Market Research Report
Automotive Axle Market Size, Share & Trends Analysis Report By Type (Drive, Dead, Lift), By Application (Front, Rear), By Vehicle Type (Passenger Car, LCV, HCV), By Region, And Segment Forecasts, 2020 - 2027
|Published by||Grand View Research, Inc.||Product code||935373|
|Published||Content info||184 Pages
Delivery time: 2-3 business days
|Automotive Axle Market Size, Share & Trends Analysis Report By Type (Drive, Dead, Lift), By Application (Front, Rear), By Vehicle Type (Passenger Car, LCV, HCV), By Region, And Segment Forecasts, 2020 - 2027|
|Published: April 16, 2020||Content info: 184 Pages||
The global automotive axle market size is estimated to reach USD 64.79 billion by 2027, expanding at a CAGR of 1.1% over the forecast period, according to a study conducted by Grand View Research, Inc. Increasing demand for luxury and hybrid vehicles, coupled with growing demand for long trailers to minimize transportation cost, is anticipated to drive the market for automotive axle over the forecast period. Besides, rising penetration of lift axles in Heavy Commercial Vehicles (HCVs) for better fuel efficiency has resulted in significant market growth.
Rapidly growing e-commerce industry across the globe has been putting pressure on the transportation and logistics industry with extreme focus on the road freight transport. Therefore, long trailers are devoted to keep pace with the changing transportation industry landscape. These trucks can be used to transport goods over thousands of miles. Long trailers have the capability to carry higher volumes of goods per journey as compared to standard trucks, which reduces the overall transportation cost, thus improving the profit margins of the logistic service providers. A long trailer has 6 axles on an average for even load distribution. Hence, growing demand for trailer trucks across the logistics sector is anticipated to directly influence the demand for automotive axles over the forecast period.
Besides, growing demand for All Wheel Drive (AWD) and Four Wheel Drive (FWD) vehicles as well as continuous growth in the overall vehicle production have surged the demand for the drive axle. AWD vehicles has witnessed significant demand from China, U.S., European countries, and Japan over the past few years. In 2017, more than 10% of all cars and around two-third of all trucks sold in U.S. were equipped with AWD systems. Moreover, rise in production of commercial vehicles, mainly in North America and Europe, is anticipated to boost the demand for drive axles over the forecast period.
Asia Pacific is anticipated to emerge as the most lucrative regional market for automotive axle over the forecast period. The growth is mainly attributed to increasing automotive production across countries, such as China and India. In 2018, China alone accounted for over 23% of the world's total vehicle production. Besides, presence of prominent automotive axle manufacturers, such as Hyundai Transys, Inc.; Korea Flange Co. Ltd.; and Somboon Advance Technology Public Co. Ltd., is driving the market in the region. These manufacturers supply automotive axles to some of the prominent OEMs, including Hyundai, Kia, General, Motors, Mitsubishi, Toyota, and ISUZU, thus augmenting the regional market growth over the forecast period.
On the basis of type, the drive axle segment is expected to expand at a volume-based CAGR of 1.6% from 2020 to 2027. Increasing demand for AWD and FWD vehicles is anticipated to boost the segment growth over the forecast period
Based on application, the rear axle segment is projected to expand at the highest CAGR over the forecast period and is anticipated to reach USD 24.87 billion by 2027. This is attributed to increasing production of commercial vehicles across developed and emerging countries, such as U.K., Canada, France, India, and South Korea
By vehicle type, the passenger car segment held the dominant share of 67.9% based on volume in 2019. The share is projected to decrease over the forecast period owing to increasing demand for electric vehicles across the globe
Asia Pacific accounted for 50.5% share of the overall revenue in 2019 and is anticipated to record a shipment of 118.3 million units by 2027. This is attributed to increasing production of vehicles in countries, such as India, China, Japan, and Australia
Key competitors in the automotive axle industry include ZF Friedrichshafen AG; Daimler AG; Dana Incorporated; and American Axle & Manufacturing Inc.