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Continuously Variable Transmission Market to Surpass $26.55 Billion by 2029 | Key Trends & Insights

09-09-2025 08:38 AM CET | Logistics & Transport

Press release from: The Business Research Company

Continuously Variable Transmission Market

Continuously Variable Transmission Market

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How Will the Continuously Variable Transmission Market Grow by 2025 in Terms of Size and Growth?
The market size for continuously variable transmission has seen consistent growth over recent years and is projected to continue this trend, rising from $21.2 billion in 2024 to $22.11 billion in 2025 at a compound annual growth rate (CAGR) of 4.3%. Factors such as rising sales of high-end vehicles, an ongoing demand for improved fuel economy, boosts in the requirement for utility vehicles, and growing emphasis on comfort and safety have all contributed to the expansion observed during the historic period.

What Are the Estimated Growth Rates for the Continuously Variable Transmission Industry Through 2029?
The market for continuously variable transmissions is set to witness consistent expansion in the coming years, reaching $26.55 billion in 2029 with a compound annual growth rate (CAGR) of 4.7%. The escalated production of automobiles, increased desire for environmentally friendly vehicles, an uptick in local manufacturing, heightened consciousness about environmental pollution, and improved sales of commercial and passenger vehicles are all contributing factors to the growth in the projected period. The forecast period is characterised by key trends such as technological progression, the incorporation of support systems, usage in high-end vehicles, implementation of start-stop systems, amalgamation with hybrid and electric vehicles, along with advancements in transmission device technologies.

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What Are the Strategic Drivers Boosting Continuously Variable Transmission Market Performance?
The continuous variable transmission market's growth is anticipated to be fueled by the escalating production of automobiles. The term 'automobile production' encapsulates the vehicle manufacturing process, which includes aspects such as design, engineering, assembly, and the assurance of quality, all knocking into the ultimate creation of finished cars for sale and distribution. The rise in automobile production is a result of advancements in technology relating to manufacturing procedures and materials, the swelling demand for electric vehicles, development in automation and robotics, and the global integration of supply chains. Continuously variable transmission is integral in automobile production as it provides substantial advantages in fuel efficiency, adaptability across a range of vehicles and driving conditions, and driving convenience. The consistent infusion of this technology in present-day vehicles signifies the persistent efforts to amplify vehicle performance while fulfilling environment-related and consumer requirements. In this context, the International Organization of Automobile Manufacturers, a trade association based in France, reported that the worldwide motor vehicle production escalated from 84.83 million in 2022 to 93.55 million in 2023. Hence, the surge in the production of cars is fueling the expansion of the continuously variable transmission market.

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What Are the Segments in the Continuously Variable Transmission Market?
The continuously variable transmission market covered in this report is segmented -

1) By Type: Belt-Chain Drive Continuously Variable Transmission, Planetary Continuously Variable Transmission
2) By Capacity: Up To 1.5 L, 1.5 L To 3.0 L, Above 3.0 L
3) By Vehicle Type: Passenger Cars, Light Commercial Vehicles, Heavy Commercial Vehicles, Other Vehicles
4) By End-Use: Original Equipment Manufacturer, After market

Subsegments:
1) By Belt-Chain Drive Continuously Variable Transmission: Rubber Belt-Based CVT, Steel Belt-Based CVT, Hybrid Belt-Chain Drive Systems
2) By Planetary Continuously Variable Transmission: Hydraulically Controlled Planetary CVT, Mechanically Controlled Planetary CVT

What Are the Key Adoption Trends in the Continuously Variable Transmission Market?
Major firms in the continuously variable transmission market are concentrating on the invention of innovative CVTs that provide heightened efficiency for small and mid-range front-wheel drive autos. These continuously variable transmissions are engineered to heighten fuel efficiency and elevate the performance of compact and mid-sized vehicles with front-wheel drive. In October 2023, for example, JATCO Ltd., a corporation based in Japan that specializes in automatic transmissions, launched the Jatco CVT-XS, a novel continuously variable transmission devised for small and medium front-wheel drive automobiles. Delivering 90% transmission efficiency and drivability, it offers exceptional responsiveness and acceleration, catering to the driver's needs. This introduction forms a part of JATCO's approach to boosting automobile performance and fuel economy, aligning seamlessly with the surging demand for vehicles that generate low emissions.

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Which Companies Lead the Competitive Landscape of the Continuously Variable Transmission Industry?
Major companies operating in the continuously variable transmission market are Toyota Motor Corporation, Honda Motor Co. Ltd., Hyundai Motor Company, Robert Bosch GmbH, Kia Motors, Renault S.A., ZF Friedrichshafen AG, Aisin Corporation, Mazda Motor Corporation, Subaru Corporation, Geely Automobile, Nidec-Shimpo Corporation, Chery Automobile Co. Ltd., BorgWarner Inc., Peugeot S.A., Endurance Technologies Limited, Team Industries Inc., IAV GmbH, JATCO Ltd., Steyr Motors GmbH, Gaokin Industry Co. Ltd., Wanliyang Co. Ltd.

Where Are the Key Continuously Variable Transmission Market Opportunities by Region?
Asia-Pacific was the largest region in the continuously variable transmission market in 2024. North America is expected to be the fastest-growing region in the forecast period. The regions covered in the continuously variable transmission market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.

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With over 15,000+ reports from 27 industries covering 60+ geographies, The Business Research Company has built a reputation for offering comprehensive, data-rich research and insights. Our flagship product, the Global Market Model delivers comprehensive and updated forecasts to support informed decision-making.

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