E-Axle Market by Vehicle Type and Geography - Forecast and Analysis 2022-2026

e-Axle Market Forecast 2022- 2026

The e-axle market is projected to reach a valuation of USD 23.53 billion from 2021 to 2026, accelerating at a CAGR of 30.74%. The market refers to the market for electric axles used in electric vehicles. Electric axles combine the functionalities of an electric motor, a transmission system, and a power electronics module into a single unit. There designed to increase the efficiency and performance of electric vehicles by integrating key components into one compact system.

Overview of the E-Axle Market

Get the E-Axle Market Size Forecast by Downloading the Report Sample

E-Axle Industry Dynamics

The industry experiences robust growth and trends, evident in comprehensive market research and growth analysis. Market forecasting plays a crucial role in anticipating and adapting to emerging market trends. The continuous synergy between market growth and trends underscores the dynamic nature of the sector, where strategic insights and foresight contribute to shaping its evolving landscape.

Key Electric Axle Market Driver

The cost difference between electric vehicles (EVs) and non-electric/internal combustion engine (ICE) vehicles primarily stems from the higher expenses associated with batteries and electric powertrain components. The growing demand for electric vehicles is driving the growth market. Major automotive manufacturers are investing in research and development to enhance their capabilities and cost-effectiveness. Millions have been deployed globally, revolutionizing the automotive industry. However, the EV market has seen positive developments in recent years, with notable reductions in battery costs. This decline can be attributed to increased production volume and the shift of manufacturing bases to China. The growing demand for EVs has driven manufacturers to scale up production, resulting in economies of scale and cost efficiencies. Moreover, the relocation of manufacturing facilities to China has facilitated access to rare earth materials necessary for HEV battery production, enabling Chinese manufacturers to offer competitively priced lithium-ion (Li-ion) batteries compared to traditional lead-acid batteries.

Continued advancements in battery technology have also played a significant role in cost reduction and improved performance. Innovations such as integrating silicon nanowires onto commercial graphite powders hold promise for increasing battery range, reducing charging time, and lowering costs. As battery prices continue to decrease, the affordability of EVs is projected to improve significantly. The goal of achieving cost parity with conventional buses is within reach shortly. Such a decline in prices is expected to stimulate global demand for EVs and act as a driving force behind the sustained growth of the market. Thus, EV market is poised for expansion, contributing to reduced emissions and a greener future. Governments, manufacturers, and consumers alike are increasingly recognizing the potential of EVs, which bodes well for the continued growth and adoption of electric mobility worldwide.

Technological Innovations in E-Axle Designs

Electric vehicles equipped with systems are expected to witness positive growth during the forecast period. Most of new electric vehicle models introduced in the next three years are likely to feature electric axle technology. Dana Limited is at the forefront of technological innovations in electric Axle designs, offering solutions for rear-wheel and front-wheel drive electric vehicles. With a significant presence in Spain, Brazil, South Africa, and Australia, Dana's advancements in electrification technologies contribute to improved driving range and gearbox efficiency. The company's commitment to client goals and global expansion has resulted in electric Axle units tailored for diverse markets. Dana Limited's innovation extends to Italy, where they continually strive to meet the evolving needs of the electric vehicle sector, shaping the future of mobility for people worldwide.

Key Electric Axle Market Trends

The surging popularity of systems is a key market trend propelling its growth. Maximizing space utilization in vehicles is a significant concern for accommodating larger battery sizes. Integrating an electric motor directly into the rigid rear axle offers a weight reduction of up to 100 kg. Furthermore, advancements in electric axle systems, such as seamlessly integrating electric motors with the rear axle in a streamlined module, enhance efficiency even further. The adoption of systems in electric vehicles eliminates the need for a propulsion system reliant on a centrally positioned motor and propeller shaft to transmit power to the rear wheels. This streamlined approach not only enhances overall vehicle performance and efficiency but also provides manufacturers with greater design flexibility and space optimization.

These developments, coupled with the increasing popularity of this technology, will positively impact the market by driving EV sales shortly. The appeal of increasing battery size, reducing vehicle weight, and improving efficiency attracts consumers. As a result, the market is set for substantial growth. The rise of addresses the critical need for space optimization while aligning with the growing demand for electric vehicles and the broader shift toward sustainable transportation. Continued advancements in this technology will be instrumental in driving widespread adoption of electric mobility, shaping the future of the automotive industry.

