Automotive Electric Power Steering Market Analysis

ID: MRFR/AT/4288-HCR

100 Pages

Sejal Akre

October 2025

Automotive Electric Power Steering Market Research Report By Type (Column Electric Power Steering, Rack Electric Power Steering, Pinion Electric Power Steering), By Vehicle Type (Passenger Vehicles, Commercial Vehicles, Motorcycles, Heavy-Duty Vehicles), By End Use (OEMs, Aftermarket), By Technology (Brushless DC Motor, Stepper Motor, Integrated Electric Power Steering) and By Regional (North A...

Automotive Electric Power Steering Market Infographic

Summary Table of Contents Segmentation Download PDF

Market Analysis

In-depth Analysis of Automotive Electric Power Steering Market Industry Landscape

The column assist form of electric power steering is the most popular since it merges system electronics and aiding mechanism with the steering column, saving space in tiny automobiles. One component that affects steering wheel assembly performance is the electric motor. Better motor efficiency converts steering revolution into wheel movement with less effort. The collapsible kind is chosen because it reduces passenger injury risk.

Electric power steering is widely utilized in petrol and diesel autos. However, electric and hybrid cars adapt better to electric power steering technology due to its stronger integration with automobile functioning.Several market aspects shape the Automotive Electric Power Steering (EPS) industry. Increasing demand for fuel-efficient automobiles drives this industry. Due to their fuel economy effectiveness, electronic power steering systems have grown in popularity as the car industry becomes more environmentally friendly. Traditional hydraulic systems are replaced with EPS technology, decreasing vehicle weight and improving fuel efficiency.

As vehicles electrify, the Automotive EPS market is also affected. The growth of electric cars and hybrid electric vehicles has increased demand for improved power steering systems that meet electric drivetrain needs. Electric power steering, which is more compatible with electric vehicles, is increasingly essential to the development of eco-friendly cars.

Another market aspect is car safety features becoming more important. Automotive EPS systems improve safety by improving control and reactivity. These systems can combine with ADAS to provide lane-keeping assistance and automatic parking. The automobile industry will certainly embrace EPS technology as safety becomes more important.

Additionally, the worldwide movement toward autonomous cars affects Automotive EPS. Advanced steering systems that interface with vehicle control systems are crucial for autonomous driving. Electronic power steering systems are ideal for autonomous driving due to their control and adjustability. Automotive and technology businesses are developing and testing autonomous vehicles, creating demand for advanced EPS solutions. Finally, the Automotive Electric Power Steering market is affected by global sustainability and electrification, safety concerns, and economic conditions. A dynamic and sensitive sector within the automotive environment, the EPS market will continue to evolve alongside the automobile industry and technology."

Market Highlights

Author

Sejal Akre

Senior Research Analyst

She has over 5 years of rich experience, in market research and consulting providing valuable market insights to client. Hands on expertise in management consulting, and extensive knowledge in domain including ICT, Automotive & Transportation and Aerospace & Defense. She is skilled in Go-to market strategy, industry analysis, market sizing, in depth company profiling, competitive intelligence & benchmarking and value chain amongst others.

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FAQs

What is the projected market valuation of the Automotive Electric Power Steering Market by 2035?

The projected market valuation for the Automotive Electric Power Steering Market is expected to reach 44.97 USD Billion by 2035.

What was the market valuation of the Automotive Electric Power Steering Market in 2024?

The overall market valuation of the Automotive Electric Power Steering Market was 28.36 USD Billion in 2024.

What is the expected CAGR for the Automotive Electric Power Steering Market during the forecast period 2025 - 2035?

The expected CAGR for the Automotive Electric Power Steering Market during the forecast period 2025 - 2035 is 4.28%.

Which segment of the Automotive Electric Power Steering Market had the highest valuation in 2024?

In 2024, the Rack Electric Power Steering segment had the highest valuation at 10.0 USD Billion.

What are the projected valuations for the Passenger Vehicles segment by 2035?

The Passenger Vehicles segment is projected to reach a valuation of 16.0 USD Billion by 2035.

Which technology segment is expected to grow the most in the Automotive Electric Power Steering Market?

