Automotive Steering System Market Value to Expand 1.5X by 2030
Automotive steering systems have undergone a transformational shift - from manual to advanced, and user-centric systems. Over the past few years, the automotive steering system market has witnessed several advancements regarding design and integration of safety technologies such as Steer by Wire (SbW) and control technology with existing steering systems. Emerging trend of electronics in automobiles has influenced automakers to significantly invest in integrating electronics and safety systems.Towards the end of the forecast period, 2020-2030, global adoption of automotive steering systems will surpass the US$ 30 Bn mark. Although the coronavirus (COVID-19) pandemic is hindering automotive production in 2020, the market is set for a V-shape trajectory post containment of the virus.
Automotive Steering System Market: Key Insights
- Increasing prevalence of autonomous and electric vehicles (EVs) would be the key factor defining the growth curve.
- Electronic steering technology continues to attract significant stakeholders’ investments.
- Passenger cars would remain target vehicle category; market players are viewing compact and premium vehicles for relevant returns.
- East Asia continues to lead the way in the global automotive steering system market.
KEY FACTORS SHAPING AUTOMOTIVE STEERING SYSTEM MARKET
Increased Production of Automotive and Long-term Contracts with OEMs
Increase in the production of automobiles is directly proportional to the requirement of automotive steering systems by original equipment manufacturers, as every automotive steering system is an important and integral part of the complete product. Increase in the production of automotive vehicles in markets such as China, Japan, and India is expected to boost the growth of the automotive steering system market. Moreover, automotive manufacturers are poised for long-term service contracts with OEM players, which is projected to significantly enhance the growth of the automotive steering system market during the forecast period.
Rising Penetration of Electric Vehicles (EVs)
On the back of continuous technological innovations coupled with rising awareness about environmental safety, consumer inclination towards electrical vehicles has been observed over the recent years. Moreover, numerous national and local governments are giving incentives for electric vehicles, tax credits, subsidies, etc. These factors are fuelling the demand for electrical vehicles, subsequently creating numerous growth opportunities for the automotive steering system market over the forecast period.
Acquisitions & Joint Ventures to Boost Market Growth
Leading global automotive steering system manufacturers are poised for acquisitions of small- and medium-sized regional players for attaining highest channel reach and achieving higher market share in the aftermarket in respective regions. Moreover, manufacturers are also establishing joint ventures for the production of high quality products for automotive manufacturers.
For instance, in 2019, Nexteer Automotive announced a joint venture with Dongfeng Motor Parts and Components Group Co., Ltd., to start the mass production of the electric power steering systems. This new JV increases the company’s manufacturing footmark to 28 sites across the world.
Regional Analysis: Asia Pacific to Remain Dominant
Asia Pacific (APAC) is expected to hold nearly half of the global automotive steering system market share by the end of 2030, on the back of huge automotive production in China and India. China is expected to provide the most lucrative opportunities for revenue generation in the automotive steering system market over the forecast period.
However, the automotive industry is facing pressure due to the COVID-19 pandemic, which has resulted in automotive production downtime all over the world. In addition, leading automobile producers in APAC, such as China and India, have reduced production considerably in 2020. Tier-2 and tier-3 players in automotive steering system market are in the front line of the impact of the COVID-19 pandemic.
Automotive Steering System Market: Structure Analysis
- The global market is highly consolidated, with the top ten players holding nearly 70% of the automotive steering system market share in terms of revenue generation.
- Over the last few years, an increase in the number of joint ventures and acquisitions has been observed within the automotive steering system market. Prominent players are actively entering into partnerships with regional automotive steering system suppliers and expanding their production capacities to meet the growing demand for automotive steering systems.
- Prominent players in the automotive steering system market, such as JTEKT Corporation, Nexteer Automotive Group Ltd, Showa Corporation, ThyssenKrupp AG, Hitachi Automotive System Ltd, Robert Bosch GmbH, and NSK Steering System Co. ltd. are focusing on new product development to enhance their product portfolios.
Market Value in 2019
US$ 22.8 Bn
Technology, Vehicle Type, and Region
North America, Latin America, Western Europe, Eastern Europe, South Asia & Pacific, East Asia, and the Middle East & Africa.
JTEKT Corporation, Nexteer Automotive Group Ltd., Showa Corporation, ThyssenKrupp AG, Hitachi Automotive System Ltd., Robert Bosch GmbH, and NSK Steering System Co. Ltd.
