Are Mini-Trucks Overtaking Three-Wheelers in India’s Last-Mile Delivery Race?

India’s last-mile delivery sector is evolving at a rapid pace. Once dominated by traditional three-wheelers, this space is now witnessing a major shift towards mini-trucks. But why? What’s driving this transition, and does it signal the end of three-wheelers in commercial logistics? The answer isn’t as straightforward as it seems.

Mini-Trucks: The Game Changer in Last-Mile Logistics

When Tata Motors launched the Ace mini-truck in 2005, it was more than just a new vehicle—it was a revolution. Dubbed "Chota Hathi" (Little Elephant), this compact commercial truck provided a solution that three-wheelers struggled with: stability, higher payload capacity, and an enclosed cabin for safety.

Unlike three-wheelers, which often wobble under heavy loads, mini-trucks offer better balance, making them ideal for navigating India’s chaotic streets. From FMCG goods to e-commerce parcels, they can carry more, travel farther, and handle rougher terrains.

Why Are Mini-Trucks Gaining Popularity?

Three-wheelers have long been the backbone of small-scale logistics. They are affordable, maneuverable, and easy to maintain. Yet, as demand grows and logistics networks expand, their limitations become evident. Enter mini-trucks.

• Higher Payload, Fewer Trips – While three-wheelers typically carry around 500 kg, mini-trucks can handle nearly double that. Fewer trips mean lower fuel costs and increased efficiency.

• Stability and Safety – Three-wheelers, especially in overloaded conditions, can be unstable. Mini-trucks, with four wheels, provide much-needed balance, reducing the risk of accidents.

• Versatility – Whether it’s urban streets or rural roads, mini-trucks are designed for adaptability. Businesses transporting perishable goods, electronics, or construction materials find them more reliable than three-wheelers.
• Ownership and Comfort – Many mini-truck drivers own their vehicles, ensuring better upkeep. Plus, with proper seating and enclosed cabins, they offer a more comfortable driving experience compared to open-frame three-wheelers.

The EV Factor: Three-Wheelers vs. Mini-Trucks

While diesel-powered mini-trucks continue to gain traction, the electric vehicle (EV) revolution is reshaping the market. Electric three-wheelers, such as the Mahindra Treo Zor, are emerging as cost-effective, eco-friendly alternatives. Their lower operational costs and government incentives make them attractive for short-haul deliveries.

However, mini-trucks aren’t far behind. Companies like Tata Motors are developing electric versions of their best-selling models, like the Tata Ace EV,  promising longer ranges and greater efficiency. With improved battery technology, electric mini-trucks could soon dominate last-mile delivery.

Government Support and Market Trends

Policy interventions are accelerating this transformation. The Indian government’s PM E-DRIVE initiative—a ₹1.3 trillion scheme—aims to push EV adoption across multiple commercial vehicle categories, including both three-wheelers and mini-trucks. Additionally, companies like Rilox EV are introducing cost-effective electric three-wheelers, making the competition even fiercer.

What’s Next? A Coexistence or a Complete Shift?

Mini-trucks aren’t outright replacing three-wheelers—at least not yet. Instead, the market is segmenting. Three-wheelers remain the go-to choice for hyperlocal deliveries, where affordability and maneuverability matter most. Meanwhile, mini-trucks are capturing a larger share of mid-distance and high-volume deliveries.

But as e-commerce expands and businesses demand greater efficiency, the scales may tip further in favor of mini-trucks. Whether powered by diesel or electricity, their advantages in payload, safety, and adaptability make them a compelling choice for the future of last-mile logistics in India. Stay tuned with 91trucks for all the latest news and updates related to new launches, commercial vehicles and industry insights. 91trucks is the fastest-growing digital platform aimed at providing you with the latest updates and information related to the commercial vehicle industry.