Bangladesh is High Potential for Commercial Vehicle Industry
Bangladesh is a developing country & its economy is the developing market economy. Bangladesh is the 39th largest in the world in nominal terms, and 30th largest by purchasing power parity; it is classified among the Next Eleven emerging market middle income economies and a frontier market. Rapid growth enabled Bangladesh to reach the lower middle-income country status in 2015. Sustained economic growth has rapidly increased the demand for energy, transport and urbanization. In the first quarter of 2019, Bangladesh’s was the world’s seventh fastest growing economy with a rate of 7.3% real GDP annual growth.
The transport sector of Bangladesh consists of a variety of modes. The country being a flat plain, all three modes of surface transport, i.e. road, railway and water are widely used in carrying both passengers and cargo. The roads & Highway is the most popular & used for carrying the goods & transporting the passengers. In Bangladesh the total length of paved road under the Roads and Highways Department stood at more than 21,000 kilometers. It is estimated that mechanized road transport carries more than 70% of the country’s total passenger and cargo volume. Commercial Vehicle Industry in Bangladesh 2021
Bangladesh is one of the largest markets for commercial vehicles and all types of vehicles are imported from abroad. The Bangladesh vehicles market is captured by four manufacturers namely Japanese, European, Chinese & Indian. The Indian manufacturers namely TATA, Ashok Leyland & Eicher are mostly covering the trucks market in Bangladesh. The Chinese manufacturers have remarkable presence in the LCV & Pickup segment. Some Japanese & European manufacturers trucks & construction vehicles are running in Bangladesh but those are not remarkable in quantity. The Passengers Bus market for inter-city operation is captured mostly by Japanese & European manufacturers. The luxury ac bus market completely covered by European manufacturers namely Scania, Volvo, MAN & Mercedes-Benz as well as the Korean Brand Hyundai Universe. Japanese manufacturers Hino & ISUZU have presence in this segment as well. In the non-ac bus market, Japanese manufacturer Hino is the market leader & they are capturing the most portion of this market. In the intra-city operation, Indian manufacturers have acquired the leading position. TATA, Ashok Leyland & Eicher are covering the most portion of intra-city market.
Before coming the Indian manufacturers’ products in this country, the Japanese & European products were the market leader. AT the beginning of the era 1980, Indian manufacturers entered in to Bangladesh market & created a revolution on commercial vehicles sales policy & brand shifting. The Indian manufacturers shown up hire sales/credit facilities to the customers which is running but Japanese & European branded products are not sold in hire sales/credit facility p0licy. Some Chinese brands have started the hire sales recently.
Commercial Vehicle Industry in Bangladesh
Current Number of CV.
Current Share of CV
Current Market Share among Distributors
For more details of the market insights on Commercial Vehicles & Conducting Market Research on Relevant industry in Bangladesh, please contract below;