India Truck Rental Market Research Report By Truck Type (Heavy Commercial Vehicle, Light Commercial Vehicle) and By Lease Type (Finance Lease, Full-Service Lease)- Forecast to 2035

India Truck Rental Market Overview:

As per MRFR analysis, the India Truck Rental Market Size was estimated at 10.41 (USD Billion) in 2023. The India Truck Rental Market Industry is expected to grow from 16.5 (USD Billion) in 2024 to 45 (USD Billion) by 2035. The India Truck Rental Market CAGR (growth rate) is expected to be around 9.55% during the forecast period (2025 - 2035).

Key India Truck Rental Market Trends Highlighted

The India Truck Rental Market is witnessing significant trends that reflect the evolving logistics and transportation landscape in the country. One of the key market drivers is the rapid urbanization and growth of the e-commerce sector in India. With more people moving to urban areas, there is a rising demand for efficient freight transport solutions, which truck rental services can provide. Additionally, the government's push for infrastructure development, such as the Bharatmala project, aims to improve road connectivity across the nation, further facilitating the movement of goods and enhancing the capabilities of the trucking industry. 

Opportunities to be explored in this market include the adoption of technology for enhanced operational efficiency.To cut down on fuel expenses, companies are adopting fleet management systems and GPS tracking software. Also, the push towards sustainability has increased the demand for green trucks and rental services that are environmentally responsible. 

Recently, even the Indian truck rental market has seen the introduction of flexible rental options to cater to the inconsistent demand. Companies are seeking affordable options that allow them to scale services in a manageable way without having to purchase a fleet. Increased activity of new players and freight brokers in the logistics field is changing the competitive landscape and resulting in more tailored and varied services for renting trucks.

Overall, these trends highlight the dynamic nature of the India Truck Rental Market, driven by urbanization, technological advancements, and changing consumer needs.

Source: Primary Research, Secondary Research, MRFR Database and Analyst Review

India Truck Rental Market Drivers

Growing E-commerce and Logistics Sector

The expansion of the e-commerce sector in India has significantly driven the demand for truck rental services. With the Indian e-commerce market expected to reach a value of approximately USD 200 billion by 2026, logistics companies are increasingly relying on truck rentals to fulfill last-mile delivery requirements. Major players such as Flipkart and Amazon are investing heavily in their logistics networks, including partnerships with truck rental services, enhancing the overall India Truck Rental Market Industry.

The growth in online shopping has led to an increased demand for efficient cargo transportation, promoting truck rental services. Additionally, data from the Ministry of Commerce and Industry indicate that e-commerce contributes to 3.6% of India's GDP, pushing logistics service providers to innovate and expand, thus benefiting the truck rental segment.

Government Initiatives and Infrastructure Development

The Indian government is heavily investing in infrastructure development under initiatives like the Bharatmala Pariyojana, which focuses on developing and upgrading road networks across the country. This investment is set to enhance transit efficiency and reduce logistical costs, directly benefiting the India Truck Rental Market Industry. Reports from the Ministry of Road Transport and Highways show that over 83,000 km of national highways are targeted for construction or upgrade, anticipated to be completed by 2025.

As road infrastructure improves, transportation becomes more streamlined, creating greater demand for truck rentals as businesses seek reliable and quick delivery solutions.

Urbanization and Increased Freight Demand

India is witnessing rapid urbanization, with the urban population expected to account for approximately 600 million by 2031. This growing urban population has spurred demand for various goods, leading to increased freight movement. According to the NITI Aayog, urban areas are expected to amplify their contribution to GDP, thus increasing the requirement for efficient transportation solutions. This demand is fueling the growth of the India Truck Rental Market Industry as businesses look to leverage truck rental services for urban logistics. Furthermore, with the rising consumer culture in urban settings, rental services are becoming a preferred choice for many businesses to meet delivery timelines without significant capital investment.

