Market Size of China Automotive Electric Power Steering (EPS) Industry
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| Market Size (2024) | USD 15.58 Billion |
| Market Size (2029) | USD 31.31 Billion |
| CAGR (2024 - 2029) | 14.98 % |
| Market Concentration | Medium |
Major Players.webp)
*Disclaimer: Major Players sorted in no particular order |
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China Automotive Electric Power Steering (EPS) Market Analysis
The China Automotive Electric Power Steering Market size is estimated at USD 15.58 billion in 2024, and is expected to reach USD 31.31 billion by 2029, growing at a CAGR of 14.98% during the forecast period (2024-2029).
- The outbreak of COVID-19 negatively impacted the China Automotive Electric Power Steering (EPS) Market. Several vehicles and component manufacturing facilities worldwide were temporarily shut down, resulting in disturbances in the supply chain. However, the automotive industry started recovering and is expected to continue during the forecast period.
- The Chinese economy is growing, and the disposable income of middle-class consumers is also increasing. This, in turn, reflects positively on the growing demand for vehicles. Over the past five years, owing to the low production costs in the country, vehicle production has gone up drastically. Due to the hike in vehicle production, the electric power steering component market is also gaining momentum. Moreover, the Chinese government has also cut down the taxes on cars to increase cars' sales.
- The market is expected to be driven by the growth in passenger and sports vehicles. However, OEMs have started focusing on implementing cost-effective and strong EPS systems in commercial vehicles (especially heavy tractors and trucks). Hence, there has been widespread utilization of these technologies in various automotive applications.
- Additionally, the rise in sales and demand for luxury cars in the country is also expected to propel the demand for EPS.
China Automotive Electric Power Steering (EPS) Industry Segmentation
Automotive Electric Power Steering (EPS) is a type of power steering system used in vehicles to assist the driver in steering the vehicle with less physical effort. Unlike traditional hydraulic power steering systems, EPS relies on an electric motor and sensors to provide the necessary steering assistance.
The China automotive electric power steering (EPS) market is divided into segments based on type, component type, and vehicle type. In terms of type, the market is categorized into column type, pinion type, and dual pinion type. With regards to component type, the market is segmented into steering rack/column, sensor, steering motor, and other components. On the basis of vehicle type, the market is stratified into passenger cars and commercial vehicles.
The report offers market size and forecasts in Value (USD) for all the above segments.
| By Type | |
| Column Type | |
| Pinion Type | |
| Dual Pinion Type | |
| Other Types |
| By Component Type | |
| Steering Column | |
| Sensor | |
| Steering Motor | |
| Other Component Types |
| By Vehicle Type | |
| Passenger Cars | |
| Commercial Vehicle |
China Automotive Electric Power Steering (EPS) Market Size Summary
The China Automotive Electric Power Steering (EPS) market is poised for significant growth over the forecast period, driven by the increasing demand for vehicles and advancements in steering technology. The market is recovering from the disruptions caused by the COVID-19 pandemic, which had temporarily affected vehicle and component manufacturing. The growth in the Chinese economy and rising disposable incomes are contributing to the surge in vehicle production, which in turn is boosting the demand for EPS systems. The government's initiatives, such as tax reductions on cars, are further propelling vehicle sales, including passenger and luxury cars, which are key drivers of the EPS market. The shift from hydraulic to electronic power assist systems is also enhancing the adoption of EPS, as these systems offer improved fuel efficiency and integration with electric drivetrains.
Technological advancements, particularly in sensor technology, are playing a crucial role in the expansion of the EPS market. Modern high-resolution magnetic sensors have significantly improved the precision of steering systems, supporting the growing demand from original equipment manufacturers (OEMs). The market is characterized by the presence of major global players and local manufacturers, with joint ventures enhancing market penetration. Companies like Nexteer Automotive and ZF Friedrichshafen AG are expanding their offerings to meet the diverse needs of OEMs, including those for electric and light commercial vehicles. As the market continues to evolve, the increasing sales of passenger cars, especially electric vehicles, are expected to further drive the demand for EPS systems in China.
China Automotive Electric Power Steering (EPS) Market Size - Table of Contents
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1. MARKET DYNAMICS
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1.1 Market Drivers
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1.1.1 Adoption of electric vehicles
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1.1.2 Advancements in EPS technology
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1.2 Market Restraints
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1.2.1 Limited Retrofitting Options
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1.3 Industry Attractiveness - Porter's Five Force Analysis
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1.3.1 Threat of New Entrants
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1.3.2 Bargaining Power of Buyers/Consumers
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1.3.3 Bargaining Power of Suppliers
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1.3.4 Threat of Substitute Products
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1.3.5 Intensity of Competitive Rivalry
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2. MARKET SEGMENTATION
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2.1 By Type
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2.1.1 Column Type
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2.1.2 Pinion Type
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2.1.3 Dual Pinion Type
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2.1.4 Other Types
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2.2 By Component Type
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2.2.1 Steering Column
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2.2.2 Sensor
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2.2.3 Steering Motor
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2.2.4 Other Component Types
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2.3 By Vehicle Type
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2.3.1 Passenger Cars
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2.3.2 Commercial Vehicle
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China Automotive Electric Power Steering (EPS) Market Size FAQs
How big is the China Automotive Electric Power Steering Market?
The China Automotive Electric Power Steering Market size is expected to reach USD 15.58 billion in 2024 and grow at a CAGR of 14.98% to reach USD 31.31 billion by 2029.
What is the current China Automotive Electric Power Steering Market size?
In 2024, the China Automotive Electric Power Steering Market size is expected to reach USD 15.58 billion.
