- The UK’s push towards zero-emission heavy duty vehicles could unlock a massive £2.4 billion growth potential by 2035, driven by demand for advanced components like batteries and fuel cells.
- Nearly 35,000 heavy goods vehicles and buses are expected by 2035, with 75% being zero-emission, highlighting significant prospects in BEV, FCEV, and non-fossil fuel technologies.
- Key sectors like battery packs and fuel cell systems present lucrative opportunities, with £870 million in fuel cells and £790 million in batteries alone, signalling a major industry shift.
£2.4 Billion jackpot: UK’s Zero-Emission HDV Boom Set to Transform the Industry by 2035
Decarbonising the heavy-duty vehicle (HDV) sector could unlock a £2.4 billion growth opportunity, says the Advanced Propulsion Centre UK’s latest report, “UK HDV Supply Chain Opportunities to 2035.”
The APC insight projects the UK will manufacture nearly 35,000 heavy goods vehicles and buses by 2035, with over 75% being zero-emission. This shift will reshape the market, with 50% as BEVs, 25% as FCEVs, 22% as non-fossil fuel ICEs, and just 3% as diesel ICEs.
The report underscores major opportunities for high-value UK-manufactured components in zero-emission HDVs, including battery packs, electric drive units, fuel cell systems, hydrogen tanks, and high-power converters.
Dr Hadi Moztarzadeh, Head of Technology Trends at APC, commented;
“Across these five component areas, we’ve identified an estimated UK opportunity of £2.4 billion, with £870 million value in just fuel cell systems alone, and £790 million in batteries. This is a significant increase from 2025 with just £480 million total opportunity in the UK, and from 2030 with £1.5 billion total opportunity in the UK.”
Aditya Thiru, from APC’s Technology Trends team, added;
“There are clearly a few key areas that businesses, especially those within the local automotive supply chain, can take advantage of, which would subsequently help the UK to lead the way across the HDV and transport sectors, particularly in fuel cell technologies. To achieve this, there is the need to understand the energy infrastructure requirements to meet the 2040 zero-emission vehicle commitment for on-road heavy goods vehicles. Perhaps most importantly, however, the UK must accelerate the development of a ‘minimum viable’ charging and hydrogen refuelling infrastructure network for heavy goods vehicles and coaches, for the projected 2035 and 2040 demand.”
The £2.4 billion opportunity in zero-emission heavy-duty vehicles is a game-changer for the UK. With 35,000 new HDVs expected by 2035, businesses must quickly boost infrastructure and component innovation to capitalise on this growth and position the UK as a global leader in sustainable transport.
