Automotive Torque Vectoring System Market Overview:
As per MRFR analysis, the automotive torque vectoring system market size was estimated at 3.41 (USD Billion) in 2022. The automotive torque vectoring system market industry is expected to grow from 3.89 (USD Billion) in 2023 to 12.7 (USD Billion) by 2032. The automotive torque vectoring system market CAGR (growth rate) is expected to be around 14.05% during the forecast period (2024-2032).
Key Automotive Torque Vectoring System Market Trends Highlighted
Recent trends in the automotive industry highlight an increased focus on electric vehicles and autonomous driving technologies. Amidst these advancements, the automotive torque vectoring system market is gaining significant momentum. This system enhances vehicle stability and handling capabilities, making it an attractive proposition for automakers and drivers alike.
Key market drivers include stringent government regulations for vehicle safety and emission reduction, growing consumer demand for improved driving dynamics, and increasing adoption of electric vehicles. The rising popularity of all-wheel drive and four-wheel drive vehicles further fuels the demand for torque vectoring systems.
Opportunities to be explored lie in the integration of artificial intelligence and machine learning algorithms to optimize torque distribution, enabling more precise and responsive handling. Additionally, the growing adoption of electric vehicles presents opportunities for developing torque vectoring systems specifically designed for electric powertrains, leveraging their unique characteristics.
Source: Primary Research, Secondary Research, MRFR Database and Analyst Review
Automotive Torque Vectoring System Market Drivers
Rising Demand for Enhanced Vehicle Dynamics
The increasing demand for enhanced vehicle dynamics is a major driver of the Automotive Torque Vectoring System Market. Torque vectoring systems allow vehicles to better control their cornering and handling characteristics, making them more responsive and enjoyable to drive.
This is especially important for high-performance vehicles, but it can also benefit everyday drivers who want a more engaging driving experience. As the demand for more capable and dynamic vehicles continues to grow, the market for torque vectoring systems is expected to expand accordingly.
Increasing Adoption of Electric and Hybrid Vehicles
The increasing adoption of electric and hybrid vehicles is another key driver of the Automotive Torque Vectoring System Market. Electric and hybrid vehicles have different power delivery characteristics than gasoline-powered vehicles, which can make them more difficult to control in certain situations.
Torque vectoring systems can help to mitigate these challenges by providing more precise control over the distribution of torque to each wheel. This can improve traction, stability, and handling, making electric and hybrid vehicles more appealing to consumers.
Growing Focus on Safety and Stability
The growing focus on safety and stability is also driving the growth of the Automotive Torque Vectoring System Market. Torque vectoring systems can help to improve vehicle safety by preventing skidding and rollovers.
This is especially important for large vehicles, such as SUVs and trucks, which are more prone to these types of accidents. As safety regulations become more stringent, the demand for torque vectoring systems is expected to increase.
Automotive Torque Vectoring System Market Segment Insights:
Automotive Torque Vectoring System Market Component Insights
The component segment holds significant importance, influencing the overall market growth trajectory. In 2023, the hardware segment dominated the market, accounting for a substantial share of the global market revenue. The dominance of hardware can be attributed to the increasing adoption of advanced torque vectoring systems in high-performance vehicles and the rising demand for enhanced driving dynamics and stability control.
Software and services segments are poised for significant growth in the coming years. The software segment is expected to witness a surge in demand due to the growing complexity of torque vectoring algorithms and the need for real-time data analysis and optimization.
The services segment, encompassing maintenance, repair, and upgrades, is anticipated to benefit from the increasing installed base of torque vectoring systems and the growing emphasis on vehicle performance and safety.
Overall, the component segment of the Automotive Torque Vectoring System Market presents a dynamic landscape, with each segment contributing to the overall market growth and innovation. As the automotive industry continues to evolve, the demand for advanced torque vectoring systems is expected to drive the growth of the component segment, offering lucrative opportunities for market players.
