Automotive In-Wheel Motors Market Size and Share Forecast Outlook 2025 to 2035

The global automotive in-wheel motors market is projected to grow from USD 4.18 billion in 2025 to USD 24.02 billion by 2035, registering a robust compound annual growth rate (CAGR) of 19.1%. This expansion is being driven by rising electric vehicle (EV) adoption, the push for vehicle platform flexibility, and ongoing innovations in powertrain decentralization.

Automotive In Wheel Motors Market

In-wheel motors, which integrate the propulsion system directly into the wheel hub, eliminate the need for traditional transmission, driveshaft, and differential components. This architecture improves energy efficiency, reduces drivetrain losses, and allows for greater interior cabin space-an essential advantage for urban electric vehicles.

Key automotive OEMs have accelerated efforts in this domain. In 2024, Hyundai filed a patent for in-wheel electric motor technology, aiming to enhance packaging efficiency and vehicle dynamics. As reported by Green Car Reports, Hyundai's system distributes torque directly to each wheel, offering superior traction control and better regenerative braking performance.

Toyota has also been pursuing in-wheel motor development. In 2024, the company’s patent filing described individual motor units within each wheel, a layout that supports four-wheel torque vectoring. This system is designed to optimize cornering, stability, and braking in EVs while reducing mechanical complexity.

Meanwhile, Ferrari, known for its performance engineering, filed a patent in 2024 for a multi-motor electric drivetrain that includes in-wheel motors. As detailed by Motor Authority, the Italian automaker is exploring this technology to improve dynamic handling precision in future high-performance electric models.

Luka Ambrozic, Business Development Officer at Elaphe Propulsion Technologies, underscored the systemic impact of this innovation, stating, “Modern in-wheel motor technology is not only a powertrain technology - it affects the whole vehicle in ways never before imagined”.

With benefits such as precise torque distribution, enhanced modularity, and reduced mechanical complexity, in-wheel motors are expected to become integral to next-generation EV platforms. Increased interest from automakers, combined with improvements in thermal management and lightweight materials, is likely to propel commercialization by the end of the decade.

As demand for smarter, space-efficient, and more agile EVs grows globally, the in-wheel motor market is well-positioned for significant expansion through 2035.

Analyzing Automotive In-Wheel Motors Market by Top Investment Segments

Hybrid Electric Vehicles to Drive Early Adoption of In-Wheel Motor Technology

Hybrid Electric Vehicles (HEVs) are expected to contribute a modest 15% share to the global in-wheel motor market by 2035. However, the segment is projected to register a CAGR of 16% over the forecast period from 2025 to 2035. This growth is being supported by the increasing shift toward hybridization in mid-size and performance vehicle categories, where in-wheel motors are being explored as secondary drive units for added efficiency and control.

Automotive In Wheel Motors Market Analysis By Technology

Automakers are utilizing in-wheel motors in hybrid layouts to enable electric-only propulsion for low-speed driving, regenerative braking, and enhanced traction management. The modular nature of in-wheel motors also offers packaging flexibility-critical for hybrid platforms that house both internal combustion engines and battery-electric systems.

This approach has been particularly relevant in urban-focused hybrids and off-road capable crossovers where independent wheel control improves maneuverability and energy recovery. With advancements in thermal management, motor miniaturization, and vehicle control software, HEVs are expected to serve as a viable deployment ground for in-wheel motor validation before full-scale adoption in BEVs. This dual-drive application is projected to sustain steady demand for in-wheel motors in hybrid vehicle architectures over the next decade.

Radial Flux Motors to Dominate In-Wheel Motor Architecture Through 2035

Radial flux motors are projected to account for nearly 75% of the global in-wheel motor market by the end of the forecast period. A CAGR exceeding 18% has been forecast from 2025 to 2035. This dominance is being attributed to the radial flux motor’s well-established design, high power density, and ease of integration into existing wheel hub structures.

Automotive In Wheel Motors Market Analysis By Product Type

In-wheel motor developers have continued to favor radial flux configurations due to their compact form factor, which allows for direct embedding within wheel housings without significant alteration to the chassis. These motors have also demonstrated superior torque output at lower RPMs-an essential requirement for urban EVs and light commercial vehicles.

Several manufacturers, including Elaphe and Protean Electric, have commercialized radial flux in-wheel motor platforms owing to their scalability and efficiency in space-constrained vehicles. Ongoing R&D is focused on optimizing cooling systems and winding technologies to further improve durability and continuous power output.

