Europe Electric Power Steering Industry Market Dynamics: Drivers and Barriers to Growth 2025-2033

Key Insights

The European electric power steering (EPS) market is experiencing robust growth, driven by increasing demand for enhanced fuel efficiency, improved safety features, and the rising adoption of advanced driver-assistance systems (ADAS) in passenger cars and light commercial vehicles (LCVs). The market, valued at approximately €[Estimate based on Market Size XX and Value Unit Million - let's assume €10 Billion in 2025 for example purposes] in 2025, is projected to exhibit a compound annual growth rate (CAGR) of 3.90% through 2033. This growth is fueled by several key factors. Stringent emission regulations across Europe are pushing automakers to adopt fuel-efficient technologies like EPS, which reduces engine load and improves overall vehicle performance. Furthermore, the escalating demand for advanced safety features, such as lane-keeping assist and adaptive cruise control, which heavily rely on precise steering control offered by EPS, is significantly contributing to market expansion. The increasing integration of electric and hybrid vehicles further bolsters the demand for EPS systems, as they are crucial components for these vehicle types. The market is segmented by type (column, pinion, dual pinion), component (steering wheel/column, sensors, steering motor, other components), and vehicle type (passenger cars, LCVs, heavy vehicles). Passenger cars currently dominate the market share, but the LCV segment is expected to witness substantial growth due to increasing commercial vehicle production. Germany, France, and the UK represent the largest national markets within Europe, reflecting the high concentration of automotive manufacturing and a strong consumer base for advanced vehicle features.

Competition within the European EPS market is fierce, with major players including JTEKT, Hyundai Mobis, TRW Automotive (now part of ZF), Infineon Technologies, GKN, NSK, Hitachi Automotive Systems, Mitsubishi Electric, Mando, Nexteer Automotive, Bosch, ATS Automation, Delphi (now part of Aptiv), Thyssenkrupp Presta, and ZF Friedrichshafen. These companies are constantly investing in research and development to enhance EPS technology, focusing on areas such as improved energy efficiency, enhanced responsiveness, and the integration of advanced driver-assistance functionalities. The ongoing trend toward autonomous driving technologies will further propel the demand for sophisticated EPS systems that can seamlessly integrate with autonomous driving capabilities. While the industry faces challenges such as the high initial investment cost associated with adopting new technologies and potential supply chain disruptions, the long-term outlook for the European EPS market remains exceptionally positive, driven by the aforementioned factors.

Europe Electric Power Steering Industry: A Comprehensive Market Report (2019-2033)

This comprehensive report provides an in-depth analysis of the Europe Electric Power Steering (EPS) industry, encompassing market dynamics, growth trends, regional performance, product landscape, and future outlook. The report covers the period 2019-2033, with a focus on the base year 2025 and forecast period 2025-2033. The analysis considers key market segments including passenger cars, light commercial vehicles (LCVs), and heavy vehicles, and component types such as steering wheels/columns, sensors, steering motors, and other components. The report also examines various EPS types like column type, pinion type, and dual pinion type. This report is crucial for industry professionals, investors, and anyone seeking a detailed understanding of this rapidly evolving market. The total market size is predicted to reach xx Million units by 2033.

Europe Electric Power Steering Industry Market Dynamics & Structure

The European EPS market is characterized by a moderately concentrated structure, with several major players holding significant market share. Technological innovation, driven by advancements in electric vehicles (EVs) and autonomous driving systems, is a key growth driver. Stringent emission regulations and safety standards within the European Union further propel the adoption of EPS. However, high initial investment costs and the availability of alternative steering systems represent challenges. Mergers and acquisitions (M&A) activity has been moderate, with strategic partnerships playing a more significant role in market consolidation.

• Market Concentration: The top 5 players hold approximately xx% of the market share in 2025.
• Technological Innovation: Advancements in sensor technology, motor efficiency, and control algorithms are driving market growth.
• Regulatory Framework: EU regulations on fuel efficiency and safety standards are catalysts for EPS adoption.
• Competitive Substitutes: Hydraulic power steering (HPS) remains a competitor, albeit with diminishing market share.
• End-User Demographics: The shift towards EVs and autonomous vehicles is a major driver of demand for EPS.
• M&A Trends: Strategic partnerships are more prevalent than large-scale acquisitions, fostering technological collaboration. The total volume of M&A deals between 2019 and 2024 was approximately xx deals.

Europe Electric Power Steering Industry Growth Trends & Insights

The European EPS market has experienced substantial growth over the historical period (2019-2024), primarily driven by the increasing demand for passenger cars and commercial vehicles equipped with advanced driver-assistance systems (ADAS). The adoption rate of EPS in new vehicles has steadily increased, reaching xx% in 2024. Technological disruptions, such as the introduction of more efficient electric motors and advanced control systems, have further accelerated market growth. Consumer preferences are shifting towards vehicles with enhanced safety features and improved fuel efficiency, further boosting demand for EPS. The Compound Annual Growth Rate (CAGR) during the forecast period (2025-2033) is projected at xx%. Market penetration is expected to reach xx% by 2033.

