Electric Power Steering Market 2025 | Growth, Size, and Trends Forecast by 2033

Global Electric Power Steering Market Statistics: USD 43.8 Billion Value by 2033

Summary:

  • The global electric power steering market size reached USD 29.6 Billion in 2024.
  • The market is expected to reach USD 45.3 Billion by 2033, exhibiting a growth rate (CAGR) of 4.59% during 2025-2033.
  • Asia Pacific leads the market, accounting for the largest electric power steering market share.
  • Sensors hold the majority of the market share in the component segment.
  • Collapsible EPS dominates the electric power steering industry.
  • Colum assist type (CEPS) is the biggest segment in the market, driven by its compact design and cost-effectiveness.
  • Passenger car is the leading application segment.
  • The growing demand for fuel efficiency is a primary driver of the electric power steering market.
  • Technological advancements and the rise of electric and hybrid vehicles are reshaping the electric power steering market.

Industry Trends and Drivers:

  • Technological advancements and integration:

The shift from traditional hydraulic power steering to electric power steering (EPS) is paving the way for more sophisticated and precise steering solutions that offer greater vehicle control and enhanced energy efficiency. Modern EPS systems are integrated with advanced driver-assistance systems (ADAS), enabling features, such as lane-keeping assist, collision avoidance, and automated parking, which contribute to improved vehicle safety and a better driving experience. This alignment with intelligent vehicle systems not only meets regulatory standards but also addresses the growing user demand for safer and more reliable vehicles. Investments in research operations by automotive manufacturers are enhancing EPS systems with adaptive and software-driven solutions, reinforcing its critical role in automotive design.

  • Increasing demand for fuel efficiency:

The growing emphasis on fuel efficiency and environment-friendly vehicle solutions is encouraging the adoption of EPS. EPS provides notable energy savings compared to hydraulic systems, as it only uses power during active steering maneuvers, unlike hydraulic setups that run continuously. This efficiency directly contributes to better fuel economy, which is essential for meeting emissions standards and reducing overall carbon footprints. Automakers, faced with stringent regulations and a more eco-conscious user base, are adopting EPS as a standard in new vehicle designs. Additionally, the lightweight construction of EPS systems contributes to overall vehicle weight reduction, which enhances energy efficiency and fuel economy.

  • Rise of electric and hybrid vehicles:

EPS systems are inherently more compatible with electric and hybrid powertrains compared to traditional hydraulic systems, making them the preferred steering solution for these vehicle categories. The seamless integration of EPS with the electrical architecture of electric and hybrid vehicles promotes optimal energy usage, resulting in smoother steering operation and enhanced vehicle efficiency. The growing demand for electric vehicles (EVs), supported by government incentives and policies promoting green energy, is driving the need for reliable and efficient steering solutions like EPS. This trend is bolstered by advances in EPS technology that offer customizable steering responses, contributing to a better driving experience and meeting user expectations for innovative vehicle features.

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Electric Power Steering Market Report Segmentation:

By Component:

  • Steering Column
  • Sensors
  • Steering Gear
  • Mechanical Rack and Pinion
  • Electronic Control Unit
  • Electric Motor
  • Others

Sensors exhibit a clear dominance in the market due to their pivotal role in detecting steering inputs and enabling precise control in electric power steering system.

By Mechanism:

  • Rigid EPS
  • Collapsible EPS

Collapsible EPS represents the largest segment owing to its widespread adoption in modern vehicles for its safety features and compact design.

By Type:

  • Rack Assist Type (REPS)
  • Column Assist Type (CEPS)
  • Pinion Assist Type (PEPS)

Colum assist type (CEPS) holds the biggest market share attributed to its versatility, seamless integration, and cost-effectiveness in various vehicle models.

By Vehicle Type:

  • Passenger Car
  • Commercial Vehicle

Passenger car accounts for the majority of the market share, as electric power steering systems are extensively utilized in passenger vehicles for enhanced maneuverability and driving comfort.

Regional Insights:

  • North America (United States, Canada)
  • Asia Pacific (China, Japan, India, South Korea, Australia, Indonesia, Others)
  • Europe (Germany, France, United Kingdom, Italy, Spain, Russia, Others)
  • Latin America (Brazil, Mexico, Others)
  • Middle East and Africa

Asia Pacific dominates the market, driven by the increasing demand for fuel-efficient vehicles and the presence of key manufacturers in the region.

Top Electric Power Steering Market Leaders:

The electric power steering market research report outlines a detailed analysis of the competitive landscape, offering in-depth profiles of major companies. Some of the key players in the market are:

  • HELLA GmbH & Co. KGaA (Faurecia SE)
  • Hycet Technology Co. Ltd (Great Wall Motor Company Limited)
  • JTEKT Corporation
  • Mitsubishi Electric Corporation
  • Nexteer Automotive
  • NSK LTD
  • NXP Semiconductors N.V.
  • Robert Bosch GmbH
  • ThyssenKrupp AG
  • TT Electronics plc
  • ZF Friedrichshafen AG

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