Electric Power Steering Sensors Market Analysis and Forecast to 2031: By Vehicle Type (Passenger Vehicle, Commercial Vehicle), Sensor Type (Speed Sensor, Steering Torque Sensor, Steering Wheel Position Sensor), Distribution Channel (OEM, Aftermarket), and

Electric Power Steering Sensors Market Analysis and Forecast to 2031: By Vehicle Type (Passenger Vehicle, Commercial Vehicle), Sensor Type (Speed Sensor, Steering Torque Sensor, Steering Wheel Position Sensor), Distribution Channel (OEM, Aftermarket), and Region

The global electric power steering sensors market was valued at US$ 14.6 billion in 2021 and it is anticipated to grow up to US$ 27.4 billion by 2031, at a CAGR of 6.4% during the forecast period.


Electric power steering (EPS) sensors are used in the vehicle's power steering system for efficient handling and operation. The EPS system replaces traditional steering systems such as hydraulic power steering and electro-hydraulic systems. The rising importance of self-driving or autonomous vehicles is expected to fuel the market growth of EPS systems, thereby increasing the growth of the EPS sensors. Using an EPS system in a vehicle, which includes an electric power steering pump, a power steering motor, and sensors, helps reduce overall weight, improve fuel efficiency, and extend vehicle life.


An electric motor inside the EPS manages the steering of the vehicle. The EPS manages and supports vehicle steering with an electric motor, offering the driver a satisfying and ideal steering experience. The latest generation of control units also offers security in the event of an accident.

Market Drivers and Trends

The EPS used in cars has components such as motor, sensor, and steering column. Compared to Hydraulic Power Steering (HPS), the EPS uses an electric motor to assist the driver in steering the car rather than drawing power from the engine to run a hydraulic system to steer the car. Thus, reducing stress on the engine increases the fuel efficiency of an engine. An increase in fuel prices is leading to a rise in the sale of fuel-efficient cars. Thus, it is further expected to drive the Electric Power Steering (EPS) sensor market demand.


The EPS sensor continuously monitors the driver's behavior on steering movement, road condition, speed, and tire movement. The advanced driver assisted systems (ADAS) play an important role in avoiding accidents caused by human error. The ADAS controls various car elements such as pedestrian detection/avoidance, lane departure warning/correction, traffic sign recognition, automatic emergency braking, and blind spot detection. During the high speed of the vehicle, various factors such as slippery roads or sudden braking can cause an imbalance. With the help of ADAS such as EPS, ABS, and steering wheel, more than 80% of skidding accidents can be avoided using sensor data about the road condition and vehicle speed. This factor is expected to drive the market share.

Market Restraints and Challenges

The electric motor mounted on the steering column may lead to electric power steering failure due to excessive heat. The infiltration of dirt, water, or any contaminants in the system is also likely to cause the failure of the circuit or improper working of moving parts. The sensor's failure due to heat or other factors will cause the improper performance of the sensor to measure the torque and other factors. The system's failure causes issues such as heavy or rock-hard steering and the inability to steer or move the direction of the wheel. Such arising issues are expected to hamper the electric power steering sensors market growth.

Global Electric Power Steering Sensors Market Segmental Overview

The report analyses the global electric power steering sensors market based on vehicle type, sensor type, distribution channel, and region.

Global Electric Power Steering Sensors Market by Vehicle Type

Based on vehicle type, it is bifurcated into passenger vehicle and commercial vehicle. The passenger vehicle segment is expected to have the largest electric power steering sensors market share in 2021. Most of the passenger vehicles are cars and sports utility vehicles. The rising popularity of passenger cars as a primary mode of transportation worldwide is expected to support revenue growth of the passenger vehicles sub-segment. Currently, most passenger vehicles globally are equipped with EPS technology, which is expected to be used in low-cost passenger vehicles. As a result of these developments, the passenger vehicle sub-segment is predicted to grow significantly in the coming years. Thus, the passenger vehicle segment will likely hold a major market share in 2021.

Global Electric Power Steering Sensors Market by Sensor Type

Based on sensor type, it is segmented into speed sensor, steering torque sensor, and steering wheel position sensor. The steering torque sensor segment is expected to dominate the market during the forecast period. The technological innovation in the steering torque sensor such as magneto strictive sensor, magnetoelastic sensor, optical torque sensor, and non-contact torque sensor such as hall sensor is expected to increase the efficiency of EPS. Their high precision, high linearity, and reduced electromagnetic noise have led to the use of the such sensor in the EPS system in this modern era. Due to the abovementioned factors, the steering torque sensor segment are expected to dominate the market during the forecast period.

