Acumen research and consulting estimates that the global electric power steering market is anticipated to reach market size of around US$ 45,000 Mn by 2027 and is anticipated to grow at a CAGR of around 6% in terms of revenue during the forecast period 2020 – 2027.
Electric power steering (EPS) is powered by a wheel controlled electric motor while the pump integrated with an oil tank is used to guide the hydraulic power steering system. The use of the pump in the hydraulic steering continuously raises the pressure on the car engine, impacting the fuel intake and efficiency of the vehicle. The torque is applied to the steering wheel to drive a car with power steering systems. EPS removes various pumps, fluid, hose, pulley and powertrain components. Electric steering systems are also lighter and smaller. EPS operates using an electric motor and control unit, which are combined with torque sensors. The electric motor runs on the battery and uses electric power to help drive when the driver turns the wheel.
The automotive industry mainly depends on the electric power steering market. Research and development activities of various automotive firms are also one of the main drivers of the global electrical power steering market. The advanced and robust steering system developments are likely to fuel the global electrical power steering market. However, the growing demand for power steering would spur increased competition to develop hybrid, self-driven or auto-pilot-enabled vehicles. Whereas a 100% reliable steering system desperately needs access and a lack of electrical power steering are significant limitations on the global electrical power steering market. In the projected market, development of electric power steering without a direct contact of connections is expected to trend, with exception of conventional steering, which has constant direct connections.
Government Initiatives and Growing Emphasis on Safer Automotive Systems are Driving the Market
On average, around 1.24 million people die every year in traffic accidents worldwide, with half being vulnerable road users, like pedestrians or motorcycles. 80% of vehicles sold around the world do not meet the most important safety standards according to the World Health Organization (WHO). In the seven most relevant automotive safety regulations, only 40 countries have adopted the full set of rules. The number of accidents has also grown significantly, prompting end consumers to adopt improved safety programs. Improved designs for roads and motor vehicles in all first world economies have constantly reduced injury and death rates. The accident rates in some developing countries, however, remain higher and governments focus entirely on implementing strict safety standards and support the adoption of different vehicle subsystems.
The global automotive electric power steering market is segmented into seven regions: North America, Europe, Asia Pacific Latin America and Middle East & Africa. Asia-Pacific has an estimated significant market share of the countries listed above due to increasing in adoption of commercial and passenger vehicles in countries such as China, Japan and South Korea. In addition, the most optimistic development on the global demand for electrical power steering is expected by Middle East & Africa, as luxury vehicle in the region will be on the rise. Europe is one of the key developing regions, with a significant automotive manufacturer creating credible opportunities in the global electrical power steering market during the forecasted period.
Major players included in this report are Mitsubishi Electric Corporation, Robert Bosch Automotive Steering GmbH, ZF Friedrichshafen Group, NSK Global, Nexteer Automotive, JTEKT Corporation, thyssenkrupp Presta AG, SHOWA Corporation, Mando Corporation, Zhuzhou Elite Electro Mechanical Co. Ltd, Hyundai Mobis, and others. By launching modern EPS solutions with state-of-the-art technologies they concentrate on diversifying their product portfolio and consumers. JTEKT, for example, has expanded its EPS area of application and has developed EPS (intermediate EPS type assist) on multifunctional vehicles used in farming, off-road and other applications. The organization has set up production sites in four regions for dual pinion-type EPS in Japan, China, North America and Europe and for three regions for rack-type EPS in Japan, China and North America in order further to improve the global supply chain.
The global electric power steering market is segmented as below:
Electric Power Steering Market By Type
Rack assist type (REPS)
Colum assist type (CEPS)
Pinion assist type (PEPS)
Electric Power Steering Market By Components
Mechanical rack and pinion
Electronic control unit
Electric Power Steering Market By Electric Motor
Electric Power Steering Market By Application
Passenger Cars (PC)
Commercial Vehicles (CV)
Electric Power Steering Market By Geography
Middle East & Africa
The market value of electric power steering is anticipated to be around US$ 45,000 Mn in 2027.
It is anticipated to grow around 6% CAGR amid the forecast period 2020 to 2027
Asia Pacific held maximum share in 2019.
Asia Pacific is projected to grow at a fast pace during forecast period from 2020 to 2027.
Regulatory push towards efficient technologies is expected to drive the growth of the electric power steering market.
Higher cost of EPS as compared to traditional steering systems is a major factor expected to restraint the growth of the market.
Mitsubishi Electric Corporation, Robert Bosch Automotive Steering GmbH, ZF Friedrichshafen Group, NSK Global, Nexteer Automotive, JTEKT Corporation, thyssenkrupp Presta AG, SHOWA Corporation, Mando Corporation, Zhuzhou Elite Electro Mechanical Co. Ltd, Hyundai Mobis, and others are the prominent players in the electric power steering market.