Automotive Drive Shaft Market Size
| Study Period: | 2018 - 2028 |
| Fastest Growing Market: | Asia-Pacific |
| Largest Market: | Asia-Pacific |
| CAGR: | 4.93 % |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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Automotive Drive Shaft Market Analysis
The automotive driveshaft market was valued at USD 31.19 billion in 2021, and it is expected to reach USD 41.62 billion by 2027, registering a CAGR of 4.93% during the forecast period (2022 – 2027).
The outbreak of COVID-19 impacted the whole supply chain for the market, as the demand-side (i.e., OEMs) plants were shut down. However, with the gradual opening of the economies, the demand is returning to the market.
Rising concern for fuel efficiency, the implementation of stringent regulations by the international emission control authorities, and the development of drive shafts by manufacturers without compromising on their performance and rigidness are the major factors driving the automotive drive shaft market.
Moreover, as the demand for electric vehicles is growing, vehicle manufacturers are putting all their efforts in manufacturing the most efficient electric vehicles, and the driveshaft manufacturers are updating their product list to supply the best products to the OEMs to gain the market share. Trends, such as the increasing sales of all-wheel-drive vehicles, growing sales of SUVs, and the increasing demand for lightweight components, are expected to drive the automotive driveshaft market in the coming years.
The automotive drive shaft market in Asia-Pacific is expected to hold the largest market share and is expected to register the highest growth rate in the global drive shaft market. Asia-Pacific is characterized by the presence of emerging economies and accounts for a share of global vehicle sales, which is expected to continue over the forecast period.
Countries, such as China, the United States, and Norway, are continuing to see stronger demand for electric vehicles. Automakers are planning to launch more electric vehicle models in the coming years. The majority of the present and upcoming electric vehicle models are all-wheel drives (AWD) or rear-wheel drives (RWD), which will generate the demand for lightweight driveshafts during the forecast period.
Automotive Drive Shaft Industry Segmentation
An automotive drive shaft or propeller shaft transfers the power produced by the engine from the transmission to the rear axle or front axle. The application of extruded aluminum in drive shafts has been the most notable for rear-wheel or all-wheel drive vehicles, both for the tubes and the Cardan links.
The automotive drive shaft market report covers details about the latest trends, developments, and advancements in the market. The scope of the report covers segmentation by design type, position type, vehicle type, and geography.
By design type, the market is segmented into hollow shaft and solid shaft. By position type, the market is segmented into rear axle and front axle. By Vehicle Type, the market is segmented into passenger cars and commercial vehicles.
By geography, the market is segmented into North America, Europe, Asia-Pacific, and Rest of the world. For each segment, the market size and forecast have been done on the basis of value (in USD billion).
| By Design Type | |
| Hollow Shaft | |
| Solid Shaft |
| By Position Type | |
| Rear Axle | |
| Front Axle |
| By Vehicle Type | |
| Passenger Cars | |
| Commercial Vehicles |
| By Geography | |||||||
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Automotive Drive Shaft Market Trends
This section covers the major market trends shaping the Automotive Drive Shaft Market according to our research experts:
Increasing Demand for Electric Vehicles to Drive Growth of the Market
At the global level, the sales of electric vehicles have been growing positively over the past three years. The global sales of EVs in 2020 increased by 39% Y-o-Y to 3.1 million units, whereas the total passenger car market declined by 14%.
In 2020, many European countries witnessed double-digit growth in EV sales. The European region captured around 43% of global electric car sales in 2020 compared to 26% in 2019. The overall plug-in vehicle sales reached about 3.24 million units compared to 2.26 million in 2019. This spike in sales is mainly due to an increase in regulatory norms by various organizations and governments to control emission levels and propagate zero-emissions vehicles.
China is leading the electric vehicle market. The sales of electric vehicles in China are growing at a rapid pace. Approximately 1.3 million new energy vehicles were sold in 2020, which represents 41% of the global EV sales, just behind Europe, of global EV sales. China is still far ahead of the United States in EV share. In the United States, EV sales represented just 2.4% of sales in 2020.
