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Published Date: 2015-10-07Number of Pages: 97

Automotive Transmission Market - Global Industry Analysis, Size, Share, Growth, Trends and Forecast 2015 - 2021

Demand for Smoother Driving Experience Fuels Automotive Transmission Market

The growing demand for automatic transmission in entry-level vehicles in developing countries is boosting the global automatic transmission market. The adoption of advanced automotive transmission is witnessing a remarkable uptake as drivers prefer a smooth driving experience on congested roads due to poorly managed traffic. Additionally, the fuel efficiency brought about by technologically-advanced automotive transmission systems is also bolstering the market’s growth. The introduction of 9-speed automatic transmission has completely revolutionized the scenario global automotive transmission market; its impact will continue to be felt in the short term.

According to a research report published by Transparency Market Research, the global automotive transmission market is expected to be worth US$181.8 mn by 2021 growing steadily from US$119.7 mn in 2014, as the market exhibits a CAGR of 5.9% from 2015 to 2021. The growing pressure from governments across the globe to cut down carbon emissions is also prompting consumers to purchase vehicles with improved automotive transmission as they render improved fuel efficiency. The emergence of continuous variable transmission (CVT) will open up new growth avenues for the global market as drivers will prefer the convenience of shifting gears without any jerks or difficult clutch-brake operation. This technology will also reduce the number of times the driver will have to shift gears, thus making it a preferred choice in the near future.

Asia Pacific Marks its Dominance as Vehicle Sales Show Steep Growth

The report suggests that Asia Pacific has a strong foothold in the automotive transmission market with Japan dominating the luxury car segment, while India presenting a phenomenal scope for growth across all vehicle segments. The Asia Pacific segment is expected to rise at CAGR of 6.6% between 2015 and 2021 with rapid infrastructural developments that require a strong support from all types of vehicles to speed up construction activities.

Additionally, a growing business class across China and India with higher disposable income are also boosting the automotive transmission market in Asia Pacific. This region will make a significant contribution to the passenger car segment as the majority of consumers are opting for advanced transmission that delivers reduced fuel consumption and driving comfort.

Automatic Transmission Poised to be the Technology of Choice

The types of automotive transmission can be divided into manual and automatic. Currently manual transmission dominates the global market; however, automatic is estimated to be the emerging technology during the forecast period. Analysts predict that the automatic transmission segment will expand at a CAGR of 6.9% between 2015 and 2021. Improvements in the driving experience, added comfort, and convenience on congested roads, are fueling the demand for automatic transmission. Moreover, the added benefit of fuel efficiency is expected to tip the scales in favor of automatic automotive transmission in the years ahead.

The growing demand for an automatic transmission in small car segment is yet another reason propelling this type segment. Owing to these reasons, the opportunity in the automatic transmission segment will be worth US$71.2 mn by 2021.

BorgWarner Inc., Continental AG, ZF Friedrichshafen, Aisin SEIKI Co. Ltd., Allison Transmission, and GKN PLC are the key players in the global automotive transmission market. Players will focus on investing in research and development activities to develop advanced automotive transmission systems that deliver never-seen-before fuel-efficiency and driving experience.

This market research study analyzes the automotive transmission market on a global level and provides estimates in terms of revenue (USD million) from 2015 to 2021. It gives a comprehensive overview of the automotive transmission market from all the important strategic perspectives. It recognizes the drivers and restraints affecting the industry and analyzes their impact over the forecast period. Moreover, it identifies the significant opportunities in the coming years. Geographically, the automotive transmission market has been segmented into North America, Europe, Asia Pacific and Rest of the world (RoW). The current market size and forecast till 2021 is provided in the report.

An automotive transmission system (also referred to as the gearbox) provide a controlled application of the power which is generated from the engine of the vehicle. The transmission system uses gear trains and gears to provide torque and speed conversions from a rotating power source to another device. Transmission systems used in vehicles are hydraulic transmissions. This type of transmission uses a kind of fluid coupling instead of friction clutch, and changes gears by locking and unlocking a system of planetary gears. Broadly, the automotive transmission system can be segmented into two types: manual and automatic transmission. By fuel type, automotive transmission market can be segmented into gasoline, diesel, and others. The automotive transmission system by vehicle type has been segmented into passenger cars, LCV’s, ICV’s, HCV’s, off road vehicles, construction equipment vehicles, defense vehicles and farm tractors.

Latest automotive transmission system enhances the driving experience in terms of improved acceleration, gear shifting and improves fuel efficiency over conventional manual transmission systems. Growing demand for lower carbon emissions is driving the automotive transmission system market. Low penetration of advanced transmission system in regional markets like India, Brazil, and Mexico is restraining the automotive transmission system market. End users in India and Pakistan still prefer manual transmission over automatic transmissions. Moreover, variants with automatic transmission are costlier than manual transmissions and this is restraining the automotive transmission market. Growing demand for advanced transmission systems in the entry level vehicle segment is expected to drive the market.

By vehicle type, passenger cars segment accounted for the largest market share in the global automotive transmission market. Light commercial vehicles and heavy commercial vehicle followed passenger cars in this segment. Innovation of latest transmission technology in passenger cars from simpler four speed automatic transmissions to 8-speed and 9-speed transmission is enhancing the driving experience, comfort and fuel efficiency of the vehicle.

Asia Pacific led the global automotive transmission market. Macro factors like low cost labor, favorable government policies towards the automotive industry are factors driving the automotive transmission market in the region. Asia Pacific is both the largest producer and the biggest transmission market in terms of value due to presence of countries like China, India, South Korea and Japan. Most of the automotive OEMs have their established manufacturing facilities in China due to low cost of labor and to cater to the high demand from automotive sector in this region. Asia Pacific is followed by Europe in the global automotive transmission market. Automotive transmission market in Europe is dominated by manual transmission. Increase in demand for comfort, fuel efficiency and stringent emission norms are expected to drive the automotive transmission market.

This report provides strategic analysis of automotive transmission market and the growth forecast for the period from 2015 to 2021. The report covers competitive analysis of various market segments based on transmission type, fuel type and by vehicle type. In depth cross segmentation based on the transmission type, fuel type and by vehicle type across different geographic segments is also provided in this report.

The market share of various key industry players in the automotive transmission market along with their company overview, market presence (by segment and geography), financial overview, business strategies and recent developments are also included in the report. The key players operating in the automotive transmission market are Magna International Inc. (Canada), Eaton Corporation (Ireland), Continental AG (Germany), ZF Friedrichshafen (Germany), Allison Transmission (U.S.A), BorgWarner Inc. (U.S), Aisin SEIKI Co. Ltd. (Japan), and GKN PLC (U.K) among others.

The automotive transmission market has been segmented as follows:

Automotive Transmission Market: By Transmission Type

  • Manual
  • Automatic

Automotive Transmission Market: By Fuel Type

  • Gasoline
  • Diesel
  • Hybrid

Automotive Transmission Market: By Industry Application

  • Passengers Cars
  • LCV’s
  • ICV’s
  • HCV’s
  • Off Road Vehicle
  • Construction Equipment
  • Defense Vehicles
  • Farm Tractors

Automotive Transmission Market: By Geography

  • North America
    • U.S.
    • Canada
    • Mexico)
  • Europe
    • United Kingdom
    • Germany
    • France
    • Italy
    • Rest of Europe)
  • Asia Pacific
    • China
    • India
    • Japan
    • Taiwan
    • South Korea
    • Rest of Asia Pacific
  • Rest of the World
    • South America
    • Middle East
    • Africa

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