Automotive Low Voltage Drives Market Size- By Power Range, By Drive, Analysis, Share, Growth Forecast, 2025 - 2034

Automotive Low Voltage Drives Market Size

The global automotive low voltage drives market size in 2024 was valued at USD 2.5 billion and is estimated to grow at a CAGR of 4.1% from 2025 to 2034.
 

The need for reliable motor control solutions will be further supported by significant investments from private and public sectors to the automotive facilities, as well as the rising GHG emissions, the adoption of electric vehicles, and government incentive programs will boost the industry outlook.

Growing investments in electric vehicle projects in the automotive sector with the goal of emission reduction will assist the industry’s growth. For example, between January and March 2024, BMI monitored the announcement or commencement of no less than 38 new automotive manufacturing projects in Asia which cumulatively exceed USD 44.4 billion. In addition, India was on the top with respect to available investment opportunities in the Asian region, followed by Thailand and South Korea. India had nine investments, while Thailand and South Korea had six projects each. Furthermore, the introduction of energy efficient variable speed drives in automotive processes and the active research by producers will contribute to the overall growth of the industry.
 

Automotive Low Voltage Drives Market Trends

Automotive low voltage drives industry is set to grow on account of growing investments in advanced automotive manufacturing facilities with improved automation capabilities. Authorities are increasingly focusing on low-carbon technologies to reduce energy consumption and emissions will positively influence industry outlook. For instance, in May 2024, concerns of CO2 emissions to the atmosphere have triggered the European Union to approve stern regulations, which impose a 90% restriction on emissions from heavy-duty trucks and buses by the year 2040, along with large vehicles emission restriction of 45% and 65% restriction by 2030 and 2035, respectively. The EU has also introduced the provision to revise these guidelines in 2027 to monitor the effectiveness.
 

Automotive Low Voltage Drives Market Analysis

Low segment is anticipated to grow over USD 2.2 billion by 2034. Rising demand for improved motor protection solutions and focus on energy efficiency is driving the demand for low power range drives. Ongoing incorporation of smart technologies like remote monitoring and predictive maintenance and increasing adoption of digital solutions and Industry 4.0 principles is further shaping the business landscape.
 

AC segment is anticipated to witness a CAGR of over 4.2% by 2034. Rising demand for precise and reliable motor control solutions across several industrial applications along with the ability to optimize motor performance by adjusting speeds based on load requirements will accelerate the product demand. Manufacturers are working on making drives more efficient by designing compact and modular systems. These efforts aim to lower energy consumption, which is driving the growth of the low voltage AC drives industry.
 

Servo drives segment is anticipated to witness significant growth on account of increasing need for precise positioning and velocity control to enhance efficiency and accuracy in various automotive applications. The focus of major players has been directed towards research and development of improved servo drives. These activities are set to increase performance, improve efficiency, and broaden applications will contribute significantly to the industry performance.
 

U.S. automotive low voltage drives market is set to grow over USD 510 million by 2034. Increased spending in manufacturing and the widespread use of high-power equipment has accelerated the demand for motor control solutions, complementing the industry landscape. Flourishing investments, introduction of stringent regulations and favorable initiatives by authorities promoting energy efficiency, reducing energy cost are shaping the national business dynamics. For example, in October 2024, USD 50 million worth of subsidy funds by the U.S. DoE shall be utilized over six states which have significant automotive manufacturing capabilities, and this in turn is expected to bring assistance towards smaller automotive suppliers to shift towards electric vehicle production. This is in line with spending USD 2 billion throughout the country to change vehicle manufacturing towards electric vehicles.
 

Automotive Low Voltage Drives Market Share

The automotive low voltage drives industry is characterized by a wide range of suppliers and manufacturers contending to offer reliable, efficient, and cost-effective solutions. Industry competitiveness is deeply shaped by the fact that key players are working to adopt versatile technologies to ensure reliability in different operating circumstances. This is being achieved while most manufacturers are attempting to meet shifting demand alongside the stringent controls of technology, manufacturing, energy consumption, and customer needs.
 

Automotive Low Voltage Drives Market Companies

Key manufacturers operating across the market consist of:

• ABB
• Danfoss
• Emerson Electric
• Eaton
• Fuji Electric
• GE Vernova
• Infineon Technologies
• Kostal
• Mahle
• Nidec
• Omron
• Renesas Electronics
• Rockwell Automation
• Schneider Electric
• WEG
• Yaskawa
   

Automotive Low Voltage Drives Industry News

• In April 2024, Applied Motion Products, Inc. released the MDX+ series LV integrated servo as well as new developments for integrated pulse control motors. Integrated servo systems have several advantages delivering compactness and combining the capability of performing functions of a servo motor, a drive, and an encoder. They deliver a power output between 100 W and 550 W, featuring integration across a wide variety of applications. The equipment also supports motor control pulse directions (CW/CCW) and communication protocols that include RS-485, CANopen, and EtherCAT. The systems also have additional plans to add Safe Torque Off (STO) functionalities.
   
• In September 2023, Rockwell Automation worked with Infinitum in the development of Aircore motors with pulse control, which are energy efficient and are designed to serve & minimize the global carbon footprint. Installing Rockwell’s LV drives on Infinitum’s Aircore motors greatly enhances the performance of the motor’s core whilst decreasing the overall size and weight by over 50%, the copper material content by at least two-thirds, and increasing energy efficiency by a minimum of 10%.
   

The global automotive low voltage drives market research report includes in-depth coverage of the industry with estimates & forecast in terms of “’000 Units” and “USD Million” “‘from 2021 to 2034, for the following segments:

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Market, By Power Range

• Micro
• Low

Market, By Drive

• AC
• DC
• Servo

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

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