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Automotive eAxle Market: Introduction

  • Rise in consumer preference toward new energy vehicles such as battery electric vehicle (BEVs) and hybrid electric vehicle (HEVs) attributing to an increase in awareness about the advantages offered by electric vehicles is likely to drive the global automotive eAxle market
  • An eAxle, also known as electric axle, acts as a power source for new energy vehicles such as hybrid electric vehicles and battery electric vehicles. An eAxle is can be installed on either front or the rear axle of the vehicle. In case of hybrid vehicles, if the eAxle is mounted on the rear axle, the front wheel is powered by means of an internal combustion engine or vice versa. Both these drive systems, i.e. electric and IC-engine, operate together with a hybrid battery pack, which provides required amount of power to drive the vehicle.

Key Drivers of Automotive eAxle Market

  • Rise in trends toward electric vehicles among consumers across the globe is the prominent factor boosting the global automotive eAxle market. According to Bloomberg New Energy Finance (BNEF), over 500 different electric vehicle models are expected to be available globally by 2022. Automakers are pushing their EV launch plans in order to comply with increasing enactment of stringent regulations in Europe and China, which is anticipated to offer lucrative opportunity for major players engaged in manufacturing of electric motors in the global automotive eAxle market.
  • Technological advancements, in terms of electric vehicles, are anticipated to propel the global automotive eAxle market. Major players are anticipated to increase investments toward R&D of electric driveline technology in order to increase efficiency of electric vehicles. For instance, in 2016, Toyota Motors launched a vehicle Toyota RAV4 Hybrid, which utilizes a 2.5-liter, four-cylinder engine and has two electric motors, dedicated one on each axle. Toyota Motors was the first company to mount an electric motor on the rear axle of a front-wheel-drive model, which transformed the vehicle into an all-wheel-drive vehicle.
  • Globally, several government organizations are increasingly adopting stringent vehicle emission standards, thereby compelling automakers to produce alternate propulsion systems for their vehicles. This, in turn is expected to propel the global automotive eAxle market. Major players in the automotive industry, including GKN Driveline (GKN plc), Dana Incorporated and ZF Friedrichshafen AG, are focused on the development of eAxle technology.
  • Additionally, electric propulsion systems are being increasingly adopted across the commercial vehicle segment. For instance, in 2019, ZF Friedrichshafen AG announced the development of AxTrax AVE electric drive axle, which was to be installed in 31 London double-decker buses. This bus is powered solely by electricity.
  • The coronavirus pandemic outbreak has resulted in a 25% decline in demand for EVs during the first quarter of year 2020, as compared to EV sales in 2019; however, according to a report published by Bloomberg New Energy Finance (BNEF), electric vehicles are expected to contribute to around 10% of global passenger vehicle sales by 2025, which is estimated to increase to 28% in 2030 and 58% in 2040. This, is likely to offer lucrative opportunity for key players engaged in the supply chain of the automotive eAxle market.
  • Additionally, major strategies adopted by automakers such as investments & expansions, contracts & agreements, and new product launches, mergers & acquisitions have emerged as a key strategy among key players, as companies look to strengthen their service offerings in terms of electric vehicles and expand geographic market reach by offering their products.

North America and Europe cumulatively to account for prominent share of global automotive eAxle market

  • In terms of region, the global automotive eAxle market can be segmented into North America, Europe, Latin America, Asia Pacific, and Middle East & Africa
  • North America and Europe have presence of economically stable countries. These regions are also home to technologically advanced research institutes catering to the development of electric vehicles. Additionally, major players have established their technological centers and manufacturing facilities in various countries including the U.S., Germany, the U.K., and France
  • Several new players emerging from these regions are focused on the development of electric vehicle powertrain systems to increase efficiency of electric vehicles. All the factors mentioned above contributed to the major share held by these regions in the global automotive eAxle market.

Key Players Operating in Automotive eAxle Market

The global automotive eAxle market is highly concentrated owing to the presence of top manufacturers. A few key players operating in the global automotive eAxle market are:

  • AxleTech (Meritor, Inc.)
  • Continental AG
  • Dana Incorporated
  • GKN Automotive Limited (GKN plc.)
  • Linamar Corporation
  • Magna International Inc.
  • Melrose Industries PLC (GKN plc)
  • Nidec Corporation
  • Robert Bosch GmbH
  • Schaeffler AG
  • ZF Friedrichshafen AG

Global Automotive eAxle Market: Research Scope

Global Automotive eAxle Market, by Vehicle Type

  • Passenger Vehicle
    • Hatchback
    • Sedan
    • Utility Vehicles
  • Light Commercial Vehicle
  • Medium & Heavy Commercial Vehicle
  • Off Road Vehicle
  • Buses & Coaches

