Market Size of Electric Vehicle Relay Industry
| Study Period | 2018-2028 |
| Market Size (2024) | USD 11.78 Billion |
| Market Size (2028) | USD 27.23 Billion |
| CAGR (2024 - 2028) | 14.10 % |
| Fastest Growing Market | North America |
| Largest Market | Asia Pacific |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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Electric Vehicle Relay Market Analysis
The Electric Vehicle Relay Market size is estimated at USD 11.78 billion in 2024, and is expected to reach USD 27.23 billion by 2028, growing at a CAGR of 14.10% during the forecast period (2024-2028).
The market is expected to be driven by the rising adoption of electric vehicles. Moreover, initiatives taken by the government to boost sales of electric vehicles and stringent policies to reduce CO2 emissions will drive the market growth. Hence, there has been widespread utilization of these technologies in various automotive applications.
For instance, according to the International Energy Agency, more than 10 million electric cars will be sold worldwide in 2022, and sales are expected to grow by another 35% to reach 14 million in 2023.
Relay plays an important role in various kinds of applications such as on-board chargers, lamp controls, various motor controls, heater controls, and solenoid controls. With the high demand for electric vehicles, relay manufacturers are focusing on technological advancements in their products.
For example, in May 2022, Texas Instruments (TI) is rolling out two solid-state relay chips designed to replace traditional automotive mechanical relays.
Asia Pacific is expected to hold the highest share. In India, EV and component manufacturing is ramping up, supported by the government’s USD 3.2 billion incentive program that has attracted investments totaling USD 8.3 billion in 2022. Thailand and Indonesia are also strengthening their policy support schemes, potentially providing valuable experience for other emerging market economies seeking to foster EV adoption.
Thus, the above factors will likely drive market growth.
Electric Vehicle Relay Industry Segmentation
The relay is applied to an electric vehicle and is installed between the vehicle battery and the inverter to cut off the charge and discharge the DC power of the battery.
The electric vehicle relay market is segmented by propulsion type, product type, vehicle type, application, and geography. The propulsion type market is segmented as battery electric vehicles (BEV) and hybrid electric vehicles (HEV). By product type, the market is segmented as PCB Relay and Plug-in Relay. The vehicle type market is segmented into passenger cars and commercial vehicles. The by-application market is segmented as electronic power steering, anti-lock braking systems, door locks, power windows, air conditioners, and other applications. By geography, the market is segmented into North America, Europe, Asia-Pacific, and the Rest of the World.
The report offers a forecast and market size for value (USD).
Electric Vehicle Relay Market Size Summary
The electric vehicle relay market is poised for significant growth, driven by the increasing adoption of electric vehicles and supportive government initiatives aimed at reducing carbon emissions. The market is experiencing a surge in demand due to the widespread use of relays in various automotive applications, such as on-board chargers and motor controls. This demand is further fueled by technological advancements, with manufacturers like Texas Instruments introducing solid-state relay chips to enhance reliability and efficiency. The Asia-Pacific region, particularly countries like India and China, is expected to dominate the market share, supported by government policies and incentives that promote electric vehicle adoption and infrastructure development.
The market landscape is characterized by a consolidation of key players, including Panasonic Corporation, Texas Instruments, and Omron Corporation, who are actively engaging in strategic collaborations and product innovations to maintain their competitive edge. The growing emphasis on vehicle safety and comfort features, alongside government programs like the Bharat New Car Assessment Programme in India, is driving the demand for advanced relays in passenger vehicles. As automakers focus on integrating more safety features, the market for electric vehicle relays is anticipated to expand, with companies ramping up production to meet the rising global demand for electric vehicles.
Electric Vehicle Relay Market Size - Table of Contents
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1. MARKET DYNAMICS
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1.1 Market Overview
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1.2 Market Drivers
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1.2.1 Increasing demand for safer vehicles
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1.3 Market Restraints
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1.3.1 High Production Cost of Relays
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1.4 Porter's Five Forces Analysis
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1.4.1 Bargaining Power of Suppliers
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1.4.2 Bargaining Power of Buyers/Consumers
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1.4.3 Threat of New Entrants
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1.4.4 Threat of Substitute Products
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1.4.5 Intensity of Competitive Rivalry
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2. MARKET SEGMENTATION
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2.1 Propulsion Type
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2.1.1 Battery Electric Vehicle (BEV)
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2.1.2 Hybrid Electric Vehicle (HEV)
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2.2 Product Type
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2.2.1 PCB Relay
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2.2.2 Plug-in Relay
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2.3 Vehicle Type
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2.3.1 Passenger Car
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2.3.2 Commercial Vehicle
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2.4 Application
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2.4.1 Electronic Power Steering
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2.4.2 Anti-Lock Braking System
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2.4.3 Door Lock
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2.4.4 Power Windon
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2.4.5 Air-Conditioner
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2.4.6 Other Applications
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2.5 Geography
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2.5.1 North America
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2.5.1.1 United States
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2.5.1.2 Canada
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2.5.1.3 Rest of North America
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2.5.2 Europe
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2.5.2.1 Germany
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2.5.2.2 United Kingdom
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2.5.2.3 France
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2.5.2.4 Spain
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2.5.2.5 Rest of Europe
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2.5.3 Asia-Pacific
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2.5.3.1 India
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2.5.3.2 China
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2.5.3.3 Japan
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2.5.3.4 South Korea
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2.5.3.5 Rest of Asia-Pacific
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2.5.4 Rest of the World
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2.5.4.1 South America
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2.5.4.2 Middle East and Africa
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Electric Vehicle Relay Market Size FAQs
How big is the Electric Vehicle Relay Market?
The Electric Vehicle Relay Market size is expected to reach USD 11.78 billion in 2024 and grow at a CAGR of 14.10% to reach USD 27.23 billion by 2028.
What is the current Electric Vehicle Relay Market size?
In 2024, the Electric Vehicle Relay Market size is expected to reach USD 11.78 billion.
