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Global Automotive Electric Drivetrain Components Market Size, Share, and Forecast Analysis 2025-2029
Use ONLINE30 for 30% savings on global market reports and stay on top of tariff updates, market trends, and economic shifts worldwide.What Are the Automotive Electric Drivetrain Components Market Size Forecast for 2025?
The market size for components of electric drivetrains in the automotive industry has seen a tremendous uptick in recent years. It is projected that it will catapult from $63.66 billion in 2024 to a massive $78.74 billion in 2025, representing a compound annual growth rate (CAGR) of 23.7%. This significant growth during the historical period can be linked to government policies regarding emissions, a rising consumer interest in eco-friendly vehicles, a decrease in battery expenses, enhancements in power electronics, and a surge in investments towards charging infrastructures.
What Is the Market Size Outlook for Automotive Electric Drivetrain Components Until 2029?
In the coming years, the market size for components of electric drivetrain in the automotive sector is projected to witness significant growth. By 2029, it is anticipated to reach $181.95 billion, with a compound annual growth rate (CAGR) of 23.3%. This growth in the forecasted period is likely due to rapid advancements in technology, regulatory emphasis on zero-emission vehicles, development in battery chemistries, the automotive industry's commitment to electrification, and a shift towards e-mobility alternatives. Notable trends expected throughout this period include an improved energy density in batteries, the adoption of integrated vehicle-to-grid (v2g) technology, adaptive thermal management solutions, a more personalized user experience combined with connectivity, and advances in vehicle-to-vehicle (v2v) communication.
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What Are the Major Factors Driving Demand in the Automotive Electric Drivetrain Components Market?
The expectation for the automotive electric drivetrain components market to experience growth is largely due to the rising utilization of electric vehicles. Defined as a wholly electric, emission-free vehicle equipped with an internal electric energy storage system that can be replenished from an external source, electric vehicles utilize electric drivetrain components to convert electrical energy into mechanical energy, powering the vehicle's wheels. For instance, the U.S. Energy Information Administration, a United States government institution, reported in November 2023 that the proportion of battery-electric vehicles (BEVs) in new light-duty vehicle sales had climbed to 17.7% in 2023's third quarter. Additionally, BEVs made up 16.0% of all new vehicle sales of the year up until that point, a significant increase from 12.5% in 2022 and 9.0% in 2021. As a result, the growth of the automotive electric drivetrain components market is being propelled by the greater degree of battery electric vehicle utilization.
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How Are End-Use Segments Shaping the Automotive Electric Drivetrain Components Market Outlook?
The automotive electric drivetrain components market covered in this report is segmented -
1) By Components: Electric Drive Module, DC Or DC Converter, Battery Packs, Thermal System, DC Or AC Inverter, Power Distribution Module (PDM), Other Components
2) By Vehicle: Battery Electric Vehicle (BEV), Hybrid Electric Vehicle (HEV), Plug-In Hybrid Electric Vehicle (PHEV), Fuel Cell Electric Vehicle (FCEV)
3) By Sales Channel: Original Equipment Manufacturer (OEM), After market
Subsegments:
1) By Electric Drive Module: Integrated Electric Drive Systems, Electric Motor Assembly
2) By DC Or DC Converter: Step-Up Converters, Step-Down Converters
3) By Battery Packs: Lithium-Ion Battery Packs, Solid-State Battery Packs, Nickel-Metal Hydride (NiMH) Battery Packs
4) By Thermal System: Cooling Systems, Heating Systems, Thermal Management Components
5) By DC Or AC Inverter: Dc To AC Inverters, Multilevel Inverters, Grid-Tie Inverters
6) By Power Distribution Module (PDM): Battery Management Systems (BMS), Power Routing Modules
7) By Other Components: Electric Power Steering (Eps) Systems, Regenerative Braking Systems, Control Units And Software
What Are the Strategic Trends Transforming the Automotive Electric Drivetrain Components Market Landscape?
One important trend gaining traction in the automotive electric drivetrain components market is product innovation. Major players in this market are creating novel products to maintain their market standing. For example, in April 2023, Volkswagen, a vehicle manufacturing firm based in Germany, debuted the advanced electric vehicle drivetrain APP550. These new APP550 rear-wheel drive units deliver excellent performance and enhance vehicle efficiency. The heat management system has also been upgraded to boost efficiency even more. The apparatus can manage its temperature by utilizing the transmission's gear wheels.
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Who Are the Prominent Companies in the Automotive Electric Drivetrain Components Market by ?
Major companies operating in the automotive electric drivetrain components market include Volkswagen AG, Robert Bosch GmbH, Siemens AG, Panasonic Corporation, ZF Friedrichshafen AG, Denso Corporation, Continental AG, Hyundai Mobis, Magna International Inc., Aisin Seiki Co. Ltd, Valeo SA, Eaton Corporation PLC, Hitachi Astemo Ltd., Parker Hannifin Corporation, Schaeffler AG, Nidec Corporation, BorgWarner Inc., MAHLE GmbH, Infineon Technologies AG, Marelli Holdings Co. Ltd., Dana Incorporated, Hexagon AB, GKN Automotive Limited, JATCO Ltd., Delphi Technologies, The Johnson Electric Group, AVL List Gmbh, Univance Corporation, Hofer Powertrain GmbH
Which Region Is Expected to See the Highest CAGR in the Automotive Electric Drivetrain Components Market?
Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the automotive electric drivetrain components market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa
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