The global automotive transmission gears market is estimated to be valued at US$ 59,375.2 Mn in 2022 and is expected to exhibit a CAGR of 8.3% over the forecast period of 2023-2030, according to a new report published by Coherent Market Insights. Automotive transmission gears are a vital component of automotive powertrain systems, responsible for transmitting torque from the engine to the wheels. These gears are crucial for ensuring smooth and efficient performance of the vehicle. The growing demand for improved fuel efficiency and enhanced driving experience is driving the market growth. Additionally, the increasing sales of vehicles worldwide, especially in developing economies, are further bolstering the demand for automotive transmission gears.
Market Key Trends:
One key trend in the automotive transmission gears market is the shift towards electric and hybrid vehicles. With the increasing focus on reducing greenhouse gas emissions and promoting sustainable transportation, there has been a rapid adoption of electric and hybrid vehicles. These vehicles require a different type of transmission system, which includes electric gears or power electronics. This trend is driving the demand for electric vehicle transmission gears and creating new growth opportunities for market players. Moreover, advancements in battery technology and charging infrastructure are expected to further boost the adoption of electric vehicles, thereby positively impacting the automotive transmission gears market.
In terms of type, the gearbox segment dominates the market and is expected to continue its dominance over the forecast period. This can be attributed to the widespread use of gearbox systems in various vehicles, including passenger cars, commercial vehicles, and off-highway vehicles. Gearboxes play a crucial role in transmitting power from the engine to the wheels, ensuring smooth and efficient operation of the vehicle. Moreover, advancements in transmission technologies, such as the introduction of automated manual transmission (AMT) systems, are further driving the demand for gearbox systems.
Based on material, the steel segment dominates the market due to its high strength, durability, and cost-effectiveness. Steel transmission gears are widely used in automotive applications, as they can withstand heavy loads and provide reliable performance. However, with the increasing focus on lightweight and fuel-efficient vehicles, the demand for alternative materials, such as aluminum and composites, is expected to witness significant growth in the coming years.
In terms of vehicle type, the passenger cars segment holds the largest market share. This can be attributed to the growing demand for passenger cars globally, especially in emerging economies. Rising disposable incomes, changing consumer preferences, and favorable government policies promoting automotive manufacturing are driving the growth of the passenger car segment. Additionally, increasing investments in electric and hybrid vehicles are expected to further boost the demand for transmission gears in the passenger car segment.
The global automotive transmission gears market is expected to witness high growth, exhibiting a CAGR of 8.3% over the forecast period (2023-2030). This growth can be attributed to several factors. Firstly, the increasing production and sales of vehicles worldwide, driven by rising urbanization, improving living standards, and the growth of the automotive industry, are fueling the demand for transmission gears. Additionally, growing investments in research and development activities to develop advanced transmission systems, such as dual-clutch transmission (DCT) and continuously variable transmission (CVT) systems, are expected to drive market growth.
In terms of regional analysis, Asia Pacific dominates the automotive transmission gears market and is expected to maintain its dominance over the forecast period. This can be attributed to the presence of major automotive manufacturing hubs, such as China, India, Japan, and South Korea, in the region. These countries have witnessed significant investments in automotive production facilities and infrastructure development, leading to increased demand for transmission gears. Moreover, the rising population, growing disposable incomes, and rapid urbanization in Asia Pacific are driving the demand for vehicles, further propelling the growth of the market in this region.
Key players operating in the automotive transmission gears market include American Axle & Manufacturing Holdings Inc., AmTech International, Bharat Gears Ltd, Cone Drive, Dynamatic Technologies Limited, Franz Morat Holding GmbH & Co. KG, Gleason Corporation, IMS Gear SE & Co. KGaA, Robert Bosch GmbH, R