With OEMs prioritizing proven, production-ready architectures for large-scale electrification, radial flux motors are expected to remain the dominant design choice in the in-wheel motor landscape through 2035.

Regional Trends Shaping the Automotive In-Wheel Motors Market Outlook

North America

North America is also an important market for the in-wheel motor, with the United States and Canada being pioneers in electric vehicle and drivetrain technology. Market growth is aided by the growing adoption of EVs, advanced autonomous-driving investment, and government incentives for sustainable transportation.

Several companies including Tesla, Rivian, and General Motors have devised integrated hub motors as a possible solution to enhance the EV range/performance/mobility modularity. Also, the USA Department of Energy (DOE) is supporting research on lightweight, high-efficiency electric propulsion systems, which will accelerate adoption even more.

Europe

Germany, France, and UK continue to be among the key contributors to the automotive in-wheel motor market in Europe through sustainable mobility and EV infrastructure development. Other mainstream automakers with all-electric vehicle platforms using in-wheel motor technology under development include BMW, Volkswagen, and Renault.

EU carbon neutrality goals and strict emissions controls push automakers to use smaller, higher-performance propulsion drives that enhance EV efficiency and reduce all-up weight. The growing demand for urban electric mobility solutions, such as small electric vehicles (EVs) and electric vans, is helping to drive innovation in diverse applications of in-wheel motors.

Asia-Pacific

Asia-Pacific is the fastest-growing automotive in-wheel motors market, with China, Japan, South Korea, and India leading the way, as governments in these countries provide incentives and set aggressive EV production targets, and rapid urbanization drives adoption.

China, the world's biggest EV maker, is betting on motor tech to further drive performance gains in future generations of EVs. In addition, Japan and South Korea are at the forefront of integrated e-axle and in-wheel motor systems, with the likes of Nissan, Hyundai, and Toyota integrating hub motors into their prototype and concept vehicles.

Furthermore, the high demand for electric scooters, autonomous delivery vehicles, and urban micro-mobility solutions in the region is extending in-wheel motor applications beyond passenger EVs.

Challenges and Opportunities

Challenge

High Costs and Regulatory Complexities

The market is riding on the challenges provided associated with propelling production costs, administrative endorsements, and combination multifaceted nature. Automotive OEMs need to comply with strict ISO and UNECE standards for safety and performance, resulting in long development cycles and high costs.

Thermal Management and Durability Concerns

However, since in-wheel motors must fit in the tight space inside the wheel hub they must balance heat dissipation and durability. However, the absence of conventional cooling systems makes it difficult to maintain ideal motor efficiency and longevity at high speeds and off-road.

Opportunity

Growing Demand for Lightweight and Energy-Efficient Vehicles

As vehicles shift toward electrification and lightweight architectures, in-wheel motors bring energy efficiency, performance and reduced drivetrain complexity. Automakers will benefit from investing in advanced materials and power-dense motor designs as they will have a competitive advantage.

Advancements in Smart Mobility and Autonomous Vehicles

Highly integrated in-wheel motor systems will be needed to meet the demand of connected and autonomous mobility solutions. The in-wheel motors are the right choice for next gen autonomous electric cars due to their precision control, independent torque vectoring and modular scalability.

Shifts in the Automotive In-Wheel Motors Market from 2020 to 2024 and Future Trends 2025 to 2035

A gradual introduction of automotive in-wheel motors took place globally from the year 2020 to 2024 only in selected high-performance EVs, concept vehicles, and pilot projects. The direct-drive, hub-mounted electric propulsion was similar to that offered by automotive manufacturers and provided for higher efficiency and improved vehicle maneuverability.

While permanent magnet synchronous motors (PMSM), axial flux motors, and ultra-compact stators had a lot of industry-leading development focused on improving in-wheel performance, these designs could increase the weight of the wheel, making them inefficient. Automakers partnered more with tech providers, semiconductor companies, and battery makers to add smart inverters, regenerative braking, and wireless charging systems. But cost constraints, durability concerns, and lack of large-scale manufacturing capabilities meant that mass adoption was limited.

What the future holds: from 2025 to 2035: The in-wheel motors market will see rapid developments fueled by solid-state batteries, lighter composite materials, and AI-driven powertrain optimization. Next-generation modular EV platforms, AI-based torque vectoring, and 800V+ high voltage architectures will be the main driver for EV in-wheel motor technology.