Dominant Regions, Countries, or Segments in Europe Electric Power Steering Industry

Germany, France, and the UK are the leading countries in the European EPS market, driven by robust automotive manufacturing sectors and high adoption rates of advanced automotive technologies. The passenger car segment dominates the market, owing to the high volume of passenger vehicle production and increasing demand for vehicles with enhanced safety features. Within component types, the steering wheel/column segment holds the largest market share, while the sensors segment is experiencing the fastest growth due to increasing demand for advanced driver-assistance systems (ADAS). The column type EPS segment currently holds the largest market share but the dual pinion type is expected to witness significant growth due to its application in advanced vehicles.

• Key Drivers:
  • Germany: Strong automotive industry, high R&D investments, government support for electric vehicle adoption.
  • France: Growing demand for EVs and autonomous vehicles.
  • UK: Significant investments in automotive technology and infrastructure.
  • Passenger Car Segment: High volume production and consumer demand for advanced safety features.
  • Steering Wheel/Column Segment: Essential component in EPS systems, high demand from OEMs.
  • Sensors Segment: Rapid growth driven by increasing adoption of ADAS.

Europe Electric Power Steering Industry Product Landscape

The EPS market is characterized by a wide range of products with varying levels of sophistication and features. Innovations focus on improving energy efficiency, enhancing steering feel and responsiveness, and integrating advanced functionalities like torque vectoring and haptic feedback. Unique selling propositions (USPs) include improved fuel economy, enhanced safety, and seamless integration with ADAS systems. Recent technological advancements include the integration of advanced sensors, more efficient electric motors, and sophisticated control algorithms leading to more precise and responsive steering systems.

Key Drivers, Barriers & Challenges in Europe Electric Power Steering Industry

Key Drivers:

The increasing demand for electric vehicles and the stringent emission regulations imposed by the European Union are the primary drivers of EPS market growth. Advancements in technology, leading to improved efficiency and performance, also contribute significantly. Government incentives and subsidies for electric vehicles also play a crucial role.

Key Barriers and Challenges:

High initial costs associated with EPS technology pose a significant barrier, particularly for smaller automotive manufacturers. Supply chain disruptions, exacerbated by global geopolitical events, pose challenges in procuring essential components. Competition from established players and the emergence of new entrants can lead to price pressures, impacting profitability.

Emerging Opportunities in Europe Electric Power Steering Industry

The increasing adoption of autonomous driving technologies presents a significant opportunity for EPS manufacturers. Demand for advanced features, such as haptic feedback and torque vectoring, is creating new market segments. Expansion into emerging markets within Europe and increasing penetration into the commercial vehicle sector provide further growth opportunities.

Growth Accelerators in the Europe Electric Power Steering Industry Industry

Technological breakthroughs in electric motor technology and sensor technology are accelerating market growth. Strategic partnerships between EPS manufacturers and automotive OEMs are streamlining product development and integration. Expanding into new geographical regions and tapping into the burgeoning market for autonomous driving technologies are also accelerating the market's expansion.

Key Players Shaping the Europe Electric Power Steering Industry Market

• JTEKT Corporation
• Hyundai Mobis Co Ltd
• TRW Automotive
• Infineon Technologies
• GKN PLC
• NSK Ltd
• Hitachi Automotive Systems
• Mitsubishi Electric Corporation
• Mando Corporation
• Nexteer Automotive
• Robert Bosch GmbH
• ATS Automation Tooling Systems Inc
• Delphi Automotive Systems
• Thyssenkrupp Presta AG
• Hafei Industrial Group Automobile Redirector Obligate Co Ltd
• ZF Friedrichshafen AG

Notable Milestones in Europe Electric Power Steering Industry Sector

• September 2022: Knorr-Bremse AG showcased its all-electric EPS steering system at IAA Transportation.
• May 2023: Infineon Technologies AG introduced the OptiMOS 7 40V MOSFET family, ideal for electric power steering applications.
• May 2023: ZF Friedrichshafen AG debuted its AxTrax 2 electric axle platform, including EPS fully electric steering, at ACT Expo 2023. European series production is slated for late 2024.
• June 2023: Bosch highlighted its steering systems at the Shanghai International Carbon Neutrality Expo 2023, demonstrating commitment to sustainable mobility solutions.

In-Depth Europe Electric Power Steering Industry Market Outlook

The future of the European EPS market is bright, driven by the continued growth of the electric vehicle market and the increasing adoption of advanced driver-assistance systems. Strategic partnerships and technological advancements will further accelerate market growth. The market is expected to witness significant expansion in the coming years, with opportunities for both established players and new entrants. Focus on developing energy-efficient and cost-effective EPS systems will be crucial for success.

Europe Electric Power Steering Industry Segmentation

• 1. Type
  • 1.1. Column Type
  • 1.2. Pinion Type
  • 1.3. Dual Pinion Type
• 2. Component Type
  • 2.1. Steering Wheel/Column
  • 2.2. Sensors
  • 2.3. Steering Motor
  • 2.4. Other Component Types
• 3. Vehicle Type
  • 3.1. Passenger Cars
  • 3.2. LCV
  • 3.3. Heavy Vehicles

Europe Electric Power Steering Industry Segmentation By Geography

• 1. Europe
  • 1.1. United Kingdom
  • 1.2. France
  • 1.3. Germany
  • 1.4. Italy
  • 1.5. Russia
  • 1.6. Rest of Europe