AUTOMOTIVE MOTORS MARKET ANALYSIS

Market Challenges And Opportunities

• Increased weight and cost as compared to basic models

Global Automotive Motor Market- Driver

Increasing demand for Electric Vehicles

Increasing global pollution levels has created a significant demand for electric vehicles. Increasing prices of petrol and diesel has increased demand for electrical vehicles. Rising popularity of electric vehicles brings many innovations in automotive electric motors. Increasing sales of electric vehicle drives growth of the automotive motor market. For instance, according to International Energy Agency, in 2021, the electric car sales share in China was 16%, which increased by 11% as compared to 2020. Moreover, electric car sales share in the U.S. was 5%, which increased by 3% as compared to 2020.

High Demand for Safety among Customers

Increasing demand for the latest innovations in cars such power steering, climate control, anti-lock braking, and others is expected to drive the market growth. Due to increase in motor applications in automobiles, this industry is expanding. Additionally, there is an increase in demand for cars with more convenience, safety, and comfort in developed economies like the U.S. Popular features include steering-mounted controls, heads-up displays, sophisticated infotainment systems, gesture control systems, telematics, and central controllers. These features provide benefits for comfort, luxury, safety, and security. The automotive industry has witnesses increase in the quantity of electronic parts and software used in cars around the world that offer the newest telematics and infotainment systems.

• Increased weight and cost as compared to basic models

Global Automotive Motor Market- Restraint

Increased Weight and Cost Compared To Basic Models

Due to tough environmental norms and rising demand for vehicles with fuel efficiency, automotive suppliers are focusing on lighter components to reduce weight, which would help to meet the demand for lower emissions and better mileage. Tier II suppliers are developing low-weight raw materials through technological advancements without compromising the structural strength of the components. However, due to stiff competition in pricing, motor manufacturers find difficulties to satisfy customers. The tier I suppliers and Original Equipment Manufacturers (OEMs) focuses on improving vehicle efficiency and cost optimization of motors-related technologies. Nowadays, automobiles with more advanced features is in huge demand in the mid-priced and luxury segments. These have better features and uses more automotive motors than base car models.

Global Automotive Motor Market- Opportunity

High Demand for Luxury Vehicles

Increasing requirements for advancements in several fields such as artificial intelligence and machine learning have consequently directed the changes in autonomous vehicles. The growth in R & D of the electrification of vehicles is one of the emerging trends in the luxury vehicle industry. This impact is likely to expand the growth of the automotive motor market. Furthermore, the rapid changes in various features in the motor vehicles such as personal voice assistance, automatic driving assistance, and retina recognition, are promote the sales of luxury vehicles. For instance, in the year 2021, Audi, a luxury automotive car manufacturer, announced a five-year plan, under which the company is planning to launch 30 electrified vehicles, which includes 20 pure electric vehicles and 10 plug-in hybrid electric vehicles by the year 2025, globally