Automotive E-axle Market

Global Automotive E-axle Market Research Report: By Electric Vehicle Type (Battery Electric Vehicle, Hybrid Electric Vehicle, and Plug-in Hybrid Electric Vehicle), By Drive Type (All-Wheel Drive (AWD), Front Wheel Drive (FWD), and Rear Wheel Drive (RWD)), By Vehicle Type (Commercial Vehicle, Passenger Vehicle) and Region (North America, Europe, Asia-Pacific, and Rest of the World) Global Industry Analysis, Size, Share, Growth, Trends, Regional Analysis, Competitor Analysis and Forecast 2024-2032.

Automobile & Transportation | January 2024 | Report ID: EMR00388 | Pages: 301

The global automotive e-axle market was valued at USD 14.65 billion in 2023 and is estimated to reach approximately USD 271.38 billion by 2032, at a CAGR of 38.3% from 2024 to 2032.

Car propulsion systems have been transformed by the automobile e-axle market, which combines gear systems, power electronics, and electric motors into one unit. With its release, the automotive industry saw a sea change toward more compact and effective electric propulsion. E-axles maximize space usage in electric and hybrid vehicles by combining several components into a single module, allowing automakers to improve performance while consuming less energy. This cutting-edge technology helps electrify the automobile sector by streamlining vehicle design and simplifying production procedures. Since its debut, the e-axle market has grown rapidly because of the growing preference for electric vehicles, strict emission restrictions, and the growing need for environmentally responsible transportation options. In an effort to further enhance e-axle capabilities and achieve higher power density, longer range, and cost effectiveness, manufacturers are investing in R&D. The integration of the e-axle has had a profound impact on the automotive industry, changing the way cars are powered and hastening the shift to sustainable transportation.

 

 

AUTOMOTIVE E-AXLE MARKET: REPORT SCOPE & SEGMENTATION

Report Attribute

Details

Estimated Market Value (2023)

14.65 Bn

Projected Market Value (2032)

271.38 Bn

Base Year

2023

Forecast Years

2024 - 2032

Scope of the Report

Historical and Forecast Trends, Industry Drivers and Constraints, Historical and Forecast Market Analysis by Segment- By Electric Vehicle Type, By Drive Type, By Vehicle Type, & Region

Segments Covered

By Electric Vehicle Type, By Drive Type, By Vehicle Type, & Region

Forecast Units

Value (USD Billion or Million), and Volume (Units)

Quantitative Units

Revenue in USD million/billion and CAGR from 2024 to 2032

Regions Covered

North America, Europe, Asia Pacific, Latin America, and Middle East & Africa, and the Rest of World

Countries Covered

U.S., Canada, Mexico, U.K., Germany, France, Italy, Spain, China, India, Japan, South Korea, Brazil, Argentina, GCC Countries, and South Africa, among others

Report Coverage

Market growth drivers, restraints, opportunities, Porter’s five forces analysis, PEST analysis, value chain analysis, regulatory landscape, market attractiveness analysis by segments and region, company market share analysis, and COVID-19 impact analysis.

Delivery Format

Delivered as an attached PDF and Excel through email, according to the purchase option.

 

Global Automotive E-axle Market Dynamics

The main forces behind this are the developments in EV propulsion technology and the growing need for environmentally friendly transportation options. The deployment of e-axles has risen due to regulatory pressure to promote cleaner mobility and reduce emissions. The need for improved vehicle performance, increased energy efficiency, and longer driving ranges for electric and hybrid vehicles is driving the market's growth. Cost factors continue to be a major factor affecting market dynamics. E-axle technology is becoming more and more affordable as producers work to reduce production costs, streamline operations, and increase economies of scale. Collaborations and partnerships between automakers and suppliers of e-axle technology can affect market dynamics. These partnerships seek to increase innovation, take advantage of accumulated knowledge, and produce more reliable and affordable e-axle solutions. The e-axle market is significantly shaped by infrastructural advancements for electric mobility, government incentives, and consumer preferences. Consumers' increasing awareness of and acceptance of electric vehicles helps to expand the industry. In general, the dynamics of the automotive e-axle industry are continuously changing due to the interaction of technological innovation, regulatory pressures, cost optimization efforts, collaborative initiatives, and consumer demand.

 

Global Automotive E-axle Market Drivers

  • Technological Advancements

The development of power electronics, materials science, and electric propulsion systems has transformed e-axle technology. The performance, energy efficiency, and general capabilities of e-axle solutions have been greatly improved by advancements in motor design, battery efficiency, and power management systems. Furthermore, developments in materials science have made it possible to create strong, lightweight components that lower the overall weight of vehicles and maximize energy efficiency. The responsiveness and usefulness of e-axle systems have been further enhanced by the integration of complex control algorithms and sensors, enabling more accurate power distribution and better traction management.