Source: Primary Research, Secondary Research, MRFR Database and Analyst Review
Automotive Torque Vectoring System Market Vehicle Type Insights
The vehicle type segment of the Automotive Torque Vectoring System Market is segregated into passenger cars, commercial vehicles, and off-highway vehicles. The passenger cars segment held the largest market share in 2023, and it is expected to continue its dominance throughout the forecast period. The growth of this segment can be attributed to the increasing demand for torque vectoring systems in luxury and high-performance vehicles.
The commercial vehicles segment is also expected to witness significant growth in the coming years, owing to the rising demand for torque vectoring systems in heavy-duty trucks and buses. The off-highway vehicles segment is expected to grow at a steady pace, driven by the increasing adoption of torque vectoring systems in construction and mining equipment.
Automotive Torque Vectoring System Market Propulsion Type Insights
The propulsion type segment is a crucial aspect of the Automotive Torque Vectoring System Market, with each type catering to specific vehicle configurations and performance requirements. Internal combustion engine (ICE) vehicles, with their dominance in the automotive industry, accounted for a substantial share of the market in 2023 and are projected to maintain a significant presence in the coming years.
Electric vehicle (EV) and hybrid electric vehicle (HEV) propulsion systems, driven by growing environmental concerns and government initiatives promoting sustainable transportation, are anticipated to witness substantial growth in the coming years. The increasing adoption of EVs and HEVs, particularly in developed regions, is expected to drive demand for torque vectoring systems that enhance vehicle stability and handling, especially in challenging driving conditions.
Automotive Torque Vectoring System Market Application Insights
The Automotive Torque Vectoring System Market is segmented based on application into performance enhancement, stability and safety, and fuel efficiency. Among these segments, the Performance Enhancement segment is expected to hold the largest market share of 45% in 2024. This is attributed to the growing demand for high-performance vehicles, especially in emerging markets.
The stability and safety segment is expected to witness the highest growth rate of 15% during the forecast period. This is due to the increasing adoption of advanced safety features in vehicles, such as electronic stability control and traction control. The fuel efficiency segment is expected to account for a market share of 30% in 2024. This is driven by the rising fuel prices and the increasing demand for fuel-efficient vehicles.
Automotive Torque Vectoring System Market Regional Insights
The regional segmentation of the Automotive Torque Vectoring System Market showcases distinct market dynamics. North America holds a significant market share due to the presence of major automotive manufacturers and a high adoption rate of advanced technologies. In 2023, the region accounted for approximately 38% of the global market revenue. Europe follows closely, with a market share of around 32% in 2023, driven by stringent emission regulations and a growing demand for performance vehicles.
The Asia Pacific (APAC) region is projected to witness the highest growth rate during the forecast period, owing to the increasing production of automobiles and the expansion of the automotive industry in countries like China and India. South America and the Middle East and Africa (MEA) regions are expected to contribute a smaller share to the global market due to limited vehicle production and lower adoption rates of advanced technologies.
Source: Primary Research, Secondary Research, MRFR Database and Analyst Review
Automotive Torque Vectoring System Market Key Players and Competitive Insights:
Major players are in a competitive battle to win market share. The automotive torque vectoring system market has seen several mergers and acquisitions in recent years, as companies look to consolidate their market position.
Leading players are investing heavily in research and development to bring new and innovative products to the market. The Automotive Torque Vectoring System Market is expected to continue to grow in the coming years, driven by the increasing demand for vehicles with improved handling and performance.
Continental is a leading player with a strong focus on innovation. The company's torque vectoring system is designed to improve the handling and performance of vehicles by actively distributing torque to the individual wheels. Continental's torque vectoring system is used by several major automakers, including Audi, BMW, and Mercedes-Benz.
BorgWarner is another leading player with a strong focus on technology. The company's torque vectoring system is designed to provide vehicles with improved traction and stability. BorgWarner's torque vectoring system is used by several major automakers, including Ford, General Motors, and Hyundai.
