Drive Assy Market Size

Drive Assy Market size is anticipated to reach USD 2 Billion by the end of 2036, growing at a CAGR of 4% during the forecast period, i.e., 2024-2036. In the year 2023, the industry size of the drive assy was over USD 1 Billion. Electric car drive assemblies are made to optimize performance, power, and economy while reducing emissions.

It's a major factor in the growing acceptance of EVs as a greener mode of transportation. Hence, owing to the increasing concern for vehicular pollution the shift in preference towards electric vehicles is rapidly growing worldwide It's predicted that EV sales will increase significantly through 2023. In the first quarter of this year, sales of electric automobiles exceeded 2.3 million, a 25% increase over the same period the previous year.

Furthermore, government rules and incentives are also a major factor in the drive assy market's expansion. For instance, a firm commitment by the government to transition to 100% zero-emission cars in public procurement was made in 2022 with the launch of the Zero Emission Government Fleet Declaration under the EVI.

Also, numerous nations offer grants, tax credits, and other financial aid to encourage the use of electric vehicles. Therefore, the demand for drive assemblies is rising as a result of producers being encouraged to create more electric vehicles (EVs) in response to stricter emission laws.