Electric Power Steering Market Report 2026

Electric Power Steering Market Overview

• Electric Power Steering market size has reached to $30.33 billion in 2025 • Expected to grow to $42.29 billion in 2030 at a compound annual growth rate (CAGR) of 6.9% • Growth Driver: The Surge In Electric Vehicle Demand Fuels Growth In The Electric Power Steering Market • Market Trend: Column-Type EPS-PP Revolutionizes Electric Power Steering Market With Enhanced Performance And Cost Efficiency • Asia-Pacific was the largest region and fastest growing region.

What Is Covered Under Electric Power Steering Market?

Electric power steering refers to a mechanical system that uses an electric motor to draw energy from the vehicle's electric system to assist the steering wheel. It is used to provide steering assistance to the driver of a vehicle. This technology enhances maneuverability and control, particularly at low speeds, while also improving fuel efficiency by reducing the energy required for steering compared to traditional hydraulic systems. The main types of electric power steering market are R-EPS, P-EPS and C-EPS. R-EPS is an assisted unit that connects to the steering rack and these units are capable of steering mid-sized vehicles to full-size trucks and are designed to withstand high environmental exposure and temperature. The various components involve the steering column, sensors, steering gear, mechanical rack and pinion, electronic control unit, electric motor and bearing, which involve electric motor of various types such as brush motor and a brushless motor. The mechanisms are rigid and collapsible that is used in various applications such as passenger cars and commercial vehicles.

What Is The Electric Power Steering Market Growth Forecast?

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.

What Is The Driver Of The Electric Power Steering Market?

The increasing demand for electric vehicles across the world is expected to propel the growth of the electric power steering market going forward. Electric vehicles are vehicles that consist of a motor that is powered by electricity stored in batteries. Additionally, with defense against COVID-19 and aspirations to achieve net-zero emissions, EVs and hybrid vehicles are suddenly adopted. With electric power steering being the primary component in electric vehicles, an increase in electric vehicles necessitates more electric power steering, which raises demand for the electric power steering market. For instance, in July 2023, according to the International Energy Agency, a France-based intergovernmental organization, sales of electric vehicles were 10 million in 2022, and there will be an increase to 14 million sales of electric vehicles in 2023. Therefore, the increasing demand for electric vehicles is driving the growth of the electric power steering industry.

Key Players In The Global Electric Power Steering Market

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.

Global Electric Power Steering Market Trends and Insights

Major companies operating in the electric power steering market are focused on developing innovative electric power steering motor power pack (EPS-PP) products, such as the Column-Type EPS-PP, to meet larger customer bases and increase revenue. A Column-Type Electric Power Steering Motor Power Pack (EPS-PP) refers to an advanced system that specifically addresses the steering requirements of electric power steering units, ensuring smooth steering performance while emphasizing cost efficiency and reducing friction and torque ripple, particularly in the context of Advanced Driver Assistance Systems (ADAS). For instance, in June 2023, Nidec Corporation, a Japan-based automotive product manufacturing company, introduced column-type EPS units to deliver smooth steering equivalent to rack-type units, all while meeting market expectations for cost reduction. Nidec's EPS-PP not only detects but also corrects motor and EPS unit friction and torque ripple in real-time, effectively resolving concerns related to artificial steering sensations. This achievement allows Nidec to optimize cost-efficiency in addressing these issues and reduce costs while maintaining the power pack's high performance. Additionally, the new product facilitates cost savings on motor materials by utilizing lower-grade alternatives, such as replacing traditional electromagnetic steel sheets to mitigate friction-induced loss torque.

What Are Latest Mergers And Acquisitions In The Electric Power Steering Market?

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. With this acquisition, ZF aims to expand its passenger-car and commercial-vehicle electric steering and chassis business in India, accelerate product 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 (EPS) columns and other steering gear components.

What Defines the Electric Power Steering Market?

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.

How is Market Value Defined and Measured?

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.

What Key Data and Analysis Are Included in the Electric Power Steering Market Report 2026?

The electric power steering market research report is one of a series of new reports from The Business Research Company that provides market statistics, including industry global market size, regional shares, competitors with the market share, detailed market segments, market trends and opportunities, and any further data you may need to thrive in the electric power steering industry. The market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future state of the industry.