The goals of ongoing research and development are to increase power density, expand range, and lower prices while pushing the envelope of what is possible for e-axles. As a result of these technological advances, which not only solve present problems but also open up new avenues for innovation, e-axles are becoming more and more appealing to automakers that want to build high-performing, ecologically friendly cars.

  • Increasing Demand for Improved Vehicle Performance

Vehicles with greater torque, acceleration, and overall driving pleasure are in greater demand from consumers. To meet these needs, e-axle technology is essential because it offers improved power delivery, effective torque distribution, and better energy utilization for both electric and hybrid vehicles. Compared to conventional internal combustion engine configurations, the e-axle system's smooth integration of electric motors, power electronics, and gearing produces improved performance characteristics. These systems make driving more responsive and enjoyable by providing quick torque, smoother acceleration, and dynamic control. Automakers are using e-axle technology to satisfy the increasing performance expectations of their customers, which is fueling the market's expansion. The need for these cutting-edge propulsion systems is further increased by axles capacity to greatly improve performance metrics and their adaptability to a wide range of vehicle types, which appeals to both manufacturers and consumers.

 

Restraints:

  • High Initial Cost

Significant upfront costs are associated with the creation and installation of specialist parts including electric motors, power electronics, and complex control systems in order to integrate e-axle systems into automobiles. Although these cutting-edge technologies show promise in terms of efficiency and performance, their production costs are frequently greater. High initial costs are also a result of the infrastructure needed for the manufacturing of these parts and the intricacy of their assembly. In the end, greater production costs result in higher vehicle pricing for consumers, making electric and hybrid cars with e-axles relatively more costly. Additionally, the cost goes beyond production; it includes R&D and production line retooling, which raises the total cost burden for automakers. Because of this, prospective purchasers may be put off by the greater initial cost of e-axle technology or by the fact that these vehicles are more expensive than their counterparts with conventional internal combustion engines.

  • Supply Chain Dependencies

The intricate workings of e-axle systems comprise a multitude of parts procured from an international supply chain network, including as gears, control modules, power electronics, and specialist electric motors. Manufacturers are vulnerable to possible interruptions from this complex network of suppliers, including delays, shortages, or poor quality in the delivery of essential components.

The supply chain can be disrupted and the constant manufacture of e-axle systems hampered by relying on various suppliers spread across different locations, which increases vulnerability to geopolitical tensions, trade restrictions, or unanticipated events like natural catastrophes. The supply chain is further complicated by the strict quality requirements and the requirement for exact manufacturing tolerances in these high-tech components. The general performance and dependability of e-axle systems might be impacted by differences in component quality or specifications between various suppliers. Furthermore, the capacity of the supply chain to fulfill the growing demands for electric and hybrid vehicles fitted with e-axles may be put under further stress, which could result in bottlenecks and shortages of the product.

 

Opportunities:

  • Advancements in Battery Technology

Developments in energy density, durability, and charging capacity of batteries have a direct effect on the range and performance of electric cars fitted with e-axles. Increased storage capacity within the same physical space is made possible by higher energy-density batteries, which allow e-axle-equipped vehicles to attain longer driving ranges without sacrificing weight or size. Furthermore, by shortening charging times and optimizing energy regeneration when braking or coasting, advancements in charging capabilities, such as fast-charging technologies and improved energy recovery systems, directly benefit e-axle-equipped vehicles. These improvements not only increase the overall efficiency of electric vehicles but also boost the capabilities of the e-axle system by increasing the vehicle's operating range and improving power use. Moreover, improvements in battery lifetime and durability have a direct bearing on the lifespan and usefulness of electric vehicles, guaranteeing that cars with e-axles can continue to run smoothly and effectively for a longer amount of time.

  • Rising Demand for Electric Vehicles

The market for electric vehicles (EVs) with cutting-edge propulsion technologies, such as e-axles, is experiencing a continuous rise as customer preferences continue to change towards clean and sustainable transportation options. A number of causes, such as rising environmental consciousness, tighter emission standards, and developments in electric vehicle (EV) technology that make these vehicles more affordable and useful, are contributing to this growing demand. E-axle systems, which provide effective power delivery, a compact design, and enhanced vehicle performance, are essential to fulfilling the needs of these EVs. Because they may be used with a variety of vehicle types, from little city cars to bigger SUVs, e-axles are positioned as a flexible option to fulfill a wide range of consumer needs within the growing EV market. The incorporation of e-axle technology becomes a strategic advantage as automakers extend their electric vehicle offerings in response to this growing demand. In order to satisfy the demands of an expanding customer base, it helps manufacturers to improve the driving range, efficiency, and general performance of their electric vehicles.

