According to Interact Analysis, the demand for electric wheel loaders is projected to grow significantly from 2023 to 2030, with China emerging as the leading producer in the market.
Most off-highway equipment segments have yet to achieve the high sales volumes in electrification seen in passenger vehicles, trucks, and buses. The market is still in its early stages, with significant growth potential, though starting from a relatively low base. This means expansion will be uneven, with some regions and equipment categories experiencing rapid adoption while others remain slow to transition. Several factors influence the pace of growth, including government incentives, strategic moves by key industry players, charging infrastructure availability, and fluctuating customer demand. Despite these challenges, the sector presents considerable opportunities.
One of the key growth areas in electrified off-highway equipment has been wheel loaders, particularly in 2023 and 2024. An estimated 4,535 battery-electric wheel loaders were registered in 2023, with projections indicating that this number will rise to 12,080 in 2024. By 2030, the market is expected to exceed 40,000 units, creating a substantial opportunity for OEMs and component suppliers. The majority of this growth will be driven by the Asia-Pacific region, primarily led by China, with some expansion in Europe. In contrast, North and South America have seen stronger adoption of electric excavators and tractors, while electric wheel loader sales remain relatively lower in those regions.
Expanding Electrification in Wheel Loaders: Trends and Projections
Beyond China, the adoption of battery-electric wheel loaders in 2024 has faced challenges due to a sluggish construction sector, high borrowing costs, and insufficient government incentives. Additionally, outside of China and Europe, limited product awareness and availability have hindered market growth, keeping sales at minimal levels.
In contrast, the Asia-Pacific region has experienced a surge in wheel loader sales, with electrified models capturing a significantly larger share of the total market in China than in other regions. In Europe and North America, mini excavators have been prioritized for electrification, as they consume less energy per workday and require smaller, more easily rechargeable batteries compared to high-powered charging systems needed for larger equipment.
A key driver behind China’s higher adoption of electric wheel loaders is their frequent use in shorter work cycles. Additionally, industries such as steel, coal, mining, and cement—where emissions regulations are increasingly stringent—are leading customers for these machines. All major Chinese manufacturers now offer electric wheel loaders, and many are expanding their reach beyond domestic markets. Models like the Luigong 820TW and 870HE have been introduced in Europe, while Liebherr’s L 507E joins a growing lineup of options from manufacturers like Giant/Tobroco, Avant, Wacker Neuson, Volvo, and JCB.
The global market for powertrain components in electric wheel loaders, including battery packs, is projected to reach $450 million in 2024. Of this, battery packs account for approximately $140 million, with electric motors—including those used in hybrid diesel-electric models—holding a comparable market value. Inverters also represent a significant portion of the powertrain sector, while onboard chargers and DC/DC converters contribute to a lesser extent. Only forklifts and scissor lifts are expected to generate higher revenues from electrified vehicle components in 2024, given their widespread adoption and lower margins.
Despite steady revenue growth, price reductions are expected to offset some of the financial gains from increasing vehicle numbers. The majority of revenue will be concentrated in the Asia-Pacific region, particularly China. However, even when excluding China, the revenue generated by electrified wheel loaders will still surpass most other off-highway equipment categories, aside from forklifts, scissor lifts, and boom lifts, which already have high electrification rates.
While current electrification figures in the off-highway sector may seem modest, this is only the beginning. Companies that strategically develop and refine their products between 2025 and 2026 will be well-positioned for significant market expansion by 2030-2035, when sales volumes are expected to rise substantially. Over time, electrification will dominate the off-highway equipment sector, particularly in compact machinery. To succeed, manufacturers must account for research and development, evolving customer demands, infrastructure advancements, regulatory requirements, and other industry shifts. The companies securing major market shares post-2030 are already laying the groundwork today.
Wheel loaders are just one of the many equipment categories covered in our comprehensive Off-Highway Powertrain Report. The analysis also includes bulldozers, excavators (ranging from mini to large-scale models), backhoe loaders, skid steer and compact track loaders, underground haul dump trucks, telehandlers, tractors, combines, and forklifts. The report provides detailed forecasts for vehicles and components segmented by powertrain type, voltage, and regional market trends.
