Electric Vehicle E-Axle Market Size - By Propulsion (Hybrid Electric), By Component (Motor, Transmission, Power Electronics,), By Propulsion Type (All-electric Vehicle, Hybrid Electric Vehicle), By Vehicle Type (Passenger Cars, Commercial Vehicle), By Drive & Forecast 2023 - 2032

Electric Vehicle E-Axle Market Size

Electric Vehicle E-Axle Market was valued at USD 36.4 billion in 2022 and is anticipated to register a CAGR of over 17% between 2023 and 2032. The rising adoption of Electric Vehicles (EVs) is a key factor propelling the business growth. As more consumers & businesses switch to EVs to reduce emissions and embrace sustainable drive, the demand for efficient, integrated e-axle systems will increase. E-axles contribute to enhanced EV performance, energy efficiency, and simplified design. This growing EV market adoption vehicles the need for advanced e-axle technologies, fostering innovations and market expansion in the electric vehicle sector.
 

Growing environmental concerns including air pollution & climate change are compelling governments and consumers alike to support Electric Vehicles (EVs). Stricter emission regulations and incentives from governments are encouraging the transition. Additionally, consumers are increasingly becoming aware of the environmental impacts of traditional cars, thereby favouring EVs due to their eco-friendly nature. As a result, the demand for components such as e-axles, integral to EV propulsion systems, is on the rise, driving the collective push toward a greener automotive industry.
 

The production cost of electric vehicle e-axle systems is a significant market challenge. The advanced technology and precision engineering involved often result in higher manufacturing expenses. This cost burden, if not mitigated, can lead to expensive EV models, limiting their affordability and competitiveness against traditional internal combustion vehicles. As consumers often make purchasing decisions based on upfront costs, the relatively high production cost of e-axles poses a barrier to the widespread adoption of electric vehicles, hampering the market growth.
 

COVID-19 Impact

The COVID-19 pandemic negatively impacted the electric vehicle e-axle business. Disruptions in supply chains, factory closures & reduced consumer spending due to economic uncertainties led to production delays and decreased demand for electric vehicles. Automakers faced challenges in sourcing components, hindering e-axle production. Additionally, reduced consumer purchasing power and a focus on essential goods further dampened the market, stalling its growth trajectory during the pandemic period.
 

Electric Vehicle E-Axle Market Trends

Developments in advanced E-axle technology are fostering substantial growth in the electric vehicle e-axle industry. Integrated systems that combine the EV drive motor and power electronics are significantly enhancing the efficiency & performance of Electric Vehicles (EVs). For instance, in June 2023, Nidec Corporation and Renesas Electronics Corporation collaborated to develop semiconductor solutions for the next-generation E-Axle (X-in-1 system). This innovative technology integrates an electric vehicle drive motor and power electronics, enhancing the efficiency & performance of EVs.
 

The demand for electric vehicles continues to rise, the e-axle market was expected to expand further, driven by advancements in technology and supportive government policies. As EVs with advanced E-axle systems gain popularity, the market demand for these integrated solutions will surge, creating lucrative opportunities for manufacturers and driving market growth.
 

Electric Vehicle E-Axle Market Analysis

The hybrid segment held major market share in 2022. The adoption of hybrid propulsion systems is primarily driven by their ability to significantly enhance vehicle efficiency and extend driving range. By seamlessly combining internal combustion engines with electric motors, these systems optimize power usage, making them ideal for diverse driving scenarios. Furthermore, their reduced emissions align with global environmental goals, making Hybrid Electric Vehicles (HEVs) a popular choice. Government incentives further bolster their appeal, encouraging consumers to choose HEVs. Ongoing technological advancements, such as regenerative braking & flexible power source options, underscore the adaptability and efficiency of hybrid propulsion, vehicle their demand in the market.
 

The commercial segment held around 60% market share in 2022. The increasing production of e-axles for passenger vehicles is propelling the electric vehicle e-axle market forward. As automakers focus on integrating advanced e-axle systems into their passenger cars, these vehicles are becoming more efficient and eco-friendlier. For instance, in December 2021, Marelli Electric Powertrain Strasbourg, the joint venture between MARELLI and PUNCH Motive International, secured a significant contract from a global Original Equipment Manufacturer (OEM) for manufacturing e-axles. Majority-owned by Marelli, the joint venture specializes in developing and assembling tailored integrated e-axle systems designed for Battery Electric Vehicles (BEVs) and Plug-in Hybrid cars.
 

Asia Pacific e-axle market size exceeded USD 16.6 billion in 2022 and is anticipated to dominate the market by 2032. The increasing production of e-axles for passenger vehicles is propelling the market growth. As automakers focus on integrating advanced e-axle systems into their passenger cars, these vehicles are becoming more efficient and eco-friendlier.
 

Electric Vehicle E-Axle Market Share

Major players operating in the electric vehicle e-axle industry are:

• BorgWarner Inc.
• Continental AG
• Dana Incorporated
• Nidec Corporation
• Robert Bosch GmbH
• Siemens
• ZF Friedrichshafen
   

BorgWarner Inc., Continental AG, Dana Incorporated, Robert Bosch GmbH and ZF Friedrichshafen are some of the major players in the electric e-axle market, holding major market share. These companies are involved in the development of electric e-axle systems aligns with the industry trend of integrating electric motors, power electronics, and transmissions into a single unit to enhance the efficiency and performance of electric vehicles.
 

Electric Vehicle E-Axle Industry News

• In September 2023, Tresa Motors launched an electric truck, the Model V0.1, based on the Flux 350, an axial flux motor platform. The company also revealed the DAX-1 electric axle, a compact unit seamlessly integrating Tresa’s FLUX350 motor, motor controller, AMT gearbox, and differential.
   

This electric vehicle e-axle market research report includes in-depth coverage of the industry, with estimates & forecast in terms of revenue (USD Million) and shipment (Units) from 2018 to 2032, for the following segments:

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By Propulsion

• Hybrid
  • Hybrid Electric Vehicles (HEVs)
  • Plug-in Hybrid Electric Vehicles (PHEVs)
• Electric
  • Battery Electric Vehicles (BEVs)
  • Vehicle Cell Electric Vehicles (FCEVs)

By Component

• Motor
• Transmission
• Power Electronics
• Others

By Vehicle Type

• Passenger Cars
  • Sedan
  • SUV
  • Hatchback
  • Others
• Commercial
  • Light
  • Medium
  • Heavy

By Drive Type

• Front-wheel Drive
• Rear-wheel Drive 
• All-wheel Drive

The above information is provided for the following regions and countries:

• North America
  • U.S.
  • Canada
• Europe
  • U.K.
  • Germany
  • France
  • Italy
  • Russia
  • Spain
  • Sweden
  • Norway
• Asia Pacific
  • China
  • India
  • Japan
  • South Korea
  • ANZ
  • Southeast Asia 
• Latin America
  • Brazil
  • Mexico
  • Argentina
• MEA
  • UAE
  • South Africa
  • Saudi Arabia