The Electric Power Steering Market size was estimated at USD 28 billion in 2023 and is projected to reach USD 45 billion by 2030, exhibiting a compound annual growth rate (CAGR) of 7.00% during the forecast period (2024-2030).

Electric Power Steering Market

Market Summary

The electric power steering market is a critical segment within the automotive and transportation industry, characterized by the widespread adoption of advanced steering systems that enhance vehicle efficiency and driver comfort. This market revolves around systems that utilize electric motors to provide steering assistance, replacing traditional hydraulic mechanisms. The shift towards electric power steering is largely driven by the global automotive industry's focus on fuel efficiency, reduced emissions, and the integration of advanced driver-assistance systems (ADAS). Major automotive manufacturers are increasingly incorporating EPS systems across various vehicle segments, from passenger cars to commercial vehicles, to meet stringent regulatory standards and consumer demand for smoother and more responsive driving experiences. The technology's ability to integrate seamlessly with other electronic systems in modern vehicles further solidifies its position as a cornerstone of automotive innovation. Continuous advancements in motor technology, sensor accuracy, and control algorithms are propelling the market forward, making electric power steering a standard feature in new vehicle models. The market is also influenced by the rising production of electric and hybrid vehicles, which prioritize energy-efficient components. As automotive design evolves towards greater electrification and automation, the electric power steering market is expected to maintain its growth trajectory, supported by ongoing research and development efforts aimed at enhancing system performance and reliability.

Key Highlights

The electric power steering market is distinguished by several key highlights that underscore its significance and dynamism. One of the foremost highlights is the technology's pivotal role in enabling fuel efficiency and reducing carbon emissions, as EPS systems consume energy only when steering assistance is required, unlike hydraulic systems that run continuously. This attribute aligns perfectly with global environmental regulations and sustainability goals. Another highlight is the integration of EPS with advanced driver-assistance systems (ADAS), such as lane-keeping assist and automated parking, which rely on precise electronic steering control for functionality. The market is also marked by the dominance of leading automotive component suppliers, including JTEKT Corporation, NSK Ltd., and Nexteer Automotive, who are at the forefront of innovation and hold substantial market shares. Regional insights reveal that Asia-Pacific is a major hub for EPS production and adoption, driven by high vehicle manufacturing rates in countries like China, Japan, and South Korea. Additionally, the commercial vehicle segment is increasingly adopting EPS systems to improve maneuverability and driver comfort. The continuous development of brushless motors and redundant systems for safety-critical applications represents another key highlight, ensuring reliability and performance in diverse driving conditions. These factors collectively highlight the market's robust growth prospects and its integral role in the future of automotive technology.

Drivers, Opportunities & Restraints

The electric power steering market is influenced by a combination of drivers, opportunities, and restraints that shape its development and expansion. Key drivers include stringent government regulations aimed at improving vehicle fuel efficiency and reducing emissions, which compel automakers to adopt energy-efficient technologies like EPS. The growing consumer preference for enhanced driving comfort and safety features also drives market growth, as EPS systems offer smoother and more responsive steering compared to hydraulic systems. Additionally, the rise in electric and hybrid vehicle production significantly boosts demand for EPS, as these vehicles require efficient electronic systems to maximize battery life and performance. Opportunities in the market abound, particularly in the integration of EPS with autonomous driving technologies and ADAS, opening new avenues for innovation and application. The expansion of automotive manufacturing in emerging economies presents another substantial opportunity for market players to increase their footprint and cater to growing vehicle demand. However, the market faces certain restraints, including the high cost of advanced EPS systems compared to conventional hydraulic systems, which can be a barrier to adoption in budget-sensitive vehicle segments. Technical challenges related to system reliability and performance in extreme conditions also pose restraints, necessitating continuous investment in research and development. Despite these challenges, the overall market trajectory remains positive, driven by technological advancements and evolving automotive trends.