Global Automotive eAxle Market, by Electric Vehicle Type

  • Battery Electric Vehicle
  • Hybrid Electric Vehicle
  • Plug-in Hybrid Electric Vehicle

Global Automotive eAxle Market, by Drive Type

  • Front Wheel Drive (FWD)
  • Rear Wheel Drive (RWD)
  • All-Wheel Drive (AWD)

Global Automotive eAxle Market, by Region

  • North America
    • U.S.
    • Canada
  • Europe
    • Germany
    • France
    • U.K.
    • Italy
    • Spain
    • Nordic Countries
    • Russia & CIS
    • Rest of Europe
  • Asia Pacific
    • China
    • Japan
    • India
    • ASEAN
    • ANZ
    • South Korea
    • Rest of Asia Pacific
  • Latin America
    • Brazil
    • Mexico
    • Argentina
    • Rest of Latin America
  • Middle East & Africa
    • GCC
    • Turkey
    • South Africa
    • Rest of Middle East & Africa

This study by TMR is all-encompassing framework of the dynamics of the market. It mainly comprises critical assessment of consumers' or customers' journeys, current and emerging avenues, and strategic framework to enable CXOs take effective decisions.

Our key underpinning is the 4-Quadrant Framework EIRS that offers detailed visualization of four elements:

  • Customer Experience Maps
  • Insights and Tools based on data-driven research
  • Actionable Results to meet all the business priorities
  • Strategic Frameworks to boost the growth journey

The study strives to evaluate the current and future growth prospects, untapped avenues, factors shaping their revenue potential, and demand and consumption patterns in the global market by breaking it into region-wise assessment.

The following regional segments are covered comprehensively:

  • North America
  • Asia Pacific
  • Europe
  • Latin America
  • The Middle East and Africa

The EIRS quadrant framework in the report sums up our wide spectrum of data-driven research and advisory for CXOs to help them make better decisions for their businesses and stay as leaders.

Below is a snapshot of these quadrants.

1. Customer Experience Map

The study offers an in-depth assessment of various customers’ journeys pertinent to the market and its segments. It offers various customer impressions about the products and service use. The analysis takes a closer look at their pain points and fears across various customer touchpoints. The consultation and business intelligence solutions will help interested stakeholders, including CXOs, define customer experience maps tailored to their needs. This will help them aim at boosting customer engagement with their brands.

2. Insights and Tools

The various insights in the study are based on elaborate cycles of primary and secondary research the analysts engage with during the course of research. The analysts and expert advisors at TMR adopt industry-wide, quantitative customer insights tools and market projection methodologies to arrive at results, which makes them reliable. The study not just offers estimations and projections, but also an uncluttered evaluation of these figures on the market dynamics. These insights merge data-driven research framework with qualitative consultations for business owners, CXOs, policy makers, and investors. The insights will also help their customers overcome their fears.

3. Actionable Results

The findings presented in this study by TMR are an indispensable guide for meeting all business priorities, including mission-critical ones. The results when implemented have shown tangible benefits to business stakeholders and industry entities to boost their performance. The results are tailored to fit the individual strategic framework. The study also illustrates some of the recent case studies on solving various problems by companies they faced in their consolidation journey.

4. Strategic Frameworks

The study equips businesses and anyone interested in the market to frame broad strategic frameworks. This has become more important than ever, given the current uncertainty due to COVID-19. The study deliberates on consultations to overcome various such past disruptions and foresees new ones to boost the preparedness. The frameworks help businesses plan their strategic alignments for recovery from such disruptive trends. Further, analysts at TMR helps you break down the complex scenario and bring resiliency in uncertain times.

The report sheds light on various aspects and answers pertinent questions on the market. Some of the important ones are:

1. What can be the best investment choices for venturing into new product and service lines?

2. What value propositions should businesses aim at while making new research and development funding?

3. Which regulations will be most helpful for stakeholders to boost their supply chain network?

4. Which regions might see the demand maturing in certain segments in near future?

5. What are the some of the best cost optimization strategies with vendors that some well-entrenched players have gained success with?

6. Which are the key perspectives that the C-suite are leveraging to move businesses to new growth trajectory?

7. Which government regulations might challenge the status of key regional markets?

8. How will the emerging political and economic scenario affect opportunities in key growth areas?

9. What are some of the value-grab opportunities in various segments?

10. What will be the barrier to entry for new players in the market?

Note: Although care has been taken to maintain the highest levels of accuracy in TMR’s reports, recent market/vendor-specific changes may take time to reflect in the analysis.

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Automotive Eaxle Market