Electronic Steering Technology to Bring Substantial Returns
Automobile manufacturers are increasingly incorporating electronic steering technology in almost all vehicle models, owing to its excellent fuel-efficiency quotient as compared to conventional systems. Moreover, recent developments in SbW technology are enabling a broader adoption of the technology. However, commercial vehicles offer considerably limited load-bearing capacity, and, as such, electronic power steering (EPS) is inefficient in these vehicles. Hydraulic steering technology, on the other hand, absorbs road shocks effectively, and thus, market players are also allocating their resources to this advanced automotive technology.
Automotive Steering System Market: Regional Outlook
East Asia is a hub of local and global automotive steering system market players. Global automotive steering system manufacturers are forming joint ventures with regional companies in order to penetrate into East Asian markets. In addition, governments as well as customers in the region are rolling out the red carpet for tech-driven automobile equipment. Although a decline in automotive production during 2019-2020 is imminent, East Asia continues to represent the most lucrative automotive industry, globally. By 2023, the East Asia automotive steering system market will cross the US$ 10 Bn mark.
Fuel-efficient Vehicles to Shape the Path Forward
Given consistent tech-driven innovations in tandem with increasing awareness regarding environmental safety, customers around the world have been showing staunch inclination towards fuel-efficient vehicles such as electric and hybrid vehicles in the recent past. In addition, several national and local governments are offering incentives, tax credits, and subsidies to propel the adoption of such fuel-efficient vehicles. The mounting need to abide by fuel efficiency norms is boosting the prominence of electronically-assisted automotive steering systems, which will prop up the graph of the global market in the years ahead.
Electronic steering technology remains highly preferred
Electro-hydraulic steering technology to lose traction
High adoption in passenger cars
Installation rate in light commercial vehicles to dip
How Growth will Unfold
Around 7 out of 10 automotive steering systems would be installed in passenger cars. The trend is poised to follow a positive trajectory, owing to the unprecedented rate of private vehicle ownership, especially in countries - China, Japan, India, and Brazil. Light commercial vehicles (LCVs) are also offering investment opportunities in the automotive steering system market. Rise in logistics operations for trade activities is encouraging market players to invest in this vehicle category. Furthermore, heavy commercial vehicles (HCVs) are witnessing sluggish production and sales (by volume) as compared to passenger cars, and, as such, would account for a meagre share in the global automotive steering system market.
* This data is only a representation. Actual data may vary and will be available in report.Click Here To Know How The Growth Will Unfold
Custom Market Research Services
FMI offers custom market research services that help clients to get information on their business scenario required where syndicated solutions are not enough.
Future Market Insights published its recent market research report on the global automotive steering system market, which comprises global industry analysis of 2015-2019 and opportunity assessment for 2020-2030. It includes a comprehensive assessment of the relevant and related market dynamics. After conducting a complete analysis on the historical as well as current growth prospects of the automotive steering system market, growth predictions of the market are obtained with maximum accuracy.
Automotive Steering System Market Taxonomy
The global automotive steering system market is segmented in detail to cover every aspect of the market and present a complete market intelligence approach to readers.
- Electronic Steering
- Hydraulic Steering
- Manual Steering
- Electro-hydraulic Steering
- Passenger Cars
- Light Commercial Vehicles
- Heavy Commercial Vehicles
- North America
- Latin America
- South Asia & Pacific
- East Asia
- Middle East & Africa
The report begins with the executive summary of the automotive steering system market, which includes a summary of the key findings and statistics of the market. It also includes the market value (US$ million) estimates of prime segments of the market.
Readers can find detailed segmentation and definition of the automotive steering system market in this chapter, which will help them understand basic information about the automotive steering system market. This section also highlights the inclusions and exclusions, which helps readers understand the scope of the automotive steering system market report.
The report provides key market trends that are expected to impact market growth significantly during the forecast period. Detailed industry trends are provided in this section, along with key market developments and product innovations.
This section includes key inclusions of the report. It includes product adoption & usage analysis, opportunity analysis, and manufacturers’ strategies for market expansion.
This section explains the global market volume analysis and forecast for the automotive steering system market during the forecast period of 2020-2030.