Concentration Insights

The electric power steering market exhibits a concentrated structure with a few major players dominating the landscape. Companies such as JTEKT Corporation, NSK Ltd., Nexteer Automotive, ZF Friedrichshafen AG, and Robert Bosch GmbH hold significant market shares, leveraging their extensive expertise, robust R&D capabilities, and strong global presence. These industry leaders focus on strategic initiatives like mergers, acquisitions, and partnerships to enhance their product portfolios and expand their geographical reach. The market concentration is also evident in the high level of technological innovation, with these key players investing heavily in developing advanced EPS systems that meet evolving automotive standards. Regional concentration is notable, with Asia-Pacific serving as a major production and consumption hub due to the presence of leading automotive manufacturers and suppliers in countries like Japan, China, and South Korea. North America and Europe also represent significant markets, driven by high vehicle production and the early adoption of advanced automotive technologies. The competitive landscape is characterized by intense rivalry, with companies competing on factors such as product quality, technological innovation, and cost-effectiveness. This concentration fosters a environment of continuous improvement and innovation, benefiting the overall market development and ensuring the availability of high-performance EPS systems for various automotive applications.

Type Insights

The electric power steering market can be segmented based on type into column-assisted electric power steering (C-EPS), pinion-assisted electric power steering (P-EPS), and rack-assisted electric power steering (R-EPS). Each type offers distinct advantages and is suited for different vehicle applications. Column-assisted electric power steering (C-EPS) integrates the assist mechanism at the steering column, making it compact and cost-effective, ideal for small and medium-sized passenger cars. Pinion-assisted electric power steering (P-EPS) places the assist unit at the pinion gear, providing a balance between performance and cost, and is commonly used in mid-sized vehicles. Rack-assisted electric power steering (R-EPS) features the assist mechanism directly on the steering rack, delivering high performance and robustness, making it suitable for larger vehicles such as SUVs, light commercial vehicles, and luxury cars. The choice of EPS type depends on factors such as vehicle weight, desired steering feel, and packaging constraints. advancements in each type continue to enhance their efficiency and integration capabilities with other vehicle systems. The trend towards R-EPS is growing due to its superior performance and compatibility with advanced driver-assistance systems, reflecting the automotive industry's move towards higher levels of automation and electrification.

Application Insights

The application of electric power steering systems spans across passenger cars, light commercial vehicles, and heavy commercial vehicles, each segment presenting unique demands and growth dynamics. Passenger cars represent the largest application segment, driven by high production volumes and the widespread adoption of EPS for improved fuel efficiency and driving comfort. The integration of EPS in passenger cars is further accelerated by the rising consumer expectation for advanced features such as lane-keeping assist and automated parking. Light commercial vehicles are increasingly adopting EPS systems to enhance maneuverability and reduce driver fatigue, particularly in urban delivery and service applications. The heavy commercial vehicle segment, while slower in adoption due to higher cost sensitivities and robustness requirements, is gradually incorporating EPS to benefit from its precision and integration with safety systems. The growth in electric and hybrid vehicles across all application segments significantly boosts the demand for EPS, as these vehicles prioritize energy-efficient components to extend range and performance. Additionally, the expansion of the automotive aftermarket offers opportunities for EPS retrofitting and replacement, further broadening the application scope. Overall, the diverse application insights highlight the versatility and critical role of electric power steering in modern vehicles, catering to a wide range of automotive needs and driving conditions.

Regional Insights

The electric power steering market demonstrates distinct regional dynamics influenced by factors such as automotive production rates, regulatory frameworks, and technological adoption. Asia-Pacific stands as the dominant region, accounting for the largest market share due to the presence of major automotive manufacturing countries like China, Japan, and South Korea. High vehicle production, coupled with stringent emission norms and rapid adoption of advanced technologies, drives EPS demand in this region. North America follows, with a strong market presence fueled by high consumer preference for feature-rich vehicles and the early integration of ADAS and electric vehicles. The region's focus on reducing vehicular emissions and improving fuel efficiency further supports market growth. Europe represents another significant market, characterized by robust automotive innovation, strict regulatory standards, and a growing emphasis on electric mobility. Countries like Germany, France, and the UK are key contributors, with leading automakers and suppliers pioneering EPS advancements. Emerging regions such as Latin America and the Middle East & Africa show promising growth potential, driven by increasing vehicle ownership and gradual technological adoption. However, these regions face challenges related to economic volatility and infrastructure development. Overall, regional insights reveal a globally interconnected market with growth opportunities across both established and emerging automotive hubs.

