US Electronic Toll Collection Market

The electronic toll collection market in the US is expected to grow at a CAGR of 6.6% during the forecast period.

The US is expected to be the major contributor to the growth of the electronic toll collection market in North America. The market growth can be attributed to the strong presence of leading players, an extensive network of roads, and the early and high adoption of transportation solutions. The country is focused on investing in transportation systems to ease vehicle movements. ETC systems in the US primarily utilize technologies such as radio frequency identification (RFID), automatic number plate recognition (ANPR), and satellite-based tracking to facilitate toll payments without requiring vehicles to stop at toll booths. These systems, integrated with pre-registered accounts or linked to credit cards, allow drivers to pass through toll plazas seamlessly, reducing wait times and eliminating the need for manual toll collection. This shift has proven essential in alleviating congestion, particularly in urban areas and along heavily trafficked highways.

The US, one of the first countries to integrate electronic toll collection systems, boasts a significant network of electronic toll collection-based systems across various tunnels, bridges, toll gateways, and expressways. Moreover, a collaborative effort of various inter-state agencies has facilitated the implementation of an efficient electronic toll collection system across the country in the past decade. Moreover, the significant freight transportation by road in the US compared to Canada and Mexico has also greatly influenced the adoption of electronic toll collection-based systems in the country.

The US also has the highest number of vehicles operating on roads and highways, requiring efficient traffic management. The use of electronic toll collection in the country has been proven to be an effective solution to overcome the issue of traffic congestion on highways; thus, it contributes to the reduction in economic and environmental losses. In October 2023, FEIG ELECTRONIC collaborated with OmniAir (US), an association promoting interoperability and certification for connected vehicles, ITS, and transportation payment systems. This collaboration is a milestone in enhancing state-of-the-art tolling solutions, optimizing throughput, and streamlining operations.

State and federal initiatives have been crucial in advancing ETC adoption in the US. Programs, including the Federal Highway Administration's (FHWA) support for tolling innovation and grants for infrastructure modernization, have encouraged states to implement ETC solutions. Many states have transitioned to all-electronic tolling (AET), eliminating cash payments and fully embracing ETC systems to improve efficiency and safety. Technological advancements are also propelling the growth of the ETC market. Integrating ETC systems with mobile apps, digital wallets, and real-time traffic management platforms has enhanced user convenience. Moreover, the increasing adoption of electric vehicles (EVs) and autonomous vehicles is expected to drive further innovation in tolling systems, with greater emphasis on connectivity and automation. Federal and state governments will likely continue investing in smart transportation infrastructure, including expanded ETC coverage and integration with broader intelligent transportation systems (ITS).

The US ETC market faces challenges, including interoperability across states and regions. While efforts have been made to create a unified national tolling system, consistency in technology and standards can complicate travel for drivers moving between jurisdictions.

Related Report

Electronic Toll Collection Market by Technology (RFID and DSRC), Offering (Hardware and Back Office), Application (Highways and Urban Areas), Type (Transponders/Tag-Based Tolling Systems) and Region - Global Forecast to 2029

Contact:
Mr. Rohan Salgarkar
MarketsandMarkets™ INC.
1615 South Congress Ave.
Suite 103
Delray Beach, FL 33445
USA : 1-888-600-6441
[email protected]