Electric Steering System Sales

Electric Steering System Sales Market Outlook

The global electric steering system sales market is projected to reach approximately USD 33.7 billion by 2026, registering a compound annual growth rate (CAGR) of around 7.5% from 2023 to 2026. The growth of this market can be attributed to the increasing demand for advanced automotive technologies, as manufacturers aim to enhance vehicle performance, safety, and fuel efficiency. One of the major growth factors is the growing adoption of electric vehicles (EVs) and autonomous vehicles, which necessitate the implementation of responsive and efficient steering systems. Furthermore, stringent regulations regarding emissions and fuel economy are driving manufacturers toward innovative steering solutions, contributing to the market's expansion. Investments in research and development, coupled with technological advancements, are expected to propel the electric steering system sales market significantly in the coming years.

Growth Factor of the Market

Several factors are contributing to the growth of the electric steering system sales market. Firstly, the increasing focus on reducing vehicle weight to improve fuel efficiency is driving the adoption of electric steering systems, which offer a lighter alternative to traditional hydraulic systems. Secondly, the rise in consumer preference for comfort and premium features in vehicles is leading automakers to incorporate electric power steering (EPS) systems, which provide enhanced steering assistance and adjustability. Thirdly, advancements in sensor technology and electronics are enabling manufacturers to develop more sophisticated steering systems that can adapt to various driving conditions, enhancing overall vehicle safety and performance. Additionally, the growing trend of vehicle electrification is creating lucrative opportunities for the electric steering system market, as these systems are essential components in electric and hybrid vehicles. Lastly, increasing investments from automotive giants in the research and development of innovative steering technologies are expected to further fuel market growth.

Key Highlights of the Market

• The market is expected to grow significantly due to the rising adoption of electric and autonomous vehicles.
• Technological innovations in electric steering systems are enhancing vehicle safety and performance.
• A shift toward lightweight materials in automotive design is favoring the adoption of electric steering solutions.
• Increasing demand for advanced driver-assistance systems (ADAS) is driving market developments.
• Emerging economies are witnessing a rise in vehicle production, contributing to the market growth.

By Product Type

Column Assist Electric Power Steering

Column assist electric power steering systems are designed to enhance the steering response in vehicles, particularly in compact car segments. These systems utilize electric motors mounted directly on the steering column, providing precise control and improved feedback to the driver. The growing demand for increased maneuverability in urban environments is significantly benefiting this segment, as it allows for smoother steering input while reducing driver fatigue during prolonged usage. As vehicle manufacturers aim to create more user-friendly and adaptable driving experiences, column assist systems are gaining traction in various car models. Moreover, the lightweight nature of these systems aligns with the automotive industry's focus on fuel efficiency, further propelling their adoption in newer vehicle models.

Pinion Assist Electric Power Steering

Pinion assist electric power steering systems are widely used in mid-sized and larger vehicles due to their balanced performance across various driving scenarios. This system employs a combination of electric motors and mechanical linkages, providing enhanced steering precision and control. The primary advantage of pinion assist systems lies in their ability to offer variable steering assistance based on speed, improving vehicle handling and stability. As consumers become more focused on driving dynamics and safety features, manufacturers are increasingly integrating pinion assist EPS into their designs to meet these expectations. Additionally, the growing emphasis on reducing carbon emissions and enhancing fuel economy is driving the shift toward electric power steering systems, positioning pinion assist EPS favorably within the market.

Rack Assist Electric Power Steering

Rack assist electric power steering systems represent a significant advancement in steering technology, leveraging electric motors to provide direct assistance at the rack, where the steering input is transferred to the wheels. This configuration results in a more responsive and dynamic steering feel, which is particularly beneficial for sports cars and performance vehicles. As automakers increasingly prioritize driving enjoyment alongside fuel efficiency, the demand for rack assist EPS continues to rise. Furthermore, the system's ability to reduce mechanical components contributes to an overall reduction in vehicle weight, aligning with industry trends towards lightweight design. With the integration of advanced sensors and electronic control units, rack assist systems are increasingly tailored to individual driver preferences, enhancing the user experience.

