Automotive Electric Drivetrain Component Market Overview:
As per MRFR analysis, the Automotive Electric Drivetrain Component Market Size was estimated at 41.24 (USD Billion) in 2022. The Automotive Electric Drivetrain Component Market industry is expected to grow from 46.93(USD Billion) in 2023 to 150.0 (USD Billion) by 2032. The Automotive Electric Drivetrain Component Market CAGR (growth rate) is expected to be around 13.78% during the forecast period (2024 - 2032).
Key Automotive Electric Drivetrain Component Market Trends Highlighted
The automotive electric drivetrain component market is poised for significant growth, driven by the increasing adoption of electric vehicles (EVs). Governments worldwide are implementing regulations to reduce carbon emissions, which is fueling demand for EVs. Additionally, advancements in battery technology and charging infrastructure are making EVs more accessible and convenient.Key market drivers include rising environmental concerns, technological advancements, government initiatives, and increased consumer awareness of sustainability
Opportunities lie in developing innovative components, exploring alternative materials, and expanding into emerging markets. Recent trends include the integration of artificial intelligence (AI) and machine learning (ML) for optimized performance, the use of lightweight materials to enhance efficiency, and the development of wireless charging systems for convenience.
Source: Primary Research, Secondary Research, MRFR Database and Analyst Review
Automotive Electric Drivetrain Component Market Drivers
Government Regulations and Incentives
Stringent government regulations aimed at reducing carbon emissions and promoting sustainable transportation are driving the growth of the Global Automotive Electric Drivetrain Component Market. Governments worldwide are implementing policies such as zero-emission vehicle mandates, tax incentives, and subsidies to encourage the adoption of electric vehicles (EVs). These regulations create a favorable environment for the development and commercialization of electric drivetrain components, such as electric motors, inverters, and batteries.
Moreover, government funding for research and development (R&D) in electric vehicle technologies further supports the growth of the market. By promoting the adoption of EVs, government initiatives contribute to reducing air pollution, mitigating climate change, and enhancing energy efficiency, ultimately driving the demand for automotive electric drivetrain components.
Technological Advancements and Innovation
Rapid advancements in electric drivetrain technologies are a key driver of market growth. Automotive manufacturers and technology companies are continuously investing in R&D to improve the performance, efficiency, and affordability of electric drivetrain components. Innovations in electric motor design, power electronics, and battery technology are leading to the development of more powerful, compact, and cost-effective components.
These advancements enable the production of EVs with longer ranges, faster acceleration, and improved overall driving experience.The integration of artificial intelligence (AI) and machine learning (ML) in electric drivetrain systems further optimizes performance and efficiency, contributing to the growing adoption of EVs and driving the demand for automotive electric drivetrain components.
Increasing Consumer Demand for Sustainable Transportation
Growing consumer awareness about environmental issues and the desire for sustainable transportation options are fueling the demand for electric vehicles. Consumers are becoming more environmentally conscious and are seeking ways to reduce their carbon footprint. The availability of government incentives and the expanding charging infrastructure make EVs more accessible and appealing to consumers. As the demand for EVs rises, the need for automotive electric drivetrain components increases.
Additionally, the growing popularity of ride-sharing and car-sharing services, which often utilize EVs, further contributes to the demand for electric drivetrain components.
Automotive Electric Drivetrain Component Market Segment Insights:
Automotive Electric Drivetrain Component Market Component Insights
The Electric Motors segment held the largest market share in the Automotive Electric Drivetrain Component Market in 2023, accounting for over 35% of the total market revenue. The growth of this segment is attributed to the increasing demand for electric vehicles, which require electric motors to power their wheels. The market for electric motors is expected to continue to grow in the coming years, driven by the increasing popularity of electric vehicles and the growing demand for more efficient and environmentally friendly transportation options.
The Inverters segment is another major segment in the Global Automotive Electric Drivetrain Component Market. Inverters are used to convert direct current (DC) electricity from the battery into alternating current (AC) electricity that can be used to power the electric motor. The market for inverters is expected to grow steadily in the coming years, driven by the increasing demand for electric vehicles and the need for more efficient and reliable power conversion systems.
