Electric Power Steering Market size was over USD 26.47 billion in 2024 and is poised to cross USD 55.77 billion by the end of 2037, witnessing more than 5.9% CAGR during the forecast period i.e., between 2025-2037. In the year 2025, the industry size of electric power steering is estimated at USD 27.72 billion. The growth of the market is primarily attributed to Increased demands for commercial applications, such as Infineon Technologies AG linear hall sensors specially designed to be used by companies in the automotive sector. With a global sales unit at 67.2 million units, as of 2022, the market for electric power steering is set to have a significant market share. Compared with a traditional mechanical hydraulic steering system, the electric power steering motor has good steering flexibility, control stability, low-temperature resistance, and low energy consumption. In addition, a more rapid integration of second development is facilitated by this approach. This implies that the engine power steering systems of vehicles show a strong vitality, and this will progressively replace the conventional driving system.
Furthermore, the adoption of better safety systems by end users has been encouraged by a significant increase in accidents. The death and injury rates in all of the world's First World countries have been gradually decreasing due to improvements in road design and motor vehicle technologies. Nevertheless, accident rates continue to be high in a number of emerging economies and governments have been focusing on the implementation of stringent security standards as well as encouraging the adoption of different vehicle subsystems increasing the growth of the market.
Growth Drivers
Challenges
|
Base Year |
2024 |
|
Forecast Year |
2025-2037 |
|
CAGR |
5.9% |
|
Base Year Market Size (2024) |
USD 26.47 billion |
|
Forecast Year Market Size (2037) |
USD 55.77 billion |
|
Regional Scope |
|
Type (C-EPS, P-EPS, R-EPS)
Electric power steering market from the collapsible EPS segment is estimated to gain significant revenue share of about 59% by the year 2037. The growth of the segment can be attributed to the growing demand for fuel -efficient vehicles, which requires C- EPS to reduce the amount of fuel consumed. Additionally, the increasing emphasis on safety features and the increasing number of stringent regulations for vehicle safety are also driving the demand C EPS . For instance, in order to administer the government's Bharat New Car Assessment Program: the BharatNCAP Authority was founded by of India as a separate organization. Bharat NCAP plans to assign stars ratings for the security of vehicles sold in the country. This provided multiply oppurtunies for the market development of electric power steering.
Component (Steering Column, Sensors, Steering Gear, Mechanical Rack & Pinion, Electronic Control Unit, Electric Motor)
The sensor segment in the electric power steering market is anticipated to attain the largest revenue share by the end of the forecast period, i.e. 2024-2037. The rising demand for advanced driver assistance system (ADAS) such as lane -keeping assistance, automated parking, and adaptive cruise control are majorly responsible for the segments growth. More -over, the increasing demand for high-end vehicles with estimated sales of 210k vehicles by 2027 and the growing focus on safety is projected to drive the segments growth
Our in-depth analysis of the global electric power steering market includes the following segments:
|
Type |
|
|
Component |
|
|
Vehicle Type |
|
APAC Market Forecast
Asia Pacific electric power steering market is anticipated to hold the largest revenue share of about 37% by the end of 2037. In particular, increased vehicle production in developing countries like China, India, Japan and South Korea has been a major factor for market growth. For instance, the total number of vehicles produced as of 2024 is about 15 million units. Furthermore, China had produced approximately 20 million passenger cars and 5 million commercial vehicles by 2021. As electric power steering becomes more advanced, automotive manufacturers are increasingly incorporating it into their production lines. These systems are powered by an electric motor and provide power assistance when turning the steering wheel. A driver is able to control their vehicle more easily and with less exertion by using this assistance to turn the steering wheel.
North American Market Statistics
North American electric power steering market is expected to garner a significant share during the forecast period. Increasing demand for electric vehicles, coupled with the associated national legislation and subsidies, is a major driver of market growth. The growing demand for luxury cars and passenger vehicles is also anticipated to be driven by strong disposable income and increased standards of living in the region. Estimates indicate that Tesla sold over 481,000 vehicles in the United States in 2022, while BMW sold over 150,000. Due to their ability to offer better and more precise steering as well as increased fuel efficiency, the use of electric power steering systems is growing in popularity. The need for more effective and pleasant power steering systems is a result of an increase in luxury car and passenger vehicle demand.
Author Credits: Dhruv Bhatia
Copyright © 2024 Research Nester. All Rights Reserved
FREE Sample Copy includes market overview, growth trends, statistical charts & tables, forecast estimates, and much more.
Have questions before ordering this report?