Global Electric Power Steering Sensors Market by Distribution Channel

Based on distribution channel, it is bifurcated into OEM and aftermarket. The OEM segment is expected to be the largest segment in the electric power steering sensors market in 2021. Increasing demand for cars globally and rising demand for safety are key factors increasing the implementation of EPS sensors as the steering system is an essential part of cars. The automotive industry predicts the rapid adoption of EPS sensors to manufacture more fuel-efficient cars. Thus, these trends are driving EPS sensor market growth. Thus, the OEM segment will likely hold a major market share in 2021.

Geographical Analysis of Global Electric Power Steering Sensors Market

Region-wise, it is studied across North America, Europe, Asia Pacific, and the Rest of the World. The Asia Pacific market is expected to hold the majority of the market share in 2021. China is the world’s largest automotive manufacturer, followed by Japan and India. To reduce greenhouse emissions, many countries are shifting towards electronic vehicles. Several electronic cars use an electric power steering system as they do not have an engine to implement hydraulic power steering. The Indian Government has been implementing policies such as FAME which has been giving incentives and subsidies on electric vehicles, which is projected to boost demand for electric vehicles in India. This, in turn, boosts the demand for electric power steering sensors in the Asia Pacific region.

Major Players in the Global Electric Power Steering Sensors Market COVID-19 Impact

In 2020, the spread of the COVID-19 pandemic had negatively impacted the global electric power steering sensors market. Due to the unstable environment created by the COVID-19 pandemic and lack of resources, vehicle manufacturing globally fell compared to the previous year, 2019. Further, shortages in semiconductors caused by supply chain disruption harmed the market in various sectors. The semiconductor shortages led to disruption in automobile production as semiconductors are used in the various components of the automobile. For instance, the semiconductor used in EPS sensor monitors, interprets, and controls the steering mechanism for better vehicle performance.


However, in 2021 and 2022, the production of automobiles increases globally. Similarly, the manufacturing of electric power steering sensors rises as per increased vehicle demand. Both these factors have led to positive market growth.

Recent Developments

• June 2022, Infineon Technologies AG announced its plans to showcase smart sensing applications that make life easier, safer, and greener at Sensors Converge 2022. The company will present solutions based on the XENSIV sensor portfolio highlighting Infineon’s in-depth system understanding and partnerships serving consumer and industrial markets.
• June 2022, Innovative car cockpits, seamless connectivity with new services, and improved passive safety: 3D depth sensors play a key role in monitoring systems in the vehicle cabin. They are essential to meet regulations and NCAP ratings and realize the driver's vision of becoming a passenger. Infineon Technologies AG, in collaboration with 3D time-of-flight system specialist pmdtechnologies ag, has developed the second generation of the REAL3 automotive image sensor compliant high-resolution 3D image sensor.

Frequently Asked Questions
Q1. How big is the electric power steering sensors market?Ans. The global electric power steering sensors market size was US$ 14.6 billion in 2021 and is anticipated to reach US$ 27.4 billion in 2031, growing at a rate of 6.4% from 2022 to 2031.
Q2. What is the electric power steering sensors market growth rate?Ans. The growth rate of the electric power steering sensors market is 6.4% from 2022 to 2031.
Q3. Which Ans. Asia Pacific holds a major market share of the electric power steering sensors market in 2021.
Q4. Which segment accounted for the largest electric power steering sensors market share?Ans. Based on vehicle type, it is bifurcated into passenger vehicle and commercial vehicle. The passenger vehicle segment is expected to have the largest electric power steering sensors market share in 2021.
Q5. Who are the key players in the electric power steering sensors market?Ans. The global electric power steering sensors market report includes players such as
Q6. What are the factors driving the electric power steering sensors market growth?Ans. The major factors driving the growth of the market are reduced stress on the engine and increase in fuel efficiency due to electric power steering sensor.
Q7. What are the key growth strategies of electric power steering sensors market players?Ans. The key growth strategies of electric power steering sensors market players are product launch, partnerships, and government initiatives.
Q8. Which Ans. The Asia Pacific region will provide more business opportunities for the electric power steering sensors market during the forecast period.

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