This section highlights the average price of H-EPS, C-EPS, P-EPS, R-EPS, hydraulic steering, manual steering, and electro-hydraulic steering. Manufacturer level pricing and distributor level pricing is analyzed in this section.
This section explains the global market value analysis and forecast for the automotive steering system market during 2015-2030. This chapter includes detailed analysis of the historical market, along with an opportunity analysis for the future. Readers can also find absolute $ opportunity for the current year (2020-2021) and incremental $ opportunity for the forecast period (2020-2030).
This chapter explains the key macroeconomic factors that are expected to influence the growth of the automotive steering system market during the forecast period. Along with the macroeconomic factors, this section highlights the opportunity analysis for the automotive steering system market. This chapter also highlights the key market dynamics of the automotive steering system market, such as the drivers, restraints, trends, and opportunities. Moreover, readers will understand key trends followed by prominent manufacturers in the automotive steering system market.
The automotive steering system market is segmented on the basis of technology into electronic steering, hydraulic steering, manual steering, and electro-hydraulic steering. Moreover, the electronic steering segment is further segmented into H-EPS, C-EPS, P-EPS, and R-EPS. In this chapter, readers can understand the market attractiveness analysis based on technology.
The automotive steering system market is segmented on the basis of vehicle type into passenger cars, light commercial vehicles, and heavy commercial vehicles. Moreover, the passenger cars segment is further segmented into compact, mid-size, premium, and SUVs. In this chapter, readers can understand the market attractiveness analysis based on vehicle type.
This chapter explains how the automotive steering system market is expected to grow across several geographic regions such as North America, Latin America, Europe, South Asia Pacific, East Asia, and the Middle East & Africa.
This chapter includes detailed analysis of the growth of the North America automotive steering system market, along with a country-wise assessment that includes the U.S. and Canada. Readers can also find regional trends, regulations, and market growth based on countries in North America.
Readers can find detailed information about several factors such as pricing analysis and regional trends that are impacting the growth of the Latin America automotive steering system market. This chapter also includes the growth prospects of the market in prominent countries in Latin America, such as Brazil, Mexico, and the Rest of Latin America.
Important growth prospects of the automotive steering system market in several countries such as Germany, the U.K, France, Italy, Spain, BENELUX, Russia, and the Rest of Europe are included in this chapter.
Important growth prospects of the automotive steering system market in several countries such as India, Thailand, Indonesia, Malaysia, Oceania, and the Rest of South Asia & Pacific are included in this chapter.
In this chapter, China, South Korea, and Japan are prominent countries in the East Asia region that are the prime subjects of assessment to obtain the growth prospects of the market. Readers can find detailed information about the growth parameters of the East Asia automotive steering system market during the forecast period of 2020-2030.
This chapter provides information about how the automotive steering system market is anticipated to grow in major countries in the MEA region, such as GCC Countries, Turkey, Northern Africa, South Africa, and the Rest of MEA, during the forecast period of 2020-2030.
In this chapter, readers can find detailed information about the tier analysis and market concentration of key players in the automotive steering system market, along with their market presence analysis by region and product portfolio.
In this chapter, readers can find a comprehensive list of all the prominent stakeholders in the automotive steering system market, along with detailed information about each company, which includes company overview, revenue shares, strategic overview, and recent company developments. Some of the market players featured in the report are as JTEKT Corporation, Nexteer Automotive Group Ltd, Showa Corporation, ThyssenKrupp AG, Hitachi Automotive System Ltd, Robert Bosch GmbH, and NSK Steering System Co. Ltd.
This chapter includes a list of acronyms and assumptions that provide a base to the information and statistics included in the automotive steering system market report.
This chapter helps readers understand the research methodology followed to obtain several conclusions, as well as important qualitative and quantitative information, about the automotive steering system market.
How the research was conducted?
- Chief Executive Officer
- Vice President
- Sales Head
- Product Manager
- Marketing Head
- Deputy Manager -Marketing & Communications
- Marketing Manager
- Sales Manager
- Customer Service Representative
- Current market dynamics and challenges
- End-use industry segment split and authenticity
- Yesteryear trends
- Market characteristics
- Competition structure and market structure
- Strategic growth initiatives
- Market segment splits and authenticity
- Near-term and long-term market growth prospects
- Opinions on market projections and validity of assumptions
- World Bank
Primary Interview Splits