Road Transport Refrigeration Equipment Market: Comprehensive Analysis and Insights

The global road transport refrigeration equipment market size attained a value of more than USD 3.82 billion in 2023. This market is expected to grow at a CAGR of 4.50% during the forecast period of 2024-2032, driven by the flourishing end-use industries, including e-commerce, pharmaceutical, food and beverage, among others. This blog provides a detailed analysis of the market trends, growth factors, segmentation, and competitive landscape to offer a comprehensive understanding of the road transport refrigeration equipment market.

Market Trends

Road transport refrigeration equipment plays a crucial role in maintaining the quality and safety of perishable goods during transportation. This equipment is essential for the preservation of a variety of products, including food, pharmaceuticals, and some medicines. Key trends driving the market include:

1. Efficient Operability in Harsh Environments: The ability of road transport refrigeration equipment to function efficiently in diverse and harsh environments is a significant growth driver. The availability of equipment in various dimensions, including space, weight, and temperature control options, offers consumers better choices to meet their specific needs.

2. Thriving Food and Beverage Industry: The rapid growth of the food and beverage industry, supported by rising disposable incomes and urbanization, is increasing the demand for refrigerated transportation. The need for hygienic and temperature-controlled environments for transporting meat, vegetables, and fruits is propelling the market growth.

3. Expansion of Pharmaceutical Business: The pharmaceutical industry's growth is another key factor driving the demand for road transport refrigeration equipment. Pharmaceutical products are sensitive to temperature changes and require pre-cooling, temperature monitoring, and precise loading practices, all of which are facilitated by refrigerated transport vehicles.

Market Analysis

The road transport refrigeration equipment market can be segmented based on install vehicle, mode of operation, power source, and application. Additionally, the market is analyzed across various regions, including North America, Europe, Asia Pacific, Latin America, and the Middle East and Africa.

Install Vehicle

1. Van and Light Trucks: This segment holds a significant share in the market. Vans and light trucks are preferred for nearby deliveries due to their convenience and reliability. Refrigerated vans are particularly in demand for transporting perishable goods, offering flexibility in scheduling and protection from decay. Light trucks, on the other hand, are ideal for transporting larger quantities of goods, including vaccines, which is crucial in the ongoing efforts to combat COVID-19 and other diseases.

2. Heavy Trucks and Trailers: Heavy trucks and trailers are essential for long-distance transportation of large volumes of perishable goods. These vehicles are equipped with advanced refrigeration systems to maintain optimal temperatures over extended periods.

Mode of Operation

1. Single Temperature: Single temperature road transport refrigeration equipment is suitable for transporting goods that require a uniform temperature throughout the journey.

2. Multi-Temperature: The multi-temperature segment is expected to witness steady growth during the forecast period. This equipment allows the management of different temperatures within separate cells, making it ideal for transporting packaged food products with varying temperature requirements. Innovations in multi-temperature units, such as the development of diesel units with advanced technical concepts, are further driving the market growth.

Power Source

1. Vehicle Powered: These refrigeration units derive power from the vehicle's engine, making them highly efficient and reliable for continuous operation during transportation.

2. Self-Powered: Self-powered units are equipped with independent power sources, ensuring uninterrupted refrigeration even when the vehicle is not in operation.

Applications

1. Food and Beverage Products: The transportation of perishable food products is a major application of road transport refrigeration equipment. The growing demand for fresh and frozen foods is driving the market growth in this segment.

2. Pharmaceutical and Healthcare Products: The pharmaceutical industry relies heavily on refrigerated transportation to maintain the efficacy of medicines and vaccines. The need for precise temperature control during the transportation of these products is a significant market driver.

3. Floral Products: The transportation of floral products also requires temperature-controlled environments to maintain freshness and prevent wilting.

Regional Analysis

• North America: The North American market is characterized by a well-established cold chain infrastructure and high demand for perishable goods transportation. The presence of major pharmaceutical companies and the growing e-commerce sector are key drivers in this region.

• Europe: Europe is another significant market for road transport refrigeration equipment, driven by stringent regulations on food safety and the growing demand for fresh and organic products.

• Asia Pacific: The Asia Pacific region is expected to witness rapid growth during the forecast period. The expanding food and beverage industry, coupled with the increasing demand for pharmaceutical products, is propelling the market in this region.

• Latin America: The growing agricultural sector and the increasing export of perishable goods are driving the demand for road transport refrigeration equipment in Latin America.

• Middle East and Africa: The market in this region is driven by the growing food and beverage industry and the increasing demand for refrigerated transportation of pharmaceuticals and other healthcare products.

Competitive Landscape

The road transport refrigeration equipment market is highly competitive, with several key players contributing to market growth. Some of the major companies include:

1. Mitsubishi Heavy Industries Ltd.: Founded in 1884, Mitsubishi Heavy Industries Ltd. is a leading technological innovator based in Japan. The company offers a wide range of refrigeration units for trucks and trailers, in addition to manufacturing ships, aircraft, heavy machinery, and automobiles.

2. G.A.H. Refrigeration Ltd.: Established in 1993 and headquartered in the United Kingdom, G.A.H. Refrigeration Ltd. is known for providing fuel-efficient and powerful refrigeration solutions for vans and cabs of various sizes and weights.

3. Hwasung T&T Co., Ltd.: Founded in 1977, Hwasung T&T Co., Ltd. is South Korea’s first truck refrigeration system manufacturer. The company exports transport refrigeration components to over 40 countries and is investing heavily in innovation.

4. Daikin Industries Ltd.: Daikin Industries Ltd. is a leading global manufacturer of air conditioning and refrigeration systems. The company is known for its advanced technology and wide range of products.

5. Carrier Global Corporation: Carrier Global Corporation is a well-known name in the refrigeration and air conditioning industry. The company offers a comprehensive range of refrigeration solutions for the transportation sector.

6. Others

The global road transport refrigeration equipment market is poised for significant growth during the forecast period of 2024-2032. The increasing demand for perishable goods transportation, driven by the flourishing food and beverage and pharmaceutical industries, is a key factor propelling the market. The development of advanced refrigeration systems and the expansion of the cold chain infrastructure are expected to further boost market growth. As the industry continues to innovate and evolve, road transport refrigeration equipment will play an increasingly vital role in ensuring the safe and efficient transportation of perishable goods.