In this article, we sit down with Benny Forsman, an electrification veteran with decades of engineering experience and current Business Development Director at Inmotion Technologies. Benny has been at the forefront of the industry’s transition from internal combustion to electric architecture, giving him a unique perspective on where off-highway electrification is headed.
Drawing on his expertise, we explore the trends that are already shaping the market and those we expect to become even more influential in the next decade. From battery breakthroughs and automation to cybersecurity and global trade dynamics, these forces will redefine how OEMs design, source, and deliver value.
What will the electrification landscape look like in 2030? Which forces will shape the future, and how will they impact OEMs, suppliers, and end users. Several trends are already emerging as key drivers of change: breakthroughs in battery technology, deeper integration of automation, rising cybersecurity demands, and the ripple effects of global trade dynamics.
These forces will converge to create an environment where innovation is not optional, it’s the price of staying competitive. Building on the insights we shared in our previous article on 2026 electrification trends (if you haven’t read it yet, we highly recommend checking it out), this time we’re looking even further ahead. Our goal? To anticipate how the next decade will reshape the off-highway sector and what strategies will define the leaders of tomorrow. Ready to explore the future with us? Let’s dive in.
Electrification is reshaping the financial landscape for OEMs and fleet operators, and this shift is already happening. Historically, cost discussions centered on the upfront price of the machine, but the industry is moving toward a broader perspective that emphasizes lifecycle economics.
While electric machines often carry a higher initial investment, they deliver long-term savings through reduced maintenance, lower fuel costs, and minimized downtime. What makes this trend even more compelling is the added value electrification brings beyond cost reduction. Electric architectures enable advanced features, such as automation and precision control, that directly impact productivity and, ultimately, revenue. This means financial decisions will increasingly hinge on total cost of ownership (TCO) rather than sticker prices.
OEMs that can clearly demonstrate ROI through improved uptime, energy efficiency, and smart functionalities will gain a decisive competitive edge. For fleet managers, the question is already shifting from “Can we afford electrification?” to “Can we afford not to electrify?”, a mindset that will become even more prevalent in the years ahead.
One of the most compelling advantages of electric systems is their ability to enable functionalities that were previously impractical or impossible with internal combustion engines. Over the next decade, productivity will become a defining metric for electrified off-highway equipment, and OEMs that leverage this potential will set themselves apart.
Electric architectures allow for precise power delivery, which translates into smoother operation, better torque control, and improved responsiveness. These characteristics open the door to advanced automation features that enhance efficiency and safety. For example, in the forklift industry, automated fork height adjustment using sensors and computer vision is already demonstrating how electrification and automation can converge to create smarter machines. This is already happening now, but it will scale rapidly as battery technology and control systems evolve. And the implications go beyond incremental gains.
Electrified machines can integrate predictive diagnostics, energy recovery systems, and adaptive performance modes, all of which contribute to higher uptime and lower operating costs. In certain applications, these improvements could lead to double-digit productivity increases, fundamentally changing the economics of machine ownership. By 2030, productivity gains will be one of the strongest arguments for electrification, making it a business decision as much as an environmental one.
If there is one area where we expect the most dramatic transformation in the next five years, it’s battery technology. Batteries are the beating heart of electrification, and their evolution will dictate how quickly and effectively the off-highway sector transitions to zero-emission solutions. Today’s challenges like cost, weight, charging time, and energy density, are already being addressed through rapid innovation. By 2030, we anticipate batteries that are cheaper, more compact, and capable of ultra-fast charging, enabling machines to operate longer shifts without compromising productivity.
Advancements in solid-state batteries, improved thermal management systems, and modular pack designs will redefine performance standards. These improvements will not only reduce downtime but also open the door to new machine architectures optimized for electric powertrains rather than retrofitted from diesel designs. For OEMs, this means rethinking everything from chassis layout to cooling strategies. But batteries are only part of the story. The real revolution will come from the synergy between electrification and automation.
Electric systems provide the precision and controllability required for advanced automation features, something internal combustion engine platforms struggle to deliver. Expect to see widespread adoption of sensor-driven functionalities, computer vision, and AI-powered control algorithms that enable machines to perform tasks autonomously or semi-autonomously. In the aforementioned forklift segment, for example, automated fork height adjustment is already proving how electrification enables smarter, safer operations. Scale that concept across earthmoving, agriculture, and material handling, and the productivity gains become transformative.