As the demand for electric vehicles is growing, vehicle manufacturers are putting all their efforts into manufacturing the most efficient electric vehicles. Moreover, driveshaft manufacturers are updating their product list to supply the best products to the OEMs to gain market share.
- In February 2021, Volta Trucks, the full-electric commercial vehicle manufacturer, confirmed the appointment of Meritor as the strategic drivetrain component supplier for Volta Zero. This major purchasing milestone will support the delivery of Volta Zero vehicles for customer trials during 2021 and the start of series production around 12 months later.
- In March 2021, Nexteer Automotive, a leader in intuitive motion control, made an announcement that it continues expanding its Driveline portfolio with new Halfshaft technologies that are tailored to meet the unique demands of electric vehicles (EVs). Nexteer’s Halfshaft technologies solve EV challenges by enhancing durability and efficiency while optimizing noise, vibration, and harshness (NVH) performance and low mass.
These trends are likely to drive the demand for lightweight and high-performance driveshafts, as they are indispensable automobile parts for conventional IC engine vehicles and hybrid and electric vehicles.
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The Asia-Pacific Region is Expected to Hold a Significant Share in the Market
The demand for automobiles in the region is growing at a high rate, as the region has big developing nations, like China and India, where the demand for both passenger cars and commercial vehicles is increasing yearly. For instance, China’s vehicle production and sales increased by 34.6% in January 2021. The country recovered from the impact of COVID-19, and there has been an increase in sales since 2020. China is the largest automobile market worldwide in terms of demand and supply.
However, many OEMs across the world have their production facilities across Asia-Pacific owing to its geographical advantage and easily available labor, and most of them outsource their parts to Chinese companies for production because of low raw material costs in China. This enabled Asia-Pacific to become one of the leading automotive driveshaft systems manufacturers in the world.
With recent changes in emission norms, the manufacturers were forced to launch new car models with upgraded engines. As part of this change, most manufacturers are investing heavily in the research and development of the latest technologies to reduce the weight of their vehicles and coming up with innovative technologies to use new materials for driveshafts to reduce the vehicle weight.
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Automotive Drive Shaft Industry Overview
The automotive drive shaft market is dominated by some of the key players, and they hold a major share of the market. The competition in the market is medium, as major players continue to crack high orders from major OEMs, and participation of small and new entrants is limited. However, major players focus on various growth strategies such as mergers and acquisitions to gain a competitive edge over others. For instance,
- In January 2020, GKN Automotive announced a collaboration with Delta Electronics Inc. for the development of advanced eDrive technology.
- In November 2020, American Axle Manufacturing (AAM) announced it is EcoTrac disconnecting all-wheel-drive for Chrysler’s new 2021 Chrysler Pacifica mini-van, along with AWD.
Some of the major players, like GKN PLC (Melrose Industries PLC), Yamada Manufacturing Co. Ltd, American Axle & Manufacturing Inc., JTEKT Corporation, and Dana Incorporated, captured significant shares in the market.
Automotive Drive Shaft Market Leaders
GKN plc (Melrose Industries PLC)
Dana Incorporated
American Axle Manufacturing Holdings Inc.
Yamada Manufacturing Co. Ltd
NTN Corporation
*Disclaimer: Major Players sorted in no particular order
Automotive Drive Shaft Market News
- In February 2022, Endurance Technologies announced that it had added a new product vertical, which is the drive shaft. The driveshaft is a high technology proprietary product in an automotive application. The application is for three-wheelers and four-wheelers, including some light commercial vehicles. The driveshaft is a product required for EVs also.
- In August 2021, Wanxiang Qianchao announced that its subsidiary Wanxiang Qianchao Transmission Shaft Co. Ltd started production of high-speed ball cage driveshafts for a van model manufactured by the Russian company GAZ International LL (GAZ).
