Global Electric Vehicle (EV) Traction Motor Market Size Report, 2025 (Includes Business Impact of COVID-19)

                                          
Industry Insights, Market Size, CAGR, High-Level Analysis: Global Electric Vehicle (EV) Traction Motor Market


The global electric vehicle traction motor market size was valued at USD 1.98 billion in 2018 and is anticipated to expand at a CAGR of 41.6% from 2019 to 2025. Increasing investments in Electric Vehicle (EVs) along with growing demand for energy-efficient motors are some of the major growth drivers. EV traction motor has low power consumption and high efficiency owing to which it is witnessing an increased demand for EVs. Furthermore, stringent environmental regulation and emission norms to safeguard environmental sustainability are driving the demand for EVs, thereby creating favorable grounds for the market growth.

Growing inclination of general population toward emission-free vehicles has led to increased sales of Hybrid Electric Vehicles (HEVs) across the globe. Electric vehicle traction motor forms an integral part of EVs along with HEVs. Hence, rising production of HEVs is expected to impact the market positively. Moreover, the government is undertaking several initiatives, such as tax subsidies and discounts to boost the sales of EVs, which consequently is driving the EV traction motor market.

Traction motor is installed in fully hybrid and Battery Electric Vehicles (BEVs). The BEVs and HEVs have been rapidly gaining traction in the global automobile market by providing near-zero emissions and high fuel efficiency at increasingly reasonable prices. Many automobile OEMs across the globe are in R&D phase for the development of new HEV and EV designs. One of the challenges in designing traction motors is their failure due to overheating. Also, minimizing electrical and magnetic losses is critically important to deliver maximum range and fuel efficiency to consumers. Moreover, during the installation, engineers need to consider structural, thermal, and electromagnetic issues that play a crucial role in vehicle performance, reliability, and cost.

Electric vehicle traction motors generally offer quieter operation and faster acceleration as compared to conventional motors. Further, the EV traction does not require multi-speed gearbox like conventional vehicles because the electric motor has a more favorable torque-speed relation that can provide highest torque even at lowest speed as compared to that of reciprocating engines. Furthermore, technological advancements in areas, such as nanotechnology and material science are focused on reducing cost and weight and improving life and operation of traction motors, thus making the EVs more affordable.
Vehicle


Type Insights of Global Electric Vehicle (EV) Traction Motor Market

A battery electric vehicle is the fully electric powered vehicle that uses chemical energy stored in rechargeable battery packs. Battery electric vehicle uses motor controllers and electric motors instead of conventional IC engines for propulsion. The BEV segment is expected to dominate the electric vehicle traction motor market over the forecast period, owing to positive shift in customer perception toward zero emission vehicle.

Technological advancements, such as long-range batteries with fast charging capabilities are expected to drive the growth of the BEV segment. The market is moving toward higher battery capacity of over 60kWh to increase the range of EVs to up to 200 miles on a single charge. The increased battery capacity is expected to have a cascading effect on demand for battery electric vehicle which will impact the electric vehicle traction motor market positively.Additionally, greater government interventions also play a crucial role in influencing customers to buy BEV.

Regional Insights of Global Electric Vehicle (EV) Traction Motor Market

Asia Pacific emerged as the largest market for EV traction motor in 2018 and is anticipated to witness fastest growth over the forecast period. This is ascribed to the development of manufacturing facilities by industry leaders in the region. China has been observed to commence operations of the largest production facilities on account of easy availability of raw materials and labor in the country. The Chinese government spent more than $50 billion for establishing electric car and component manufacturing plant in the last decade. The Chinese government has also reduced the licenses available for conventional vehicles to boost the demand for EVs.

North America is expected to witness substantial CAGR of over 35% over the forecast period. It is also a prominent region in terms of sales of EV traction motors. Higher share of the region can be attributed to the presence of established electric vehicle manufacturers. Europe, on the other hand, held over 20% of the market share in 2018. Ascending demand for BEVs is expected to boost the regional market growth over the forecast period.
Electric Vehicle Traction Motor Market Share Insights

Prominent market players include ABB Limited, Parker-Hannifin Corp., SKF AB, ZF TRW Automotive Holdings Corporation, Robert Bosch GMBH, andNidec Corporation. These players are focusing on forming long-term agreements and strategic alliances with other manufacturers as well as OEMs to eliminate the risks and increased costs associated with the development of traction motors. Other companies include YASA Motors Ltd., Zytek Group Limited., Hitachi, Ltd., and Avid Technology Limited. The EV traction motor market participants are also involved in R&D of light weight motors with higher efficiency to decrease the overall weight of the EV.

Acquisition and partnerships are the key strategies undertaken by companies to expand their geographic presence in prominent markets. For instance, in January 2018, Nidec Corporation partnered with PSA Groupe. The partnership enabled the former company to undertake designing and production of electric vehicle traction motors in France.

Segmentations, Sub Segmentations, CAGR, & High-Level Analysis overview of Global Electric Vehicle (EV) Traction Motor Market Research Report

This report forecasts revenue growth at the global, regional, and country levels and provides an analysis of the latest industry trends from 2014 to 2025 for each of the sub-segments. For the purpose of this study, this market research report has segmented the global electric vehicle traction motor market report on the basis of vehicle type and region:

Vehicle Type Outlook (Revenue, USD Million, 2019 - 2030)

  
BEV
  
PHEV