The Integrated Electric Power Steering technology segment is expected to grow, with a projected valuation of 16.97 USD Billion by 2035.

Who are the key players in the Automotive Electric Power Steering Market?

Key players in the Automotive Electric Power Steering Market include Robert Bosch GmbH, Denso Corporation, and Continental AG, among others.

What is the projected valuation for the Aftermarket segment by 2035?

The Aftermarket segment is projected to reach a valuation of 12.97 USD Billion by 2035.

How does the Heavy-Duty Vehicles segment compare to the Commercial Vehicles segment in terms of valuation?

By 2035, the Heavy-Duty Vehicles segment is projected to reach 10.0 USD Billion, while the Commercial Vehicles segment is expected to reach 12.0 USD Billion.

What was the valuation of the Brushless DC Motor technology segment in 2024?

The Brushless DC Motor technology segment had a valuation of 10.0 USD Billion in 2024.

1. Market Overview

2. Market Trends

3. Market Segment Insights

4. Key Players and Competitive Insights

5. Industry Developments

6. Market Segmentation

7. Report Scope

8. Market Highlights

9. FAQs

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Market Summary

As per MRFR analysis, the Automotive Electric Power Steering Market Size was estimated at 28.36 USD Billion in 2024. The Automotive Electric Power Steering industry is projected to grow from 29.57 USD Billion in 2025 to 44.97 USD Billion by 2035, exhibiting a compound annual growth rate (CAGR) of 4.28 during the forecast period 2025 - 2035.

Key Market Trends & Highlights

The Automotive Electric Power Steering Market is poised for substantial growth driven by technological advancements and sustainability initiatives.

Technological advancements are reshaping the Automotive Electric Power Steering Market, enhancing performance and efficiency.
The North American region remains the largest market, while the Asia-Pacific region is recognized as the fastest-growing area for electric power steering systems.
Column Electric Power Steering dominates the market, whereas Rack Electric Power Steering is emerging as the fastest-growing segment.
Key market drivers include technological advancements in steering systems and increasing consumer demand for enhanced driving experiences.

Automotive Electric Power Steering Market

CAGR

4.28%

Market Size & Forecast

2024 Market Size	28.36 (USD Billion)
2035 Market Size	44.97 (USD Billion)
CAGR (2025 - 2035)	4.28%
Largest Regional Market Share in 2024	North America

Major Players

Robert Bosch GmbH (DE), Denso Corporation (JP), Continental AG (DE), ZF Friedrichshafen AG (DE), Mando Corporation (KR), Thyssenkrupp AG (DE), JTEKT Corporation (JP), Nexteer Automotive (US), Hitachi Astemo, Ltd. (JP)

Market Trends

The Automotive Electric Power Steering Market is currently experiencing a transformative phase, driven by advancements in technology and increasing consumer demand for enhanced vehicle performance. This market segment is characterized by a shift from traditional hydraulic systems to electric power steering solutions, which offer improved fuel efficiency and reduced emissions. As automakers strive to meet stringent environmental regulations, the adoption of electric power steering systems appears to be gaining momentum. Furthermore, the integration of advanced driver-assistance systems (ADAS) is likely to further propel the market, as these technologies often rely on electric steering for optimal functionality. In addition to technological advancements, consumer preferences are evolving, with a growing emphasis on comfort and convenience features in vehicles. The Automotive Electric Power Steering Market seems poised to benefit from this trend, as electric systems provide enhanced maneuverability and responsiveness. Moreover, the increasing popularity of electric and hybrid vehicles is expected to contribute to market growth, as these vehicles typically utilize electric power steering systems. Overall, the Automotive Electric Power Steering Market is on a trajectory of growth, influenced by a combination of regulatory pressures, technological innovations, and shifting consumer expectations.

Technological Advancements

The Automotive Electric Power Steering Market is witnessing rapid technological innovations, particularly in the areas of sensor integration and software development. These advancements enhance the precision and responsiveness of steering systems, thereby improving overall vehicle handling and safety.

Sustainability Focus

There is a growing emphasis on sustainability within the Automotive Electric Power Steering Market, as manufacturers seek to reduce the environmental impact of their vehicles. Electric power steering systems contribute to lower energy consumption and reduced emissions, aligning with global sustainability goals.