Dual Pinion Electric Power Steering

Dual pinion electric power steering systems are an innovative solution designed to provide superior steering response and enhanced vehicle stability under various conditions. This system incorporates two pinion gears, allowing for a more direct connection between the steering wheel and the vehicle's wheels, resulting in exceptional handling characteristics. The increasing performance demands of both consumers and manufacturers are propelling the adoption of dual pinion systems in high-performance vehicles and luxury sedans. As the automotive industry shifts toward more dynamic driving experiences, these systems are positioned to meet the growing expectations of consumers. Moreover, the advanced feedback mechanisms integrated into dual pinion EPS enhance road feel, providing drivers with a greater sense of control and confidence while driving.

Direct Drive Electric Power Steering

Direct drive electric power steering systems represent the latest evolution in steering technology, offering a direct mechanical connection between the electric motor and the steering column. This configuration eliminates the need for traditional linkages and gears, resulting in a more compact, efficient, and responsive system. The direct drive system is particularly appealing for electric and hybrid vehicles, where efficiency and responsiveness are paramount. As manufacturers focus on creating vehicles that deliver a seamless driving experience, direct drive EPS is emerging as a preferred choice. Additionally, the simplicity of the direct drive design reduces the overall weight of the steering system, which is crucial for optimizing electric vehicle range and performance.

By Application

Passenger Cars

Passenger cars account for a significant portion of the electric steering system market, driven by the increasing demand for fuel-efficient and environmentally friendly vehicles. The implementation of electric power steering systems in passenger cars offers numerous advantages, including improved handling, driver comfort, and reduced energy consumption compared to traditional hydraulic systems. As more consumers seek fuel-efficient vehicles that also provide enhanced driving experiences, automakers are responding by integrating advanced EPS technologies across their vehicle lineups. Furthermore, the growing trend of smart and connected vehicles is pushing manufacturers to adopt electronic steering solutions that can interface with advanced driver-assistance systems (ADAS), making electric steering systems a vital component in the modern passenger vehicle landscape.

Commercial Vehicles

Commercial vehicles, which include trucks, vans, and buses, are increasingly adopting electric power steering systems due to their ability to enhance maneuverability and reduce driver fatigue. The implementation of EPS in commercial vehicles presents numerous benefits, such as improved steering precision, reduced steering effort, and enhanced fuel efficiency. As the logistics and transportation industries evolve, the need for reliable and efficient steering solutions becomes paramount. Furthermore, the adoption of electric steering systems can contribute to lower operating costs by reducing the energy consumption of the vehicle. With the rising demand for efficient and low-emission commercial vehicles, manufacturers are actively investing in the integration of electric steering technologies.

Electric Vehicles

The electric vehicle segment is experiencing unprecedented growth, fueling the demand for electric steering systems significantly. Electric vehicles rely on electric power steering to enhance driving dynamics while minimizing energy consumption. As automakers expand their electric vehicle offerings, the integration of efficient and lightweight steering systems becomes crucial for optimizing performance and range. Additionally, electric steering systems are compatible with regenerative braking systems, allowing for better energy management during driving. With evolving government regulations encouraging the adoption of electric vehicles, manufacturers are increasingly focused on developing innovative steering solutions that cater to the unique requirements of this rapidly growing segment.

Autonomous Vehicles

The rise of autonomous vehicles is transforming the automotive landscape, creating a significant demand for advanced electric steering systems. These vehicles require highly responsive and adaptable steering technologies to ensure safe and reliable operation without human intervention. Electric power steering systems play a critical role in enabling precise control and quick adjustments based on real-time data from sensors and cameras. As automakers invest heavily in autonomous technology, the integration of electric steering systems becomes essential for achieving the desired levels of safety and reliability. Furthermore, as research and development in autonomous driving continue to evolve, the electric steering systems will increasingly incorporate advanced features to enhance overall vehicle performance and user experience.

Off-Road Vehicles

Off-road vehicles are witnessing a growing adoption of electric steering systems due to the unique challenges associated with rugged terrain and demanding driving conditions. Electric power steering systems provide enhanced torque and responsiveness, allowing drivers to maintain control and stability over uneven surfaces. The ability to customize steering feedback to suit various off-road environments is a significant advantage of electric steering systems. As outdoor and recreational activities gain popularity, manufacturers are emphasizing the integration of advanced steering solutions in off-road vehicles to enhance performance and driver experience. The increasing demand for off-road vehicles is expected to fuel the growth of electric steering systems within this application segment.