Company Insights

The electric power steering market features a competitive landscape with several key companies leading innovation and market share. JTEKT Corporation, a prominent player, is renowned for its extensive product portfolio and technological expertise in steering systems. The company focuses on developing advanced EPS solutions that enhance vehicle safety and efficiency. NSK Ltd. is another major contributor, known for its high-precision components and strong R&D initiatives aimed at improving steering performance and reliability. Nexteer Automotive specializes in intuitive motion control, offering a range of EPS systems that cater to various vehicle segments and integrate seamlessly with ADAS. ZF Friedrichshafen AG leverages its broad automotive systems knowledge to deliver robust EPS solutions, emphasizing innovation and sustainability. Robert Bosch GmbH is a key player, integrating its EPS systems with other automotive technologies to provide comprehensive solutions for modern vehicles. These companies engage in strategic activities such as collaborations, acquisitions, and continuous product development to maintain their competitive edge. Other notable players include Mitsubishi Electric Corporation and Hyundai Mobis, who also contribute significantly to market dynamics through their innovative offerings and regional strengths. The collective efforts of these companies drive the evolution of the electric power steering market, ensuring the availability of advanced, reliable, and efficient steering systems for the global automotive industry.

Recent Developments

Recent developments in the electric power steering market highlight the ongoing innovation and strategic movements among key players. Companies are increasingly focusing on enhancing the integration of EPS with autonomous driving technologies and ADAS features. For instance, there have been advancements in steer-by-wire systems that eliminate the mechanical connection between the steering wheel and the wheels, relying entirely on electronic controls for greater flexibility and design freedom. Major suppliers like Nexteer Automotive and ZF Friedrichshafen have introduced new EPS products with improved energy efficiency and reduced noise, vibration, and harshness (NVH) characteristics. Collaborations between automotive manufacturers and technology firms are on the rise, aimed at developing next-generation steering solutions that support higher levels of automation. Additionally, there is a growing emphasis on sustainability, with efforts to reduce the environmental impact of EPS manufacturing processes and components. The market has also seen expansions in production capacities, particularly in Asia-Pacific, to meet the increasing demand from the automotive sector. Furthermore, regulatory developments continue to influence market trends, with new safety and emission standards prompting innovations in EPS design and functionality. These recent developments underscore the market's dynamic nature and its critical role in shaping the future of automotive steering systems.

Report Segmentation

The electric power steering market report is segmented based on type, application, and region to provide a comprehensive analysis of market dynamics and opportunities. By type, the market is divided into column-assisted electric power steering (C-EPS), pinion-assisted electric power steering (P-EPS), and rack-assisted electric power steering (R-EPS). Each type is analyzed in terms of market share, growth potential, and suitability for different vehicle segments. The application segmentation covers passenger cars, light commercial vehicles, and heavy commercial vehicles, highlighting the specific demands and adoption trends in each category. Regional segmentation includes North America, Europe, Asia-Pacific, Latin America, and the Middle East & Africa, offering insights into geographical trends, regulatory influences, and market growth prospects. This structured segmentation enables stakeholders to identify key growth areas, understand competitive landscapes, and make informed decisions based on detailed market analysis. The report also considers factors such as technological advancements, consumer preferences, and economic conditions that impact each segment. By providing a granular view of the market, the segmentation helps in assessing the potential of different EPS types and applications across various regions, facilitating strategic planning and investment decisions for businesses operating in the automotive and transportation industry.

FAQs

What is electric power steering? Electric power steering is a system that uses an electric motor to provide steering assistance, replacing traditional hydraulic systems for improved efficiency and integration with modern vehicle technologies.

How does electric power steering work? Electric power steering works by using sensors to detect steering input and vehicle speed, with an electronic control unit calculating the required assistance and directing an electric motor to apply force accordingly.

What are the benefits of electric power steering? Benefits include enhanced fuel efficiency, reduced emissions, improved driver comfort, better integration with ADAS, and lower maintenance compared to hydraulic systems.

Which vehicles use electric power steering? Electric power steering is used in passenger cars, light commercial vehicles, and increasingly in heavy commercial vehicles, across various segments from compact cars to luxury SUVs.

Who are the key players in the electric power steering market? Key players include JTEKT Corporation, NSK Ltd., Nexteer Automotive, ZF Friedrichshafen AG, and Robert Bosch GmbH, among others.