Integration with Autonomous Technologies

The rise of autonomous driving technologies is influencing the Automotive Electric Power Steering Market. Electric power steering systems are increasingly being designed to work seamlessly with autonomous features, providing the necessary control and adaptability for self-driving vehicles.

Automotive Electric Power Steering Market Market Drivers

Sustainability and Environmental Regulations

The Automotive Electric Power Steering Market is significantly influenced by the growing emphasis on sustainability and stringent environmental regulations. Governments worldwide are implementing policies aimed at reducing carbon emissions, which has led to a shift towards electric power steering systems. These systems are generally more energy-efficient compared to traditional hydraulic systems, thereby contributing to lower fuel consumption and reduced greenhouse gas emissions. As a result, many automotive manufacturers are transitioning to electric power steering to comply with these regulations. Market data indicates that the adoption of electric power steering systems is expected to rise, with estimates suggesting that they could account for over 70% of the steering systems in new vehicles by 2030. This trend underscores the importance of sustainability in shaping the Automotive Electric Power Steering Market.

Cost Efficiency and Manufacturing Innovations

Cost efficiency is becoming a crucial factor in the Automotive Electric Power Steering Market, driven by manufacturing innovations and competitive pressures. As production techniques improve, the cost of electric power steering systems is decreasing, making them more accessible to a broader range of vehicles. Innovations such as modular designs and the use of lightweight materials are contributing to reduced manufacturing costs. Market data indicates that the price of electric power steering systems has dropped significantly over the past few years, which is likely to encourage more manufacturers to adopt these systems. This trend is expected to continue, as cost-effective solutions become essential for maintaining profitability in a competitive automotive landscape. Consequently, the Automotive Electric Power Steering Market is likely to see increased adoption rates as manufacturers seek to balance performance with cost.

Technological Advancements in Steering Systems

The Automotive Electric Power Steering Market is experiencing a surge in technological advancements that enhance vehicle performance and driver experience. Innovations such as steer-by-wire systems and advanced sensor integration are becoming increasingly prevalent. These technologies not only improve steering precision but also contribute to overall vehicle safety. According to recent data, the market for electric power steering systems is projected to grow at a compound annual growth rate of approximately 6% over the next five years. This growth is driven by the demand for more responsive and efficient steering solutions, which are essential for modern vehicles. As manufacturers continue to invest in research and development, the Automotive Electric Power Steering Market is likely to witness further enhancements that could redefine steering dynamics.

Consumer Demand for Enhanced Driving Experience

Consumer preferences are evolving, with a growing demand for enhanced driving experiences influencing the Automotive Electric Power Steering Market. Modern drivers seek vehicles that offer superior handling, comfort, and responsiveness. Electric power steering systems provide these attributes by allowing for customizable steering feel and improved maneuverability. As automakers strive to meet these consumer expectations, the adoption of electric power steering is expected to increase. Recent surveys indicate that a significant percentage of consumers prioritize steering responsiveness when selecting a vehicle. This trend suggests that manufacturers will continue to invest in electric power steering technologies to differentiate their products in a competitive market. The Automotive Electric Power Steering Market is thus poised for growth as it aligns with consumer desires for advanced driving dynamics.

Integration with Advanced Driver Assistance Systems (ADAS)

The integration of Automotive Electric Power Steering Market systems with Advanced Driver Assistance Systems (ADAS) is a key driver in the Automotive Electric Power Steering Market. As vehicles become increasingly equipped with ADAS features, the need for precise and responsive steering systems becomes paramount. Electric power steering systems are well-suited for this integration, as they can provide real-time feedback and adjustments based on sensor data. This synergy enhances vehicle safety and improves the overall driving experience. Market analysis suggests that the demand for ADAS-equipped vehicles is on the rise, with projections indicating that the market for these systems could reach several billion dollars by 2026. Consequently, the Automotive Electric Power Steering Market is likely to benefit from this trend, as manufacturers seek to enhance their offerings with integrated steering solutions.