Future Outlook and Opportunities in the E-Axle Market

The future outlook for the market is promising, driven by global efforts towards cleaner propulsion systems. Linamar Corporation, with its experience and investment initiatives, plays a pivotal role in this dynamic landscape. Forward wheel drive integration and torque optimization are key factors shaping customer experiences. Nations like Russia and Argentina offer expanding markets, presenting significant opportunities. Pricing strategies, influenced by Porter's forces, remain a crucial basis for competitive advantage. With the industry's swift response to market demands and the web of opportunities unfolding, the market is poised for substantial growth, symbolizing the evolution of sustainable automotive solutions.

Key Advantages and Challenges of E-Axle Systems

The decline in automotive production due to the global semiconductor chip shortage is one of the factors challenging the market's growth. The global chip shortage has pushed carmakers to idle their production lines for brief periods whenever they run out of supplies, which hinders automotive production. For instance, in February 2021, General Motors announced that it could lose up to USD 2 billion because of the global semiconductor chip crisis, which was expected to lead to the temporary shutdown of some of its automotive manufacturing plants. Thus, the current global crisis created by the shortage of semiconductor chips has decelerated automotive production in various parts of the globe, which, in turn, will negatively impact the market growth during the forecast period.

This market analysis report also provides detailed information on other upcoming trends and challenges that will have a far-reaching effect on the market growth. The actionable insights on the trends and challenges will help companies evaluate and develop growth strategies for 2022-2026.

Government Regulations and Policies Affecting the E-Axle Industry

Government regulations significantly impact the industry, with policies addressing concerns like air pollution. In various areas, businesses such as AxleTech face restraints and work towards improvements to meet the needs of the growing electric vehicle sector. Power electronics transmission suppliers, like AxleTech, navigate regulations, forming partnerships to address concerns in the passenger car segment. Collaborative efforts and incentives fuel growth rates. Subsidies further encourage advancements, creating a positive environment. Client testimonials highlight the positive impact of government initiatives, acknowledging the industry's contribution to cleaner mobility solutions, aligning with the population's increasing demand for sustainable transportation.

Regional Analysis of the E-Axle Market

Get a glance at the market share of various regions by Requesting a PDF Sample now!

34% of the market’s growth will originate from North America during the forecast period. The US is the key market for the electric axle in North America. Market growth in this region will be slower than the growth of the market in APAC and South America.

In the United States, there has been a growing concern about the environmental impact of traditional vehicles, leading to a surge in demand for EVs. This has resulted in significant growth within the EV manufacturing industry. Prominent companies like Tesla, Nissan, and Ford are actively promoting and expanding their production lines to meet the rising consumer demand for EVs in the country. Several factors are propelling the use of electric vehicles and, consequently, the growth of the market in North America. Firstly, there is a heightened awareness regarding vehicle emissions and their detrimental effects on the environment. Moreover, electric vehicles offer lower operating and maintenance costs, making them an attractive choice for consumers. Additionally, various government initiatives are being implemented to encourage the adoption of EVs, further boosting the market.

The market is undergoing a transformative transition, marked by market expansion and collaborative efforts. COVID-19 impact analysis, figures, and charts illustrate the resilience of the sector. Partnerships and collaborations, like AxleTech International's deployment in Ohio, drive major market activities. Forward-wheel drive (FWD) remains a driving factor, with GKN PLC playing a prominent role. The majority of queries focus on the multi user aspects of this systems, offering an opportunity for enhanced deployment. As the industry embraces change and innovation, regions like Ohio become hubs for this development, fostering a dynamic environment for technological advancements and market growth.

Types of E-Axles and their Applications

Nidec Corporation dominates the market with diverse offerings, including power electronics and various drive types. Their investments in Asia Pacific, South Korea, and Latin America showcase a commitment to growth opportunities. Automakers globally rely on Nidec's electric Axles for all-wheel drive models, enhancing chassis quality. With a presence in Germany, Mexico, and Saudi Arabia, Nidec, alongside competitors like Dana Incorporated, shapes the evolving landscape of electric vehicle transmission, meeting the demands of a dynamic automotive industry.

E-Axle Market Analysis by Vehicle Type

To gain insights on the market contribution of various segments Request a PDF Sample

The segmentation includes Market Analysis by Vehicle Type (Passenger Cars and Commercial Vehicles). The passenger car segment holds the market share. The dominance of the passenger cars segment is expected to witness significant market share growth in the forecast period. This anticipation stems from the rapid expansion of the global market in the passenger vehicles category, driven primarily by surging sales of electric passenger cars. These vehicles increasingly rely on electric axle systems, serving as cost-effective electric drive solutions for both battery-electric and hybrid applications. Moreover, the market experiences a boost from the escalating demand for larger utility vehicles like SUVs, crossovers, and MPVs. The diverse range of passenger vehicles, including entry-level, mid-level, and premium types, in various body styles, fuels the widespread implementation of electric axles, thereby propelling market growth.

