Commercial Vehicle Steering Systems Market Forecasts to 2030 – Global Analysis By Type (Electronic Power Steering, Hydraulic Power Steering, Electro-Hydraulic Power Steering and Other Types), Sales Channel (Original Equipment Manufacturer (OEM) and Afterm

Commercial Vehicle Steering Systems Market Forecasts to 2030 – Global Analysis By Type (Electronic Power Steering, Hydraulic Power Steering, Electro-Hydraulic Power Steering and Other Types), Sales Channel (Original Equipment Manufacturer (OEM) and Aftermarket), Application and By Geography

According to Stratistics MRC, the Global Commercial Vehicle Steering Systems Market is accounted for $4.70 billion in 2024 and is expected to reach $7.28 billion by 2030 growing at a CAGR of 7.58% during the forecast period. The steering systems of commercial vehicles are essential for ensuring that trucks, buses, and other heavy-duty vehicles can maneuver safely and effectively. These systems are designed to withstand the heavy load and variety of operating environments that come with commercial vehicles. Moreover, to lessen the effort needed for steering, particularly when maneuvering around tight turns or carrying large loads, they usually use power-assisted systems like hydraulic or electric power steering.

According to the American Trucking Associations (ATA), the trucking industry plays a crucial role in the economy by transporting goods safely and efficiently across the nation, serving as the backbone of commerce and supply chains.

Market Dynamics:

Driver:

Growing worldwide demand for commercial vehicles

The demand for commercial vehicles is rising globally due to the growing need for the transportation of people and goods across a variety of industries, including construction, logistics, and public transportation. Urbanization, the expansion of e-commerce, and the development of infrastructure are some of the factors that drive up demand for trucks, buses, and other commercial vehicles. Additionally, this in turn drives up demand for sophisticated steering systems that guarantee safe and effective operation.

Restraint:

Excessive up-front and ongoing costs

The hefty upfront costs of these technologies are one of the main barriers to the widespread use of sophisticated steering systems in commercial cars. At the time of original vehicle purchase or retrofitting, advanced steering systems like electric power steering (EPS) or steer-by-wire solutions frequently require a sizable financial outlay. Furthermore, fleet operators may incur higher ongoing operating costs if these systems need specialized maintenance and repair procedures.

Opportunity:

Growing interest in autonomous and electric vehicles

Manufacturers of steering systems have a lot of opportunities due to the growing interest in electric and autonomous commercial vehicles. Because of their compatibility with cutting-edge vehicle control systems and potential for increased energy efficiency, steer-by-wire and electric power steering (EPS) technologies are well-suited for integration into electric and autonomous vehicle platforms. Moreover, innovative steering solutions that are suited to the particular needs of these new vehicle segments are becoming more and more in demand as the use of electric and autonomous vehicles grows.

Threat:

Component shortages and supply chain disruptions

The market for steering systems for commercial vehicles is dependent on intricate international supply chains that include a range of parts, raw materials, and production techniques. Production delays and shortages of essential components can result from supply chain disruptions caused by natural disasters, geopolitical conflicts, or unforeseen events like the COVID-19 pandemic. Additionally, the ability of steering system manufacturers to meet customer demand and uphold contractual obligations may be impacted by these disruptions, which may also lengthen lead times, disrupt manufacturing operations, and affect product availability.

Covid-19 Impact:

Due to supply chain disruptions, a decrease in vehicle production, and a decline in demand, the COVID-19 pandemic had a significant effect on the market for commercial vehicle steering systems. Lockdown protocols, travel bans, and financial instability caused a global drop in fleet operations and sales of commercial vehicles, which in turn reduced demand for steering system components. Furthermore, a lack of workers and logistical difficulties forced some manufacturing facilities to temporarily close or reduce production, which disrupted the supply chain and caused delays in the delivery of steering system components.

The Electronic Power Steering segment is expected to be the largest during the forecast period

The Electronic Power Steering (EPS) segment holds the largest market share in the commercial vehicle steering systems market. This market has grown significantly because of its benefits over conventional hydraulic systems. In comparison to hydraulic power steering, electronic power steering (EPS) provides increased fuel efficiency, precise control, and lower maintenance needs. Additionally, EPS systems are a popular option for commercial vehicle manufacturers looking to improve performance and safety because they seamlessly integrate with contemporary vehicle electronics and assistive technologies.