Market Segment Insights

By Type: Column Electric Power Steering (Largest) vs. Rack Electric Power Steering (Fastest-Growing)

The Automotive Electric Power Steering Market is characterized by various types, primarily including Column Electric Power Steering, Rack Electric Power Steering, and Pinion Electric Power Steering. Among these, Column Electric Power Steering holds the largest market share due to its widespread adoption in various vehicle models, particularly in compact and mid-size cars. Rack Electric Power Steering is gaining traction, driven by its efficiency and suitability for sportier, performance-oriented vehicles. Meanwhile, Pinion Electric Power Steering, though smaller in share, is slowly carving its niche due to advancements in technology and its applicability in luxury segments.

Column Electric Power Steering (Dominant) vs. Rack Electric Power Steering (Emerging)

Column Electric Power Steering is primarily known for its compact design and integration within the column shaft, leading to reduced weight and improved fuel efficiency in vehicles. This type is predominantly used in smaller passenger cars, providing adequate steering response and comfort for everyday driving situations. Conversely, Rack Electric Power Steering is emerging as a preferred choice in performance and sport vehicles. Its design enables quicker and more precise steering maneuvers, appealing to car enthusiasts looking for enhanced driving dynamics. As manufacturers evolve their designs, the balance between efficiency and performance will further define the competitive landscape within this segment.

By Vehicle Type: Passenger Vehicles (Largest) vs. Commercial Vehicles (Fastest-Growing)

In the Automotive Electric Power Steering Market, the segment distribution shows that passenger vehicles dominate significantly, owing to their widespread adoption in personal transport worldwide. This segment accounts for a considerable portion of the market due to the increasing emphasis on enhanced comfort and driving experience. In contrast, commercial vehicles are gaining traction, characterized by their essential role in logistics and transportation, which is now increasingly focusing on efficiency and automation.

Passenger Vehicles (Dominant) vs. Commercial Vehicles (Emerging)

Passenger vehicles are currently the dominant segment in the Automotive Electric Power Steering Market, driven by consumer preferences for comfort, safety, and fuel efficiency. These vehicles incorporate advanced steering technologies to enhance maneuverability and overall driving enjoyment. On the other hand, commercial vehicles are emerging rapidly, prompted by the need for robust steering solutions that support larger, heavier vehicles in navigating urban and rural environments. This segment is increasingly investing in electric power steering to improve responsiveness and reduce mechanical complexity, thus meeting evolving regulatory standards and demands for sustainability.

By End Use: OEMs (Largest) vs. Aftermarket (Fastest-Growing)

In the Automotive Electric Power Steering Market, the OEM sector commands a significant portion of the market share, driven by the increasing integration of advanced steering systems in new vehicle models. Original Equipment Manufacturers (OEMs) benefit from their established partnerships with automakers, allowing them to deliver tailored solutions that meet evolving automotive technologies and consumer expectations. Consequently, nearly half of the market share is reflected in the OEM segment, showcasing its crucial role in the sector's stability and growth. On the other hand, the aftermarket segment is witnessing rapid growth, spurred by rising consumer demand for electric power steering systems in older vehicles and enhancements in vehicle performance. The increasing focus on sustainability and efficiency is prompting consumers to upgrade their existing vehicles, resulting in an expanding aftermarket sector. This trend is further supported by innovations in maintenance and repair practices, making the aftermarket a fast-growing contributor to the overall market landscape.

End Use: OEMs (Dominant) vs. Aftermarket (Emerging)

In the Automotive Electric Power Steering Market, the OEM segment stands as the dominant player, providing advanced steering solutions designed specifically for new models. This segment entails close collaboration between manufacturers and automakers, ensuring seamless integration with the latest vehicle technologies. Meanwhile, the aftermarket sector is emerging as a vital player, catering to the growing demand for upgrades and replacement systems for older model vehicles. With enhanced awareness about fuel efficiency and environmental impact, vehicle owners are increasingly looking to adapt electric power steering solutions in their cars, making this segment a promising area for future growth. The aftermarket's agility in responding to customer needs and technological advancements positions it favorably alongside the OEM sector.

