India Electronic Power Steering - Market Share Analysis, Industry Trends & Statistics, Growth Forecasts (2026 - 2031)

According to Mordor Intelligence, India electronic power steering market size in 2026 is estimated at USD 2.14 billion, growing from 2025 value of USD 2.01 billion with 2031 projections showing USD 2.92 billion, growing at 6.38% CAGR over 2026-2031.

India Electronic Power Steering Market Trends and Insights

Surging Passenger-Car Output

Domestic passenger-car assemblies reached 4.3 million units in FY 2024-25, aided by Hyundai's capacity build-out and Tata Motors' multiple state expansions . Higher volumes enable suppliers of the Indian electric power steering market to achieve scale benefits that trim per-unit costs and make column-assist systems viable even in compact hatchbacks. As SUVs and MPVs capture a rising share of production, demand for high-torque assistance grows. Regional clustering across Tamil Nadu, Maharashtra, and Haryana facilitates localized supply chains, allowing quicker just-in-time deliveries and higher localization content. CRISIL expects minimal passenger-vehicle output growth in FY 2026, ensuring sustained mid-term demand for electric steering units.

Stringent Safety Regulations (AIS 145, CMVR)

AIS 145 mandated features such as electronic stability control, lane-departure warning, and autonomous emergency steering, which only require the fine motor control provided by EPS . OEMs are therefore accelerating the phase-out of hydraulic units regardless of incremental cost. Updated CMVR rules impose tighter steering-response benchmarks, further tipping the scales toward electronic control. Commercial-vehicle OEMs, historically reliant on hydraulic setups, are piloting electric solutions to comply. ECU demand also rises because these safety features need higher processing capacities, creating a feed-through boost for semiconductor content per vehicle.

Higher Unit Cost vs HPS in Entry Cars

Electric power steering costs one-fourth more than hydraulic systems for hatchbacks priced below INR 500,000. Budget-focused rural buyers remain unconvinced by long-term fuel savings, hampering EPS penetration in entry trims. OEM margins already squeezed by rising commodity prices make absorbing the premium challenging. However, domestic fabrication incentives for sensors and BLDC motors under the automotive component PLI are narrowing the gap. Suppliers expect a minimal cost decline within a couple of years as ECU localization scales, bringing parity closer and easing this restraint.

Other drivers and restraints analyzed in the detailed report include:

1. Demand for Fuel-Efficient Drivetrains
2. Electrification of Vehicle Parc
3. Import-Reliant Semiconductor Supply Chain

For complete list of drivers and restraints, kindly check the Table Of Contents.

Segment Analysis

Column-assist solutions captured 56.63% of the Indian electric power steering market share in 2025, reflecting their cost-performance sweet spot across compact and midsize platforms. The segment's dominance is reinforced by minimal chassis redesign requirements, allowing OEMs to retrofit existing hydraulic platforms swiftly. Rack-assist units cater to premium SUVs where steering precision and higher torque are vital. Pinion-assist designs occupy a niche between the two, particularly in sedan applications where road-feel refinement is prioritized. Although steer-by-wire currently represents less than 1% of installations, its 6.45% CAGR indicates growing OEM attention, with Hyundai and Lexus showcasing concept models at the 2025 Auto Expo. Regulatory acceptance will be the inflection point that elevates adoption rates among mass-market brands.

Second-order benefits also materialize: steer-by-wire removes the steering shaft intrusion, enabling frontal crash-zone energy-absorption redesigns and larger infotainment displays. Suppliers such as JTEKT are developing failsafe algorithms that maintain directional control even if a single actuator fails, addressing latent safety concerns. Once regulatory clarity emerges, especially regarding redundant power supply standards, steer-by-wire will likely encroach on the rack-assist space. The column-assist will underpin cost-sensitive variants, ensuring it remains a mainstay of the Indian electric power steering market.

Steering columns held 34.74% of the Indian electric power steering market in 2025, as every EPS facade requires a mechanical or electronic column. Yet electronic control units will outpace at a 6.51% CAGR through 2031 because ADAS integration needs higher processing headroom. The latest Infineon Aurix microcontrollers support ISO 26262 ASIL-D safety, allowing automotive firmware over-the-air updates that slash recall costs. Torque-and-angle sensors also evolve toward inductive designs, eliminating magnets and enhancing precision.

Over the forecast window, ECU average cost content per vehicle will jump exponentially as software-defined cars gain traction. Domestic suppliers like KPIT and Tata Elxsi provide middleware that reduces time-to-market for new steering functions. Such developments create an ecosystem wherein semiconductor design houses, embedded-software firms, and steering-system manufacturers collaborate under one roof, accelerating product cycles and reinforcing the Indian electric power steering market's competitiveness.

Complete Report Scope:

• By Type
  • Column-Assist EPS (C-EPS)
  • Pinion-Assist EPS (P-EPS)
  • Rack-Assist EPS (R-EPS)
  • Integrated Steer-by-Wire
• By Component Type
  • Steering Column
  • Torque & Angle Sensors
  • Electric Motor
  • Electronic Control Unit (ECU)
  • Others (Wiring, Bearings, Housings)
• By Vehicle Type
  • Passenger Cars
    • Hatchbacks
    • Sedans
    • SUVs & MPVs
  • Light Commercial Vehicles (LCVs)
  • Medium and Heavy Commercial Vehicles (MHCV)
• By Sales Channel
  • OEM Fitment
  • Aftermarket / Retrofit
• By Motor Technology
  • Brushed DC Motor
  • Brushless DC (BLDC) Motor

List of Companies Covered in this Report:

1. JTEKT Corporation
2. Nexteer Automotive
3. DENSO Corporation
4. ZF Steering Gear (India) Ltd
5. Mando Automotive India (Anand Group)
6. Robert Bosch GmbH
7. Infineon Technologies AG
8. Rane Group
9. NSK Ltd.
10. Hyundai Mobis
11. Showa India
12. Continental AG
13. Thyssenkrupp Presta
14. JNS Instruments
15. Remsons Industries
16. HL Mando
17. Valeo
18. Hitachi Astemo
19. Timken India
20. ATMA (Amalgamated Transmissions)

Additional Benefits:

• The market estimate (ME) sheet in Excel format
• 3 months of analyst support