Truck investing has seen growing interest recently as the industry experiences major changes from electrification and autonomous driving technology. Companies like Tesla, Volvo, Daimler are pouring billions into developing electric and self-driving trucks which can significantly reduce operating costs. This presents huge opportunities but also disruptions as the trucking workforce may be impacted. In this article we analyze the latest trends and developments in truck investing.
Electric trucks reducing costs and emissions
Major truck makers like Volvo and Daimler have electric trucks already operating in mines and ports. Electric trucks have much lower operating costs compared to diesel trucks given the lower energy and maintenance costs. They also reduce emissions which is why governments provide subsidies. Companies like Tesla with its Semi and Nikola are promising massive savings through electric trucks.
Autonomous trucks improving safety and addressing driver shortage
Self-driving trucks can operate more safely than human drivers and address the shortage of truck drivers in many countries. Automated trucks driving closer together in platoons reduces wind resistance and fuel usage. However, autonomous trucks may also disrupt the careers of millions of professional drivers which presents a major challenge.
Investment and adoption still in early stages
While the trends are clear, we are still in the early stages of adoption of electric and autonomous trucks. There are still regulatory and technology barriers like the lack of charging infrastructure that need to be addressed before mass adoption can occur. But major transportation companies recognize the potential and are actively testing trucks and investing in the technology.
Truck investing presents huge opportunities as electric and self-driving trucks disrupt the massive transportation industry. But risks exist from new technologies and workforce impacts.