Unlocking Growth in Automotive Electric Steering Industry Market 2025-2033

Key Insights

The automotive electric steering (EPS) market is experiencing robust growth, driven by increasing demand for advanced driver-assistance systems (ADAS) and the rising adoption of electric and hybrid vehicles. The market's expansion is fueled by stringent government regulations promoting fuel efficiency and reduced emissions, leading to widespread integration of EPS in vehicles globally. Technological advancements in EPS systems, such as the development of more efficient and compact motors and sensors, are further contributing to market growth. The market segmentation reveals a diverse landscape, with column type, pinion type, and dual pinion type steering systems catering to varying vehicle needs. Similarly, component-level segmentation highlights the importance of steering racks/columns, sensors, and steering motors, reflecting the intricate technological makeup of EPS. Passenger cars currently dominate the vehicle type segment, but commercial vehicles are expected to show significant growth in the coming years due to increasing automation and safety features in commercial fleets. Key players such as JTEKT, Hyundai Mobis, Denso, and ZF Friedrichshafen are aggressively investing in R&D and strategic partnerships to maintain their market share in this competitive landscape. The Asia Pacific region, particularly China and Japan, are currently leading the market, owing to high vehicle production and increasing demand for advanced automotive technologies. However, North America and Europe are also expected to witness substantial growth due to rising consumer preference for fuel-efficient and technologically advanced vehicles.

The forecast period of 2025-2033 projects continued expansion for the EPS market, with a projected CAGR of 6.26%. This growth will be fueled by ongoing technological innovations that enhance steering precision, responsiveness, and safety features. The increasing adoption of autonomous driving functionalities, which heavily rely on precise steering control, is also expected to propel market expansion. While the market faces some restraints, such as high initial investment costs for advanced EPS systems and potential supply chain disruptions, these challenges are expected to be mitigated by ongoing technological advancements and economies of scale. The market is likely to witness increased consolidation through mergers and acquisitions, as companies strive to gain a competitive edge. The consistent integration of EPS in various vehicle types across different regions is expected to lead to a mature yet dynamically evolving market over the forecast period.

Automotive Electric Steering Industry Market Report: 2019-2033

This comprehensive report provides an in-depth analysis of the global automotive electric steering (EPS) industry, encompassing market dynamics, growth trends, regional performance, competitive landscape, and future outlook. The report covers the period from 2019 to 2033, with a focus on the 2025-2033 forecast period. The market is segmented by type (Column Type, Pinion Type, Dual Pinion Type), component type (Steering Rack/Column, Sensor, Steering Motor, Other Component Types), and vehicle type (Passenger Cars, Commercial Vehicles). The report projects significant growth, driven by increasing adoption of advanced driver-assistance systems (ADAS) and autonomous vehicles. This report is an essential resource for industry professionals, investors, and anyone seeking to understand this rapidly evolving sector.

Automotive Electric Steering Industry Market Dynamics & Structure

The automotive electric steering (EPS) market is characterized by moderate concentration, with key players holding significant market share. Technological innovation, particularly in areas such as improved energy efficiency and integration with ADAS, is a primary growth driver. Stringent government regulations concerning vehicle safety and emissions are also shaping industry dynamics. Competitive pressures arise from substitutes like hydraulic steering systems, albeit with diminishing relevance given the industry's shift towards electrification. The end-user demographic is broad, encompassing passenger car and commercial vehicle manufacturers globally. Mergers and acquisitions (M&A) activity has been moderate, with key players strategically acquiring smaller companies to expand their product portfolios and geographic reach.

• Market Concentration: Moderately concentrated, with top 10 players accounting for approximately xx% of the market share in 2024.
• Technological Innovation: Focus on energy efficiency, integration with ADAS, and improved steering feel.
• Regulatory Framework: Stringent safety and emission standards driving EPS adoption.
• Competitive Substitutes: Hydraulic steering systems, gradually being replaced by EPS.
• End-User Demographics: Passenger cars and commercial vehicles, with passenger cars dominating the market.
• M&A Trends: Moderate M&A activity, focused on strategic acquisitions and geographic expansion. xx M&A deals were recorded in the period 2019-2024.

Automotive Electric Steering Industry Growth Trends & Insights

The global automotive electric steering market witnessed significant growth during the historical period (2019-2024), driven by the increasing demand for fuel-efficient vehicles and the rising adoption of advanced driver-assistance systems (ADAS). The market size expanded from xx million units in 2019 to xx million units in 2024, registering a CAGR of xx%. This growth is expected to continue in the forecast period (2025-2033), with the market size projected to reach xx million units by 2033, exhibiting a CAGR of xx%. Technological advancements such as improved sensor technology and the integration of EPS with autonomous driving systems are fueling this growth. The increasing demand for electric vehicles (EVs) is another crucial factor contributing to market expansion. Consumer preferences are shifting towards vehicles with enhanced safety features and improved fuel efficiency, further bolstering the demand for EPS systems. Market penetration of EPS in passenger cars is projected to reach xx% by 2033, from xx% in 2024.

