Trucks

Which fuel is the future of trucks?

Volvo Trucks
2026-03-30
3 min read
Renewable Fuels Sustainability Alternative fuels

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Volvo Trucks

Battery electric, bio fuels, hydrogen – as we count down the days of diesel being the number one fuel for heavy-duty trucks, there is no shortage of potential alternative drivelines. But which one offers the fastest path to reduced CO2 emissions and a decarbonised transport industry? Volvo Trucks’ three-path strategy outlines a future with more than one solution. 

According to Volvo Trucks, there will not be a silver bullet solution to the industry’s climate challenge. Instead, it is expected that multiple complementary technologies will be developed and rolled out. Combined, these technologies will enable the industry to make a transition away from fossil fuels.

The three paths in Volvo Trucks’ strategy are:

  • Battery electric
  • Combustion engines running on renewable fuels including HVO and hydrogen
  • Electric fuel cell trucks running on hydrogen. 

“Which of the three paths is best will depend on several factors and will differ across industries, segments and regions,” says Lars Mårtensson, Director Environment, Volvo Trucks. "The situation will also change over time as technologies continue to develop and improve.”

“There won’t be a single fuel solution for Australian transport operators into the future. Battery electric continues to evolve as an option for metro and short haul customers while renewable diesel and and eventually hydrogen will become options for longer and more demanding hauls. Our vast distances and heavy loads mean that we will need to have a range of cost-effective fuel options to keep this country moving.”

How important are battery-electric trucks?

Electric trucks are already playing a vital role in decarbonising transport and offer a lot of hope for the future. Battery technology continues to advance, with improvements in both capacity, performance and cost. 

Meanwhile, public charging infrastructure for trucks is expanding in many parts of the world, making electric trucks a more attractive alternative for a growing number of businesses. 

Right now, electric trucks are best suited for local and regional transport, where one overnight charge provides the battery capacity needed to cover the required distances. With more useable energy onboard the truck and expected to continue increasing in the coming years, it will be possible for electric trucks to be used in even more energy demanding applications, with heavier loads and longer distances. 

“We see huge potential in battery electric trucks and believe they will help a lot of businesses to decarbonise,” says Lars Mårtensson. “However, the reality is that they are not compatible with every truck operation. They cannot meet every business’ needs in terms of range and payload, and charging infrastructure is still insufficient in many parts of the world. For this reason, battery-electric trucks cannot solve the industry’s decarbonisation challenges alone, and there’s a need for other solutions too.”

Close-up of a Volvo truck driving on the road, showing the fuel tank and wheels in motion.

Why combustion engines will still be needed

Since electric trucks cannot replace all diesel trucks, combustion engines will still have an important role in a zero-emissions transport industry – but they’ll run on a range of renewable fuels instead of diesel. For instance, HVO – also known as renewable diesel – is growing rapidly in many markets. HVO100, for example, is a HVO fuel made entirely from renewable feedstock, which is used at the Australian Wacol manufacturing facility as a first fill.

One of the biggest advantages of HVO is that it is fully compatible with existing diesel vehicles and infrastructure, allowing truck owners to transition with minimal disruption to their business.

Currently the main considerations are the cost of production and the limited availability of renewable feedstock for production, increased demand help address these considerations and could prove to be the simplest and easiest path to decarbonisation.

In the coming years, hydrogen is another alternative fuel that can be used in conventional combustion engines. Volvo Trucks, is currently developing hydrogen-powered trucks for use in the future.

Volvo Trucks is continuing to invest in hydrogen fuel cell technology, with tests recently being carried out in harsh winter conditions. 

Are hydrogen fuel cells a viable option?

Are hydrogen fuel cells a viable option?

In addition to fuelling a combustion engine, hydrogen can also be used to power electric fuel cells. While the technology is not yet available on a commercial scale, its potential is huge. 

A hydrogen fuel cell truck can provide the same power and range as a diesel truck, but combined with the benefits of a battery electric battery truck – namely zero tailpipe emissions and low noise.

There are still multiple challenges ahead before the potential of hydrogen fuel cells can be realised. Apart from developing and commercialising the trucks themselves, both refuelling infrastructure and production of affordable green, fossil-free, hydrogen need to be developed and expanded. 

“Due to its potential benefits for decarbonising transportation, hydrogen fuel cell technology forms part of Volvo’s three-path strategy,” says Lars. "We are still investing heavily in its development, namely through Cellcentric, a joint venture between Volvo Group and Daimler Truck AG.”

“By combining the benefits of each technology, applying them where they’re most logical, it should be possible to achieve our target of selling only fossil-fuel free trucks by 2040”
Three path illustration.

Which of the three paths is best for your business?

Each of these three paths has its own challenges and limitations – but also opportunities. Each can contribute towards decarbonization, and for that reason, Volvo Trucks does not see them as competing technologies. They’re complementary. 

”By combining the benefits of each technology, applying them where they’re most logical, it should be possible to achieve our target of selling only fossil-fuel free trucks by 2040,” says Lars Mårtensson “This is the core of Volvo Trucks’ three-path strategy, which currently guides our research and development work into alternative fuels.”

Which alternative that best suits your business will depend on multiple factors and will differ depending on your own unique operating conditions. For example, cost, range, payload, and accessibility – these are all important considerations.

 You can read more about what factors you need to consider here.

To learn more about the different alternative fuels for heavy-duty trucks, you might be interested in reading: 

 

1  ‘Biodiesel Vehicle Emissions’, US Department of Energy, https://afdc.energy.gov/vehicles/diesels-emissions

‘What is Green Hydrogen’, Green Hydrogen Organisation, https://gh2.org/what-green-hydrogen

Electric Volvo truck driving on a winding road through a rural landscape near water.

The road to more sustainable trucking

From alternative fuels to improved fuel efficiency, there are multiple ways to reduce your truck’s carbon footprint. Learn more about how Volvo Trucks can help you meet your sustainability targets. 

Visit Volvo Trucks’ Sustainability page

Find the right truck for you

Browse the full range of Volvo Trucks’ low and zero-emission drivelines and truck models, including battery-electric and combustion engines compatible with alternative fuels such as HVO.

Explore our range
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Looking to make the switch?

Contact your nearest Volvo Trucks dealership to discuss your options and find your clearest path forwards towards zero emissions.

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