The Traction Motors Market report, unveiled by Future Market Insights—an ESOMAR Certified Market Research and Consulting Firm—presents invaluable insights and meticulous analysis of the Traction Motors market. Encompassing the research's scope and essence, this report scrupulously examines the driving factors, market size, and predictive data for Traction Motors. It furnishes intricate revenue and shipment segmentations, accompanied by a decade-long projection up to 2032. Additionally, the document evaluates key industry players, their market distribution, the competitive scenario, and regional perspectives.
The Traction Motors Market is currently undergoing a significant surge, primarily attributable to the escalating need for eco-friendly transportation modes. With a growing global emphasis on sustainable practices, electric vehicles (EVs) have emerged as a pivotal driving force within the automotive sector. This market's upward trajectory is primarily steered by the robust sales of battery-electric cars (BEVs) and plug-in hybrid electric vehicles (PHEVs).
Projections indicate that the global traction motor market is poised to expand at a Compound Annual Growth Rate (CAGR) of 13.0% between 2022 and 2032, with an expected value surpassing US$ 30 billion by the end of that period. Moreover, global sales are forecasted to achieve an impressive growth rate ranging between 12 to 15%. The burgeoning demand for these high-performance motors has propelled substantial advancements within this sector, which previously encountered limited competition until the advent of groundbreaking technological innovations, rendering some older models obsolete.
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Rising Sales of BEVs and PHEVs Foster Market Growth
The rapid evolution of the global Traction Motors Market can be attributed primarily to the increasing preference for environmentally sustainable transportation solutions. In this context, the significant role played by electric vehicles (EVs) in reshaping the automotive industry toward a more sustainable trajectory cannot be understated. The market's expansion is underpinned by the escalating uptake of battery-electric cars (BEVs) and plug-in hybrid electric vehicles (PHEVs).
Moreover, the introduction of eco-friendly hybrid technology as an alternative fuel source is fostering an upsurge in market demand. Stringent government regulations aimed at curbing vehicular emissions and mitigating environmental pollution, coupled with initiatives to encourage the adoption of electric vehicles, are further amplifying the market's scope. According to the projections outlined by Future Market Insights (FMI) for the period spanning 2022 to 2032, the global Traction Motors Market is anticipated to register a significant compound annual growth rate (CAGR) over the forecast period.
Proliferation of Sustainable Electric Mobility Create Significant Market Opportunities
The automotive industry worldwide is moving towards manufacturing ultra-lightweight, more sustainable vehicles that are innovative and affordable, increasing the global electric traction motor industry share. Governments in countries worldwide have realized the potential of electric vehicles. Resultantly, many of them have initiated new policies and proposals for e-mobility infrastructures.
Such initiatives have helped them meet their goals to address climate change and net-zero carbon targets. Additionally, large-scale uses of hypercars and increasing government initiatives to revolutionize e-mobility influence the market growth. Simultaneously, the government incentive programs to encourage EV manufacturers for increased hybrid electric vehicle production impact market growth positively.
High Manufacturing Cost is a Major Headwind Impeding Market Growth
The high costs of these traction motors are a major factor impeding the market growth. Also, volatility in price and the demand-supply gap in raw materials required for production affect market health. Nevertheless, technological upgrades expected in the recent future would support market growth throughout the assessment period, offering cost-competitive manufacturing techniques.
COVID 19 Impact on the Market
The onset of COVID 19 affected the electric traction motor industry severely. Lockdown mandates implemented to control the virus spread disrupted the supply chain severely, making industry players face various problems, including obtaining raw materials & and components, attracting workers from quarantines required for the production, and delivering end products to the market.
At the same time, the rising demand for healthcare products to treat patients affected with Coronavirus offered substantial opportunities, driving the uptake of electric mobility in the logistic industry. Resultantly, the Traction Motors Market is rapidly returned to normal, witnessing the steadily increasing demand. The market demand is anticipated to pick up further following the uplift of the lockdown in many countries.
The market is segmented into types, power ratings, applications, and regions. The type segment is sub-segmented into AC motors and DC motors. The AC motor segment accounts for the largest market share, witnessing the high demand from electric vehicles and railway sectors.
The power rating segment is sub-segmented into <200 kW, 200 kW to 400 kW, and >400 kW. The application segment is sub-segmented into railways, electric vehicles, elevators, conveyors, industrial machinery, and others. By regions, the market is sub-segmented into Americas, Asia Pacific, Europe, and rest-of-the-world.
Asia Pacific dominates the global Traction Motors Market, mainly due to the rising popularity of alternative fuel vehicles. Besides, growing investment in rolling stock and focus on electric vehicles to reduce carbon emission drive the Traction Motors Market growth. Supportive government plans to improve manufacturing sectors boost the Traction Motors Market size.
Massively increased production and sales of e-vehicles in the region create lucrative growth opportunities. Also, increasing foreign direct investments and heavy investments by key players for advanced product developments are major factors impacting the Traction Motors Market revenue.
To tackle the increased fuel costs, the customers in this region prefer hybrid vehicles. Additionally, advancements in EV technologies and devices used for electric vehicles, alongside increasing government initiatives and stringent policies, and affordable prices of electric vehicles are major driving forces behind the growth of the Traction Motors Market value.
Increased government support for the hybrid electric vehicle industry in the region fosters market growth. Moreover, the underperforming and overburdened public transports system in India and China fosters market growth. China, India, and Japan account for major Traction Motors Market shares in the APAC, resulting in a continual increase in private automobiles.
Key Market Segments Covered in the Traction Motors Industry Research
- Industrial machinery and equipment
- Hybrid vehicles
- Compact construction equipment
- Other (Washing machines, Electric Aircraft, etc.)
- North America
- Latin America
- Western Europe
- Eastern Europe
- Middle East & Africa