- In February 2021, American Axle Manufacturing (AAM) announced that it secured the axle and driveshaft program for Ram’s heavy-duty pick-up trucks through 2030.
- In January 2021, Dana Holdings Corporation announced it would supply Dana 60 AdvanTEK solid rear axle with Spicer PerformaTraK electronic locking differential to the 2021 Ram 1500 TRX pickup truck.
Automotive Drive Shaft Market Report - Table of Contents
1. INTRODUCTION
1.1 Study Assumptions
1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET DYNAMICS
4.1 Market Drivers
4.2 Market Restraints
4.3 Porter's Five Forces Analysis
4.3.1 Threat of New Entrants
4.3.2 Bargaining Power of Buyers/Consumers
4.3.3 Bargaining Power of Suppliers
4.3.4 Threat of Substitute Products
4.3.5 Intensity of Competitive Rivalry
5. MARKET SEGMENTATION
5.1 By Design Type
5.1.1 Hollow Shaft
5.1.2 Solid Shaft
5.2 By Position Type
5.2.1 Rear Axle
5.2.2 Front Axle
5.3 By Vehicle Type
5.3.1 Passenger Cars
5.3.2 Commercial Vehicles
5.4 By Geography
5.4.1 North America
5.4.1.1 United States
5.4.1.2 Canada
5.4.1.3 Rest of North America
5.4.2 Europe
5.4.2.1 Germany
5.4.2.2 United Kingdom
5.4.2.3 France
5.4.2.4 Rest of Europe
5.4.3 Asia-Pacific
5.4.3.1 India
5.4.3.2 China
5.4.3.3 Japan
5.4.3.4 South Korea
5.4.3.5 Rest of Asia-Pacific
5.4.4 Rest of the World
5.4.4.1 Brazil
5.4.4.2 South Africa
5.4.4.3 Other Countries
6. COMPETITIVE LANDSCAPE
6.1 Vendor Market Share
6.2 Company Profiles*
6.2.1 GKN PLC (Melrose Industries PLC)
6.2.2 JTEKT Corporation
6.2.3 Dana Holding Corporation
6.2.4 Hyundai Wia Corporation
6.2.5 Nexteer Automotive Group Ltd
6.2.6 Showa Corporation
6.2.7 Yamada Manufacturing Co. Ltd
6.2.8 American Axle & Manufacturing Co. Ltd
6.2.9 Wanxiang Qianchao Co. Ltd
6.2.10 NTN Corporation
7. MARKET OPPORTUNITIES AND FUTURE TRENDS
Automotive Drive Shaft Market Research FAQs
What is the study period of this market?
The Automotive Drive Shaft Market is studied from 2018 - 2028.
What is the growth rate of Automotive Drive Shaft Market?
The Automotive Drive Shaft Market is growing at a CAGR of 4.93% over the next 5 years.
What is Automotive Drive Shaft Market size in 2018?
The Automotive Drive Shaft Market is valued at 31 Billion USD in 2018.
What is Automotive Drive Shaft Market size in 2028?
The Automotive Drive Shaft Market is valued at 41 Billion USD in 2028.
Which region has highest growth rate in Automotive Drive Shaft Market?
Asia-Pacific is growing at the highest CAGR over 2018 - 2028.
Which region has largest share in Automotive Drive Shaft Market?
Asia-Pacific holds highest share in 2021.
Who are the key players in Automotive Drive Shaft Market?
GKN plc (Melrose Industries PLC), Dana Incorporated, American Axle Manufacturing Holdings Inc., Yamada Manufacturing Co. Ltd , NTN Corporation are the major companies operating in Automotive Drive Shaft Market.
Automotive Drive Shaft Industry Report
Statistics for the 2023 Automotive Drive Shaft market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Automotive Drive Shaft analysis includes a market forecast outlook to 2028 and historical overview. Get a sample of this industry analysis as a free report PDF download.