Innovations such as self-healing coatings, advanced cooling solutions, and graphene-based motor windings will enhance both motor efficiency as well as reliability, solving some of the major durability challenges. In-wheel motor applications are likely to further expand with smart mobility solutions such as vehicle-to-everything (V2X) connectivity and sensor-integrated motor hubs in urban transport, last-mile delivery, and fleet electrification.

Sustainability is key to driving a reduction in rare earth dependency and the development of environmentally safe motor designs. To achieve global carbon neutrality objectives, manufacturers will develop recyclable motor components, low-emission production processes, and circular economy initiatives.

Market Shifts: A Comparative Analysis (2020 to 2024 vs. 2025 to 2035)

Market Shift 2020 to 2024 Trends
Regulatory Landscape ISO and UNECE safety regulations influenced in-wheel motor adoption.
Technological Advancements R&D focused on lightweight motor structures and enhanced power density.
Industry Applications Adoption was limited to high-performance EVs and concept models.
Environmental Sustainability Efforts to reduce drivetrain complexity and improve regenerative braking.
Market Growth Drivers Demand for lightweight and space-saving electric propulsion solutions.
Production & Supply Chain Dynamics Supply chain disruptions affected motor component sourcing and cost efficiency.
End-User Trends Consumers showed interest in high-efficiency electric drivetrains and improved vehicle handling.
Market Shift 2025 to 2035 Projections
Regulatory Landscape Stricter efficiency and sustainability mandates reshape manufacturing and material selection.
Technological Advancements AI-driven torque vectoring, graphene-based stators, and 800V+ ultra-fast charging redefine performance.
Industry Applications Mass deployment in autonomous, commercial, and urban mobility EV segments.
Environmental Sustainability Full-scale adoption of recyclable, energy-efficient, and low-carbon motor technologies.
Market Growth Drivers Expansion of AI-integrated mobility, modular EV platforms, and zero-emission transport solutions.
Production & Supply Chain Dynamics Localized production, sustainable material sourcing, and AI-driven inventory optimization improve market resilience.
End-User Trends Growing preference for autonomous-ready, smart in-wheel motor systems with integrated safety analytics.

Country-wise Outlook

United States

The automotive HVAC ducts market in the USA is gradually expanding with growing consumer inclination towards advanced climate control systems in passenger and commercial vehicles. Ford, General Motors, Tesla and other major automakers are adding in lightweight and energy efficient duct materials to improve thermal management and reduce vehicle weight.

Government rules on emissions and fuel efficiency are inspiring HVAC duct designs that boost airflow efficiency while minimizing the energy needed to achieve it. Moreover, growing sales of electric and autonomous vehicles are surging the need for advanced HVAC solutions for optimized battery thermal management.

Country CAGR (2025 to 2035)
USA 20.3%

United Kingdom

UK automotive HVAC ducts market is growing significantly due to the well-established premium and electric vehicle segment manufacturers including Jaguar Land Rover and Aston Martin. The market is being driven by the growing transition to sustainable automotive components as well as lightweight HVAC duct material that are improving vehicle efficiency. Market demand is being further fueled by government policies promoting green vehicle technologies and investments in next-generation climate control systems. Moreover, Connected/ Autonomous vehicles technology are gaining traction on roads that provide a greater opportunity for integrating smart HVAC duct.

Country CAGR (2025 to 2035)
UK 18.5%

European Union

Initiatives taken by domestic players such as Volkswagen, BMW, and Renault in Germany, France and Italy is facilitating the growth of the market in the mentioned European regions. A stronger emphasis on sustainable manufacturing and regulatory policies encouraging the transition of energy-efficient vehicles in the region will further augment the growth of advanced HVAC duct materials and designs. The HVAC size is shrinking to meet this demand, and with strict emissions regulations in place across Europe and production of electric vehicles on the rise, the demand for lightweight and thermally efficient HVAC ducts has skyrocketed. To add sponsor impact, the significant emergence of 3D-printed and bio-based duct materials is changing the market dynamic.

Region CAGR (2025 to 2035)
European Union (EU) 19.4%

Japan

The Japan automotive HVAC duct market is growing at a healthy rate, with surge in adoption of vehicular climate control systems and a strong demand for fuel-efficient vehicles. Toyota, Honda, and Nissan are using energy management optimized high-performance HVAC ducts. Hybrid and electric vehicles along with improvements in polymer-based and lightweight duct materials provide opportunities for this market to grow in the country. Furthermore, work on AI-based climate control systems would lead to new avenues for H-VAC duct optimization of autonomy vehicles.

