Automotive Precision Gearbox Market: Introduction
- Rising annual production of automotive vehicles and electric vehicles, led by smooth transmission of gears and high speed of vehicles, is expected to propel the automotive precision gearbox market. Automotive precision gearbox is a system that has specific integration of gears for transmission of power. It is considered as a set of gears that are arranged in between the vehicle’s clutch and engine to gain optimum torque ratios for the vehicle. The precision gearbox is situated beneath the engine and used for achieve highly accurate transmission of power from the engine. The gears in the precious gearbox are worm gears or helical gears, which can provide high accuracy.
Key Drivers of Automotive Precision Gearbox Market
- Increase in demand for high speed vehicles is driving the automotive precision gearbox. Precision gears are utilized to increase or decrease the torque of the vehicle or to enhance its accuracy. Rising use of dual-clutch transmission in most sports or passenger cars also increases the demand for automotive precision gearbox. Moreover, consumers in most developing or developed countries are preferring luxury cars that have high speed transmission solutions. This further increases the use of precision gears for such luxury cars. Manufacturers of premium or luxury cars provide 6 to 7 speed gears in their vehicles, which boosts the demand for precision gearbox.
- Automotive manufacturers are investing significantly in the development of advanced designs for passenger and commercial vehicles, which increase the comfort of the driver. The smooth shifting of gears enhances the consumer’s driving experience and improves vehicle performance, which in turn propels the demand for precision gearboxes.
Challenges in Automotive Precision Gearbox Market
- Use of innovative technologies is increasing in the automobile industry, which further enhances driver’s safety, comfort, and also improves the speed of the vehicle. These innovations are driving the adoption of torque converters in cars, which improve the speed the car. Therefore, use of torque converters is expected to hamper the automotive precision gearbox market.
- The outbreak of COVID-19 pandemic impacted the global automotive manufacturing processes, as governments across the world imposed lockdowns that forced the workers and other employees to stay at home. Moreover, automotive research and development operations was hampered, which hindered the market. Furthermore, disruption of global supply chains, resulted in shortage of supply of raw material that is required for the production of automotive precision gearbox. This supply shortage hampered the automotive precision gearbox market.
Opportunities in Automotive Precision Gearbox Market
- Increase in incentives by government and private authorities fuels the production of electric vehicles, which in turn is expected to boost the automotive precision gearbox market during the forecast period. Moreover, environment regulatory policies enacted by governments declare that electric vehicles are more preferable to diesel and petrol vehicles. The major advantage of an electric vehicle is that it reduces the level of carbon emission from the vehicle and helps to keep the environment green. Therefore, a rise in the production and demand for electric vehicles across the world propels the demand for automotive precision gearbox.
- Increase in demand for automatic transmission (AT) and automated manual transmission (AMT) in heavy commercial vehicles further drives the demand for precision gearbox.
Automotive Precision Gearbox Market in Asia Pacific to Expand Significantly
- The automotive precision gearbox market in Asia Pacific is expanding significantly due to increase in automotive production and sales, aggressive investments by manufacturers and governments for infrastructural development, and increasing urbanization in the region. Rise in production of automotive vehicles in Asia Pacific increases the adoption of automotive precision gearboxes and subsequently, propels the market in the region. Moreover, a rise in the demand for advanced material and automation technologies for the vehicles in Asia Pacific fuels the precision gearbox market in the region. Furthermore, China, Japan, and India are witnessing considerably high investment in the automotive industry to design trending technological integrated vehicles. This, in turn, is also fueling the market in the region. The market in Europe is anticipated to expand at a considerable pace, due to an increase in production of EVs and high presence of luxury carmakers in the region.
Key Players Operating in Automotive Precision Gearbox Market
The automotive precision gearbox market is moderately consolidated. A few of the key players operating in the global automotive precision gearbox market are:
- ZF Friedrichshafen
- Continental AG
- Eaton Corporation
- Borg Warner
- Aisin Seiki Co.
- Magna International Inc.
- Schaeffler AG
- Allision Transmission
- Magneti Marelli S.p.A.
Global Automotive Precision Gearbox Market: Research Scope
Global Automotive Precision Gearbox Market, by Application
- Automatic Transmission (AT)
- Automated Manual Transmission (AMT)
- Dual Clutch Transmission (DCT)
- Manual Transmission
Global Automotive Precision Gearbox Market, by Number of Gears
- Above 6
Global Automotive Precision Gearbox Market, by Vehicle Type
- Passenger Cars
- Light Commercial Vehicles
- Heavy Commercial Vehicles
Global Automotive Precision Gearbox Market, by Electric Vehicle Type
- Hybrid Electric Vehicle
- Plug-in Electric Vehicle
Global Automotive Precision Gearbox Market, by Sales Channel
Global Automotive Precision Gearbox Market, by Region
- North America
- Nordic Region
- Rest of Europe
- Asia Pacific
- Rest of Asia Pacific
- Latin America
- Rest of Latin America
- Middle East & Africa
- 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.
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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:
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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?
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