The Charging Infrastructure segment is a critical segment in the Global Automotive Electric Drivetrain Component Market. Charging infrastructure includes the equipment and facilities needed to charge electric vehicles, such as charging stations, charging cables, and charging controllers. The market for charging infrastructure is expected to grow rapidly in the coming years, driven by the increasing adoption of electric vehicles and the need for more convenient and accessible charging options. The Batteries segment is a major segment in the Global Automotive Electric Drivetrain Component Market. Batteries are used to store electrical energy in electric vehicles.
The market for batteries is expected to grow steadily in the coming years, driven by the increasing demand for electric vehicles and the need for more efficient and durable energy storage systems.The Power Electronics segment is another important segment in the Global Automotive Electric Drivetrain Component Market. Power electronics are used to control and regulate the flow of electricity in electric vehicles. The market for power electronics is expected to grow steadily in the coming years, driven by the increasing demand for electric vehicles and the need for more efficient and reliable power management systems. The Transmission Systems segment is a relatively small segment in the Global Automotive Electric Drivetrain Component Market.
Transmission systems are used to transmit power from the electric motor to the wheels of the vehicle. The market for transmission systems is expected to grow steadily in the coming years, driven by the increasing demand for electric vehicles and the need for more efficient and durable power transmission systems. The Drive Shafts segment is a small segment in the Global Automotive Electric Drivetrain Component Market. Drive shafts are used to transmit power from the transmission to the wheels of the vehicle. The market for drive shafts is expected to grow steadily in the coming years, driven by the increasing demand for electric vehicles and the need for more efficient and durable power transmission systems.
Source: Primary Research, Secondary Research, MRFR Database and Analyst Review
Automotive Electric Drivetrain Component Market Vehicle Type Insights
The Automotive Electric Drivetrain Component Market is segmented into various vehicle types, including passenger cars, light commercial vehicles, heavy commercial vehicles, electric scooters, electric buses, and electric trucks. Among these segments, passenger cars hold the largest market share due to the increasing demand for electric vehicles (EVs) for personal transportation.
In 2023, the passenger car segment accounted for approximately 55% of the Automotive Electric Drivetrain Component Market revenue. The electric scooter segment is expected to witness significant growth in the coming years, driven by the rising popularity of micromobility solutions and government initiatives to promote sustainable transportation.
Electric buses and electric trucks are also gaining traction as companies and governments seek to reduce carbon emissions in the transportation sector. The heavy commercial vehicle segment is expected to have a steady growth rate, supported by the increasing demand for electric trucks for long-haul transportation.
Automotive Electric Drivetrain Component Market Technology Insights
The Automotive Electric Drivetrain Component Market segmentation by Technology comprises Battery Electric Vehicles (BEVs), Plug-in Hybrid Electric Vehicles (PHEVs), Hybrid Electric Vehicles (HEVs), and Fuel Cell Electric Vehicles (FCEVs). Among these, BEVs held the largest market share in 2023, owing to increasing government incentives, declining battery costs, and growing consumer awareness about environmental sustainability. The rising demand for extended driving range and reduced emissions is expected to drive the growth of the BEV segment in the coming years.
Meanwhile, the PHEV segment is projected to witness significant growth due to its ability to provide both electric and gasoline-powered operation, offering flexibility to consumers. HEVs, with their combination of an internal combustion engine and an electric motor, are anticipated to maintain a steady market presence, catering to consumers seeking a balance between fuel efficiency and affordability. FCEVs, despite their lower market share, are gaining attention due to their potential for zero-emission transportation and extended driving range.
Automotive Electric Drivetrain Component Market Power Output Insights
The power output segment is a key factor in determining the overall performance and efficiency of an electric drivetrain. In 2023, the 'Less than 100 kW' power output segment held the largest market share, accounting for over 55% of the Automotive Electric Drivetrain Component Market revenue. This is due to the increasing popularity of electric vehicles in urban areas, where lower power outputs are sufficient for daily commuting. The '100-250 kW' segment is expected to witness significant growth in the coming years, driven by the growing demand for electric vehicles with longer ranges and higher performance.
The '250-500 kW' and 'Over 500 kW' segments are expected to account for a smaller share of the market, but they are expected to grow rapidly as electric vehicles become more powerful and capable.
Automotive Electric Drivetrain Component Market Voltage Level Insights
The Automotive Electric Drivetrain Component Market segmentation by Voltage Level includes Low voltage (under 100V), Medium voltage (100-1000V), and High voltage (over 1000V). Among these, the High voltage segment is projected to lead the market with a significant revenue share by 2024. This growth is attributed to the increasing adoption of electric vehicles, which require high voltage components to operate efficiently.
