Automotive Electric Drivetrain Components Market Size - By Components (Electric Drive Module, DC/DC Converter, Battery Packs, Thermal System, DC/AC Inverter, Power Distribution Module), Sales Channel (OEM, Aftermarket), Vehicle & Global Forecast, 2023 – 2032

Automotive Electric Drivetrain Components Market Size

Automotive Electric Drivetrain Components Market size was valued at USD 52.2 billion in 2022 and is estimated to grow at over 23.7% CAGR from 2023 to 2032. The global shift towards electric and hybrid vehicles has spurred a remarkable increase in the market for automotive electric drivetrain components in recent years.

Electric motors, power electronics, and battery systems have become crucial parts of the electrification of automobiles, with technological improvements, cost-cutting measures, and increased energy efficiency playing key roles. Companies are boosting their research and development spending while also focusing on improving the charging infrastructure to improve the performance and longevity of these components.

Governmental incentives and harsher emissions restrictions are accelerating the industry's growth further, creating a competitive environment with the potential for significant innovation and market growth soon.

COVID-19 Impact

The automotive electric drivetrain components market was severely damaged by the COVID-19 a pandemic The virus spread throughout the world, producing a sharp decline in car production and demand that disrupted supply networks and momentarily halted production. Although the electrification trend persisted, manufacturers encountered delays in component procurement and assembly, which had an impact on the rollout of electric vehicles.

The epidemic, however, also brought to light the significance of sustainable travel, encouraging investments in electric drivetrain technology as governments and consumers place a growing emphasis on cleaner and more effective mobility solutions. Environmental concerns and the continuous shift towards electrified transportation are projected to stimulate further growth in electric drivetrain components as the world recovers from the pandemic.

Automotive Electric Drivetrain Components Market Trends

With developments in battery technology and regenerative braking systems enhancing the overall performance of electric drivetrains, there is a rising emphasis on range extension and energy economy. Furthermore, automakers are shifting towards in-house development and manufacturing of electric drivetrain components to achieve greater control over quality and cost. Collaboration and partnerships between traditional automakers and technology businesses are also on the rise, supporting innovation in electric drivetrain technology and autonomous driving capabilities.

Finally, the market is seeing an increase in demand for lightweight materials and innovative designs to improve vehicle efficiency, as well as expanding infrastructure for fast-charging solutions to address range anxiety concerns, all of which are contributing to the rapid evolution of electric drivetrain components in the automotive industry.

Automotive Electric Drivetrain Components Market Analysis

Based on components, the battery packs segment dominated around USD 39.8 billion revenue in 2022, serving as the core energy storage component for electric vehicles. Following closely, Electric Drive Modules, which include electric motors and gearboxes, also hold a substantial share, as they are pivotal in converting electrical energy into mechanical power. DC/AC Inverters, responsible for converting direct current from the battery into alternating current for the electric motor, and DC/DC Converters, which manage power distribution within the vehicle's electrical system, maintain significant market presence.

Additionally, Thermal Systems for battery temperature management and Power Distribution Modules play crucial roles but have comparatively smaller market shares. The distribution of market share among these components reflects their respective importance in ensuring the efficiency and performance of electric drivetrains within the automotive industry.

Based on vehicle type, BEVs, which rely solely on electric power stored in batteries, have gained substantial traction 67.3% of the automotive electric drivetrain components market share in 2022. As consumers and governments prioritize zero-emission transportation. Following closely, Hybrid Electric Vehicles (HEVs) maintain a substantial market share, combining internal combustion engines with electric drivetrain components for improved fuel efficiency. Plug-in Hybrid Electric Vehicles (PHEVs) also hold a notable share, offering the flexibility of both electric and gasoline power sources.

Meanwhile, Fuel Cell Electric Vehicles (FCEVs), while demonstrating promising technology, currently occupy a smaller market share due to infrastructure challenges and limited commercial availability. The distribution of market share among these vehicle types reflects the diverse range of electrified options available to consumers, with BEVs and HEVs being the dominant players.

Based on sales channel, automotive electric drivetrain components market from Original Equipment Manufacturers (OEMs) segment is anticipated to grow at 23.6% CAGR through 2032. OEMs integrate these components directly into their electric vehicle manufacturing processes, ensuring high-quality and seamless integration. This segment's prominence stems from the growing demand for electric vehicles from well-established automakers as they transition towards electrification.

U.S. automotive electric drivetrain components industry size reached USD 7.35 billion in 2022.The United States has a well-established automotive industry with major automakers investing heavily in electric vehicle development and production. This commitment to electrification has propelled the demand for electric drivetrain components, with significant investments in research, development, and manufacturing capabilities.

Automotive Electric Drivetrain Components Market Share

Some of the major companies operating in the automotive electric drivetrain components market are:

• Aisin Seiki Co., Ltd.
• Denso
• Hexagon AB
• VALEO
• BorgWarner
• ZF
• Schaeffler AG
• UNIVANCE Corporation
   

These companies focus on strategic partnerships, new product launch & commercialization for market expansion. Furthermore, these companies are heavily investing in research that allows them to introduce innovative products and garner maximum revenue in the market.
 

Automotive Electric Drivetrain Components Industry News:

In July 2020, AISIN Launches 2 New Automatic Transmission Fluids, the ATF-MFZ and the ATF-SHP. ATF-MFZ is formulated for all Mazda vehicles that require Mazda FZ type automatic transmission fluid. ATF-SHP is formulated for all Subaru vehicles that require Subaru Type HP automatic transmission fluid.
 

This automotive electric drivetrain components market research report includes an in-depth coverage of the industry with estimates & forecast in terms of revenue in USD Billion & Volume in Thousand Units from 2018 to 2032, for the following segments:

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Market, By Components

• Electric Drive Module
• DC/DC Converter
• Battery Packs
• Thermal System
• DC/AC Inverter
• Power Distribution Module

Market, By Vehicle type

• Battery Electric Vehicle (BEV)
• Hybrid Electric Vehicle (HEV)
• Plug-in Hybrid Electric Vehicle (PHEV)
• Fuel Cell Electric Vehicle (FCEV)

Market, By Sales channel

• OEM
• Aftermarket

The above information has been provided for the following regions and countries:

• North America
  • U.S.
  • Canada
• Europe
  • Germany
  • UK
  • France
  • Spain
  • Italy
• Asia Pacific
  • China
  • Japan
  • India
  • Australia
  • South Korea
  • Indonesia
  • Malaysia 
• Latin America
  • Brazil
  • Mexico
  • Argentina
• Middle East & Africa
  • South Africa
  • Saudi Arabia
  • UAE
  • Egypt