Market Overview
The automotive power steering motor market encompasses electric motors used in electric power steering (EPS) systems, which have largely supplanted hydraulic power steering in modern vehicles. These motors provide steering assist based on driving conditions, improving fuel efficiency and enabling integration with autonomous driving technologies. The market's $29.7 billion valuation in 2025 reflects the near-universal adoption of EPS across passenger vehicles and the growing penetration in commercial vehicles.
- •EPS systems now appear in over 80% of new passenger vehicles globally, displacing hydraulic systems
- •The technology reduces fuel consumption by eliminating the parasitic loss associated with hydraulic pumps
- •Aftermarket demand remains modest compared to OEM demand, as power steering motors are typically integrated into steering columns or racks during manufacturing
Growth Drivers
The transition from hydraulic to electric power steering remains the primary growth catalyst, as automakers seek to meet increasingly stringent corporate average fuel economy standards and emissions regulations. The proliferation of advanced driver-assistance systems and autonomous driving features requires precise, electronically controlled steering systems that can interface with vehicle control units. Additionally, the growing production of electric vehicles, which typically utilize EPS due to the absence of engine-driven hydraulic pumps, further accelerates market demand.
- •Electrification of power steering reduces vehicle weight by 2-4 kg compared to hydraulic systems, contributing to improved fuel efficiency
- •Integration with ADAS features such as lane-keep assist and automated parking requires motors with higher precision and faster response times
- •Electric vehicles rely exclusively on electric power steering, creating a structural tailwind as EV adoption increases globally
Segmentation and Regional Analysis
The market is segmented by motor type, with brushless DC motors holding the largest share due to their superior efficiency, longer lifespan, and quieter operation compared to brushed alternatives. By vehicle type, passenger cars constitute the dominant segment, though commercial vehicles are seeing accelerated EPS adoption as fleet operators seek fuel savings. Regionally, Asia-Pacific leads the market, driven by substantial automotive manufacturing in China, Japan, South Korea, and India, combined with high vehicle production volumes.
- •China represents the single largest national market, accounting for approximately 35% of global production and consumption
- •Brushless DC motors are expected to grow at the fastest rate within the motor type segment due to increasing adoption in mid-range vehicles
- •Commercial vehicle segment growth is outpacing passenger cars in certain regions as logistics operators prioritize fuel-efficient technologies
Trends and Outlook
What are the recent trends and outlook?
The market is poised for continued transformation as the industry moves toward higher levels of vehicle automation and electrification. Steer-by-wire technology, which eliminates mechanical connections between the steering wheel and wheels using electronic motor control, represents the next evolutionary step and could reshape motor requirements by 2030. Suppliers are developing motors with integrated sensors and higher power density to support both EPS and emerging steer-by-wire applications.
- •Steer-by-wire systems, currently in limited production, are expected to gain traction as regulatory frameworks for autonomous vehicles mature
- •Motors with integrated torque and position sensors are becoming standard to reduce system complexity and improve reliability
- •Aftermarket opportunities may expand as vehicles age and EPS components require replacement, though OEM dominance will persist
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Connect to an analyst →Market size and forecast are Claight Analysis, informed by public research and industry data. Historical years before 2025 and all forecast years are Claight estimates at the stated CAGR. Retrieved 2026.