The Low voltage segment is also expected to witness steady growth due to its use in mild hybrid and start-stop systems.The Medium voltage segment is anticipated to grow at a moderate pace, driven by its applications in commercial vehicles and industrial machinery. The Automotive Electric Drivetrain Component Market is expected to grow significantly in the coming years, driven by rising environmental concerns and government regulations promoting electric vehicles.
Automotive Electric Drivetrain Component Market Regional Insights
The Automotive Electric Drivetrain Component Market is segmented into North America, Europe, APAC, South America, and MEA. Among these regions, APAC is expected to hold the largest market share in the coming years due to the increasing adoption of electric vehicles in countries such as China, Japan, and India.
Europe is also a significant market for automotive electric drivetrain components, driven by stringent emission regulations and government incentives for electric vehicles. North America is another key market, with a growing demand for electric vehicles and a strong presence of automotive manufacturers. South America and MEA are expected to witness steady growth in the automotive electric drivetrain component market, as these regions are experiencing increasing urbanization and a rising middle class, leading to increased demand for automobiles.
Source: Primary Research, Secondary Research, MRFR Database and Analyst Review
Automotive Electric Drivetrain Component Market Key Players and Competitive Insights:
Major players in the automotive electric drivetrain component market are constantly striving to gain a competitive edge by investing in research and development, expanding their product portfolios, and forming strategic alliances. Leading Automotive Electric Drivetrain Component Market players are focusing on developing innovative technologies and solutions to cater to the growing demand for electric vehicles. They are also expanding their global footprint through acquisitions and partnerships to increase their market share.
The Automotive Electric Drivetrain Component Market Competitive Landscape is highly dynamic, with new entrants emerging regularly. These new entrants are often backed by venture capital and have the potential to disrupt the market by offering innovative products and solutions. The Automotive Electric Drivetrain Component Market development is driven by technological advancements, government regulations, and consumer demand for eco-friendly vehicles.
Technological advancements are leading to the development of more efficient and affordable electric drivetrain components. Government regulations are also playing a crucial role in promoting the adoption of electric vehicles. Consumer demand for eco-friendly vehicles is also driving the growth of the Automotive Electric Drivetrain Component Market.
A leading company in the Automotive Electric Drivetrain Component Market is Continental AG. The company offers a wide range of electric drivetrain components, including electric motors, inverters, and transmissions. Continental AG has a strong global presence with manufacturing facilities in Europe, Asia, and North America. The company is also a major supplier to leading automotive manufacturers. Another leading company in the Automotive Electric Drivetrain Component Market is ZF Friedrichshafen AG. The company offers a range of electric drivetrain components, including electric axles, electric motors, and inverters. ZF Friedrichshafen AG has a strong global presence with manufacturing facilities in Europe, Asia, and North America. The company is also a major supplier to leading automotive manufacturers.
A competitor company in the Automotive Electric Drivetrain Component Market is BorgWarner Inc. The company offers a range of electric drivetrain components, including electric motors, inverters, and transmissions. BorgWarner Inc. has a strong global presence with manufacturing facilities in Europe, Asia, and North America. The company is also a major supplier to leading automotive manufacturers. BorgWarner Inc. is investing heavily in research and development to develop new and innovative electric drivetrain components. The company is also expanding its global footprint through acquisitions and partnerships.
Key Companies in the Automotive Electric Drivetrain Component Market Include:
- Hitachi Automotive Systems
- Aisin Seiki
- Hyundai Mobis
- Eaton Corporation
- Mitsubishi Electric Corporation
- Schaeffler Group
- Continental AG
- Denso Corporation
- ABB
- GKN Automotive
- BorgWarner
- Magna International
- Siemens AG
- NSK Ltd.
- ZF Friedrichshafen AG
Automotive Electric Drivetrain Component Market Developments
The Automotive Electric Drivetrain Component Market is projected to reach $46.93 billion in 2023 and is expected to grow at a CAGR of 13.78% from 2024-2032 to reach $150 billion by 2032. Increasing government regulations to reduce carbon emissions and consumer demand for fuel-efficient vehicles are driving the growth of this market.
