Global vehicle diesel engine market is valued at approximately USD 44.3 billion in 2023 and is expected to grow at a healthy CAGR of 2.5% over the forecast period 2024-2032. Diesel engines, known for their significant torque output and superior fuel efficiency, are widely employed across various heavy-duty applications such as trucks, buses, industrial machinery, and marine vessels. These engines operate on a higher compression ratio than petrol engines, leading to more efficient fuel combustion and higher energy output per unit of fuel, making them indispensable in sectors requiring consistent and reliable power over extended periods.

The expansion of the global vehicle diesel engine market is primarily driven by rapid urbanization and industrialization, alongside technological advancements in diesel engine design. The development of cleaner emission systems and enhancements in fuel efficiency have become crucial in meeting the rising demand for environmentally sustainable transportation solutions. Moreover, ongoing R&D efforts aimed at improving the efficiency and reliability of diesel engines are expected to further propel market growth in the coming years. However, the market faces challenges such as high fuel costs and the substantial operation and maintenance expenses associated with diesel engines. Nevertheless, the increasing adoption of hybrid power generation in rural and remote areas presents lucrative growth opportunities for the market during the forecast period.

The demand for light-duty diesel vehicles, including pickup trucks and SUVs, is expected to surge, particularly in regions with expanding diesel refueling infrastructures, such as the United States. The U.S. freight and logistics industry, known for its robust operations, is also a significant contributor to the demand for diesel engines, particularly in long-haul trucking and delivery applications. Additionally, growing public awareness regarding advancements in diesel engine technology-such as improved performance, reduced noise levels, and cleaner emissions-is likely to drive further market expansion.

The key regions considered for the global vehicle diesel engine market study include Asia Pacific, North America, Europe, Latin America, and Rest of the World. North America is a dominating region in the vehicle diesel engine market in terms of revenue. The market growth in the region is being attributed to factors including robust commercial vehicle sector, including heavy-duty trucks and buses. These vehicles demand high torque and fuel efficiency, making diesel engines a preferred choice. Additionally, the region's focus on infrastructure development and logistics, coupled with the increasing adoption of diesel-powered construction equipment, is further driving market growth. Whereas, the market in Asia Pacific is anticipated to grow at the fastest rate over the forecast period fueled by massive infrastructure projects, including the construction of extensive highways, ports, and railways, are anticipated to boost the demand for diesel-powered vehicles. For instance, China's ambitious infrastructure development plan, which includes constructing 461,000 km of highways by 2035, is set to significantly increase the demand for industrial diesel engines, thereby driving the vehicle diesel engine market.

Major market players included in this report are:
MTU
Mitsubishi
MAN Energy Solutions
Cummins
DEUTZ
Caterpillar
Perkins
Volvo Penta
Weichai
EMD
The detailed segments and sub-segment of the market are explained below:
By Speed
Low
Medium
High
By Power Rating
Below 0.5 MW
0.5 to 1.0 MW
1.1 to 2.0 MW
By Region:
North America
U.S.
Canada
Europe
UK
Germany
France
Spain
Italy
ROE
Asia Pacific
China
India
Japan
Australia
South Korea
RoAPAC
Latin America
Brazil
Mexico
RoLA
Middle East & Africa
Saudi Arabia
South Africa
RoMEA
Years considered for the study are as follows:
Historical year - 2022
Base year - 2023
Forecast period - 2024 to 2032
Key Takeaways:
Market Estimates & Forecast for 10 years from 2022 to 2032.
Annualized revenues and regional-level analysis for each market segment.
Detailed analysis of the geographical landscape with country-level analysis of major regions.
Competitive landscape with information on major players in the market.
Analysis of key business strategies and recommendations on future market approach.
Analysis of competitive structure of the market.
Demand-side and supply-side analysis of the market.