Country CAGR (2025 to 2035)
Japan 19.2%

South Korea

The growth rate of automotive HVAC ducts market in South Korea is also driven by Hyundai and Kia being at the forefront in the production of electric and hybrid vehicles. Smart climate control systems and AI-powered vehicle comfort solutions are the next HVAC duct technologies in line to make headlines as the world benefits from the advancements being made in these countries. The market growth is also a result of government policies promoting green mobility and eco-friendly vehicle systems. Moreover, genuine high-performance plastic and composite material solutions have been driving a transformation in lightweight, durability and thermal efficiency in HVAC ducts among automotive OEMs.

Country CAGR (2025 to 2035)
South Korea 19.1%

Competitive Outlook

The automotive in-wheel motors market is growing rapidly with the transition towards electric vehicles (EV), increase in demand for lightweight and energy-efficient drive trains, and continuous developments in direct-drive propulsion systems. Wheel hub motor tech provides better handling, propulsion response, and more effective regenerative braking, allowing for lighter, smaller chassis.

The best-performing motors coming out of the leading automotive and technology firms have a high torque density, multi-function cooling (the same system cools both the battery and electric motor), and AI-enhanced traction control. Integration of in-wheel motors in passenger cars, commercial fleets, and performance-level electric vehicles will only continue to pick up as the shift to autonomous and electric mobility solutions accelerates.

The global automotive in-wheel motors market CAGR stands at 19.3% from 2024 to 2032, with country-specific growth rates influenced by government EV incentives, advancements in battery technology, and automakers' transition to electric drivetrains.

Market Share Analysis by Company

Company Name Estimated Market Share (%)
Protean Electric (SAIC Motors) 18-22%
Elaphe Propulsion Technologies 12-16%
NTN Corporation 10-14%
NSK Ltd. 8-12%
Schaeffler AG 5-9%
Other Companies (combined) 35-45%

Key Company Offerings & Activities

Company Name Key Offerings/Activities
Protean Electric (SAIC Motors) Develops high-torque in-wheel motors with integrated power electronics and regenerative braking systems.
Elaphe Propulsion Technologies Specializes in modular in-wheel motor platforms, improving scalability for EV manufacturers.
NTN Corporation Produces hub-integrated motor solutions, ensuring optimized weight distribution and enhanced vehicle dynamics.
NSK Ltd. Innovates compact in-wheel motor units with precision motion control for improved efficiency and traction.
Schaeffler AG Focuses on electrified wheel drive solutions, integrating AI-driven torque vectoring for autonomous EVs.

Key Company Insights & Competitive Strengths

Protean Electric (SAIC Motors) (18-22%)

  • Leads the automotive in-wheel motors market with high-power, torque-dense motor solutions.
  • Focuses on integrated cooling and power electronics, improving efficiency in high-performance EVs.
  • Expands OEM partnerships, accelerating in-wheel motor adoption in mass-market EV platforms.

Elaphe Propulsion Technologies (12-16%)

  • Specializes in scalable in-wheel motor technology, providing customizable propulsion solutions.
  • Invests in lightweight and compact motor architecture, ensuring optimal vehicle weight distribution.
  • Strengthens collaborations with autonomous and electric vehicle startups to expand market presence.

NTN Corporation (10-14%)

  • Develops next-generation in-wheel hub motors, optimizing low-energy consumption and silent operation.
  • Integrates regenerative braking and torque vectoring, enhancing stability and driving efficiency.
  • Expands its presence in commercial EV applications, targeting urban delivery fleets.

NSK Ltd. (8-12%)

  • Innovates precision motion control in-wheel motors, improving traction performance for performance EVs.
  • Develops compact and lightweight electric drivetrain solutions, enhancing range and efficiency.
  • Strengthens Asia-Pacific production capabilities, increasing supply to emerging EV markets.

Schaeffler AG (5-9%)

  • Introduces high-efficiency, direct-drive in-wheel motors, eliminating traditional drivetrain losses.
  • Integrates AI-driven torque vectoring, ensuring dynamic stability in autonomous and high-performance EVs.
  • Invests in sustainable motor materials, reducing the environmental impact of in-wheel propulsion systems.

Other Key Players (35-45% Combined)

Several emerging technology firms and automotive component manufacturers contribute to next-generation in-wheel motor innovations, focusing on power density, smart control systems, and scalability for mass production:

  • Ziehl-Abegg Automotive - Develops compact hub motors for electric buses and urban mobility solutions.
  • Lordstown Motors Corp. - Integrates in-wheel motor technology into commercial fleet vehicles and light trucks.
  • Ecomove - Focuses on modular in-wheel drive solutions for lightweight electric vehicles and micro-mobility.
  • Hitachi Astemo - Expands in-wheel motor applications into electric motorcycles and city-focused EVs.
  • GKN Automotive - Specializes in high-torque in-wheel motors for high-performance electric vehicles.

