July 23, 2024

Rising demand for electric vehicles projected to boost the growth of Automotive Motors Market

The global Automotive Motors Market is estimated to be valued at US$ 29.98 Bn in 2023 and is expected to exhibit a CAGR of 6.6% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.

Market Overview:

Automotive motors are mechanical devices that convert electrical energy into mechanical energy. They are extensively utilized in automobiles to power functions like starting the engine, energizing vehicle systems, powering windows, electric steering, and others. The automotive industry has witnessed rapid growth in adoption of electric vehicles owing to stringent emission regulations and increasing focus on sustainability. This has propelled demand for electric motors in automobiles.

Market key trends:

One of the major trends in the automotive motors market is the rising adoption of brushless DC motors. Brushless DC motors are more efficient and deliver higher output as compared to brushed DC motors. They also have longer operational life and require less maintenance. Hence, OEMs are increasingly utilizing brushless DC motors in electric vehicles and hybrid vehicles. For instance, electric motors in Tesla vehicles are powered by brushless DC motors owing to their higher efficiency. Growing electric vehicle production is expected to drive the demand for brushless DC motors over the forecast period.
Porter’s Analysis

Threat of new entrants: The automotive motors market requires high R&D investments and manufacturing facility setup costs. Thus, the threat of new entrants is moderate.

Bargaining power of buyers: The presence of numerous OEMs and part suppliers in the automotive motors market results in high bargaining power of buyers.

Bargaining power of suppliers: Major suppliers of motors and electrical components enjoy low to moderate bargaining power due to fragmented supply base and availability of substitute products.

Threat of new substitutes: Electrification of vehicles and growth of hybrid powertrains pose a threat of substitution to conventional IC engines and associated systems over the long run.

Competitive rivalry: The automotive motors market witnesses intense competition due to presence of numerous global and regional players vying for market share.

Key Takeaways

The global automotive motors market is expected to witness high growth, exhibiting CAGR of 6.6% over the forecast period, due to increasing demand for fuel-efficient and low emission vehicles.

Regional analysis: Asia Pacific dominates the global automotive motors market and is expected to maintain its lead over the forecast period. This can be attributed to high vehicle production in China, India, Japan, and South Korea. Europe and North America are other major markets owing to presence of major automakers.

Key players: Key players operating in the automotive motors market are Siemens AG, Robert Bosch GmbH, Continental AG, Denso Corporation, Magna International, Mitsubishi Electric Corporation, Valeo S.A., Mahle Group, Nidec Corporation, and Borgwarner Inc. Siemens and Bosch are the prominent suppliers with diversified product portfolio and global presence. _______________________________________________________________________