by The global Electric Powertrain Market is estimated to be valued at US$ 81.7 Bn in 2023 and is expected to exhibit a CAGR of 16.% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Overview:
An electric powertrain consists of a battery pack and electric motor that powers the wheels of the vehicle instead of an internal combustion engine. It helps achieve zero-emissions by producing no tailpipe pollutants. Electric powertrains are gaining popularity as they enhances vehicle performance with quick acceleration and torque availability. Their minimal maintenance requirements also reduce operational costs for fleet owners. With strict emission regulations, electric powertrains have become crucial for automakers to develop green mobility solutions.
Market key trends:
Growing consumer preference for electric vehicles due to rising environmental concerns and low operating costs has boosted demand for electric powertrains. Government incentives and subsidies for electric vehicles adoption in different countries is another key trend spurring the electric powertrain market growth. Rapid increase in charging infrastructure development by both public and private entities further encourage EV usage. Continuous technological advancements such as fast charging, higher battery ranges, and improved motor efficiencies are expanding electric powertrain capabilities. OEMs are also focusing on mass production of affordable electric cars to make them viable alternatives to gasoline vehicles.
Porter’s Analysis
Threat of new entrants: The threat of new entrants is moderate as significant capital investments are required for product research and development. However, the growing demand provides opportunities for new players.
Bargaining power of buyers: The bargaining power of buyers is high due to the presence of many established players and availability of alternatives. Buyers can negotiate on price and demand customized products.
Bargaining power of suppliers: The bargaining power of suppliers is moderate as raw material suppliers have dominance over component supplies. Suppliers can influence pricing and supply disruptions affect operations.
Threat of new substitutes: The threat of new substitutes is high with advancements in fuel cell and hydrogen technologies posing a threat to replace electrified powertrains.
Competitive rivalry: The competitive rivalry is intense with major players competing on the basis of technology, price, quality, and delivery.
Key Takeaways
The Global Electric Powertrain Market Size is expected to witness high growth, exhibiting CAGR of 16% over the forecast period, due to increasing global focus on emission reduction and demand for fuel-efficient vehicles. The market size for 2023 is estimated to be US$ 81.7 Bn.
Europe is expected to dominate the Electric Powertrain Market owing to stringent emission norms. The region accounts for more than 30% of the global electric vehicle fleet with major automakers launching multiple electric models. Government initiatives promoting adoption of EVs through monetary incentives and investments in charging infrastructure are boosting regional growth.
Key players operating in the Electric Powertrain Market are Borgwarner Inc., Continental Ag, Magna International Inc., Marelli Holdings Co Ltd., Mitsubishi Electric Corporation, Nidec Corporation, Robert Bosch Gmbh, Schaeffler Group Usa Inc., and Valeo Sa. Players are investing heavily in developing innovative technologies to improve performance, driving range, and efficiency of electric powertrains. Strategic partnerships for collaborations and acquisitions are gain a competitive advantage.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
Money Singh is a seasoned content writer with over four years of experience in the market research sector. Her expertise spans various industries, including food and beverages, biotechnology, chemicals and materials, defense and aerospace, consumer goods, etc.