By Distribution Channel

OEMs

Original Equipment Manufacturers (OEMs) play a crucial role in the distribution of electric steering systems, as they are responsible for integrating these technologies during the vehicle manufacturing process. OEMs are increasingly adopting electric power steering systems to meet consumer demand for fuel efficiency, enhanced performance, and advanced safety features. The collaboration between automotive manufacturers and steering system suppliers is central to developing innovative solutions that align with market trends. As the global automotive market continues to evolve, OEMs are expected to prioritize the integration of electric steering systems as a standard offering across their vehicle lineups. Furthermore, the shift toward electric and autonomous vehicles is prompting OEMs to invest in research and development to create cutting-edge steering technologies.

Aftermarket

The aftermarket segment for electric steering systems is gaining traction as consumers look to upgrade their existing vehicles with more efficient and advanced steering technologies. Retailers and service providers are beginning to offer electric power steering systems as direct replacements for traditional hydraulic systems, providing customers with performance enhancements and improved fuel economy. The growth of the aftermarket segment is driven by the increasing awareness of the benefits of electric steering systems, coupled with the rising number of vehicles in operation worldwide. Additionally, as the automotive industry shifts toward electrification, aftermarket suppliers are leveraging this opportunity to develop products that meet the growing demand for electric steering solutions. With a focus on quality and performance, the aftermarket segment is set to experience significant growth in the coming years.

By Component Type

Electric Motor

Electric motors are a fundamental component of electric steering systems, providing the necessary torque and power for steering assistance. The efficiency and performance of electric motors directly impact the overall effectiveness of the steering system. As manufacturers continue to prioritize the development of high-efficiency electric motors, advancements in materials and design are leading to lighter and more compact solutions. The integration of electric motors in steering systems not only enhances vehicle responsiveness but also contributes to weight reduction, aligning with industry goals of improving fuel efficiency. Furthermore, the growing demand for electric and hybrid vehicles is stimulating innovation in electric motor technologies, ensuring their continued significance in the electric steering systems market.

Sensors

Sensors play a vital role in electric steering systems, providing critical feedback on vehicle dynamics and steering input. They enable the system to adjust the level of assistance provided based on factors such as speed, road conditions, and driver behavior. The incorporation of advanced sensor technologies, including torque sensors and position sensors, enhances the overall performance and responsiveness of electric steering systems. As the automotive industry shifts toward more automated and connected vehicles, the demand for sophisticated sensors that can seamlessly integrate with steering systems is increasing. The continuous evolution of sensor technology is expected to drive growth in this segment, as manufacturers strive to enhance vehicle safety and performance.

Electronic Control Unit

The electronic control unit (ECU) is the brain of the electric steering system, responsible for processing data from various sensors and controlling the electric motor's output. The ECU plays a crucial role in ensuring optimal performance and responsiveness of the steering system, adapting to changing driving conditions in real-time. As vehicle technology continues to advance, the integration of sophisticated algorithms and software within the ECU is enhancing the capabilities of electric steering systems. This evolution is particularly significant in the context of autonomous driving, where precise control and adaptability are paramount. With the increasing focus on software-driven technologies in the automotive sector, the role of the ECU in electric steering systems is becoming more critical, positioning it as a key component for future innovations in steering technology.

By Region

The North American electric steering system market is anticipated to witness substantial growth, driven by the high demand for advanced automotive technologies and the increasing adoption of electric vehicles. As of 2023, the North American market is estimated to account for approximately 30% of the global electric steering system sales, valued at around USD 10 billion. The region's robust automotive industry, characterized by the presence of major manufacturers and suppliers, is a significant contributing factor to this growth. Moreover, the consumer preference for vehicles equipped with advanced safety features and improved fuel efficiency further propels the adoption of electric steering systems. The CAGR for the North American market is projected to be around 8% over the next few years, reflecting the growing emphasis on innovation and sustainability in the automotive sector.

Europe is also experiencing rapid growth in the electric steering system market, accounting for approximately 35% of global sales, valued at around USD 11.5 billion as of 2023. The European automotive market is characterized by stringent regulations surrounding emissions and safety, prompting manufacturers to adopt electric power steering systems as part of their efforts to comply with these standards. Additionally, the increasing production of electric vehicles in Europe is driving the demand for efficient and lightweight steering solutions. With notable automotive hubs such as Germany and France leading the charge in electric vehicle production, the European market is expected to grow with a CAGR of approximately 7% from 2023 to 2026, propelled by advancements in steering technologies and a shift toward sustainable transportation options.