India Truck Rental Market Segment Insights:

Truck Rental Market Truck Type Insights

The India Truck Rental Market displays a promising landscape, especially within the Truck Type segment, which is primarily divided into Heavy Commercial Vehicles and Light Commercial Vehicles. This segmentation plays a crucial role in addressing the diverse transportation needs of various industries across India, supporting economic activities from urban logistics to rural freight. Heavy Commercial Vehicles are essential in industries like construction, manufacturing, and large-scale retail, enabling the movement of substantial loads efficiently. Given the rising infrastructure developments in India, this segment is significant in meeting logistics demands, thus fueling growth in the truck rental industry. 

Conversely, Light Commercial Vehicles cater to more localized and smaller-scale shipments, serving industries such as e-commerce, food delivery, and retail that require flexibility and quick delivery schedules. The surge in e-commerce activities has further heightened the importance of Light Commercial Vehicles in urban areas, where last-mile delivery has become a competitive advantage. The market's trends reflect a growing inclination towards renting over ownership, driven by financial prudence and reduced maintenance concerns. Such shifts present an opportunity for expansion in both Heavy and Light Commercial Vehicles as businesses look to optimize logistics costs while ensuring efficiency. 

Furthermore, evolving regulations around emissions and sustainability are prompting companies to invest in modern, fuel-efficient vehicles, integrating technology to enhance fleet management. Despite potential challenges, including regulatory hurdles and fluctuating fuel costs, the overall sentiment remains positive, underlining robust growth prospects for the Truck Type segment within the India Truck Rental Market, catering effectively to the country’s logistics and transportation demands.

Source: Primary Research, Secondary Research, MRFR Database and Analyst Review

Truck Rental Market Lease Type Insights

In the context of the India Truck Rental Market, the Lease Type segment plays a pivotal role, contributing significantly to the overall growth dynamics of the industry. This segment largely encompasses Finance Lease and Full-Service Lease, both of which cater to the unique needs of businesses seeking flexibility in fleet management. Finance Lease provides enterprises with the advantage of asset ownership at the end of the lease period, making it a popular choice for companies aiming to invest in capital-intensive machinery while maintaining cash flow.

On the other hand, Full-Service Lease has gained traction due to its comprehensive service offerings, including maintenance and insurance, reducing the administrative burden on businesses. The growing trend towards optimizing operational efficiency and minimizing costs drives the demand for these leasing options in India. With the burgeoning logistics sector and increasing freight transportation needs, the Lease Type segment stands out as a crucial factor in shaping India Truck Rental Market statistics, presenting abundant opportunities for growth and adaptation to evolving market requirements.

India Truck Rental Market Key Players and Competitive Insights:

The India Truck Rental Market has witnessed significant growth in recent years, driven by the increasing demand for logistics and transportation solutions across various industries. This market is characterized by a blend of both established players and emerging companies, all vying for market share amidst changing consumer preferences and evolving business needs. Competition is fierce, with companies investing in technology, fleet diversification, and enhanced customer services to differentiate themselves. The market is influenced by factors such as infrastructure development, the rise of e-commerce, and government initiatives aimed at enhancing freight movement efficiency. 

As a result, players are focused on optimizing their operations to provide cost-effective, reliable, and scalable transportation solutions, which has led to innovations in service delivery and strategic partnerships to improve market presence.Tata Motors has carved out a robust position in the India Truck Rental Market through its well-regarded brand reputation and extensive range of commercial vehicles. The company is known for its reliable trucks that cater to various industries, including construction, agriculture, and logistics. With a national presence, Tata Motors has a comprehensive distribution network that facilitates easy access to customers across urban and rural areas. The company capitalizes on its strengths, including advanced engineering capabilities and a commitment to quality, which enhances customer trust and loyalty. 