Dominant Regions, Countries, or Segments in Automotive Electric Steering Industry

The Asia Pacific region is currently the dominant market for automotive electric steering systems, driven by high vehicle production in countries like China, Japan, and South Korea. The strong growth in this region is primarily attributed to the flourishing automotive industry, robust economic growth, and supportive government policies promoting vehicle electrification. Within the segments, passenger cars constitute the largest share of the market, owing to the increasing production of passenger vehicles globally. The column type steering system currently holds the largest market share among the various types of EPS systems. However, the dual pinion type system is expected to witness significant growth in the coming years due to its superior performance characteristics and better integration with ADAS features.

• Key Drivers (Asia Pacific): High vehicle production, strong economic growth, government support for EV adoption.
• Key Drivers (Passenger Cars): Increasing vehicle production, rising demand for fuel-efficient vehicles.
• Key Drivers (Column Type): Cost-effectiveness and widespread adoption in existing vehicles.
• Growth Potential: Dual pinion type system expected to experience strong growth due to advanced features.

Automotive Electric Steering Industry Product Landscape

The automotive electric steering industry offers a range of products tailored to different vehicle types and performance requirements. Recent innovations focus on enhanced energy efficiency, improved integration with ADAS functionalities, and advanced safety features. These advancements result in optimized steering feel, reduced fuel consumption, and improved overall vehicle performance. Unique selling propositions often include features such as precise responsiveness, customized steering settings, and seamless integration with driver assistance technologies. Technological advancements such as the incorporation of haptic feedback and improved sensor technology are further enhancing the performance and capabilities of these systems.

Key Drivers, Barriers & Challenges in Automotive Electric Steering Industry

Key Drivers:

• Increasing demand for fuel-efficient and electric vehicles.
• Rising adoption of ADAS and autonomous driving technologies.
• Stringent government regulations regarding vehicle safety and emissions.

Challenges and Restraints:

• High initial investment costs associated with EPS technology.
• Potential supply chain disruptions impacting the availability of key components.
• Intense competition among major players leading to price pressures.
• Complexity in integrating EPS with other vehicle systems.

Emerging Opportunities in Automotive Electric Steering Industry

Emerging opportunities exist in the integration of EPS with autonomous driving systems, expansion into developing markets with increasing vehicle ownership, and the development of innovative features like haptic feedback and variable steering ratios to enhance driver experience. The growing demand for electric and hybrid vehicles presents significant market potential. Untapped markets in developing economies also offer immense growth opportunities.

Growth Accelerators in the Automotive Electric Steering Industry

The long-term growth of the automotive electric steering industry is fueled by continuous technological advancements, strategic collaborations among key players, and the expanding market penetration of electric and autonomous vehicles. Further research and development efforts towards improving energy efficiency, integrating with advanced driver-assistance systems, and enhancing the overall driving experience will continue to drive market growth. Strategic partnerships between EPS manufacturers and automakers will further accelerate market expansion.

Key Players Shaping the Automotive Electric Steering Industry Market

• JTEKT Corporation
• Hyundai Mobis Co Ltd
• Denso Corporation
• ZF Friedrichshafen A
• NSK Ltd
• GKN PLC
• Mitsubishi Electric Corporation
• Hitachi Automotive Systems Ltd
• Nexteer Automotive
• Robert Bosch GmbH
• Hubei Henglong Auto System Group
• Thyssenkrupp Presta AG

Notable Milestones in Automotive Electric Steering Industry Sector

• August 2022: NSK Ltd. announced plans to revamp steering operations and received a large EPS order from Volkswagen, with volume production starting in Spring 2023.
• June 2022: Robert Bosch announced plans to strengthen its Japanese mobility production and development, transferring its EPS assembly line to its Musashi Plant.

In-Depth Automotive Electric Steering Industry Market Outlook

The future of the automotive electric steering industry is promising, driven by the continued expansion of the electric vehicle market and the increasing demand for advanced driver-assistance systems. Strategic investments in research and development, coupled with strategic partnerships and collaborations, will propel the market towards significant growth in the coming years. The industry's focus on developing highly efficient, integrated, and sophisticated steering systems will shape the future of automotive technology and enhance the overall driving experience for consumers.

Automotive Electric Steering Industry Segmentation

• 1. Type
  • 1.1. Column Type
  • 1.2. Pinion Type
  • 1.3. Dual Pinion Type
• 2. Component Type
  • 2.1. Steering Rack/Column
  • 2.2. Sensor
  • 2.3. Steering Motor
  • 2.4. Other Component Types
• 3. Vehicle Type
  • 3.1. Passenger Cars
  • 3.2. Commercial Vehicles

Automotive Electric Steering Industry Segmentation By Geography

• 1. North America
  • 1.1. United States
  • 1.2. Canada
  • 1.3. Rest of North America
• 2. Europe
  • 2.1. Germany
  • 2.2. United Kingdom
  • 2.3. France
  • 2.4. Italy
  • 2.5. Russia
  • 2.6. Rest of Europe
• 3. Asia Pacific
  • 3.1. China
  • 3.2. Japan
  • 3.3. India
  • 3.4. South Korea
  • 3.5. Rest of Asia Pacific
• 4. South America
  • 4.1. Brazil
  • 4.2. Argentina
  • 4.3. Rest of South America
• 5. Middle East and Africa
  • 5.1. South Africa
  • 5.2. Egypt
  • 5.3. United Arab Emirates
  • 5.4. Rest of Middle East and Africa