The Automotive Motors Market is Estimated to Witness High Growth owing to Rising Demand for Electric Vehicles

 The Automotive Motors Market is estimated to be valued at US$ 29.98 Bn in 2023 and is expected to exhibit a CAGR of 6.6% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.

Market Overview:
Automotive motors are electromechanical devices used to convert electrical energy into mechanical energy to provide motion. The major types of motors used in automobiles include AC motors, DC motors, and brushless DC motors. Automotive motors are used in various components such as electric windows, seats, mirrors, wipers and other comfort functions. They are also used extensively in powertrains to provide propulsion in electric vehicles. Automotive motors provide advantages such as high torque, durability, compact size and efficiency.

Market key trends:
The automotive motors market is driven by rising demand for electric vehicles globally owing to stringent emission norms and government incentives and subsidies promoting green mobility. As electric vehicles rely completely on electric motors for propulsion, their increasing adoption is expected to boost demand for automotive motors substantially over the forecast period. Furthermore, increasing use of electric power steering systems equipped with electric motors is another major trend fueling market growth. Growing demand for enhanced safety, convenience and infotainment features in vehicles is also prompting wider utilization of automotive motors in advanced driver-assistance systems and comfort applications inside the vehicle.

Porter’s Analysis
Threat of new entrants: The automotive motors market poses low to medium threat of new entrants due to large capital requirements, regulatory norms, brand recognition and strong competition from existing players.

Bargaining power of buyers: The bargaining power of buyers is medium in this market as there are many options available for automobile manufacturers to source motors from. However, switching costs and established buyer-supplier relationships provide some bargaining power to suppliers.

Bargaining power of suppliers: A few large players dominate the supply market with capabilities to develop innovative technologies which gives them strong bargaining power against buyers.

Threat of new substitutes: With increasing focus on electric vehicles, alternate powertrain technologies like battery electric vehicles pose a potential threat to gasoline-powered vehicles and their motors.

Competitive rivalry: The market is highly competitive due to presence of numerous regional and global players.

SWOT Analysis
Strengths: Demand for high-performance, fuel efficient and lightweight motors. Established supply chains and technological expertise of major players.

Weaknesses: Heavy R&D investments required to develop new technologies. Vulnerable to volatile raw material prices and macroeconomic trends.

Opportunities: Growth in electric vehicles and hybridization of powertrains. Connected mobility leading to demand for advanced drive motors.

Threats: Stringent emission norms increasing compliance costs. Trade wars and geopolitical uncertainties affecting automotive industry.

Key Takeaways
The global automotive motors market is expected to witness high growth, exhibiting CAGR of 6.6% over the forecast period, due to increasing global vehicle production and automotive component outsourcing. Asia Pacific dominated the market with over 40% market share in 2023 due to large automotive manufacturing bases in China, India, and Japan. Rapid economic growth and rising disposable incomes in the region are driving vehicle ownership.

Regional analysis:Asia pacific accounted for the largest share of the global market in 2023, followed by Europe and North America. China and India are two of the fastest growing automotive markets globally. Further, presence of major auto component suppliers in countries like Japan, South Korea is propelling the regional market.

Key players: Key players operating in the automotive motors market are Siemens AG, Robert Bosch GmbH, Continental AG, Denso Corporation, Magna International, Mitsubishi Electric Corporation, Valeo S.A., Mahle Group, Nidec Corporation, and Borgwarner Inc. Major players are focusing on new product development and acquisitions to gain a competitive edge in the market.