Opportunities

The electric steering system market presents numerous opportunities as the automotive industry undergoes transformative changes. One significant opportunity lies in the growing demand for electric and hybrid vehicles, which require advanced steering technologies to optimize performance and efficiency. As more consumers shift their preferences toward environmentally friendly transportation options, manufacturers are investing in the development of electric steering systems that cater to the specific needs of electric vehicles. Additionally, the push towards autonomous driving presents a lucrative opportunity for the electric steering system market, as these vehicles require sophisticated steering technologies for seamless operation. As research and development efforts continue to advance, the potential for collaboration between automotive manufacturers and technology companies is expected to drive innovation in electric steering systems, further expanding market opportunities.

Furthermore, the increasing emphasis on enhancing driver experience and safety features is creating additional opportunities for electric steering systems. With the integration of advanced driver-assistance systems (ADAS), manufacturers are focusing on developing steering solutions that enhance vehicle control, responsiveness, and stability. The growing trend of connected vehicles also presents opportunities for electric steering systems to integrate with other vehicle functionalities, creating more comprehensive solutions that improve overall performance. As the automotive industry continues to evolve and adapt to changing consumer demands and technological advancements, the electric steering system market is well-positioned to capitalize on these opportunities to drive sustained growth.

Threats

While the electric steering system market offers significant growth potential, several threats could hinder its progress. One major threat is the growing competition from alternative steering technologies, such as hydraulic systems that are still widely used in certain vehicle segments. Despite the advantages of electric power steering systems, the inertia of existing manufacturing practices and consumer preferences for traditional systems may slow down adoption rates in some markets. Furthermore, fluctuations in raw material prices used in the production of electric steering systems could impact the overall cost and profitability for manufacturers. As global supply chains continue to face challenges, including disruptions and increased costs, the electric steering system market may experience pressure on profit margins, affecting overall growth prospects.

Another significant threat to the electric steering system market is the rapid pace of technological change and innovation. As new technologies emerge in the automotive sector, existing electric steering system designs may become obsolete, requiring manufacturers to invest heavily in research and development to stay competitive. Additionally, regulatory changes related to automotive safety and emissions could necessitate further modifications to electric steering systems, adding complexity to the manufacturing process. Manufacturers must remain agile and adaptable in the face of these challenges to ensure their products meet evolving consumer demands and regulatory requirements.

Competitor Outlook

• Bosch
• ZF Friedrichshafen AG
• Continental AG
• Thyssenkrupp AG
• JTEKT Corporation
• Volkswagen AG
• Delphi Technologies
• Parker Hannifin Corporation
• Schaeffler AG
• Hitachi Automotive Systems
• Ford Motor Company
• Audi AG
• Hyundai Mobis
• TRW Automotive
• Valeo

The electric steering system market is witnessing intense competition as several key players vie for market share. The competitive landscape is characterized by a mix of established automotive suppliers and emerging technology companies that are focusing on innovation and advanced steering solutions. Companies like Bosch and ZF Friedrichshafen AG are at the forefront of the market, investing significantly in research and development to create state-of-the-art electric steering systems. Their extensive experience and technological capabilities allow them to offer a wide range of products tailored for various vehicle segments, from passenger cars to commercial vehicles. Additionally, these companies are strategically partnering with automakers to integrate their advanced steering solutions into new vehicle models, further solidifying their market position.

Continental AG and JTEKT Corporation are also notable players in the electric steering system market, known for their innovative approaches and commitment to sustainability. Continental has leveraged its expertise in automotive electronics to develop cutting-edge steering technologies that improve safety and driving dynamics. Meanwhile, JTEKT's focus on lightweight and efficient steering systems aligns with the growing trend of vehicle electrification. As consumer preferences shift toward more environmentally friendly vehicles, these companies are well-positioned to capitalize on emerging opportunities in the market. Furthermore, the competitive landscape is continuously evolving, with new entrants and technology innovators seeking to disrupt traditional business models through advancements in steering technologies.

