Electronic Toll Collection Global Market Report 2025

The electronic toll collection market size has grown strongly in recent years. It will grow from $8.71 billion in 2024 to $9.51 billion in 2025 at a compound annual growth rate (CAGR) of 9.2%. The growth in the historic period can be attributed to the rising demand for efficient traffic management, increasing adoption of digital technologies, need to enhance the speed and efficiency of traffic flow, rising demand for efficient toll-collection solutions, increasing use of advanced technologies for transport applications.

The electronic toll collection market size is expected to see strong growth in the next few years. It will grow to $13.39 billion in 2029 at a compound annual growth rate (CAGR) of 8.9%. The growth in the forecast period can be attributed to increasing traffic on the highways, rising adoption of video analytics, the increasing adoption of digital toll payments with rising highway construction investments, increasing demand of contactless operations in toll plaza, rising awareness of road accidents and road traffic. Major trends in the forecast period include integration of advanced technologies, shift towards all-electronic tolling (AET), interoperability and standardization, adoption of mobile-based solutions, focus on user experience and customer service.

The forecast of 8.9% growth over the next five years reflects a modest reduction of 0.7% from the previous estimate for this market.This reduction is primarily due to the impact of tariffs between the US and other countries. This is likely to directly affect the US through tariffs on RFID tags, roadside readers, and vehicle-mounted transponders sourced from China and Japan, impacting the affordability of deploying intelligent tolling systems.The effect will also be felt more widely due to reciprocal tariffs and the negative effect on the global economy and trade due to increased trade tensions and restrictions.

The growth of the electronic toll collection market is expected to be driven by the increasing highway traffic. Highway traffic refers to the flow of vehicles on the road, which can be affected by congestion, traffic volume, and transportation demand. The rise in highway traffic is often due to factors such as inadequate urban planning, roadway expansion, and phantom traffic jams. Traditional toll booths cause delays, especially during peak hours, leading to congestion and longer travel times. Electronic toll collection systems, however, eliminate the need for vehicles to stop or slow down at toll booths, enabling smooth passage through tolling points. This efficiency helps reduce travel times for commuters and increases the throughput capacity of highways, allowing them to handle higher traffic volumes without causing significant delays. For example, in May 2024, according to gov.UK, a UK-based government website, car and taxi traffic in Great Britain increased by 3% in 2023 compared to 2022, totaling 251.3 billion vehicle miles. As a result, the growing traffic on highways is driving the expansion of the electronic toll collection market.

Key players in the electronic toll collection market are prioritizing the development of advanced solutions to enhance system efficiency. In January 2024, the National Highways Authority of India (NHAI) introduced the 'One Vehicle, One FASTag' initiative to streamline toll operations and improve user experience at toll plazas. This initiative discourages the use of a single FASTag for multiple vehicles and encourages FASTag customers to comply with Know Your Customer (KYC) requirements. By implementing this initiative, NHAI aims to ensure smooth and comfortable rides for users of national highways, thus driving the adoption of electronic toll collection systems.

In March 2022, Eurotoll SaS, a France-based transportation service provider, acquired the Telepass family and FAI Service for an undisclosed amount. This acquisition is aimed at bolstering Eurotoll's presence in the European commercial road transport market, enhancing its service offerings and operational capabilities. The integration of these companies is expected to establish a leading European entity in transport services, improving toll management solutions across the continent. The Telepass & FAI Service family is an Italy-based company that provides electronic toll collection systems throughout Europe.

Electronic toll collection (ETC) is an automated system designed to gather tolls on highways, bridges, tunnels, and other roadways without necessitating vehicles to halt or decelerate at toll plazas. This technology offers drivers convenience by enabling uninterrupted passage through toll points, eliminating the need for cash payments or queuing at toll booths.

The primary types of electronic toll collection systems include Automatic Vehicle Classification (AVC), Violation Enforcement System (VES), Automatic Vehicle Identification System (AVIS), and other variants. AVC is a technology-driven system employed to identify and categorize vehicles based on their attributes such as size, weight, and axle count. These classifications serve various purposes including toll collection and traffic management. Payment methods typically involve prepaid, hybrid, and postpaid options, which are supported by technologies such as Radio Frequency Identification (RFID), Dedicated Short-Range Communication (DSRC), Global Navigation Satellite System (GNSS) or GPS, video analytics, cell phone tolling, and others. These technologies are utilized across highways and urban areas for efficient toll collection processes.

Note that the outlook for this market is being affected by rapid changes in trade relations and tariffs globally. The report will be updated prior to delivery to reflect the latest status, including revised forecasts and quantified impact analysis. The report’s Recommendations and Conclusions sections will be updated to give strategies for entities dealing with the fast-moving international environment.

The sharp rise in U.S. tariffs and ensuing trade tensions in spring 2025 are placing significant strain on the transport sector, especially in areas such as fleet maintenance and logistics. Increased duties on imported commercial vehicles, tires, and engine parts have driven up operating costs for trucking and freight firms, forcing them to either raise shipping rates or accept lower profit margins. Airlines and maritime operators are also under pressure, as tariffs on aircraft components and shipbuilding materials have pushed capital expenditures higher. Meanwhile, retaliatory tariffs in key export markets have weakened demand for U.S.-manufactured transportation equipment, further squeezing revenues. To cope, the industry is turning to fuel efficiency measures, alternative supply sources, and greater automation to manage rising costs while maintaining dependable service.

The electronic toll collection market research report is one of a series of new reports that provides electronic toll collection market statistics, including electronic toll collection industry global market size, regional shares, competitors with electronic toll collection market share, detailed electronic toll collection market segments, market trends, and opportunities, and any further data you may need to thrive in The electronic toll collection industry. This electronic toll collection market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenarios of the industry.

Major companies operating in the electronic toll collection market are Raytheon Technologies Corporation, Mitsubishi Heavy Industries Ltd., Thales Group, Infineon Technologies AG, Siemens Mobility, Ferrovial S.E., Xerox Holdings Corporation, Conduent Inc., TransCore, Cubic Corporation, SKIDATA GmbH, VITRONIC, Kapsch TrafficCom, IBI Group Inc., Neology Inc., Sensys Gatso Group, Q-Free ASA, Autostrade per l'Italia S.p.A., EFKON AG, Star Systems International Ltd., Far Eastern Electronic Toll Collection Co. Ltd., Ingenico, Perceptics LLC, TagMaster, GeoToll Inc., Watchdata Technologies, Korea Smart Card Co. Ltd., Electronic Transaction Consultants LLC.

North America was the largest region in the electronic toll collection market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the electronic toll collection market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East and Africa.

The countries covered in the electronic toll collection market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The electronic toll collection market consists of revenues earned by entities by providing services such as toll collection systems, transponder distribution, account management, data management and analytics, security services. The market value includes the value of related goods sold by the service provider or included within the service offering. The electronic toll collection market also includes sales of reader antennas, lane control equipment, maintenance and diagnostic tools, toll booth equipment. Values in this market are ‘factory gate’ values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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