Europe Electric Power Steering Market Report and Forecast 2025-2034

Europe Electric Power Steering Market Outlook

The Europe electric power steering market size reached USD 5.36 billion in 2023. The market is expected to grow at a CAGR of 4.3% between 2024 and 2032, reaching almost USD 7.84 billion by 2032.

Key Takeaways:

• The demand for light commercial vehicle rentals in Europe has surged due to the expansion of e-commerce, logistics, and various industries across the region. The United Kingdom stands out as a key driver of growth in the light commercial vehicle (LCV) market in Europe. With the emergence of major e-commerce players and significant regional operations, sales of vans up to 3.5 tons saw a notable increase of 15.3% to 25,359 units by May 2023. However, sales of trucks ranging from 3.5 to 6.0 tons declined by 24.5% to 386 units, and taxi sales dropped by 14.6% to 111 units during the same period.

• Additionally, according to the Federal Motor Transport Authority in Germany, registrations of electric cars rose by a quarter in the first half of 2022 compared to the previous year. The proportion of fully electric vehicles among all new registrations increased to 13.5%. Overall, registrations of alternative-drive cars grew by 14.2%, representing more than half of all new car registrations, including battery electric vehicles, hybrids, plug-in hybrids, hydrogen fuel cell vehicles, and gas vehicles. German automakers captured 50.6% of new passenger car registrations with electric powertrains during this period.

The Europe electric power steering market is expected to witness growth, driven by the increasing integration of steering-mounted electronics that enhance functionality and intuitiveness. Over the past two decades, steering wheels have evolved into multifunctional hubs, managing a range of dashboard features including radio, cruise control, climate settings, and call functions. Advancements in steering-assist safety technologies are further refining steering responsiveness and balance across various driving conditions by minimising lateral and yaw movements.

Technological progress, digital steering innovations, and the use of high-quality materials are anticipated to propel the automotive steering wheel market forward. The burgeoning demand for fuel-efficient vehicles and effective steering systems, coupled with continuous advancements in the European automotive sector, will fuel market expansion. The trend towards electric power steering (EPS) is reshaping steering systems, leveraging sensors to replace traditional components and enhance precision and performance. These sensors play a critical role in electric and hybrid vehicles, aligning with the push towards fuel efficiency.

The electric power steering market in Europe is also influenced by safety considerations, with automakers increasingly integrating driver assistance systems and steering assistance technologies into their vehicles. Regulatory mandates emphasizing fuel efficiency and de-carbonization are further bolstering demand for advanced steering solutions. Despite the setbacks, the automotive sector remains pivotal to the European economy, employing millions and serving as a linchpin for commercial transportation and e-commerce logistics.

Key players like BMW Group, VW Group, and Daimler Group, based in Germany, are at the forefront of automotive innovation, contributing to the region's automotive prowess and expanding market dynamics. The growth of the automotive industry is intertwined with economic development and modern distribution demands driven by expanding e-commerce activities across Europe, influencing the Europe electric power steering market development.

Market Segmentation

Europe Electric Power Steering Market Report and Forecast 2024-2032 offers a detailed analysis of the market based on the following segments:

Market Breakup by Product Type

• Rack Assist Type (REPS)

• Column Assist Type (CEPS)

• Pinion Assist Type (PEPS)

Market Breakup by Component

• Steering Rack/Column

• Sensors

• Electric Motor

• Others

Market Breakup by Vehicle Type

• Passenger Car

• Commercial Vehicle 

Market Breakup by Sales Channel

• Original Equipment Manufacturer (OEM)

• Aftermarket 

Market Breakup by Country

• Germany

• United Kingdom

• France

• Italy

• Others

Competitive Landscape

The companies are introducing new EPS systems with enhanced technology with the aim of broadening their clientele and product offerings.

• Mitsubishi Electric Corporation

• Robert Bosch GmbH 

• Denso Corporation 

• JTEKT Corporation 

• NSK Ltd.

• thyssenkrupp AG 

• ZF Friedrichshafen AG 

• Knorr-Bremse AG 

• Dowlais Group Plc (GKN Automotive Ltd.) 

• Nexteer Automotive Corporation 

• GENERAL RICAMBI S.P.A

• Others

Key Highlights of the Report