The automotive industry is also witnessing increased integration of electric steering systems with advanced driver-assistance systems (ADAS) and autonomous driving technologies. Companies such as Delphi Technologies and Parker Hannifin Corporation are at the forefront of this trend, developing steering solutions that enhance vehicle safety and driving performance. Their collaboration with major automotive manufacturers enables them to create tailored solutions that meet the specific needs of modern vehicles. As the market evolves, it is expected that leading companies will continue to focus on strategic partnerships, technological advancements, and innovative product development to maintain their competitive edge and address the growing demand for electric steering systems.

• 1 Appendix

  • 1.1 List of Tables
  • 1.2 List of Figures

• 2 Introduction

  • 2.1 Market Definition
  • 2.2 Scope of the Report
  • 2.3 Study Assumptions
  • 2.4 Base Currency & Forecast Periods

• 3 Market Dynamics

  • 3.1 Market Growth Factors
  • 3.2 Economic & Global Events
  • 3.3 Innovation Trends
  • 3.4 Supply Chain Analysis

• 4 Consumer Behavior

  • 4.1 Market Trends
  • 4.2 Pricing Analysis
  • 4.3 Buyer Insights

• 5 Key Player Profiles

  • 5.1 Bosch
    • 5.1.1 Business Overview
    • 5.1.2 Products & Services
    • 5.1.3 Financials
    • 5.1.4 Recent Developments
    • 5.1.5 SWOT Analysis
  • 5.2 Valeo
    • 5.2.1 Business Overview
    • 5.2.2 Products & Services
    • 5.2.3 Financials
    • 5.2.4 Recent Developments
    • 5.2.5 SWOT Analysis
  • 5.3 Audi AG
    • 5.3.1 Business Overview
    • 5.3.2 Products & Services
    • 5.3.3 Financials
    • 5.3.4 Recent Developments
    • 5.3.5 SWOT Analysis
  • 5.4 Hyundai Mobis
    • 5.4.1 Business Overview
    • 5.4.2 Products & Services
    • 5.4.3 Financials
    • 5.4.4 Recent Developments
    • 5.4.5 SWOT Analysis
  • 5.5 Schaeffler AG
    • 5.5.1 Business Overview
    • 5.5.2 Products & Services
    • 5.5.3 Financials
    • 5.5.4 Recent Developments
    • 5.5.5 SWOT Analysis
  • 5.6 Volkswagen AG
    • 5.6.1 Business Overview
    • 5.6.2 Products & Services
    • 5.6.3 Financials
    • 5.6.4 Recent Developments
    • 5.6.5 SWOT Analysis
  • 5.7 Continental AG
    • 5.7.1 Business Overview
    • 5.7.2 Products & Services
    • 5.7.3 Financials
    • 5.7.4 Recent Developments
    • 5.7.5 SWOT Analysis
  • 5.8 TRW Automotive
    • 5.8.1 Business Overview
    • 5.8.2 Products & Services
    • 5.8.3 Financials
    • 5.8.4 Recent Developments
    • 5.8.5 SWOT Analysis
  • 5.9 Thyssenkrupp AG
    • 5.9.1 Business Overview
    • 5.9.2 Products & Services
    • 5.9.3 Financials
    • 5.9.4 Recent Developments
    • 5.9.5 SWOT Analysis
  • 5.10 JTEKT Corporation
    • 5.10.1 Business Overview
    • 5.10.2 Products & Services
    • 5.10.3 Financials
    • 5.10.4 Recent Developments
    • 5.10.5 SWOT Analysis
  • 5.11 Ford Motor Company
    • 5.11.1 Business Overview
    • 5.11.2 Products & Services
    • 5.11.3 Financials
    • 5.11.4 Recent Developments
    • 5.11.5 SWOT Analysis
  • 5.12 Delphi Technologies
    • 5.12.1 Business Overview
    • 5.12.2 Products & Services
    • 5.12.3 Financials
    • 5.12.4 Recent Developments
    • 5.12.5 SWOT Analysis
  • 5.13 ZF Friedrichshafen AG
    • 5.13.1 Business Overview
    • 5.13.2 Products & Services
    • 5.13.3 Financials
    • 5.13.4 Recent Developments
    • 5.13.5 SWOT Analysis
  • 5.14 Hitachi Automotive Systems
    • 5.14.1 Business Overview
    • 5.14.2 Products & Services
    • 5.14.3 Financials
    • 5.14.4 Recent Developments
    • 5.14.5 SWOT Analysis
  • 5.15 Parker Hannifin Corporation
    • 5.15.1 Business Overview
    • 5.15.2 Products & Services
    • 5.15.3 Financials
    • 5.15.4 Recent Developments
    • 5.15.5 SWOT Analysis

