The major change between the traditional power steering to electric power steering is the hydraulic parts of the system such as hoses, belts, and pumps which are replaced by digital sensors and motors in the EPS systems. Sensors are one of the most critical parts in the EPS system, mainly the torque sensor, which collects steering direct and road resistance input and communicate the torque to the EPS module. The sensors produce a digital square wave signal with the frequency depending on the speed with which the wheel is turning. The signal is low when the wheel is kept straight and increases as the wheel is turned away from the center. Some of the recent advancements of the EPS sensors are

In 2018, Hella showcased its steering and braking solutions in which it displayed the steering angle sensor, Torque and Angle Sensor (TAS). These sensors are based on contactless inductive position sensor (CIPOSA) technology, which measures the torque and angle of the steering wheel with accuracy.

Whereas in 2019, Infineon Technologies AG has launched a linear Hall sensor. The XENSIV TLE4999I3 provides the highest level of functional safety (ASIL D). These include various features such as electric steering systems, electric throttle control systems, and pedal applications.

Moreover, the stringency in government regulations regarding fuel efficiency and safety initiatives are important drivers for the growth and development of the advanced steering systems that comprehensively employ steering sensors

In 2019, the European Union's new-car registrations increased by 1.2%, reaching more than 15.3 million units. Due to the surge in car sales observed in various countries of Europe such as Germany, France, and Sweden, as the countries have made a significant alteration to the bonus-malus component of CO2-based taxation for 2020, on the other hand, the Netherlands is set to increase tax of electric cars from 4% to 8% as from January 2020.

In 2019 German automakers have manufactured over 4.6 million passenger cars which are 8.9% less as compared to the previous year, but due to the impact of COVID-19 most of the businesses in Europe were shut down in March and April, with some restrictions were lifted in mid-May in most countries. Whereas in Germany, car dealerships re-open in late April, and automakers such as Volkswagen restarted production at the starting of May.

Due to that German automotive industry has seen its lowest production figure of total 11,287 passenger cars produced in the month of April 2020, which is 97% less than that of April of 2018.