by The Electric Powertrain Market is estimated to be valued at US$ 75.3 billion in 2022 and is expected to exhibit a CAGR of 16.4% over the forecast period 2022-2030, as highlighted in a new report published by Coherent Market Insights.
Market Overview:
The electric powertrain market includes all the components and systems necessary for the propulsion of electric vehicles. It primarily consists of electric motors, batteries, electric control units, and power electronics. Electric powertrains offer numerous advantages over traditional internal combustion engines, such as reduced emissions, lower operating costs, and improved performance. The demand for electric powertrains is increasing rapidly due to the growing adoption of electric vehicles and the need to reduce carbon emissions. Electric powertrains are being used in a wide range of vehicles, including passenger cars, commercial vehicles, and two-wheelers.
Market Dynamics:
The electric powertrain market is driven by two main factors. Firstly, the increasing demand for electric vehicles (EVs) is driving the growth of the market. The growing concern regarding environmental pollution and the need to reduce greenhouse gas emissions have resulted in an increased adoption of EVs worldwide. Additionally, government initiatives and regulations to encourage the manufacturing and adoption of electric vehicles are further propelling market growth.
Secondly, the rising number of government initiatives aimed at reducing carbon emissions is creating significant opportunities for the electric powertrain market. Governments around the world are implementing stringent emission regulations and offering incentives, subsidies, and tax benefits to promote the use of electric vehicles. These initiatives are expected to boost the demand for electric powertrains in the coming years.
The electric powertrain market is poised for high growth due to the increasing demand for electric vehicles and the implementation of government initiatives to reduce carbon emissions.
Segment Analysis:
The electric powertrain market can be segmented based on vehicle type, component, and propulsion type. In terms of vehicle type, the dominating segment is the passenger cars segment. The increasing demand for electric vehicles (EVs) and the government initiatives to promote clean energy are driving the growth of the passenger cars segment. Moreover, the growing consumer awareness about the environmental benefits of EVs and the availability of charging infrastructure are further bolstering the dominance of this segment. As a result, major players in the electric powertrain market are focusing on developing innovative solutions specifically for the passenger cars segment.
PEST Analysis:
Political: Government interventions and regulations are playing a crucial role in shaping the electric powertrain market. The implementation of stringent carbon emission regulations and the provision of incentives and subsidies for purchasing EVs are driving the growth of this market.
Economic: The economic factors influencing the electric powertrain market include the availability of affordable EVs, the cost of infrastructure development, and the availability of charging stations. The decreasing cost of battery technologies and the increasing investments in charging infrastructure are driving the economic growth of this market.
Social: The growing consumer awareness about the environmental impact of traditional internal combustion engine vehicles is driving the adoption of electric powertrains. The increasing concern for air pollution and the promotion of clean energy are social factors contributing to the growth of this market.
Technological: Technological advancements in battery technologies, electric motors, and power electronics are driving the growth of the electric powertrain market. The development of high-capacity lithium-ion batteries and the improvement in charging efficiency are technological factors influencing this market.
Key Takeaways:
The global electric powertrain market is expected to witness high growth, exhibiting a CAGR of 16.4% over the forecast period of 2022-2030, due to increasing government regulations and incentives for promoting clean energy and the growing consumer awareness about environmental protection.
In terms of regional analysis, Asia Pacific is the fastest-growing and dominating region in the electric powertrain market. The increasing urbanization, rising disposable income, and supportive government initiatives for electric vehicles are driving the growth of this market in the region. China, Japan, and South Korea are key contributors to the growth of the electric powertrain market in Asia Pacific.
Key players operating in the electric powertrain market include Borgwarner Inc., Continental Ag, Magna International Inc., Marelli Holdings Co Ltd., Mitsubishi Electric Corporation, Nidec Corporation, Robert Bosch Gmbh, Schaeffler Group Usa Inc., and Valeo Sa. These key players are investing in research and development activities to develop advanced electric powertrain solutions and expand their market presence.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
Money Singh is a seasoned content writer with over four years of experience in the market research sector. Her expertise spans various industries, including food and beverages, biotechnology, chemical and materials, defense and aerospace, consumer goods, etc.