Key Companies in the Automotive Torque Vectoring System Market Include:
- Schaeffler
- Bosch
- Nexteer Automotive
- Tenneco
- ZF Friedrichshafen
- Magna Powertrain
- Hyundai Mobis
- Haldex
- Eaton
- Continental
- JTEKT
- GKN Automotive
- NSK
- BorgWarner
- Ricardo
Automotive Torque Vectoring System Market Developments
The Automotive Torque Vectoring System Market is projected to reach USD 12.7 billion by 2032, exhibiting a CAGR of 14.05% during the forecast period (2024-2032). Rising demand for enhanced vehicle stability and handling, increasing adoption of electric vehicles, and stringent government regulations on vehicle safety drive market growth.
Key industry participants include BorgWarner, Continental AG, GKN Automotive, JTEKT Corporation, and Magna International. Recent developments include the launch of Continental's Conti Twin Clutch system for electric vehicles and BorgWarner's acquisition of Delphi Technologies, strengthening its position in the market.
Automotive Torque Vectoring System Market Segmentation Insights
- Automotive Torque Vectoring System Market Component Outlook
- Hardware
- Software
- Services
- Automotive Torque Vectoring System Market Vehicle Type Outlook
- Passenger Cars
- Commercial Vehicles
- Off-Highway Vehicles
- Automotive Torque Vectoring System Market Propulsion Type Outlook
- Internal Combustion Engine (ICE)
- Electric Vehicle (EV)
- Hybrid Electric Vehicle (HEV)
- Automotive Torque Vectoring System Market Application Outlook
- Performance Enhancement
- Stability and Safety
- Fuel Efficiency
- Automotive Torque Vectoring System Market Regional Outlook
- North America
- Europe
- South America
- Asia Pacific
- Middle East and Africa
| Report Attribute/Metric |
Details |
| Market Size 2022 |
3.41(USD Billion) |
| Market Size 2023 |
3.89(USD Billion) |
| Market Size 2032 |
12.7(USD Billion) |
| Compound Annual Growth Rate (CAGR) |
14.05% (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 |
Schaeffler, Bosch, Nexteer Automotive, Tenneco, ZF Friedrichshafen, Magna Powertrain, Hyundai Mobis, Haldex, Eaton, Continental, JTEKT, GKN Automotive, NSK, BorgWarner, Ricardo |
| Segments Covered |
Component, Vehicle Type, Propulsion Type, Application, Regional |
| Key Market Opportunities |
Electric vehicle adoption Autonomous driving advancements Safety regulations Growing demand for sports and performance cars Increasing aftermarket penetration |
| Key Market Dynamics |
Increasing demand for driving stability Advanced vehicle technology Growing need for fuel efficiency Rising safety concerns Government regulations on emissions |
| Countries Covered |
North America, Europe, APAC, South America, MEA |
Frequently Asked Questions (FAQ) :
The Automotive Torque Vectoring System Market is expected to be valued at 3.89 Billion USD in 2023.
The Automotive Torque Vectoring System Market is projected to grow at a 14.05% CAGR from 2023 to 2032.
North America is expected to hold the largest market share in the Automotive Torque Vectoring System Market in 2023.
The passenger cars segment is expected to dominate the Automotive Torque Vectoring System Market in 2023.
Key competitors in the Automotive Torque Vectoring System Market include Continental AG, BorgWarner Inc., Robert Bosch GmbH, JTEKT Corporation, and GKN Automotive.
The Automotive Torque Vectoring System Market is expected to be valued at 12.7 Billion USD in 2032.
Factors driving the growth of the Automotive Torque Vectoring System Market include increasing demand for enhanced vehicle stability and handling, rising adoption of electric and hybrid vehicles, and growing popularity of autonomous driving systems.
Challenges faced by the Automotive Torque Vectoring System Market include high cost of implementation, technical complexity, and limited availability of skilled workforce.
Emerging trends in the Automotive Torque Vectoring System Market include the integration of artificial intelligence and machine learning, development of new torque vectoring algorithms, and increasing focus on energy efficiency.
Key growth opportunities for the Automotive Torque Vectoring System Market include the expansion of the electric and hybrid vehicle market, increasing demand for autonomous driving systems, and growing popularity of performance vehicles.
