Automotive Electrification Market Growth
The Automotive Electrification market is anticipated to grow at a CAGR of more than 25% over the next six years, according to a new report by Grand View Research. It highlights some of the key trends and drivers driving this market. Listed below are some of these factors:
Increasing awareness and demand for clean power sources are driving vehicle electrification. Additionally, electrified vehicles are low-maintenance and require very little maintenance, as there is no coolant or lubricant to replace. Electrified vehicles will also benefit from mechanical integration, which is anticipated to enhance their performance and boost market growth. However, the global automotive industry is still experiencing a slowdown in growth, so the future of this market depends on the level of sales activity and vehicle production.
The global Automotive Electrification market is split into three regions: North America, Europe, and the Rest of the World. North America includes the U.S., Canada, and Mexico, while South America includes Brazil, Argentina, and Rest of South America. Europe, meanwhile, includes countries such as Germany, France, Spain, Netherlands, and Belgium. Other regions include the Middle East and Africa, and Rest of Asia-Pacific.
Researchers, consultants, and science and technology professionals are interested in the Automotive Electrification market. The report also contains comprehensive data and analysis of regional and global segments. The report includes detailed industry statistics and insights on the key drivers and constraints influencing market growth. The report covers global and regional electrification markets and provides information on the various technologies that will drive this market. The study will be helpful for all market participants, including manufacturers, investors, and private companies.
The passenger vehicle segment is the largest segment of the Automotive Electrification market in 2019, occupying 95% of the market. Over the forecast period, this segment is anticipated to grow at a CAGR of 8.7%. The trend is primarily driven by rising purchasing capacity in emerging nations. Furthermore, the increasing number of electrified vehicles in developing countries is boosting demand for the automotive electrification market. The market is expected to reach USD Million by 2028.
Consumer demand for electric vehicles has increased dramatically in Europe. Several countries have already made a commitment to completely phase out ICE vehicles by 2030. The European Commission has set a target that requires 60 percent of new car registrations to be electric. In the European Union, seven automakers have pledged to reach 100 percent electrification by 2030. The overall automotive electrification market in Europe is expected to continue to grow at a high rate, thanks to government policies and consumer demand.
The largest segment of the Automotive Electrification market in 2019 will be electric power steering (EPS). EPS is a fuel-efficient technology that improves vehicle maneuverability and reduces fuel consumption. Almost every vehicle in North America and Europe has an EPS. Asia Pacific is also on the path to adopting EPS and the installation rate is currently near 90%. The EPS segment is forecast to dominate the market during the forecast period.