Global Power Assisted Steering Market Size, Share, Growth Analysis, By Type(Hydraulic, Electric), By Vehicle(Passenger cars, Commercial vehicles) - Industry Forecast 2023-2030

Global Power Assisted Steering Market size was valued at USD 16.29 billion in 2022 and is poised to grow from USD 17.04 billion in 2023 to USD 24.42 billion by 2031, at a CAGR of 4.6% during the forecast period (2024-2031).

The global power-assisted steering (PAS) market continues to witness steady growth, primarily driven by the increasing demand for enhanced driving comfort, improved fuel efficiency, and advanced safety features in vehicles across various segments. PAS systems have become integral components in modern automotive designs, offering drivers effortless maneuverability and control, especially at low speeds and during parking maneuvers. The market's expansion is further fueled by technological advancements, such as the integration of electric power steering (EPS) systems and steer-by-wire technologies, which offer superior responsiveness and efficiency compared to traditional hydraulic systems. One of the key factors propelling market growth is the rising production of passenger cars and commercial vehicles worldwide, particularly in emerging economies where urbanization and improving standards of living are driving higher automobile sales. Additionally, stringent regulatory standards mandating the incorporation of safety features in vehicles, coupled with increasing consumer awareness regarding the importance of advanced driver assistance systems (ADAS), are further boosting the adoption of PAS solutions.

However, the market faces challenges such as fluctuating raw material prices and the ongoing semiconductor chip shortage, which have impacted automotive production and disrupted supply chains globally. Furthermore, the emergence of autonomous driving technologies poses both opportunities and challenges for PAS suppliers, as these systems may reduce the need for traditional steering mechanisms in the long term. To maintain a competitive edge in the market, key players are focusing on research and development initiatives to introduce innovative PAS solutions that offer improved performance, reliability, and energy efficiency. Collaboration with automotive OEMs and strategic partnerships with technology providers are also becoming increasingly important for companies to expand their market presence and address evolving customer demands.

Top-down and bottom-up approaches were used to estimate and validate the size of the Global Power Assisted Steering Market and to estimate the size of various other dependent submarkets. The research methodology used to estimate the market size includes the following details: The key players in the market were identified through secondary research, and their market shares in the respective regions were determined through primary and secondary research. This entire procedure includes the study of the annual and financial reports of the top market players and extensive interviews for key insights from industry leaders such as CEOs, VPs, directors, and marketing executives. All percentage shares split, and breakdowns were determined using secondary sources and verified through Primary sources. All possible parameters that affect the markets covered in this research study have been accounted for, viewed in extensive detail, verified through primary research, and analyzed to get the final quantitative and qualitative data.

Global Power Assisted Steering Market Segmental Analysis

In terms of type, it includes hydraulic, electric, and electro-hydraulic power steering systems. Component-wise, the market is categorized into steering wheel, steering column, sensors, and others. Vehicle types encompass passenger cars, commercial vehicles, and electric vehicles. Geographically, the market is divided into North America, Europe, Asia Pacific, Latin America, and Middle East & Africa.

Drivers of the Global Power Assisted Steering Market

One notable driver of this market is the increasing demand for fuel-efficient vehicles. With stricter emissions regulations and rising environmental concerns, automakers are continuously seeking ways to enhance fuel efficiency in their vehicles. Power assisted steering systems, by reducing the amount of energy required for steering, contribute to improving fuel economy. As a result, automotive manufacturers are increasingly incorporating PAS systems into their vehicles to meet these regulatory requirements and consumer expectations for better fuel efficiency. Moreover, the integration of advanced technologies such as electric power steering (EPS) further enhances fuel efficiency by eliminating the constant energy drain associated with traditional hydraulic power steering systems.

Restraints in the Global Power Assisted Steering Market

Despite the promising growth prospects, the power assisted steering market faces certain restraints, one of which is the high cost associated with advanced PAS technologies. While the demand for PAS systems is increasing, the adoption of advanced EPS systems, in particular, can significantly increase the overall cost of vehicles. This poses a challenge for automakers, especially in price-sensitive markets where consumers prioritize affordability over additional features. Additionally, the complexity of EPS systems requires sophisticated electronic components, which further contributes to the higher cost. As a result, the cost factor remains a key restraint in the widespread adoption of power assisted steering systems, particularly in emerging economies where cost-conscious consumers dominate the market.

Market Trends of the Global Power Assisted Steering Market

A notable trend shaping the power assisted steering market is the integration of driver assistance systems with PAS technologies. As automotive technology continues to advance, there is a growing emphasis on enhancing vehicle safety and driving convenience. Manufacturers are increasingly integrating PAS systems with driver assistance features such as lane-keeping assist, adaptive cruise control, and automated parking assistance. These integrated systems not only improve driving comfort but also enhance safety by providing additional support to drivers in various driving scenarios. For instance, EPS systems can facilitate the implementation of lane-keeping assist by adjusting steering inputs to keep the vehicle within its lane. Similarly, PAS systems can complement adaptive cruise control by providing steering assistance for smooth lane changes and cornering. This trend towards integration reflects the evolving landscape of automotive technology towards safer, more autonomous driving experiences.