Key Players in the E-Axle Market

In the dynamic market, vendors play a pivotal role in addressing diverse client needs. Thanks to rear wheel drive innovations and versatile solutions by drive type, market trends and growth analysis indicate a promising future. The market research report underscores multi-user benefits, reflecting the ongoing market growth and forecasting. Vendors remain integral in driving market trends, providing valuable insights through comprehensive market analysis and reports that shape the industry's growth trajectory.

The market trends and analysis report covers the market’s competitive landscape and offers information on several market vendors, including:

• AVL List GmbH
• BorgWarner Inc.
• BRIST Axle Systems Srl LLC
• Cardone Industries Inc.
• Continental AG
• Daimler Truck AG
• Dana Inc.
• Dorman Products Inc.
• GKN Automotive Ltd.
• Hyundai Wia Corp.
• J.K. Fenner India Ltd.
• Linamar Corp.
• Magna International Inc.
• Meritor Inc.
• Nidec Corp.
• PACCAR Inc.
• Robert Bosch GmbH
• Schaeffler AG
• SONA BLW Precision Forgings Ltd.
• ZF Friedrichshafen AG

This statistical study of the market encompasses successful business strategies deployed by the key vendors. The market is fragmented, and the vendors are deploying organic and inorganic growth strategies to compete in the market.

Product Insights and News

Electric axle products and news insights reveal a growing demand for rear-wheel drive solutions, addressing diverse client needs. Market research highlights the driving factors behind multi-user benefits, and satisfying customer demand. Supply dynamics play a crucial role in the automotive axle industry, particularly for electric cars, where drive axle innovations continue to garner appreciation from clients and customers alike.

Llinamar- The company offers e-axles such as the eLin commercial vehicle electric axle and eLin electric axle for light vehicles.

To make the most of the opportunities and recover from the post-COVID-19 impact, others should focus more on the growth prospects in the fast-growing segments while maintaining their positions in the slow-growing segments.

The market forecast report offers in-depth insights into key vendor profiles. The profiles include information on the production, sustainability, and prospects of the leading companies.

E-Axle Market Value Chain Analysis

Our In-house experts produce extensive information on the value chain and parent market of the electric axle market, which vendors can leverage to gain a competitive advantage during the forecast period. The Value Chain information provides an end-to-end understanding of product insight and profit and also the optimization and evaluation of business strategies The players across the value chain include selective data and analysis from entire research findings as per the scope of the market growth analysis report.

E-Axle Market Scope
Report Coverage	Details
Page number	126
Base year	2021
Forecast period	2022-2026
Growth momentum & CAGR	Accelerate at a CAGR of 30.74%
Market growth 2022-2026	USD 23.53 billion
Market structure	Fragmented
YoY growth (%)	30.25
Regional analysis	North America, Europe, APAC, South America, and the Middle East and Africa
Performing market contribution	North America at 34%
Key consumer countries	US, China, Japan, UK, and France
Competitive landscape	Leading companies, Competitive Strategies, Consumer engagement scope
Key companies profiled	AVL List GmbH, BorgWarner Inc., BRIST Axle Systems Srl LLC, Cardone Industries Inc., Continental AG, Daimler Truck AG, Dana Inc., Dorman Products Inc., GKN Automotive Ltd., Hyundai Wia Corp., J.K. Fenner India Ltd., Linamar Corp., Magna International Inc., Meritor Inc., Nidec Corp., PACCAR Inc., Robert Bosch GmbH, Schaeffler AG, SONA BLW Precision Forgings Ltd., and ZF Friedrichshafen AG
Market dynamics	Parent market analysis, Market growth inducers and obstacles, Fast-growing and slow-growing segment analysis, COVID-19 impact and recovery analysis and future consumer dynamics, and Market condition analysis for the forecast period.
Customization purview	If our report has not included the data that you are looking for, you can reach out to our analysts and get segments customized.

Request PDF sample

What are the Key Data Covered in this E-Axle Market Report?

• CAGR of the market during the forecast period 2022-2026
• Detailed information on factors that will drive market growth during the next five years
• Precise estimation of the market size and its contribution to the parent market
• Accurate predictions on upcoming trends and changes in consumer behavior
• The growth of the industry across North America, Europe, APAC, South America, and the Middle East and Africa
• A thorough analysis of the market’s competitive landscape and detailed information on vendors
• Comprehensive details of factors that will challenge the growth of market vendors

We can help! Our analysts can customize this report to meet your requirements. Get in touch