PUBLISHER: The Business Research Company | PRODUCT CODE: 1999752
PUBLISHER: The Business Research Company | PRODUCT CODE: 1999752
An automotive traction motor is an electric motor specifically designed for powering vehicles, especially electric and hybrid electric ones (EVs and HEVs). These motors transform electrical energy from the vehicle's battery or generator into mechanical energy to propel the vehicle or drive its wheels. Automotive traction motors play a crucial role in advancing vehicle electrification, offering benefits such as high efficiency, minimal emissions, and adaptable torque characteristics.
The primary types of automotive traction motors include alternating current (AC) induction motors, brushless direct current motors, permanent magnet synchronous motors, and switched reluctance motors. An AC induction motor operates using AC electricity and is widely utilized in both industrial and residential settings for its straightforward design and dependable performance. These motors have power outputs ranging from less than 2022 kW, 200-400 kW, to above 400 kW, catering to a variety of vehicles such as passenger cars, trucks, buses, pickup trucks, and vans. These vehicles encompass different EV types such as battery electric vehicles, fuel cell electric vehicles, hybrid electric vehicles, and plug-in hybrid electric vehicles.
Note that the outlook for this market is being affected by rapid changes in trade relations and tariffs globally. The report will be updated prior to delivery to reflect the latest status, including revised forecasts and quantified impact analysis. The report's Recommendations and Conclusions sections will be updated to give strategies for entities dealing with the fast-moving international environment.
Tariffs are significantly impacting the automotive traction motor market by increasing the cost of imported rare earth magnets, copper windings, silicon steel laminations, power electronics, and motor housings. EV manufacturers in North America and Europe are most affected due to dependence on imported magnet materials and motor components, while Asia-Pacific suppliers face export competitiveness challenges. These tariffs are raising drivetrain costs and impacting vehicle pricing. However, they are also driving localization of motor manufacturing, alternative magnet research, and innovation in rare-earth-free and high-efficiency traction motor designs.
The automotive traction motor market research report is one of a series of new reports from The Business Research Company that provides automotive traction motor market statistics, including automotive traction motor industry global market size, regional shares, competitors with a automotive traction motor market share, detailed automotive traction motor market segments, market trends and opportunities, and any further data you may need to thrive in the automotive traction motor industry. This automotive traction motor market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.
The automotive traction motor market size has grown rapidly in recent years. It will grow from $8.81 billion in 2025 to $10.47 billion in 2026 at a compound annual growth rate (CAGR) of 18.9%. The growth in the historic period can be attributed to electric vehicle commercialization, battery cost reduction, early hybrid vehicle adoption, advancements in motor control, automotive electrification investments.
The automotive traction motor market size is expected to see rapid growth in the next few years. It will grow to $19.58 billion in 2030 at a compound annual growth rate (CAGR) of 16.9%. The growth in the forecast period can be attributed to ev production scale-up, demand for high torque density motors, rare-earth optimization, efficiency regulations, expansion of charging infrastructure. Major trends in the forecast period include shift toward high-efficiency traction motors, rising adoption of pmsm motors, integration of motors with power electronics, demand for compact motor designs, growth of multi-motor ev platforms.
The rising demand for electric vehicles is expected to drive the growth of the automotive traction motor market in the coming years. Electric vehicles are powered by electric motors, using rechargeable batteries or other energy storage systems as their primary source of propulsion. This demand is being fueled by environmental concerns, government incentives, advancements in battery technology, increasing fuel costs, and improved charging infrastructure. Traction motors are critical for electric vehicles, converting electrical energy into mechanical motion with high efficiency, providing instant torque, enabling regenerative braking, and enhancing overall performance, reliability, and environmental benefits. For instance, in April 2024, the International Energy Agency (IEA), a France-based intergovernmental organization, reported that new electric car registrations in China reached 8.1 million in 2023, representing a 35% increase compared to 2022. Therefore, the increasing adoption of electric vehicles is supporting the growth of the automotive traction motor market.
Key players in the automotive traction motor market are developing innovative solutions, such as magnet-free electric motors, to improve performance and extend vehicle range. Magnet-free electric motors operate without permanent magnets, typically using technologies like reluctance or induction to generate motion. For example, in September 2023, ZF Friedrichshafen AG, a Germany-based automotive technology company, introduced the I2SM (In-Rotor Inductive-Excited Synchronous Motor). In this design, the rotor's magnetic field is generated through inductive excitation, delivering high torque and power density without the size and friction limitations of traditional brush or slip-ring systems. Unlike conventional SESM designs, the I2SM's compact inductive transmitter is housed inside the rotor shaft, saving up to 90 mm of axial space. This motor enhances efficiency by reducing energy transmission losses by 15% and cuts CO2 emissions during production by up to 50% compared to conventional permanent-magnet synchronous motors.
In December 2025, Uno Minda Limited, an India-based automotive components manufacturer, acquired the remaining 49.9% stake in Uno Minda Buehler Motor Private Limited for an undisclosed amount. This acquisition allows Uno Minda to consolidate full ownership of its EV traction motor manufacturing operations, streamline decision-making, and accelerate its expansion into electric two- and three-wheelers. Uno Minda Buehler Motor Private Limited is an India-based company specializing in automotive traction motors for electric two-wheelers and three-wheelers.
Major companies operating in the automotive traction motor market report include Robert Bosch GmbH, Hitachi Ltd., Siemens AG, ZF Friedrichshafen AG, Continental AG, Magna International Inc., Mitsubishi Electric Corporation, ABB Ltd, Toshiba Corporation, Schaeffler Technologies AG & Co. KG, Nidec Corporation, Mahle Group, BorgWarner Inc., Dana Incorporated, Regal Beloit Corporation, Shenzhen Inovance Technology Co. Ltd, Mitsuba Corporation, CG Power and Industrial Solutions Ltd., American Traction Systems, Jing-Jin Electric Technologies Co Ltd.
Asia-Pacific was the largest region in the automotive traction motor market in 2025. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the automotive traction motor market report include Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
The countries covered in the automotive traction motor market report include Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain
The automotive traction motor market consists of sales of induction motors, interior permanent magnet synchronous motors, linear induction motors, and axial flux motors. Values in this market are 'factory gate' values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.
The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).
The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.
Automotive Traction Motor Market Global Report 2026 from The Business Research Company provides strategists, marketers and senior management with the critical information they need to assess the market.
This report focuses automotive traction motor market which is experiencing strong growth. The report gives a guide to the trends which will be shaping the market over the next ten years and beyond.
Where is the largest and fastest growing market for automotive traction motor ? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward, including technological disruption, regulatory shifts, and changing consumer preferences? The automotive traction motor market global report from the Business Research Company answers all these questions and many more.
The report covers market characteristics, size and growth, segmentation, regional and country breakdowns, total addressable market (TAM), market attractiveness score (MAS), competitive landscape, market shares, company scoring matrix, trends and strategies for this market. It traces the market's historic and forecast market growth by geography.
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