Electric Powertrain Market

Market Synopsis:

The global Electric Powertrain Market is valued at USD 125.16 Billion in 2024 and is projected to reach a value of USD 2480.5 Billion by 2035 at a CAGR (Compound Annual Growth Rate) of 31.20% between 2025 and 2035.

Electric vehicles are the automotive markets future; as traditional fuel vehicles are expected to be phased out over the next few years. These vehicles are gaining popularity because they offer better environmental benefits and a lower total cost of ownership when compared to their ICE counterparts. Several countries have enacted strict policies to encourage the use of alternative fuel vehicles, including EVs. In the previous decade, the automotive industry was primarily made up of the same internal combustion engine powertrain. However, as the industry has shifted toward more efficient and environmentally friendly transportation, the industry now has a diverse powertrain mix.

Infrastructure, regulations, consumer preference, and technology all play a role in the growing adoption of electric powertrains. The penetration of PHEVs and BEVs will have a significant impact on the global adoption of electric powertrains. Monitoring CO2 emissions regulations are becoming more stringent. OEMs would have to increase sales of electrified vehicles in the coming years in order to meet emission targets efficiently and avoid penalties. Battery technology advancements have made EVs more competitive than traditional ICE vehicles by increasing range on a single charge. Batteries are an essential component of an Electric Powertrain system.

Market Segmentation:

The Electric Powertrain Market is segmented on the basis of Vehicle type, HEV/PHEV powertrain component, BEV powertrain component, 48V MHEV powertrain component and powertrain type. On the basis of vehicle type, the market is segmented into Hybrid and Plug-In Hybrid Vehicle (HEV/PHEV), Battery Electric Vehicle (BEV) and 48V Mild Hybrid Vehicle (MHEV). On the basis of HEV/PHEV powertrain component, the market is segmented into Motor/Generator, HV Battery, 12V Battery, Battery Management System, Controller, DC/AC Inverter, DC/DC Converter, Power Distribution Module, Idle Start-Stop, On-board Charger and Regenerative Braking. On the basis of BEV powertrain component, the market is segmented into Motor/Generator, HV Battery, 12V Battery, Battery Management System, Controller, DC/DC Converter, DC/AC Inverter, Power Distribution Module, On-board Charger and Regenerative Braking. On the basis of48V MHEV powertrain component, the market is segmented into 48V Battery, 12V Battery, Battery Management System, DC/AC Inverter, DC/DC Converter, 48V BSG/ISG, Idle Start-Stop and Regenerative Braking. On the basis of powertrain type, the application is segmented into BEV Powertrain, MHEV Powertrain, Series Hybrid Powertrain, Parallel Hybrid Powertrain and Series-Parallel Hybrid Powertrain.

Based on Vehicle Type

On the basis of vehicle type, the market is segmented into Hybrid and Plug-In Hybrid Vehicle (HEV/PHEV), Battery Electric Vehicle (BEV) and 48V Mild Hybrid Vehicle (MHEV). Over the forecast period, 48V MHEV is expected to be the fastest-growing market. The slowing of diesel-powered vehicles, as well as CO2 targets, have fueled the 48V MHEV powertrain market. The widespread use of mild hybrids over BEVs is an effective way to reduce emissions. Furthermore, developments and a drop in Lithium-ion battery prices have fueled the MHEV powertrain component market.

{{segment_graph_1}}

Based on Product

On the basis of BEV powertrain component, the market is segmented into Motor/Generator, HV Battery, 12V Battery, Battery Management System, Controller, DC/DC Converter, DC/AC Inverter, Power Distribution Module, On-board Charger and Regenerative Braking. In 2021, the battery segment had the highest revenue share of around 64%. When it comes to vehicle electrification, the battery is the most visible component. It is either used as the sole source of power in BEVs or combined with other sources in green vehicles. In BEVs, the battery pack accounts for roughly half of the total cost. Over the forecast period, technological advancements in battery technology are expected to result in lower battery pack prices.

Asia Pacific Region to Stand Firm on its Leading Position in the Electric Powertrain Market

Asia Pacific is likely to be the fastest-growing regional market over the forecast period with a market share of 43.10%. During the forecast period, Asia Pacific is expected to grow significantly. The primary driver for the high market penetration is a variety of regulatory programs encouraging EV sales, such as EV sales quotas, fuel economy targets, and EV advantages in license plate assignments in countries such as In this area, strict emission restrictions such as BS-VI in India and China VI in China are boosting the e-powertrain market. Partnerships between leading players to build charging infrastructure are driving market growth in this region. China has lithium reserves, which is driving up investment in battery production.

Competitive Landscape:

Key players operating in the Global Electric Powertrain Market include- Bosch (Germany) and others.

Segmentation of the Global Electric Powertrain Market: