 25 °C. The importance of maintaining precise temperatures for various products highlights the growing demand for truck refrigeration units, as they are essential for ensuring the integrity of temperature-sensitive goods during transport.

Truck Refrigeration Unit Market Segmentation

The worldwide market for truck refrigeration unit is split based on type, product type, vehicle type, application, end-user, and geography.

Truck Refrigeration Market By Type

• Split Refrigeration Units
• Roof Mount Refrigeration Units

According to truck refrigeration unit industry analysis, split refrigeration units are experiencing significant growth due to their flexibility and suitability for various truck sizes and configurations. These units allow the cooling system to be split between the compressor and evaporator, making them highly efficient for maintaining precise temperature control in diverse transportation needs. Their adaptability across multiple vehicle types makes them the preferred choice in the industry. Roof mount refrigeration units, are widely used for vehicles with space constraints or specific design requirements. Their compact design and ease of installation make them a valuable option in certain applications.

Truck Refrigeration Unit Market By Product Type

• Diesel-Powered
• Electric-Powered
• Hybrid

According to truck refrigeration unit industry analysis, diesel-powered truck refrigeration units are known for their exceptional reliability, robust performance, and widespread availability of diesel fuel infrastructure. These units are highly effective for long-haul transportation, ensuring consistent cooling even under demanding conditions. Their established presence in the market makes them the go-to choice for many logistics and transportation companies. Electric-powered and hybrid units, while gaining traction, are primarily used in regions emphasizing sustainability and reduced emissions. These alternatives are emerging as eco-friendly options with growing adoption in urban and short-haul applications.

Truck Refrigeration Unit Market By Vehicle Type

• Light Commercial Vehicles
• Medium Commercial Vehicles
• Heavy Commercial Vehicles

According to truck refrigeration unit market forecast period, medium commercial vehicles (MCVs) are expected to dominate the industry due to their ideal size and capacity for a wide range of transportation needs. These vehicles strike a balance between maneuverability and load capacity, making them highly suitable for refrigerated transport. MCVs are often used in urban and regional deliveries, where consistent cooling of perishable goods is crucial. Their versatility and widespread use in the logistics sector contribute to their dominance in the market.

Truck Refrigeration Unit Market By Application

• Frozen
• Chilled

According to truck refrigeration unit market forecast, frozen applications growing significantly as they are essential for transporting goods like frozen foods, ice cream, and pharmaceuticals that require sub-zero temperatures for preservation. The growing demand for frozen food products, especially in retail and foodservice sectors, further drives this segment's dominance. Chilled applications are also significant, particularly for products like dairy, fruits, and vegetables, which require slightly higher temperatures for storage and transportation.

Truck Refrigeration Unit Market By End-User

• Retail and Supermarkets
• Logistics and Distribution Companies
• Food Processing Industries
• Others

According to truck refrigeration unit industry forecast, logistics and distribution companies are essential industry due to their vital role in managing the transportation of temperature-sensitive goods across various industries. These companies provide crucial refrigerated transportation services for food, pharmaceuticals, and other perishable products, ensuring timely and safe deliveries. Their extensive use of refrigerated trucks across global supply chains drives their prominance. Retail and supermarkets also play a significant role, with growing demand for refrigerated trucks to transport fresh and frozen food products to stores. Food processing industries rely heavily on refrigerated transport for raw materials and finished products, especially for products like meats, dairy, and ready-to-eat meals.

Truck Refrigeration Unit Market Regional Outlook

North America

• U.S.
• Canada

Europe

• U.K.
• Germany
• France
• Spain
• Rest of Europe

Asia-Pacific

• India
• Japan
• China
• Australia
• South Korea
• Rest of Asia-Pacific

Latin America

• Brazil
• Mexico
• Rest of LATAM

The Middle East & Africa

• South Africa
• GCC Countries
• Rest of the Middle East & Africa (ME&A)

Truck Refrigeration Unit Market Regional Analysis

Regional analysis of truck refrigeration unit market, North America dominates the truck refrigeration unit market due to its well-established logistics infrastructure and high demand for temperature-controlled transportation. According to International Trade Administration, the logistics and transportation sector in the United States is highly competitive, with both international and domestic companies benefiting from a skilled workforce and relatively low costs. In 2023, the U.S. business logistics expenses amounted to $2.3 trillion, accounting for 8.7 percent of the nation's GDP. Additionally, foreign direct investment in the industry reached $155.4 billion in the same year. Additionally, the prevalence of long-haul trucking and stringent food safety regulations further drives the adoption of refrigerated units.

Europe is the fastest-growing region in the truck refrigeration unit market, driven by increasing e-commerce, consumer demand for fresh products, and environmental regulations. As per International Trade Administration, Europe is the third-largest retail e-commerce market in the world, with total revenues reaching US$ 631.9 billion. With an annual growth rate of 9.31%, European retail e-commerce sales are projected to reach US$ 902.3 billion by 2027. The growth of cold chain logistics, particularly for pharmaceutical and perishable food sectors, is accelerating the adoption of refrigeration units. Furthermore, Europe's focus on sustainability and the rise of electric and hybrid refrigeration units contribute to the region's rapid market expansion.

Truck Refrigeration Unit Market Players

Some of the top truck refrigeration unit companies offered in our report include Carrier, Webasto Group, Denso, Mitsubishi Heavy Industries, Thermo King, Klinge Corporation, Subros Ltd, Daikin, Utility Trailer Manufacturing Company, and Advanced Temperature Control.