What is the future of electric power steering? The future involves greater integration with autonomous driving technologies, advancements in steer-by-wire systems, and continued focus on energy efficiency and sustainability.

Citius Research has developed a research report titled “Electric Power Steering Market Report - Global Industry Analysis, Size, Share, Growth Trends, Regional Outlook, Competitive Strategies and Segment Forecasts 2024 - 2030” delivering key insights regarding business intelligence and providing concrete business strategies to clients in the form of a detailed syndicated report. The report details out the factors such as business environment, industry trend, growth opportunities, competition, pricing, global and regional market analysis, and other market related factors.

Details included in the report for the years 2024 through 2030

• Electric Power Steering Market Potential
• Segment-wise breakup
• Compounded annual growth rate (CAGR) for the next 6 years
• Key customers and their preferences
• Market share of major players and their competitive strength
• Existing competition in the market
• Price trend analysis
• Key trend analysis
• Market entry strategies
• Market opportunity insights

The report focuses on the drivers, restraints, opportunities, and challenges in the market based on various factors geographically. Further, key players, major collaborations, merger & acquisitions along with trending innovation and business policies are reviewed in the report. The Electric Power Steering Market report is segmented on the basis of various market segments and their analysis, both in terms of value and volume, for each region for the period under consideration.

Electric Power Steering Market Segmentation

Regions Covered

• North America
• Latin America
• Europe
• MENA
• Asia Pacific
• Sub-Saharan Africa and
• Australasia

Electric Power Steering Market Analysis

The report covers below mentioned analysis, but is not limited to:

• Overview of Electric Power Steering Market
• Research Methodology
• Executive Summary
• Market Dynamics of Electric Power Steering Market
  • Driving Factors
  • Restraints
  • Opportunities
• Global Market Status and Forecast by Segment A
• Global Market Status and Forecast by Segment B
• Global Market Status and Forecast by Segment C
• Global Market Status and Forecast by Regions
• Upstream and Downstream Market Analysis of Electric Power Steering Market
• Cost and Gross Margin Analysis of Electric Power Steering Market
• Electric Power Steering Market Report - Global Industry Analysis, Size, Share, Growth Trends, Regional Outlook, Competitive Strategies and Segment Forecasts 2024 - 2030
  • Competition Landscape
  • Market Share of Major Players
• Key Recommendations

The “Electric Power Steering Market Report - Global Industry Analysis, Size, Share, Growth Trends, Regional Outlook, Competitive Strategies and Segment Forecasts 2024 - 2030” report helps the clients to take business decisions and to understand strategies of major players in the industry. The report delivers the market driven results supported by a mix of primary and secondary research. The report provides the results triangulated through authentic sources and upon conducting thorough primary interviews with the industry experts. The report includes the results on the areas where the client can focus and create point of parity and develop a competitive edge, based on real-time data results.

Electric Power Steering Market Key Stakeholders

Below are the key stakeholders for the Electric Power Steering Market:

• Manufacturers
• Distributors/Traders/Wholesalers
• Material/Component Manufacturers
• Industry Associations
• Downstream vendors

Electric Power Steering Market Report Scope

COVID-19 Impact Analysis

Like most other markets, the outbreak of COVID-19 had an unfavorable impact on the Electric Power Steering Market worldwide. This report discusses in detail the disruptions experienced by the market, the impact on flow of raw materials, manufacturing operations, production trends, consumer demand and the projected future of this market post pandemic.

The report has helped our clients:

• To describe and forecast the Electric Power Steering Market size, on the basis of various segmentations and geography, in terms of value and volume
• To measure the changing needs of customers/industries
• To provide detailed information regarding the drivers, restraints, opportunities, and challenges influencing the growth of the market
• To gain competitive intelligence and uncover new opportunities
• To analyse opportunities in the market for stakeholders by identifying high-growth segments in Electric Power Steering Market
• To strategically profile key players and provide details of the current competitive landscape
• To analyse strategic approaches adopted by players in the market, such as product launches and developments, acquisitions, collaborations, contracts, expansions, and partnerships

Report Customization

Citius Research provides free customization of reports as per your need. This report can be personalized to meet your requirements. Get in touch with our sales team, who will guarantee you to get a report that suits your necessities.

Frequently Asked Questions