This convergence will also accelerate the integration of connectivity and data analytics. Electrified machines will increasingly serve as data hubs, feeding real-time performance metrics into cloud platforms for predictive maintenance and fleet optimization. However, this connectivity introduces new challenges which we’ll explore in the next paragraph.
As electrification accelerates, connectivity is becoming a cornerstone of modern off-highway equipment: machines are part of an interconnected ecosystem that includes telematics, remote diagnostics, and cloud-based fleet management. While this connectivity unlocks tremendous value in terms of efficiency and predictive maintenance, it also introduces a new layer of risk: cybersecurity.
Cybersecurity is not a new concern for the automotive industry; on-highway applications have been dealing with these challenges for years. However, for off-highway OEMs, this is relatively uncharted territory. Electrified machines rely on complex electronic control units (ECUs), software-driven architectures, and increasingly, wireless communication protocols. Each of these elements represents a potential vulnerability if not properly secured. The stakes are high. A single breach could compromise machine functionality, expose sensitive operational data, or even lead to safety hazards in critical environments like construction sites or agricultural fields. As machines become more autonomous and integrate AI-driven decision-making, the potential impact of a cyberattack grows exponentially.
Over the next decade, cybersecurity will evolve from a technical requirement to a core design principle. OEMs will need to implement multi-layered security strategies, including encrypted communication channels, secure boot processes, and real-time intrusion detection systems. Compliance with emerging cybersecurity standards, such as ISO/SAE 21434 for vehicle cybersecurity, will become mandatory, and customers will increasingly demand proof of resilience as part of procurement decisions.
Electrification is deeply intertwined with global trade policies and supply chain realities. Over the past few years, OEMs have shifted from crisis management during the pandemic to strategic planning for next-generation products. But just as the industry regained momentum, tariffs and trade disputes introduced a new layer of complexity that is reshaping sourcing strategies and competitive positioning.
One of the most pressing issues for electrification is the cost and availability of critical components, particularly battery cells and packs, which are predominantly sourced from Asia, especially China. Recent tariff increases on Chinese imports have significantly raised the landed cost of these components, making it “not cheap and easy anymore” to source globally. For U.S.-based OEMs, this means that the economics of electrification are being recalculated in real time.
Tariffs don’t just affect batteries. Many electric motors rely on rare earth elements (REEs), which are also heavily concentrated in China. When tariffs apply to these raw materials or finished goods, the impact cascades through the entire supply chain. For companies that built their business model on low-cost imports, this shift is devastating: importing a fully assembled product from China is no longer profitable. As a result, some competitors are shrinking or exiting the market altogether.
For manufacturers with high-end, differentiated products, the story is different. While tariffs increase costs, these companies often have more resilient supply chains and can absorb or offset the impact through premium pricing and localized sourcing. In fact, tariffs are creating a competitive advantage for OEMs that invested early in domestic or diversified supply chains. Instead of relying on complete imports, they source individual components strategically, sometimes still using Chinese raw materials, but assembling domestically to mitigate tariff exposure. This dynamic is driving a wave of regionalization in production. OEMs are exploring partnerships with local suppliers, investing in North American battery manufacturing, and even considering vertical integration for critical components. The goal is clear: reduce dependency on volatile trade routes and build supply chains that can withstand geopolitical shocks.
This is why OEMs must now factor in the risk of sudden policy changes, trade wars, and retaliatory measures when planning product launches. This makes supply chain resilience a strategic priority, with technology development. Companies that can guarantee continuity of supply will gain trust and market share, while those that remain exposed to tariff volatility will struggle to compete.
The next decade will redefine what off-highway machinery can do, and how it creates value. Electrification is not a single trend; it’s a convergence of forces that touch every aspect of the industry: financial models, productivity, regulatory compliance, technology innovation, cybersecurity, and global trade dynamics. Each of these areas presents challenges, but also unprecedented opportunities for OEMs willing to innovate.
The companies that lead this transition will be those that think beyond compliance, leveraging electric architectures to deliver smarter, more productive machines while building resilient supply chains and robust cybersecurity frameworks. Battery technology and automation will drive performance gains, while tariffs and trade policies will reshape sourcing strategies, rewarding those who invest in regionalization and risk mitigation. For these reasons, the next years will be decisive. Those who act now will define the competitive landscape of the 2030s.
Author: Francesco Patroncini