Electric Powertrain Market-Emerging Innovations Expected to Boost the Global Rev

Posted by swapnil on April 26th, 2022

\"Electric Powertrain Market by Component (Motor, 12V, HV/48V Battery, BMS, 48V ISG, Controller, PDM, DC/AC Inverter, DC/DC Converter & Others), Type (BEV, MHEV, Series, Parallel & Parallel-Series), Vehicle Type, and Region\", The global Electric Powertrain Market size is projected to reach $ 191.4 billion by 2027, from an estimated .9 billion in 2019, at a CAGR of 14.9 %.

Growth Drivers:

1.  Stringent Emission Norms
2. Growing Vehicle Electrification Demand in Automotive Industry
3. Lack of Infrastructure for Electric Vehicle Charging
4. Emerging Computing Technologies in Conventional Engines

The Asia Pacific and North America are the regions where the Electric Powertrain Market is experiencing the highest growth rate due to the increasing government regulations on emission norms, allocations of funds by the respective governments for incentivizing sales of electric vehicles, and developments in powertrain components, such as lithium-ion batteries, battery management systems, and motors. Furthermore, continuous R&D and collaborations among automotive companies in these regions are expected to stimulate market growth for the electric powertrain.

The Electric Powertrain Market is dominated by globally established players such as Bosch (Germany), Mitsubishi Electric (Japan), Magna (Canada), Continental AG (Germany), and Hitachi (Japan).

Motor/generator is expected to grow at the fastest CAGR in the BEV powertrain component market

Motor/generator is the fastest-growing segment in the BEV powertrain component market. The primary reason for the growth is the increasing number of electric vehicles every year. According to the IEA, in 2018, China deployed 1.7 million BEVs, Europe deployed 0.6 million BEVs, the US deployed 0.6 million BEVs, and Row deployed 0.3 million BEVs.  Another reason is the product developments by various major players. Cascadia Motion, a BorgWarner-owned company, developed a rear-wheel-drive system featuring two separate BorgWarner High-voltage Hairpin (HVH) 250 electric motors and eGearDrive gear sets, each one independently controlling a rear wheel. In high-performance vehicles, the use of two or more motors for improved performance is also driving the motor/generator segment. For instance, Tesla Model S has two motors, one on the front axle and the other on the rear axle. Therefore, using a greater number of motors for high-performance BEVs will drive the BEV powertrain component market for motors/generators.

MHEV powertrain is estimated to be the fastest-growing segment in the Electric Powertrain Market during the forecast period

48V MHEV is estimated to be the fastest-growing market for the period 2019–2027. The slowdown of diesel-powered vehicles and restrictions on CO2 targets have driven the 48V MHEV powertrain market. According to Emission Analytics, the mass adoption of mild hybrids over BEVs is an effective solution to cut down on emissions. Also, developments and drop in Lithium-ion battery prices have driven the MHEV powertrain component market. Easy integration of 48V MHEV powertrain into an existing ICE vehicle architecture is also driving this market in mild hybrid vehicles.

The Asia Pacific is expected to lead the Electric Powertrain Market during the forecast period

The Asia Pacific is estimated to be the largest market for electric powertrains as China is at the forefront of this technology globally. With the intention of curbing pollution and making China a manufacturing superpower, the Chinese government has already spent heavily on incentivizing and subsidizing electric vehicle sales. Also, the allocation of funds for building the necessary electric vehicle infrastructure has also propelled the Electric Powertrain Market in China with 466,100 public charging connectors—more than any other country in the world. India is also set to implement BS-VI emission norms by 2020, encouraging the mass adoption of electric vehicles in the future. Government-owned power companies such as Energy Efficiency Services are planning to install 10,000 charging stations in the next two years. The South Korean government is offering subsidies for domestic manufacturing of electric vehicles and R&D in chips and batteries to increase the production capacity of zero-emission cars from the current 1% to 10% by 2022. Additionally, the presence of major players in this region would drive the Asia Pacific Electric Powertrain Market in the future.