By Technology: Brushless DC Motor (Largest) vs. Integrated Electric Power Steering (Fastest-Growing)

The Automotive Electric Power Steering Market is significantly influenced by the adoption of various technologies. Among these, the Brushless DC Motor currently holds the largest market share due to its efficiency and reliability in providing precise steering assistance. In contrast, Integrated Electric Power Steering is gaining traction rapidly as automotive manufacturers see the benefits of its compact design and integration capabilities, which contribute to lightweight vehicle structures and improved fuel efficiency. Growth trends indicate a shift towards more sophisticated systems that enhance vehicle performance. The demand for Integrated Electric Power Steering is driven by the increasing emphasis on automation and advanced driver-assistance systems (ADAS). As manufacturers invest in next-gen steering technologies, the brushless motor's established position is challenged, leading to an exciting evolution in the automotive steering landscape.

Electric Power Steering Technology: Brushless DC Motor (Dominant) vs. Integrated Electric Power Steering (Emerging)

The Brushless DC Motor is the dominant technology in the Automotive Electric Power Steering Market, recognized for its durability, low maintenance, and high efficiency. These motors operate without brushes, resulting in reduced wear and enhanced longevity, appealing to car manufacturers aiming for sustainable solutions. However, the Integrated Electric Power Steering is gaining momentum as an emerging technology, praised for its ability to combine multiple functionalities within a compact unit. This integration leads to weight savings, improved ergonomics, and a reduction in parts, making it attractive for the latest vehicle designs focused on hybrid and electric platforms. The competition between these technologies highlights a critical transition point in steering solutions.

Get more detailed insights about Automotive Electric Power Steering Market Research Report - Forecast to 2035

Regional Insights

The Automotive Electric Power Steering Market was valued at 28.36 USD Billion in 2024, reflecting a robust growth trajectory across various regions. North America led the market with a valuation of 10.85 USD Billion in 2024, expected to reach 16.73 USD Billion by 2035, demonstrating its majority holding in the global landscape. Europe followed closely with a projected value of 9.14 USD Billion in 2024 and 13.68 USD Billion in 2035, driven by increasing vehicle automation and stringent regulations on fuel efficiency.

The APAC region, was valued at 6.9 USD Billion in 2024, is anticipated to grow to 10.67 USD Billion, fueled by rising automotive production and growing demand for electric vehicles.

South America and MEA represented smaller segments, valued at 1.84 USD Billion and 0.63 USD Billion in 2024, respectively, showing growth potential as these markets evolve. Collectively, the Automotive Electric Power Steering Market segmentation illustrates significant regional dynamics, with North America and Europe demonstrating strong market positions due to advanced automotive technologies and infrastructure, while APAC showcases rapid expansion through innovation and increased consumer demand. The emergence of electric power steering systems across all regions is a response to the rising emphasis on vehicle efficiency and safety, driving opportunities for market participants.

Automotive Electric Power Steering Market Regional Insights

Source: Primary Research, Secondary Research, MRFR Database and Analyst Review

Key Players and Competitive Insights

The Automotive Electric Power Steering Market has witnessed significant growth, driven by advancements in technology and the rising demand for fuel-efficient vehicles. As automotive manufacturers continue to prioritize steering technology that enhances vehicle performance, safety, and driver comfort, competitive dynamics in this market have become increasingly pronounced. Companies in the automotive electric power steering sector are focusing on innovation, with R&D expenditures on the rise, seeking to develop systems that integrate seamless functionality with advanced driver assistance systems (ADAS).

The competitive landscape is characterized by the presence of both established industry giants and emerging players, all vying for market share through strategic partnerships, technological advancements, and geographical expansions. As the market evolves, regulatory frameworks, environmental concerns, and consumer preferences will also play a critical role in shaping competitive strategies.

Denso stands out in the Automotive Electric Power Steering Market due to its extensive experience and technological expertise. The company has built a strong reputation for its high-quality steering systems, harnessing advanced electrification technologies to deliver efficient and reliable solutions to automobile manufacturers around the world. Denso’s global presence is supported by robust manufacturing capabilities and a commitment to sustainability, which resonates with the growing demand for eco-friendly automotive technologies. Their investments in research and development have enabled them to stay at the forefront of innovation, ensuring that their products not only meet but exceed market expectations.