The Light Commercial Vehicles segment is expected to have the highest CAGR during the forecast period

The Commercial Vehicle Steering Systems Market's LCV segment is anticipated to hold the highest CAGR. Numerous factors that are fueling the demand for LCVs worldwide can be blamed for this growth. The need for efficient last-mile delivery solutions, e-commerce growth, and urbanization have driven demand for last-mile delivery vehicles (LCVs), which has in turn increased demand for steering systems designed specifically for these vehicles. Moreover, this rise has also been accelerated by technological developments, such as the incorporation of electronic power steering (EPS) systems in light-duty vehicles.

Region with largest share:

In terms of market share for commercial vehicle steering systems, the Asia-Pacific region is projected to hold the largest share. There are a number of reasons for this dominance, including the quick industrialization and urbanization of nations like China and India, which has raised the need for commercial vehicles in a number of industries, including transportation, construction, and logistics. Additionally, favorable government policies that encourage the expansion of manufacturing sectors and the development of infrastructure also serve to increase demand for commercial vehicles and the related steering systems in the area.

Region with highest CAGR:

North America is the region with the highest CAGR in the commercial vehicle steering systems market. The region is growing because of things like building activity, infrastructure development projects, and the growing demand for commercial vehicles brought on by the thriving e-commerce sector. Furthermore, the need for cutting-edge steering systems in commercial vehicles is being driven by the adoption of cutting-edge technologies like autonomous driving features and electric power steering (EPS). Stricter laws designed to increase vehicle safety and fuel economy are also pushing advanced steering system adoption, which is boosting market expansion.

Key players in the market

Some of the key players in Commercial Vehicle Steering Systems market include Mahindra and Mahindra Ltd, Hitachi Ltd, Nexteer Automotive Corp., ATS Automation Tooling Systems Inc, Robert Bosch GmbH, ZF Friedrichshafen AG, Global Steering Systems LLC, Mitsubishi Electric Corp, Hyundai Mobis Co. Ltd., R. H. Sheppard Co. Inc, China Automotive Systems Inc, Knorr Bremse AG, Unique Metal Products Inc, Mando Corp and Thyssenkrupp AG.

Key Developments:

In June 2024, Hitachi Ltd. and Microsoft Corp. announced a projected multibillion-dollar collaboration over the next three years that will accelerate social innovation with generative AI. Through this strategic alliance, Hitachi will propel growth of the Lumada business, with a planned revenue of 2.65 trillion yen (18.9 billion USD)*1 in FY2024, and will promote operational efficiency and productivity improvements for Hitachi Group’s 270,000 employees.

In February 2024, Mahindra & Mahindra Ltd. (M&M) and Volkswagen Group have signed the first supply agreement on components of Volkswagen´s MEB for Mahindra’s purpose-built electric platform INGLO, taking a definitive step further on their joint vision for e-mobility collaboration. The deal covers the supply of certain electric components as well as unified cells.

In July 2023, ZF Friedrichshafen AG has announced a 50-50 partnership with Hon Hai Technology Group (Foxconn) for passenger car chassis systems, a key move to accelerate and expand automotive and supply chain opportunities with top-tier customers.

Types Covered:
• Electronic Power Steering
• Hydraulic Power Steering
• Electro-Hydraulic Power Steering
• Other Types

Sales Channels Covered:
• Original Equipment Manufacturer (OEM)
• Aftermarket

Applications Covered:
• Light Commercial Vehicles
• Medium Commercial Vehicles
• Heavy Commercial Vehicles
• Other Applications

Regions Covered:
• North America
US
Canada
Mexico
• Europe
Germany
UK
Italy
France
Spain
Rest of Europe
• Asia Pacific
Japan
China
India
Australia
New Zealand
South Korea
Rest of Asia Pacific
• South America
Argentina
Brazil
Chile
Rest of South America
• Middle East & Africa
Saudi Arabia
UAE
Qatar
South Africa
Rest of Middle East & Africa

What our report offers:
- Market share assessments for the regional and country-level segments
- Strategic recommendations for the new entrants
- Covers Market data for the years 2022, 2023, 2024, 2026, and 2030
- Market Trends (Drivers, Constraints, Opportunities, Threats, Challenges, Investment Opportunities, and recommendations)
- Strategic recommendations in key business segments based on the market estimations
- Competitive landscaping mapping the key common trends
- Company profiling with detailed strategies, financials, and recent developments
- Supply chain trends mapping the latest technological advancements