 

Segment Overview

By Electric Vehicle Type

Based on electric vehicle type, the global automotive e-axle market is divided into battery electric vehicles, hybrid electric vehicles, and plug-in hybrid electric vehicles. The battery electric vehicles category dominates the market with the largest revenue share in 2023. BEVs use e-axle systems as their main source of propulsion and are completely powered by electricity. These cars run solely on batteries and have electric motors built right into the e-axle. In BEVs, e-axles maximize energy efficiency and transfer torque to the wheels for effective and direct electric propulsion.

The HEVs combine electric propulsion and internal combustion engines. In hybrid electric vehicles (HEVs), e-axles usually supplement the internal combustion engine's output by offering extra power or torque, particularly during low-speed or acceleration operations. These cars minimize pollution and increase fuel efficiency by combining e-axle systems with conventional powertrains. With larger batteries that can be recharged by plugging into an external power source, PHEVs function similarly to HEVs. In plug-in hybrid electric vehicles (PHEVs), e-axles complement the internal combustion engine and electric motor to provide a flexible driving experience. PHEVs can use both power sources at the same time for improved performance, or they can drive on electric power alone for shorter distances before switching to conventional engines.

 

By Drive Type

Based on the drive type, the global automotive e-axle market is categorized into all-wheel drive (AWD), front-wheel drive (FWD), and rear-wheel drive (RWD). The all-wheel drive (AWD) category leads the global automotive e-axle market with the largest revenue share in 2023. E-axle technology is used by AWD vehicles to power the front and rear wheels at the same time. Different AWD designs use different e-axle systems. While some use an integrated e-axle with dual outputs to drive all wheels, others use separate electric motors for the front and rear axles.

The AWD systems are common in SUVs, crossovers, and performance cars because they provide improved traction, stability, and performance in a range of driving situations.  The front wheels of a FWD vehicle are largely powered by the e-axle. Electric motors and other components are usually integrated within the front axle assembly of e-axles in front-wheel drive designs. These cars prioritize design simplicity and space efficiency, which frequently leads to lighter and more compact e-axle systems. E-axle systems on RWD cars provide power to the back wheels. In particular in performance-focused automobiles, the integration of the electric motor and associated components into the rear axle assembly optimizes weight distribution and improves traction and handling qualities.

 

By Vehicle Type

Based on vehicle type, the global automotive e-axle market is segmented into commercial vehicles and passenger Vehicles. The passenger Vehicles segment dominates the automotive e-axle market. In passenger cars, e-axles are widely utilized in anything from sports cars to luxury sedans, SUVs, and small cars. E-axle technology improves overall performance, efficiency, and driving dynamics in passenger cars. E-axles improve the driving experience of electric or hybrid passenger cars by providing features like accurate power distribution, smoother acceleration, and longer driving range. Many commercial vehicles, such as delivery vans, buses, lorries, and other utility vehicles, use e-axles. E-axle systems help these vehicles operate better and be more efficient in this market. For example, e-axles optimize torque and power delivery in electric delivery vans and trucks, resulting in improved acceleration, hauling capacity, and energy efficiency—all vital for commercial operations.

 

Global Automotive E-axle Market Overview by Region

The global automotive e-axle market is categorized into North America, Europe, Asia-Pacific, and the Rest of the World. North America emerged as the leading region, capturing the largest market share in 2023. The region's dominance has been fueled by its thriving automobile sector, technical developments, and an increasing focus on electric transportation.

The integration of e-axle technology into vehicle lineups has been facilitated by significant investments made by major North American automobile manufacturers and tech companies in the development of electric vehicles. Additionally, the transition to electric and hybrid vehicles with e-axles has been accelerated by pro-e-government policies, incentives for the adoption of electric vehicles, and a growing consumer awareness of environmental issues. North America's emphasis on innovation and its broad R&D efforts in the electric vehicle industry have further enhanced the region's standing as a pioneer in the adoption and use of e-axles, securing its position as a key player in determining the direction of automotive propulsion systems.

