PUBLISHER: The Business Research Company | PRODUCT CODE: 1999884
PUBLISHER: The Business Research Company | PRODUCT CODE: 1999884
Electric power steering is a mechanical system that utilizes an electric motor to draw energy from the vehicle's electrical system to assist with steering. It offers steering support to the driver, enhancing maneuverability and control, especially at low speeds. Additionally, this technology improves fuel efficiency by decreasing the energy needed for steering compared to conventional hydraulic systems.
The electric power steering market comprises various types, namely R-EPS, P-EPS, and C-EPS. R-EPS, a supported unit linked to the steering rack, is proficient in steering mid-sized to full-size trucks, designed for resilience in challenging environmental conditions. Key components include the steering column, sensors, steering gear, mechanical rack and pinion, electronic control unit, electric motor (brush motor or brushless motor), and bearing. These mechanisms, offering both rigidity and collapsibility, find applications across passenger cars and commercial 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 impacting the electric power steering market by increasing the cost of imported electronic control units, torque and position sensors, brushless motors, bearings, and precision steering gears. Passenger car and commercial vehicle manufacturers in North America and Europe are particularly affected due to reliance on imported EPS components, while Asia-Pacific suppliers face pricing pressure on exported steering systems. These tariffs are raising vehicle production costs and slowing EPS integration in cost-sensitive models. However, they are also encouraging localization of EPS manufacturing, regional sourcing of electronics, and innovation in compact and software-driven steering solutions.
The electric power steering market research report is one of a series of new reports from The Business Research Company that provides electric power steering market statistics, including electric power steering industry global market size, regional shares, competitors with a electric power steering market share, detailed electric power steering market segments, market trends and opportunities, and any further data you may need to thrive in the electric power steering industry. This electric power steering 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 electric power steering market size has grown strongly in recent years. It will grow from $30.33 billion in 2025 to $32.37 billion in 2026 at a compound annual growth rate (CAGR) of 6.7%. The growth in the historic period can be attributed to fuel efficiency regulations, passenger vehicle production growth, adoption of power-assisted steering, reduction of hydraulic systems, demand for better maneuverability.
The electric power steering market size is expected to see strong growth in the next few years. It will grow to $42.29 billion in 2030 at a compound annual growth rate (CAGR) of 6.9%. The growth in the forecast period can be attributed to steer-by-wire development, electric vehicle adoption, autonomous driving integration, demand for energy-efficient components, software-defined steering systems. Major trends in the forecast period include shift from hydraulic to electric steering, integration of advanced steering sensors, adoption of brushless motors, demand for lightweight steering systems, increased use in compact vehicles.
The increasing demand for electric vehicles worldwide is expected to propel the growth of the electric power steering market going forward. Electric vehicles (EVs) are powered by motors that draw energy from batteries. Additionally, with heightened focus on post-COVID-19 recovery and global net-zero emission targets, adoption of EVs and hybrid vehicles has accelerated. As electric power steering (EPS) is a key component in EVs, the rise in EV adoption directly increases the demand for EPS systems. For instance, in July 2023, according to the International Energy Agency (IEA), a France-based intergovernmental organization, electric vehicle sales reached 10 million in 2022 and are projected to rise to 14 million in 2023. Therefore, the increasing demand for electric vehicles is driving growth in the electric power steering market.
Major companies in the electric power steering market are focused on developing innovative EPS motor power pack (EPS-PP) products, such as the Column-Type EPS-PP, to serve larger customer bases and increase revenue. A Column-Type EPS-PP is an advanced system designed to optimize steering performance, reduce friction and torque ripple, and support Advanced Driver Assistance Systems (ADAS), all while maintaining cost efficiency. For instance, in June 2023, Nidec Corporation, a Japan-based automotive manufacturer, launched column-type EPS units that deliver smooth steering comparable to rack-type units. Nidec's EPS-PP technology detects and corrects motor and EPS unit friction and torque ripple in real-time, resolving issues related to artificial steering feel. The product also achieves cost savings by using lower-grade materials, such as substituting traditional electromagnetic steel sheets to reduce friction-induced torque losses, while maintaining high performance.
In March 2024, ZF Friedrichshafen AG, a Germany-based automotive company, acquired a majority stake in Rane Steering Systems Private Limited for an undisclosed amount. This acquisition allows ZF to expand its passenger-car and commercial-vehicle electric steering and chassis business in India, accelerate the introduction and localization of advanced steering technologies, and strengthen its presence in a high-growth market. Rane Steering Systems Private Limited is an India-based manufacturer of steering systems, including electric power steering columns and other steering gear components.
Major companies operating in the electric power steering market report include Robert Bosch GmbH, JTEKT Corporation, Nexteer Automotive Group Limited, ZF Friedrichshafen AG, NSK Steering Systems Pvt. Ltd., Mando Corporation, Hyundai Mobis Co Ltd., Showa Corporation, Hitachi Astemo Ltd., Denso Corporation, China Automotive System, KYB Corporation, Thyssenkrupp AG, Delphi Technologies, Tenneco Inc., GKN Driveline Service GmbH, Zhejiang Shibao Company Limited, Jilin Dongfeng Power Co. Ltd., Chongqing Jianshe Automobile Electric Co. Ltd., Hella GmbH & Co. KGaA, Valeo Group, Magna International Inc., Huayu Automotive Systems Co. Ltd., Jiangsu Dajiang Automotive Electric Motor Co. Ltd.
Asia-Pacific was the largest region in the electric power steering market share in 2025 and is expected to be the fastest-growing region in the forecast period. The regions covered in the electric power steering market report include Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
The countries covered in the electric power steering market report include Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain
The electric power steering market consists of sales of hydroelectric steering, electric steering, and steer-by-wire steering. 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.
Electric Power Steering 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 electric power steering 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 electric power steering ? 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 electric power steering 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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