Europe Electric Drive Unit Market Size - By Vehicle type (BEV, HEV, PHEV), By Sales Channel (OEM, Aftermarket), By Coolant (Water Glycol, Oil Based), By Country Outlook & Forecast, 2024 – 2032

Europe Electric Drive Unit Market Size

Europe Electric Drive Unit Market was valued at USD 5.4 billion in 2023 and is envisioned to grow at a CAGR of 23.1% between 2024 and 2032. Rising adoption of electric vehicles along with increasing focus on EV performance & efficiency are key drivers shaping the product adoption worldwide. In addition, international efforts focused on regulating energy-efficient measures to diminish carbon footprints are poised to enhance the business prospects.
 

Expansion of the product into new applications including electric buses & commercial vehicles along with rising industrial automation & robotics will sway the product adoption. For instance, in September 2022, Robert Bosch launched an electric mobility solution for its commercial vehicles and commenced large-scale production of novel drive units tailored for light commercial vans and medium-sized trucks. Electric EDUs offer significant advantages for these applications, including reduced emissions and quieter operation, contributing to cleaner air quality in urban areas.
 

Europe Electric Drive Unit Market Trends

Shifting adoption towards electrification in the automotive industry, with major automakers in Europe investing in electric vehicle development along with rapid deployment of electric vehicle charging station in the region will augment the business outlook . As a result, there is a growing demand for advanced electric drive units that offer improved performance, efficiency, and reliability. Manufacturers in the region are focusing on innovation and technological advancements to meet these evolving needs, leading to the development of next-generation EDUs with higher power density, lighter weight, and enhanced thermal management capabilities.
 

Growing shift towards designing EDUs as integrated systems rather than individual components that allows for improved optimization of motor, inverter, gearbox, and control software for maximum performance and efficiency will augment the product adoption. In addition, integrating EDUs with thermal management systems becomes crucial to ensure optimal operating temperatures.
 

Europe Electric Drive Unit Market Analysis

Based on vehicle type, the BEV electric drive unit market is anticipated to surpass over USD 18.1 billion in 2032. Increasing production capacity and enhancing battery technology within the battery electric vehicle is one of the major driving factors. Surge in investment in charging infrastructure to support the growing BEV market, including fast-charging networks, home charging solutions, and workplace charging stations will further add to the market growth.
 

Based on sales channel, the OEM industry is set to grow at a rate of over 23.5% through 2032. Rapid increase in number of EVs across the European region owing to increasing focus on sustainability will increase the demand for aftermarket services, including maintenance, repair, and replacement of EDUs. This presents opportunities for companies offering specialized services and spare parts for EDUs, which in turn will complement the business scenario.
 

The Germany electric drive unit market is forecasted to exceed over USD 10.1 billion by 2032. Government support for the adoption of electric vehicles and the development of EV charging infrastructure has contributed significantly to overall industry growth. The expansion of the industry is primarily driven by rising energy costs and an increasing preference for energy-efficient solutions.
 

Europe Electric Drive Unit Market Share

GKN Automotive Limited, hofer powertrain, Magna International Inc., Vitesco Technologies GmbH, and DANA TM4 INC. holds a major share in the Europe EDU market. These companies prioritize strategic partnerships, the introduction of new vehicle types, and post-market strategies to expand their market presence. Additionally, they allocate substantial investments towards research endeavors focused on introducing innovative vehicle types, ultimately aiming to optimize revenue within the industry.
 

Europe Electric Drive Unit Market Companies

Major players operating in the European electric drive unit industry are:

• Aisin Corporation
• AVL
• BorgWarner Inc.
• C.F.R. Srl.
• DANA TM4 INC.
• ElringKlinger AG
• Equipmake
• FRIWO Gerätebau GmbH
• GKN Automotive Limited
• hofer powertrain
• Integral Powertrain Limited
• LG Magna e-Powertrain
• Magna International Inc.
• Magnetic Systems Technology Limited
• MAHLE Polska Sp. z o.o
• Nidec Corporation
• Punch Powertrain nv
• Robert Bosch GmbH
• Saietta Group
• Schaeffler AG
• Vitesco Technologies GmbH
• Voith GmbH & Co. KGaA
• ZF Friedrichshafen AG
• Zytek Automotive Ltd.
   

Europe Electric Drive Unit Industry News

• In April 2023, hofer powertrain inaugurated a new facility in the Austrian capital to provide local and global support to customers and expedite innovations in electric drive technology. The company’s new facility specializes in inverter, software, system, and electric motor development, catering to individual needs of automotive customers and implementing high-performance drive technology.
   
• In June 2023, NIDEC CORPORATION in collaboration with Renesas Electronics Corporation planned to develop semiconductor solutions for latest generation E-Axle integrated in EV drive motor and power electronics.
   

This Europe electric drive unit market research report includes an in-depth coverage of the industry with estimates & forecast in terms of volume in ‘Units’ & revenue in ‘USD Billion’ from 2019 to 2032, for the following segments:

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Market, By Vehicle Type

• BEV
• HEV
• PHEV

Market, By Sales channel

• OEM
• Aftermarket

Market, By Coolant

• Water Glycol
• Oil Based

The above information has been provided for the following countries:

• Norway
• Germany
• France
• Netherlands
• UK
• Austria
• Belgium
• Denmark
• Finland
• Ireland