EV powertrain market in Europe is expected to grow from US$ 5.27 Bn in 2018 to US$ 13.37 Bn by the year 2027. This represents a CAGR of 11.0% from the year 2019 to 2027.
The spurring electric mobility sector across the world is enabling manufacturers to invest in innovative models with advanced technologies, which facilitates them to introduce efficient vehicles. However, one of the crucial challenged faced by the EV manufacturers converting a prototype to a commercialized vehicle is the price of the powertrain. The modern-day powertrains are expensive, and owing to the fact that powertrains are the most critical component of EVs, the manufacturers are compelled to compromise on the budgets of respective vehicles. According to various powertrain manufacturers and associations, prices of powertrains are expected to drop down in the coming years, which in turn will increase the demand for EVs among the customers along with the reduction in prices of all-electric vehicles. Thus, lowering the prices of powertrain by the powertrain manufacturers in the coming years is projected to propel the EV powertrain market.
The automotive industry is expanding at a rapid rate over the years across the globe. The internal combustion engine (ICE) vehicles, as well as the electric vehicles (EV) manufacturers, are pacing up their production volumes in order to meet the continually rising demand from the customers. The auto industry is expected to be driven by electric vehicles in the near future, owing to the rising awareness among the vehicle customers, governmental strategies to reduce carbon emission and subsidies towards procuring EVs. These factors are prominently acting as crucial parameters for the growth of the EV powertrain market.
The EV powertrain market by application is segmented into passenger cars and commercial vehicles. The automotive industry is expanding at a rapid rate over the years across the globe. The commercial vehicles segment includes trucks, trailers, city buses and coaches. These are driven by the on-board battery, which is recharged from the power grid. As in an e-car, the EV motor converts the electrical energy into mechanical energy. One of the key components in the EVal system is the DC-to-DC converter, which supplies the power network. The drive's inverter converts the battery's direct current into the alternating current required to power the vehicle. Many companies are launching their new electric commercial vehicles in the market. The urbanization requires urban logistics and truck transport with zero emissions and less noise with increasing urgency. These factors are prominently acting as crucial parameters for the growth of the EV powertrain market.
The overall Europe EV powertrain market size has been derived using both primary and secondary sources. The research process begins with exhaustive secondary research using internal and external sources to obtain qualitative and quantitative information related to the European EV powertrain market. It also provides an overview and forecast for the Europe EV powertrain market based on all the segmentation provided with respect to the European region. Also, primary interviews were conducted with industry participants and commentators in order to validate data and analysis. The participants who typically take part in such a process include industry experts such as VPs, business development managers, market intelligence managers, and national sales managers, and external consultants such as valuation experts, research analysts, and key opinion leaders specializing in the Europe EV powertrain industry. Some of the players present in the EV powertrain market are Continental AG, Cummins Inc., Dana Limited, Magna International, Mahle GmbH, Maxim Integrated, Robert Bosch GmbH, Tata Elxsi, Valeo SA, and ZF Friedrichshafen AG.