• 6 Market Segmentation

  • 6.1 Electric Steering System Sales Market, By Application
    • 6.1.1 Passenger Cars
    • 6.1.2 Commercial Vehicles
    • 6.1.3 Electric Vehicles
    • 6.1.4 Autonomous Vehicles
    • 6.1.5 Off-Road Vehicles
  • 6.2 Electric Steering System Sales Market, By Product Type
    • 6.2.1 Column Assist Electric Power Steering
    • 6.2.2 Pinion Assist Electric Power Steering
    • 6.2.3 Rack Assist Electric Power Steering
    • 6.2.4 Dual Pinion Electric Power Steering
    • 6.2.5 Direct Drive Electric Power Steering
  • 6.3 Electric Steering System Sales Market, By Component Type
    • 6.3.1 Electric Motor
    • 6.3.2 Sensors
    • 6.3.3 Electronic Control Unit

• 7 Competitive Analysis

  • 7.1 Key Player Comparison
  • 7.2 Market Share Analysis
  • 7.3 Investment Trends
  • 7.4 SWOT Analysis

• 8 Research Methodology

  • 8.1 Analysis Design
  • 8.2 Research Phases
  • 8.3 Study Timeline

• 9 Future Market Outlook

  • 9.1 Growth Forecast
  • 9.2 Market Evolution

• 10 Geographical Overview

  • 10.1 Europe - Market Analysis
    • 10.1.1 By Country
      • 10.1.1.1 UK
      • 10.1.1.2 France
      • 10.1.1.3 Germany
      • 10.1.1.4 Spain
      • 10.1.1.5 Italy
  • 10.2 Asia Pacific - Market Analysis
    • 10.2.1 By Country
      • 10.2.1.1 India
      • 10.2.1.2 China
      • 10.2.1.3 Japan
      • 10.2.1.4 South Korea
  • 10.3 Latin America - Market Analysis
    • 10.3.1 By Country
      • 10.3.1.1 Brazil
      • 10.3.1.2 Argentina
      • 10.3.1.3 Mexico
  • 10.4 North America - Market Analysis
    • 10.4.1 By Country
      • 10.4.1.1 USA
      • 10.4.1.2 Canada
  • 10.5 Middle East & Africa - Market Analysis
    • 10.5.1 By Country
      • 10.5.1.1 Middle East
      • 10.5.1.2 Africa
  • 10.6 Electric Steering System Sales Market by Region

• 11 Global Economic Factors

  • 11.1 Inflation Impact
  • 11.2 Trade Policies

• 12 Technology & Innovation

  • 12.1 Emerging Technologies
  • 12.2 AI & Digital Trends
  • 12.3 Patent Research

• 13 Investment & Market Growth

  • 13.1 Funding Trends
  • 13.2 Future Market Projections

• 14 Market Overview & Key Insights

  • 14.1 Executive Summary
  • 14.2 Key Trends
  • 14.3 Market Challenges
  • 14.4 Regulatory Landscape

Segments Analyzed in the Report

The global Electric Steering System Sales market is categorized based on

By Product Type

• Column Assist Electric Power Steering
• Pinion Assist Electric Power Steering
• Rack Assist Electric Power Steering
• Dual Pinion Electric Power Steering
• Direct Drive Electric Power Steering

By Application

• Passenger Cars
• Commercial Vehicles
• Electric Vehicles
• Autonomous Vehicles
• Off-Road Vehicles

By Component Type

• Electric Motor
• Sensors
• Electronic Control Unit

By Region

• North America
• Europe
• Asia Pacific
• Latin America
• Middle East & Africa

Key Players

• Bosch
• ZF Friedrichshafen AG
• Continental AG
• Thyssenkrupp AG
• JTEKT Corporation
• Volkswagen AG
• Delphi Technologies
• Parker Hannifin Corporation
• Schaeffler AG
• Hitachi Automotive Systems
• Ford Motor Company
• Audi AG
• Hyundai Mobis
• TRW Automotive
• Valeo