 

 

The automotive e-axle market in Asia-Pacific is expected to grow at the highest compound annual growth rate (CAGR) during the projected period due to a number of significant factors. The region's growing middle class, fast urbanization, and growing emphasis on environmentally friendly transportation are driving up demand for electric cars with cutting-edge propulsion technologies like e-axles. E-axle adoption in Asia-Pacific is further boosted by favorable government regulations, incentives, and large expenditures in electric mobility infrastructure. The automotive e-axle sector is expected to grow at a high rate due to the region's propensity for rapid expansion in the electric vehicle market and proactive efforts to reduce pollution.

 

Global Automotive E-axle Market Competitive Landscape

In the global automotive e-axle market, a few major players exert significant market dominance and have established a strong regional presence. These leading companies remain committed to continuous research and development endeavors and actively engage in strategic growth initiatives, including product development, launches, joint ventures, and partnerships. By pursuing these strategies, these companies aim to strengthen their market position, expand their customer base, and capture a substantial market share.

Some of the prominent players in the global automotive e-axle market include,

  • Continental AG
  • ZF Friedrichshafen AG
  • Melrose Industries PLC
  • Dana Limited
  • Robert Bosch GmbH
  • Meritor, Inc.
  • LINAMAR
  • NIDEC CORPORATION
  • Schaeffler AG
  • Magna International Inc., and various others.

 

Global Automotive E-axle Market Recent Developments

  • In June 2023, A manufacturer of transmission parts for two- and four-wheelers in India, Musashi Auto Parts India Pvt. Ltd. is a wholly-owned subsidiary of Musashi Seimitsu Industries in Japan. The company has announced its entry into the Indian electric mobility (E-mobility) sector. By utilizing its strong engineering and design capabilities, Musashi hopes to produce an all-in-one electric vehicle (EV) that consists of the gearbox, PCU, and motor.
  • In June 2023, A cooperative cooperation to develop semiconductor solutions for an enhanced next-generation E-Axle system was recently announced by NIDEC CORPORATION and Renesas Electronics Corporation. By combining power electronics and an electric vehicle (EV) drive motor, this cutting-edge X-in-1 technology will improve the efficiency and performance of EVs.
  • In May 2023, A cooperative cooperation to develop semiconductor solutions for an enhanced next-generation E-Axle system was recently announced by NIDEC CORPORATION and Renesas Electronics Corporation. By combining power electronics and an electric vehicle (EV) drive motor, this cutting-edge X-in-1 technology will improve the efficiency and performance of EVs.

 

Scope of the Global Automotive E-axle Market Report

Automotive E-axle Market Report Segmentation

ATTRIBUTE

DETAILS

By Electric Vehicle Type

  • Battery Electric Vehicle
  • Hybrid Electric Vehicle
  • Plug-in Hybrid Electric Vehicle

By Drive Type

  • All-Wheel Drive (AWD)
  • Front Wheel Drive (FWD)
  • Rear Wheel Drive (RWD)

 

By Vehicle Type

  • Commercial Vehicle
  • Passenger Vehicle

By Geography

  • North America (USA, and Canada)
  • Europe (UK, Germany, France, Italy, Spain, Russia and Rest of Europe)
  • Asia Pacific (Japan, China, India, Australia, Southeast Asia and Rest of Asia Pacific)
  • Latin America (Brazil, Mexico, and Rest of Latin America)
  • Middle East & Africa (South Africa, GCC, and Rest of Middle East & Africa)

Customization Scope

  • Available upon request

Pricing

  • Available upon request

 

Objectives of the Study

The objectives of the study are summarized in 5 stages. They are as mentioned below:

  • Global Automotive E-axle Market Size and Forecast: To identify and estimate the market size for the global automotive e-axle market segmented by electric vehicle type, by drive type, by vehicle type, region and by value (in U.S. dollars). Also, to understand the consumption/ demand created by consumers of automotive e-axle between 2019 and 2032.
  • Market Landscape and Trends: To identify and infer the drivers, restraints, opportunities, and challenges for the global automotive e-axle market
  • Market Influencing Factors:

To find out the factors which are affecting the sales of automotive e-axle among consumers

  • Impact of COVID-19: To identify and understand the various factors involved in the global automotive e-axle market affected by the pandemic
  • Company Profiling: To provide a detailed insight into the major companies operating in the market. The profiling will include the financial health of the company's past 2-3 years with segmental and regional revenue breakup, product offering, recent developments, SWOT analysis, and key strategies.

