Automotive axle market is anticipated to grow at a CAGR of 1.5% during the forecast period. The growing trend of vehicle electrification and innovation continues for drive axle coupled with electric powertrain is a key factor contributing to the market growth. Environment protection is a key challenge in this market. To meet the greenhouse emission regulations, downsizing, weight reduction, and torque-carrying qualities have been prioritized in drive and steer axle development. Drive axles are developed to have faster ratios to handle bigger axle input torques caused by lowering engine revolutions per minute at highway speeds to aid engine down speeding for line-haul logistics vehicles by road transportation. 

Furthermore, key players are also developing lightweight, fuel-efficient axles that can carry heavy cargo loads. Manufacturers are focusing on developing faster axles with lower ratios, which will help the engines operate at a slower speed. Many axles are now also including modular motor design, which provides easy service and maintenance accessibility and is scalable due to their motor interchanging capability. Such developments are contributing to the market growth. In 2021, electric car sales more than double to 6.6 million, representing close to 9.0% of the global car market and more than tripling their market share from two years earlier.  Hence, owing to its broader application and rising demand for an electric car is expected to boom the growth of the global automotive axle market. 

The expensive aftermarket service has encouraged the market for counterfeit product sales, which are of low cost and less quality. The availability of counterfeit product will have negative impact on the market growth.

Segmental Outlook

The global automotive axle market is segmented based on type, application, and vehicle type. Based on type, the market is segmented into drive, dead, and lift. Based on application, the market is segmented into front & rear. Based on vehicle type, the market is sub-segmented into Passenger Cars, Light Commercial Vehicle (LCV), and Heavy Commercial Vehicle (HCV)

Passenger Car Holds a Considerable Share in the Global Automotive Axle Market 

The passenger car segment held considerable share in the global automotive axle market based on vehicle type. The increasing demand for passenger vehicles due to growing population and increasing disposable income has driven the demand for automotive axle in passenger vehicle market. The surge in passenger car production in economies such as Indonesia, India, China, and South Africa has been influencing market growth. Moreover, the application of front-wheel-drive, rear-wheel-drive, and all-wheel drive in several segments of luxury and hybrid passenger cars is projected to provide rapid growth to the segment.

Regional Outlooks

The global automotive axle market is further segmented based on geography, including North America (the US and Canada), Europe (Italy, Spain, Germany, France, and others), Asia-Pacific (India, China, Japan, South Korea, and others), and the Rest of the World (the Middle East & Africa and Latin America). North America is anticipated to exhibit considerable growth in the global automotive axle market. Huge investment by key market players in automotive technologies is a key factor driving the growth of the global automotive axle market.  

Global Automotive Axle Market Growth, by Region 2023-2030

Asia-Pacific held Considerable Share in the Global Automotive Axle Market 

The high share of the regional market is mainly attributed to the presence of key market players, and the rapid increase in the production of automobiles. Moreover, growing government investment in the automobile sector from past few years fueled the growth of the market in the Asia-Pacific region. For instance, according to Invest India, in terms of volume India is expected to become the world’s 3rd largest automotive market by 2026. Moreover, India manufactured 22.7 million vehicles including passenger and commercial vehicles, three-wheelers, and quadricycles from April-March 2020. The increase in the automobile production, and presence of cohesive government initiatives is anticipated to contribute to the high demand for the automotive axle market during the forecast period.

Market Players Outlook

The major companies serving the global automotive axle market include American Axle & Manufacturing, Inc., Dana Inc., Daimler AG, GNA Group, and Meritor Inc. among others. The market players are considerably contributing to the market growth by the adoption of various strategies, including mergers and acquisitions, partnerships, collaborations, funding, and new product launches, to stay competitive in the market.  The market is also operation several local player operating in the respective national market. 

For instance, in November 2022, ROHM Semiconductor had signed a joint development agreement with Mazda Motor Corp.(Mazda) and Imasen Electric Industrial Co., Ltd., (Imasen) for inverters and SiC power modules to be used in the electric drive units of electric vehicles, including e-Axle. Through this collaboration, ROHM will develop even more competitive SiC MOSFETs and modules by working backwards from the finished vehicle to understand the performance and optimal drive method required of power semiconductors.

The Report Covers

• Market value data analysis of 2022 and forecast to 2030.
• Annualized market revenues ($ million) for each market segment.
• Country-wise analysis of major geographical regions.
• Key companies operating in the global automotive axle market. Based on the availability of data, information related to new product launches, and relevant news is also available in the report.
• Analysis of business strategies by identifying the key market segments positioned for strong growth in the future.
• Analysis of market-entry and market expansion strategies.
• Competitive strategies by identifying ‘who-stands-where’ in the market.