Tata Motors is continually optimizing its truck offerings to suit the evolving needs of the market, ensuring that its vehicles are equipped with modern features and technologies that meet regulatory standards and sustainability goals.Delhivery has established itself as a key player in the India Truck Rental Market, primarily known for its logistics and supply chain services. The company offers a wide range of products and services that include last-mile delivery, freight transportation, and warehousing solutions. Its distinct market presence stems from a strong technological infrastructure that enhances operational efficiency and customer experience. 

Delhivery’s strengths lie in its data-driven approach, enabling it to optimize routes and reduce delivery times, which is crucial in the competitive logistics sector. The company has actively pursued mergers and acquisitions to bolster its service portfolio and extend its reach within the Indian market, allowing it to scale its operations rapidly and cater to the growing demand for efficient transportation solutions. This growth trajectory positions Delhivery favorably against its competitors in the India Truck Rental Market.

Key Companies in the India Truck Rental Market Include:

• Tata Motors


• Delhivery


• Gati


• VTrans India Limited


• Xpressbees


• Niharika Logistics


• Rashtriya Ispat Nigam Limited


• Shadowfax


• Pickrr


• AFS Logistics


• Blue Dart


• Transport Corporation of India


• Ratan India Enterprises


• Mahindra Logistics


• Logisticsnow

India Truck Rental Market Industry Developments

The India Truck Rental Market has recently witnessed significant developments, notably in January 2023 when Tata Motors announced the launch of its new range of electric commercial vehicles, aiming to enhance logistics efficiency and reduce operational costs. Concurrently, in March 2023, Delhivery expanded its transportation capabilities by collaborating with local freight partners, allowing them to tap into the growing demand for faster delivery. Gati has been focusing on enhancing its last-mile delivery services, while Rashtriya Ispat Nigam Limited has been investing in fleet upgrades to support increased cargo handling. 

In terms of mergers and acquisitions, Mahindra Logistics acquired a 60% stake in LogiNext for $100 million in August 2022, which strengthened its digital logistics capabilities, and Shadowfax acquired a smaller logistics startup in July 2023 to bolster its delivery network. The market has been positively affected by advancements in technology, driving significant growth in valuation across companies, with Blue Dart and Transport Corporation of India also reporting robust financial growth in the fiscal year 2022-2023. Overall, these developments indicate a dynamic environment in the India Truck Rental Market, reflecting the evolving needs of the logistics sector.

India Truck Rental Market Segmentation Insights

Truck Rental Market Truck Type Outlook

• Heavy Commercial Vehicle


• Light Commercial Vehicle

Truck Rental Market Lease Type Outlook

• Finance Lease


• Full-Service Lease

Report Attribute/Metric Source:	Details
MARKET SIZE 2018	10.41 (USD Billion)
MARKET SIZE 2024	16.5 (USD Billion)
MARKET SIZE 2035	45.0 (USD Billion)
COMPOUND ANNUAL GROWTH RATE (CAGR)	9.55% (2025 - 2035)
REPORT COVERAGE	Revenue Forecast, Competitive Landscape, Growth Factors, and Trends
BASE YEAR	2024
MARKET FORECAST PERIOD	2025 - 2035
HISTORICAL DATA	2019 - 2024
MARKET FORECAST UNITS	USD Billion
KEY COMPANIES PROFILED	Tata Motors, Delhivery, Gati, VTrans India Limited, Xpressbees, Niharika Logistics, Rashtriya Ispat Nigam Limited, Shadowfax, Pickrr, AFS Logistics, Blue Dart, Transport Corporation of India, Ratan India Enterprises, Mahindra Logistics, Logisticsnow
SEGMENTS COVERED	Truck Type, Lease Type
KEY MARKET OPPORTUNITIES	E-commerce logistics expansion, Rising demand for last-mile delivery, Urbanization and infrastructure development, Increasing freight rates pushing rental demand, Digital platforms for easy booking
KEY MARKET DYNAMICS	Increasing e-commerce demand, Infrastructure development initiatives, Rising fuel prices, Fleet modernization efforts, Technological innovations in logistics
COUNTRIES COVERED	India