Automotive In-Wheel Motors Market Segmentation Overview

By Product Type:

  • Axial Flux Motor
  • Radial Flux Motor

By Technology:

  • BEV
  • HEV
  • PHEV

By Vehicle Type:

  • Passenger Car
  • Commercial Vehicle

By Cooling:

  • Air Cooled
  • Liquid Cooled

By Region:

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

Table of Content

  1. Executive Summary
  2. Industry Introduction, including Taxonomy and Market Definition
  3. Market Trends and Success Factors, including Macro-economic Factors, Market Dynamics, and Recent Industry Developments
  4. Market Demand Analysis 2020 to 2024 and Forecast 2025 to 2035, including Historical Analysis and Future Projections
  5. Market Analysis 2020 to 2024 and Forecast 2025 to 2035
    • Product Type
    • Technology
    • Vehicle Type
    • Cooling
  6. Market Analysis 2020 to 2024 and Forecast 2025 to 2035, By Product Type:
    • Axial Flux Motor
    • Radial Flux Motor
  7. Market Analysis 2020 to 2024 and Forecast 2025 to 2035, By Technology
    • BEV
    • HEV
    • PHEV
  8. Market Analysis 2020 to 2024 and Forecast 2025 to 2035, By Vehicle Type
    • Passenger Car
    • Commercial Vehicle
  9. Market Analysis 2020 to 2024 and Forecast 2025 to 2035, By Cooling
    • Air Cooled
    • Liquid Cooled
  10. Market Analysis 2020 to 2024 and Forecast 2025 to 2035, By Region
    • North America
    • Latin America
    • Western Europe
    • Eastern Europe
    • East Asia
    • South Asia Pacific
    • Middle East and Africa
  11. North America Sales Analysis 2020 to 2024 and Forecast 2025 to 2035, by Key Segments and Countries
  12. Latin America Sales Analysis 2020 to 2024 and Forecast 2025 to 2035, by Key Segments and Countries
  13. Western Europe Sales Analysis 2020 to 2024 and Forecast 2025 to 2035, by Key Segments and Countries
  14. Eastern Europe Sales Analysis 2020 to 2024 and Forecast 2025 to 2035, by Key Segments and Countries
  15. East Asia Sales Analysis 2020 to 2024 and Forecast 2025 to 2035, by Key Segments and Countries
  16. South Asia Pacific Sales Analysis 2020 to 2024 and Forecast 2025 to 2035, by Key Segments and Countries
  17. Middle East and Africa Sales Analysis 2020 to 2024 and Forecast 2025 to 2035, by Key Segments and Countries
  18. Sales Forecast 2025 to 2035 by Product Type, Technology, Vehicle Type, and Cooling for 30 Countries
  19. Competition Outlook, including Market Structure Analysis, Company Share Analysis by Key Players, and Competition Dashboard
  20. Company Profile
    • Protean Electric (SAIC Motors)
    • Elaphe Propulsion Technologies
    • NTN Corporation
    • NSK Ltd.
    • Schaeffler AG
    • Ziehl-Abegg Automotive
    • Lordstown Motors Corp.
    • Ecomove
    • Hitachi Astemo
    • GKN Automotive

Frequently Asked Questions

What was the overall size of the Automotive In-Wheel Motors Market in 2025?

The overall market size for the Automotive In-Wheel Motors Market was USD 4.18 Billion in 2025.

How big is the Automotive In-Wheel Motors Market expected to be in 2035?

The market is expected to reach USD 24.02 Billion in 2035.

What will drive the demand for the Automotive In-Wheel Motors Market during the forecast period?

The demand will be fueled by the rising adoption of electric vehicles (EVs), advancements in wheel motor technology, increasing focus on vehicle efficiency and weight reduction, and growing government initiatives promoting clean energy transportation.

Which are the top five countries contributing to the Automotive In-Wheel Motors Market?

The top five contributors are the USA, European Union, Japan, South Korea and UK.

Which vehicle type segment is expected to lead in the Automotive In-Wheel Motors Market?

Battery Electric Vehicles (BEVs) are anticipated to command a significant market share over the assessment period.

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Automotive In-Wheel Motors Market