Intended Audience

  • Automotive Manufacturers
  • Technology Providers
  • Research and Development Professionals
  • Governments, Associations, and Industrial Bodies
  • Investors and Trade Experts

Research Methodology

Our research methodology has always been the key differentiating reason which sets us apart in comparison from the competing organizations in the industry. Our organization believes in consistency along with quality and establishing a new level with every new report we generate; our methods are acclaimed and the data/information inside the report is coveted. Our research methodology involves a combination of primary and secondary research methods. Data procurement is one of the most extensive stages in our research process. Our organization helps in assisting the clients to find the opportunities by examining the market across the globe coupled with providing economic statistics for each and every region.  The reports generated and published are based on primary & secondary research. In secondary research, we gather data for global Market through white papers, case studies, blogs, reference customers, news, articles, press releases, white papers, and research studies. We also have our paid data applications which includes hoovers, Bloomberg business week, Avention, and others.

Data Collection

Data collection is the process of gathering, measuring, and analyzing accurate and relevant data from a variety of sources to analyze market and forecast trends. Raw market data is obtained on a broad front. Data is continuously extracted and filtered to ensure only validated and authenticated sources are considered. Data is mined from a varied host of sources including secondary and primary sources.

Primary Research

After the secondary research process, we initiate the primary research phase in which we interact with companies operating within the market space. We interact with related industries to understand the factors that can drive or hamper a market. Exhaustive primary interviews are conducted. Various sources from both the supply and demand sides are interviewed to obtain qualitative and quantitative information for a report which includes suppliers, product providers, domain experts, CEOs, vice presidents, marketing & sales directors, Type & innovation directors, and related key executives from various key companies to ensure a holistic and unbiased picture of the market. 

Secondary Research

A secondary research process is conducted to identify and collect information useful for the extensive, technical, market-oriented, and comprehensive study of the market. Secondary sources include published market studies, competitive information, white papers, analyst reports, government agencies, industry and trade associations, media sources, chambers of commerce, newsletters, trade publications, magazines, Bloomberg BusinessWeek, Factiva, D&B, annual reports, company house documents, investor presentations, articles, journals, blogs, and SEC filings of companies, newspapers, and so on. We have assigned weights to these parameters and quantified their market impacts using the weighted average analysis to derive the expected market growth rate.

Top-Down Approach & Bottom-Up Approach

In the top – down approach, the Global Batteries for Solar Energy Storage Market was further divided into various segments on the basis of the percentage share of each segment. This approach helped in arriving at the market size of each segment globally. The segments market size was further broken down in the regional market size of each segment and sub-segments. The sub-segments were further broken down to country level market. The market size arrived using this approach was then crosschecked with the market size arrived by using bottom-up approach.

In the bottom-up approach, we arrived at the country market size by identifying the revenues and market shares of the key market players. The country market sizes then were added up to arrive at regional market size of the decorated apparel, which eventually added up to arrive at global market size.

This is one of the most reliable methods as the information is directly obtained from the key players in the market and is based on the primary interviews from the key opinion leaders associated with the firms considered in the research. Furthermore, the data obtained from the company sources and the primary respondents was validated through secondary sources including government publications and Bloomberg.

Market Analysis & size Estimation

Post the data mining stage, we gather our findings and analyze them, filtering out relevant insights. These are evaluated across research teams and industry experts. All this data is collected and evaluated by our analysts. The key players in the industry or markets are identified through extensive primary and secondary research. All percentage share splits, and breakdowns have been determined using secondary sources and verified through primary sources. The market size, in terms of value and volume, is determined through primary and secondary research processes, and forecasting models including the time series model, econometric model, judgmental forecasting model, the Delphi method, among Flywheel Energy Storage. Gathered information for market analysis, competitive landscape, growth trends, product development, and pricing trends is fed into the model and analyzed simultaneously.

Quality Checking & Final Review

The analysis done by the research team is further reviewed to check for the accuracy of the data provided to ensure the clients’ requirements. This approach provides essential checks and balances which facilitate the production of quality data. This Type of revision was done in two phases for the authenticity of the data and negligible errors in the report. After quality checking, the report is reviewed to look after the presentation, Type and to recheck if all the requirements of the clients were addressed.

Frequently Asked Questions

On the basis of Geography, The automotive e-axle market is classified into North America, Europe, Asia Pacific, and the Rest of the world
According to automotive e-axle market research, the market is expected to grow at a CAGR of ~38.3% over the coming years.
Asia-Pacific is expected to register the highest CAGR during 2024 - 2032.
North America held the largest share in 2023.
The major players operating in the global automotive e-axle market include Continental AG; ZF Friedrichshafen AG; Melrose Industries PLC; Dana Limited; Robert Bosch GmbH; Meritor, Inc.; LINAMAR; NIDEC CORPORATION; Schaeffler AG; Magna International Inc., and various others.