Electric Powertrain Industry

The global electric powertrain market size was valued at USD 83.30 billion in 2022 and is expected to expand at a compound annual growth rate (CAGR) of 15.3% from 2023 to 2030.

The COVID-19 pandemic has affected the overall automotive industry, leading to a subsequent decline in the growth of the electric powertrain industry due to low automotive sales and new requirements. However, stringent emission norms by government agencies, such as emission standards for Greenhouse Gas (GHG) emissions by the U.S. Environmental Protection Agency (EPA), BS-VI norms in India, and China VI, are driving the market growth. The post-COVID-19 recovery in the sales of pure and hybrid electric vehicles is a prominent driving factor for the growth of the electric powertrain industry. Moreover, the mass adoption of electric cars and attractive incentives by governments for the domestic production of electric vehicles is also anticipated to boost the demand for electric powertrains globally.

Gather more insights about the market drivers, restrains and growth of the Global Electric Powertrain market

Electric Powertrain Market Segments:

Electric Vehicle Insights

The BEV segment accounted for the largest share of around 70% of the overall market in 2022. A battery electric vehicle (BEV) is a vehicle that is powered entirely by electric energy. BEV has no internal combustion engine or fuel tank and runs on an electric drivetrain powered via rechargeable batteries. BEV needs to be plugged into a power source to charge. The high share can be attributed to a decline in the sales of ICE vehicles and the restriction on CO2 targets. Moreover, advancements in battery technology and reduction in Lithium-ion battery prices are also expected to boost the demand for BEVs over the forecast period.

Component Insights

The battery segment accounted for the largest share of 63.6% in 2022. The battery is the most prominent component when it comes to the electrification of vehicles. It is either used as the sole power source in BEVs or is combined with other power sources in green vehicles. In BEVs, the battery pack constitutes around 50% of the total cost. Increasing demand for electric vehicles, improvement in battery technology, and supporting government policies are major factors responsible for market growth in this segment.

Regional Insights

Asia Pacific captured the largest revenue share of over 57.0% in 2022. Countries such as China, Japan, South Korea, and India are among the prominent automobile manufacturers in this region. Stringent government regulations and emission norms to solve the global warming issues resulting from substantial Co2 emissions are expected to contribute to the growth of the Asia Pacific market.

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• The Middle East intelligent transportation system market size was valued at USD 3.93 billion in 2023 and is projected to grow at a compound annual growth rate (CAGR) of 9.1% from 2024 to 2030. This growth can be credited to the increasing adoption of smart city initiatives across the region.
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Key Companies & Market Share Insights

Key players that dominated the global electric powertrain industry in 2022, include BorgWarner, ZF Friedrichshafen AG, Schaeffler AG, Mitsubishi Electric Corp., and Magna International Inc. These players are pursuing various organic and inorganic growth strategies, such as mergers & acquisitions, strategic partnerships, and new product launches, to strengthen their foothold in the market. For instance, In October 2020, Continental AG’s Powertrain segment Vitesco Technologies announced the launch of a new transmission control system. It is the world’s first transmission control system equipped with over molding control electronics technology.

Several international electric vehicle manufacturers are investing and expanding their production units in the country. For instance, in August 2020, Magna International Inc. announced the expansion of its powertrain business in Slovakia, Europe. The company initiated the construction of the manufacturing facility in Slovakia to develop powertrain metal forming solutions. Some prominent players in the global electric powertrain market include:

• BorgWarner
• Bosch Limited
• Mitsubishi Electric Corp
• Magna International Inc.
• Schaeffler AG
• ZF Friedrichshafen AG
• Valeo
• Nidec Corporation
• Continental AG
• Magneti Marelli Ck Holdings

Segments Covered in the Report

Grand View Research has segmented the global electric powertrain market based on electric vehicles, components, and regions:

Electric Powertrain Electric Vehicle Outlook (Volume, Units; Revenue, USD Billion, 2018 - 2030)

• BEV
• HEV/PHEV

BEV Electric Powertrain Component Outlook (Revenue, USD Billion, 2018 - 2030)

• Motor/Generator
• Battery
• Power Electronics Controller
• Converter
• Transmission
• On-Board Charger

HEV/PHEV Electric Powertrain Component Outlook (Revenue, USD Billion, 2018-

2030)

• Motor/Generator
• Battery
• Power Electronics Controller
• Converter
• Transmission
• On-Board Charger

Electric Powertrain Regional Outlook (Volume, Units; Revenue, USD Billion, 2018 - 2030)

• North America
  • US
  • Canada
• Europe
  • UK
  • Germany
• Asia Pacific
  • China
  • India
  • Japan
  • South Korea
• Latin America
• Middle East & Africa

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