The company’s strategic collaborations with OEMs further reinforce its position, as it works closely with clients to create bespoke steering solutions tailored to specific vehicle requirements.

Infineon Technologies has made a significant mark in the Automotive Electric Power Steering Market by specializing in semiconductor solutions that cater to this sector’s needs. The company’s product portfolio includes microcontrollers, ICs, and power management solutions that are critical for the functionality of electric power steering systems. Infineon Technologies is recognized for its pioneering role in creating components that enhance vehicle safety, energy efficiency, and overall performance. With a strong market presence, the company leverages its engineering capabilities to support manufacturers in implementing cutting-edge technologies into their electric power steering systems.

Furthermore, Infineon has been involved in various strategic mergers and acquisitions to bolster its capabilities and expand its market reach globally, ensuring that it remains competitive as the demand for adaptive steering solutions continues to rise in the automotive sector. Their focus on innovation and quality has fostered trust among partners and customers, making them a key player in the market.

Key Companies in the Automotive Electric Power Steering Market market include

Industry Developments

The Automotive Electric Power Steering Market has witnessed significant developments in recent months, with major companies like Denso, Robert Bosch, and Nexteer Automotive continuing to invest in advanced technologies aimed at enhancing vehicle safety and fuel efficiency. There has been an increasing focus on electric vehicles, driving growth in this sector. Companies like Valeo and ZF Friedrichshafen are expanding their product lines to meet the demands of next-generation automotive designs.

In terms of mergers and acquisitions, Hyundai Mobis announced in July 2023 plans to acquire a stake in a technology firm specialized in autonomous driving to complement its electric power steering systems, strengthening its position in the market. Additionally, in August 2023, Hitachi completed the acquisition of a European automotive electronics company, enhancing its portfolio in electric steering solutions.

The market is projected to grow, driven by the rising demand for electric power steering systems due to their efficiency and contribution to vehicle weight reduction. Over the past two to three years, the increasing emphasis on sustainability and stricter emission regulations have also stimulated the evolution within the automotive electric power steering segment, highlighting its integral role in modern vehicle design and operation.

Future Outlook

Automotive Electric Power Steering Market Future Outlook

The Automotive Electric Power Steering Market is projected to grow at a 4.28% CAGR from 2024 to 2035, driven by advancements in vehicle electrification, regulatory support, and consumer demand for enhanced fuel efficiency.

New opportunities lie in:

Development of integrated steering systems for autonomous vehicles.
Expansion into emerging markets with tailored electric steering solutions.
Partnerships with tech firms for advanced driver-assistance systems integration.

By 2035, the market is expected to solidify its position as a leader in automotive steering technologies.

Market Segmentation

Automotive Electric Power Steering Market Type Outlook

Column Electric Power Steering
Rack Electric Power Steering
Pinion Electric Power Steering

Automotive Electric Power Steering Market End Use Outlook

OEMs
Aftermarket

Automotive Electric Power Steering Market Technology Outlook

Brushless DC Motor
Stepper Motor
Integrated Electric Power Steering

Automotive Electric Power Steering Market Vehicle Type Outlook

Passenger Vehicles
Commercial Vehicles
Motorcycles
Heavy-Duty Vehicles

Report Scope

MARKET SIZE 2024	28.36(USD Billion)
MARKET SIZE 2025	29.57(USD Billion)
MARKET SIZE 2035	44.97(USD Billion)
COMPOUND ANNUAL GROWTH RATE (CAGR)	4.28% (2024 - 2035)
REPORT COVERAGE	Revenue Forecast, Competitive Landscape, Growth Factors, and Trends
BASE YEAR	2024
Market Forecast Period	2025 - 2035
Historical Data	2019 - 2024
Market Forecast Units	USD Billion
Key Companies Profiled	Market analysis in progress
Segments Covered	Market segmentation analysis in progress
Key Market Opportunities	Integration of advanced driver-assistance systems enhances demand for Automotive Electric Power Steering Market solutions.
Key Market Dynamics	Rising demand for fuel efficiency drives innovation in Automotive Electric Power Steering technologies and competitive market dynamics.
Countries Covered	North America, Europe, APAC, South America, MEA