Market Overview
Active power steering refers to electronically controlled systems that dynamically adjust steering assistance, with electric power steering (EPS) being the most widespread technology in modern vehicles. The market is valued at $13.567 billion in 2026, though independent research estimates for this specific segment vary between roughly $11 billion and $14 billion. These systems have largely displaced traditional hydraulic power steering due to their superior efficiency and integration with advanced vehicle electronics.
Growth Drivers
Stringent global emissions regulations are pushing automakers toward electric power steering systems, which consume less energy than hydraulic alternatives by drawing power only when assistance is needed. The integration of active steering with advanced driver-assistance systems (ADAS) and autonomous-driving features is creating new demand as vehicles require precise, electronically controlled steering inputs. Growing vehicle production in emerging markets and the increasing prevalence of electric and hybrid vehicles are further expanding the addressable market.
Segmentation and Regional Analysis
The market is broadly segmented into passenger vehicles and commercial vehicles, with the commercial vehicle segment alone estimated at approximately $6.57 to $6.68 billion in 2025. Geographically, Asia-Pacific leads due to high vehicle production volumes in China, Japan, South Korea, and India, while Europe and North America represent mature markets focused on technology upgrades. Within the steering category, column-assist EPS dominates passenger cars, while rack-assist and pinion-assist configurations serve larger vehicles and performance applications.
Trends and Outlook
What are the recent trends and outlook?
Steer-by-wire technology, which eliminates the mechanical connection between the steering wheel and the road wheels, represents the next frontier and is beginning to enter limited production applications. Software-defined steering functions that can be updated over the air are gaining attention as automakers seek to differentiate vehicle characteristics post-purchase. The market is expected to maintain
Get in touch and our analysts will be happy to help with custom market sizing, deeper segmentation, supplier detail or a bespoke study built for you.
Connect to an analyst →Market size and forecast are Claight Analysis, informed by public research and industry data. Historical years before 2026 and all forecast years are Claight estimates at the stated CAGR. Retrieved 2026.