Vehicle Electrification Market

Global Vehicle Electrification Market Size (2024 to 2029)

The global vehicle electrification market size is expected to reach USD 108.97 billion in 2024 and is anticipated to reach a valuation of USD 178.47 billion by 2029, growing at a CAGR of 10.37% during the forecast period 2024 to 2029.

Electric vehicles are designed to work on electricity, and the consumption of fossil fuels is decreased. Electric cars also are likely to assist in the aim of low carbon emissions from vehicles. OEMs across the planet are making efforts to develop and introduce electric vehicles on roads as soon as possible.

Adoption of unpolluted power generation sources in such vehicles significantly impacts the environment with reduced harmful emissions of tailpipes also because of the power system. Additionally, the electrification process incurs less operating expense and requires low maintenance because it eliminates the utilization of lubricant or coolant within the vehicle. The mechanical integration through electrification improves the general working and efficiency, which is anticipated to spice up the market over the foreseen phase. 

MARKET DRIVERS

The global vehicle electrification market has seen a severe rate of growth due to the considerable shifting of the technologies of the automotive market from hydrocarbon energy to electricity. The need for sunshine-weighted automobiles to enhance fuel efficiency and reduced carbon emissions drives the expansion of this market. However, the efforts put in by the varied vital players of this marketplace for the event of this technology results in the exponential growth of the market.

MARKET RESTRAINTS

However, it's hard to exchange an energy source like gasoline of the oil & gas sector with electricity thanks to the high power generation capacity of the previous, which limits the market growth.

REPORT COVERAGE

SEGMENT ANALYSIS

Global Vehicle Electrification Market Analysis By Product Type

The electric power steering witnessed high interest in 2016 and is anticipated to grow at a CAGR of 6.3% over the foreseen phase. Electric power steering (EPS) demanding benefits include advanced technology displacing the hydraulic guide with a computer-controlled motor within the vehicle. EPS is smaller and lighter than HPS because it eliminates various conventional components and thus, ends in an energy-efficient solution for automobiles. The lack of reliability in hydraulic power steering further supports the growth of EPS in this market. However, the electric pump in the merchandise type segment is predicted to witness an enormous CAGR of 10.7% over the foreseen phase. Useful mechanical integration fuels electrical pump applications in the automotive. This results in oil lubrication being equally distributed amongst the required area of the engine also because of the different parts of the auto. 

Global Vehicle Electrification Market Analysis By Degree of Hybridization

Plug-in hybrid Electric Vehicle (PHEV) is anticipated to expand at a comparatively higher CAGR of 15.6 % than other hybridization types over the foreseen phase. The current technology and mechanical integration prospect within automobiles delivers the consumer with an optimum desired solution for efficiency. The rising demand for PHEVs is attributed to growing consumer preference for the benefits of fuel efficiency and low operational and maintenance cost of the vehicle.

Battery Electric Vehicle (BEV) is predicted to grow at a healthy CAGR of 14.2% over the foreseen phase. The expansion within the segment is owed to changing environmental standards across all nation's governments. The aim to attenuate the impact of worldwide carbon footprints is further anticipated to fuel the demand of the market within the industry.

REGIONAL ANALYSIS

North America is predicted to be the fastest-growing marketplace for vehicle electrification. The expansion in this region is propelled by growing charging infrastructure and significant investments by OEMs in the development of auto electrification. The US is about to dominate the North American market, holding the very best market share in the future. Thus, North America is predicted to be the fastest-growing market during the foreseen phase.

Europe is projected to account for the second-largest marketplace for vehicle electrification. The government within the region is concentrated to practice sustainable development within the infrastructure growth which has led the OEM of auto electrification to expand their business in major countries like Germany, France, Italy, and the U.K.

The Asia Pacific market was estimated at USD 31.71 billion in 2016. The rising automotive industry in countries like India and China due to the demand for vehicles supplements the expansion of the industry. However, the mixture of rising population in countries and increasing per capita income stimulates the demand for private transport automobile that is supportive of a sustainable environment.

KEY PLAYERS IN THE GLOBAL VEHICLE ELECTRIFICATION MARKET

Robert Bosch GmbH, Continental AG, Denso Corporation, Delphi Automotive PLC, Johnson Electric Holdings Ltd., Volkswagen, Toyota Motor Corporation, Honda Motor Co. Ltd, Mitsubishi Electric Corporation, TRW Automotive Holdings Corp. these are the market players that are dominating the global vehicle electrification market.

DETAILED SEGMENTATION OF THE GLOBAL VEHICLE ELECTRIFICATION MARKET INCLUDED IN THIS REPORT

This research report on the vehicle electrification market is segmented and sub-segmented into the following categories.

By Product Type

• Start-stop
• Electric Power Steering (EPS)
• Liquid heater Ptc
• Electric Air conditioner Compressor
• Electric vacuum pump
• Electric oil pump
• Electric water pump
• Starter motor
• Alternator
• Integrated Starter Generator (ISG)
• Actuator

By Vehicle Type

• Passenger Car
• Light Commercial Vehicle
• Truck
• Bus

By Degree of Hybridization

• Internal Combustion Engine (ICE) & Micro hybrid vehicle
• Hybrid electric vehicle (HEV)
• Plug-in hybrid electric vehicle (PHEV)
• Battery electric vehicle (BEV)
• 48 V vehicle

By Region

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