Major automakers are investing heavily in electric vehicle development, and several new electric vehicle models are expected to be launched in the coming years. This is creating opportunities for automotive electric drivetrain component suppliers. Key industry participants include Bosch, Continental, Denso, and ZF Friedrichshafen. Recent developments in the market include the launch of new electric vehicle models by Tesla, Volkswagen, and Hyundai, as well as the construction of new battery manufacturing facilities by Panasonic and CATL.
Automotive Electric Drivetrain Component Market Segmentation Insights
- Automotive Electric Drivetrain Component Market Component Outlook
-
- Electric Motors
- Inverters
- Charging Infrastructure
- Batteries
- Power Electronics
- Transmission Systems
- Drive Shafts
- Automotive Electric Drivetrain Component Market Vehicle Type Outlook
- Passenger Cars
- Light Commercial Vehicles
- Heavy Commercial Vehicles
- Electric Scooters
- Electric Buses
- Electric Trucks
- Automotive Electric Drivetrain Component Market Technology Outlook
- Battery Electric Vehicles (BEVs)
- Plug-in Hybrid Electric Vehicles (PHEVs)
- Hybrid Electric Vehicles (HEVs)
- Fuel Cell Electric Vehicles (FCEVs)
- Automotive Electric Drivetrain Component Market Power Output Outlook
- Less than 100 kW
- 100-250 kW
- 250-500 kW
- Over 500 kW
- Automotive Electric Drivetrain Component Market Voltage Level Outlook
- Low voltage (under 100V)
- Medium voltage (100-1000V)
- High voltage (over 1000V)
- Automotive Electric Drivetrain Component Market Regional Outlook
- North America
- Europe
- South America
- Asia Pacific
- Middle East and Africa
| Report Attribute/Metric |
Details |
| Market Size 2022 |
41.24(USD Billion) |
| Market Size 2023 |
46.93(USD Billion) |
| Market Size 2032 |
150.0(USD Billion) |
| Compound Annual Growth Rate (CAGR) |
13.78% (2024 - 2032) |
| Report Coverage |
Revenue Forecast, Competitive Landscape, Growth Factors, and Trends |
| Base Year |
2023 |
| Market Forecast Period |
2024 - 2032 |
| Historical Data |
2019 - 2023 |
| Market Forecast Units |
USD Billion |
| Key Companies Profiled |
Hitachi Automotive Systems, Aisin Seiki, Hyundai Mobis, Eaton Corporation, Mitsubishi Electric Corporation, Schaeffler Group, Continental AG, Denso Corporation, ABB, GKN Automotive, BorgWarner, Magna International, Siemens AG, NSK Ltd., ZF Friedrichshafen AG |
| Segments Covered |
Component, Vehicle Type, Technology, Power Output, Voltage Level, Regional |
| Key Market Opportunities |
Growth of electric vehicles hybrid technology technological advancements government regulations and increasing consumer demand |
| Key Market Dynamics |
Rising EV adoption government incentives technological advancements increasing battery efficiency growing demand for highperformance vehicles |
| Countries Covered |
North America, Europe, APAC, South America, MEA |
Frequently Asked Questions (FAQ) :
The Automotive Electric Drivetrain Component Market is expected to reach a valuation of 46.93 billion USD in 2023.
The Automotive Electric Drivetrain Component Market is projected to grow at a CAGR of 13.78% from 2023 to 2032.
The growth of the Automotive Electric Drivetrain Component Market is primarily driven by increasing government regulations for reduced emissions, rising demand for electric vehicles, and technological advancements.
The Asia-Pacific region is expected to hold the largest market share in the Automotive Electric Drivetrain Component Market in 2023.
Automotive Electric Drivetrain Components find applications in electric vehicles, hybrid electric vehicles, and plug-in hybrid electric vehicles.
Key competitors in the Automotive Electric Drivetrain Component Market include Bosch, Denso, Continental, ZF Friedrichshafen, and Magna International.
Key trends shaping the Automotive Electric Drivetrain Component Market include the integration of advanced technologies like SiC and GaN semiconductors, the development of more efficient and compact electric motors, and the growing adoption of wireless charging systems.
Challenges faced by the Automotive Electric Drivetrain Component Market include high production costs, supply chain disruptions, and the need for robust charging infrastructure.
The Automotive Electric Drivetrain Component Market is expected to reach a valuation of 150 billion USD by 2032.
Key growth opportunities for the Automotive Electric Drivetrain Component Market include the development of new electric vehicle platforms, increasing investment in research and development, and government incentives for electric vehicle adoption.
