Industrial and Automotive Power Transmission Products Market Forecasts to 2028 – Global Analysis By Product (Gear Drives, Couplings), Application (Automotive, Industrial), End User, and By Geography

Industrial and Automotive Power Transmission Products Market Forecasts to 2028 – Global Analysis By Product (Gear Drives, Couplings), Application (Automotive, Industrial), End User, and By Geography

According to Stratistics MRC, the Global Industrial and Automotive Power Transmission Products Market is accounted for $201,684.61 million in 2021 and is expected to reach $443,081.25 million by 2028 growing at a CAGR of 11.9% during the forecast period. The transmission system provides a smooth and comfortable drive by transmitting the optimal power from the engine to the wheels through the gearbox. In the automatic transmission system, depending upon the electronic system used in the transmission and design of the transmission system, the transmission system can significantly influence the maneuverability and fuel efficiency of the vehicle.

Market Dynamics:

Driver:

Increasing demand for lightweight transmission systems

The increasing government regulations for safety, carbon emission, and lightweight vehicles are forcing original equipment manufacturers to utilize components that will help in an overall weight reduction of the vehicle. There is continuous pressure on OEMs to reduce emission levels of automobiles. Consumers in developed countries are more inclined toward purchasing modern fuel-efficient, eco-friendly cars with reduced emission levels and better performance. Manufacturers are focusing on weight reduction of various parts of the automobile to further reduce the weight of the entire vehicle.

Restraint:

High cost of adoption and frequent maintenance

The latest transmission systems have a higher cost of installation as compared to traditional transmission systems. The high cost of transmission systems is one of the major constraints for the manufacturers to enter the market. This is mainly because of the preference of consumers for cost-effectiveness rather than performance. Higher costs of these systems limited the market in countries, where the initial cost of the vehicle is a priority over comfort or efficiency. Therefore, companies have to work on their R&D to produce these improved transmission systems for a lesser price, for the small car segment.

Opportunity:

Increasing adoption of automatic transmissions and development of hybrid drives

The popularity of automatic cars is on the rise owing to the wide adoption of automated manual transmissions. Better fuel efficiency, worsening traffic conditions, and gradual dispelling of misconceptions about automatic cars have contributed to this trend. Automatic transmission delivers gentle and smooth gear changes, and reduced fuel consumption is delivering additional driving comfort. The increasing number of electric and hybrid vehicles is also likely to occupy a big share of the market. Developments in hybrid automatic transmission technologies to achieve top performances may further drive market share.

Threat:

Reduction in costs for lightweight and efficient transmissions

The dilemma faced by the automotive industry is between technological innovation and cost reduction. Vehicle weight is inversely proportional to the fuel economy of the vehicle. Many original equipment manufacturers are at present focusing on the overall weight reduction of their vehicle models in order to achieve the targets. Huge fluctuations in raw materials prices could make the market less competitive. Lightweight transmission systems proportionately reduce the weight of the automobile which ensures that the vehicle complies with the stringent emission and fuel efficiency norms. However, these weight-reducing alloys and lightweight materials are expensive in nature which further increases the cost of manufacturing lightweight and efficient transmission systems. The challenge, therefore, is to come up with transmissions that are efficient and economical at the same time.

The industrial segment is expected to be the largest during the forecast period

The industrial segment is estimated to have a lucrative growth as starting from conveyor belts to transportation vehicle cargo, the majority of the industrial processes run on power transmission products. With the development in technologies, engineers have modified existing types of machinery with better components such as gear drives, valves, belts, couplings, and other power industrial power transmissions.

The passenger vehicle segment is expected to have the highest CAGR during the forecast period

The passenger vehicle segment is anticipated to witness the fastest CAGR growth during the forecast period owing to the improving economic outlook in the U.S. and many developing markets, such as China and India. Furthermore, advancements in the transmission technology in the passenger cars segment from 4-speed automatic transmissions to 8-speed and 9-speed automatic transmissions have led to enhancements in the overall comfort, driving experience, and fuel efficiency of these vehicles, which, in turn, augments the segment growth.

Region with highest share:

Asia Pacific is projected to hold the largest market share during the forecast period due to increasing exportation-related components worldwide, a rise in demand for commercial vehicles, the presence of several prominent automobile manufacturers, and increasing automotive sales, especially in countries like China, India, Japan, and South Korea. Stringent regulations across the Asia Pacific have encouraged companies to adopt efficient transmission systems.

Region with highest CAGR:

North America is projected to have the highest CAGR over the forecast period owing to the increasing penetration of electrified transmissions because of the increasing focus on hybrid vehicles and their beneficial impact on fuel economy and emissions. Demand for aftermarket transmission systems is considerably high in North America, which is estimated to propel the global automotive transmission market.

Key players in the market

Some of the key players profiled in the Industrial and Automotive Power Transmission Products Market include ZF Friedrichshafen, Timken, ABB, Schaeffler AG, Royal DSM, NXP Semiconductors, BorgWarner Inc, Litens Automotive Group, Eaton Corporation PLC, Continental AG, Bucher Hydraulics, DANA.CN, B & R Machine and Gear Corporation, Aisin Seiki, Nordex, Inc., AB SKF, and Texas Instruments.

Key Developments:

In March 2021, Schaeffler partnered with Flender to launch a new eco-friendly packaging system. Both the companies combined and developed “Smart Box,” a reusable transport box of large bearings. Smart Box offers an innovative solution for climate and environmental protection. The box ensures reduced storage space and improved handling.

In March 2021, Eaton Corporation PLC announced its new aftermarket product for ELocker differential for Toyota Tacoma midsize pickup trucks with manual transmissions. In addition, the company also launched eleven other Elocker differentials in the past year.

Types Covered:
• Mechanical Drive Train
• Hydrostatic Drive Train
• Hydraulic Transmission System

Products Covered:
• Belting & Belt Drives
• Gear Drives
• Couplings
• Pulley
• Hoses
• Chain & Chain Drives
• Bearings

Applications Covered:
• Automotive
• Industrial

End Users Covered:
• Aftermarket
• Original Equipment Manufacturer (OEM)

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 2020, 2021, 2022, 2025, and 2028
- 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

Free Customization Offerings:
All the customers of this report will be entitled to receive one of the following free customization options:
• Company Profiling
Comprehensive profiling of additional market players (up to 3)
SWOT Analysis of key players (up to 3)
• Regional Segmentation
Market estimations, Forecasts and CAGR of any prominent country as per the client's interest (Note: Depends on feasibility check)
• Competitive Benchmarking
Benchmarking of key players based on product portfolio, geographical presence, and strategic alliances