Passenger Cars Power Steering Market - Global Industry Size, Share, Trends, Opportunity, and Forecast, 2018-2028 By Mechanism (Electronic power steering (EPS), Hydraulic power steering (HPS) and Electro-Hydraulic Power Steering), By Component (Hydraulic Pump, Sensors, Electric Motor and other components), By Region, By Competition.

Published Date: April - 2025 | Publisher: MIR | No of Pages: 320 | Industry: Automotive | Format: Report available in PDF / Excel Format

View Details Buy Now 2890 Download Sample Ask for Discount Request Customization
Forecast Period 2018-2028
Market Size (2022) USD 16 billion
CAGR (2023-2028) 7.8%
Fastest Growing Segment Hydraulic Power Steering
Largest Market Asia-Pacific

 Download Sample  Ask for Discount  Request Customization 

Market Overview

Global Passenger Cars Power Steering Market was worth USD 16 billion in 2022 and is expected to exhibit strong growth during the forecast period with a CAGR of 7.8% from 2022 to 2028.

Across the world, increasing demand for vehicles has directly driven the growth of the automotive steering system market. Various companies are designing advanced steering technology. The steering system of vehicles utilizes various technologies, such as Steer by Wire (SbW) and control technology.

A car steering system is a group of parts that control the direction of car movement and help the driver steer the car as required. The hand-steered steering wheel, steering column, universal joints, and rack & pinion mechanism all form part of the vehicle steering system component. The development has led to the transformation of the steering system from manual to power assist steering. The automotive steering system is considered non-replaceable in vehicles and is imperative for effective vehicle control, which makes it an essential part of vehicles. Since steering systems are necessary in cars, the automotive steering system market is highly competitive.

Key Market Drivers

Growing Demand for Vehicle Comfort and Safety
One of the key drivers of the Passenger cars Passenger Cars Power Steering Market is the increasing demand for vehicle comfort and safety. Passenger cars power steering systems, either hydraulic or electric, are a key factor in improving driving comfort by decreasing the effort needed to turn the steering wheel, particularly at low speeds or during parking maneuvers. This option has become a consumer expectation, and as such, it has pushed manufacturers to provide Passenger cars power steering as a standard or an optional feature across segments. In addition, Passenger cars power steering systems also ensure better road safety. They facilitate the driver to better control the vehicle, particularly during emergency maneuvers or driving in difficult road conditions. This safety feature is especially important in the world of automobiles today, where consumers and regulators alike place high premium on car safety features. Consequently, Passenger cars power steering systems have emerged as a key element in the quest for safer and more comfortable passenger cars.

Evolution of Electric Passenger cars power steering (EPS) Technology
Technological innovations in electric Passenger cars power steering (EPS) are a key driver of the Passenger cars Passenger Cars Power Steering Market. EPS systems have become more popular than hydraulic systems because they are more efficient, flexible, and adaptable. In contrast to hydraulic systems that depend on a pump and a fluid, EPS systems employ electric motors to support steering effort, which makes them more energy-efficient and responsive. New technological advancements in EPS technology have provided vehicle manufacturers with more accurate control and higher levels of customization. New EPS systems feature sensors and algorithms that adjust steering assistance according to driving conditions, speed, and driver input. Dynamic adjustment enhances the driving experience as well as fuel economy. In addition, the combination of EPS with other vehicle systems, including adaptive cruise control and lane-keeping assist, improves overall vehicle safety and automation features. These technologies not only help in the mass adoption of EPS but also stimulate consumer demand for vehicles that come with these advanced steering systems.

Fuel Efficiency and Emissions Reduction Targets
Tight government regulations of fuel efficiency and emissions cuts are driving the use of high-end Passenger cars power steering systems. Automobile manufacturers are constantly being pushed to optimize the fuel efficiency of their products and cut their carbon emissions to comply with regulations and customer demands. Passenger cars power steering systems, particularly electric Passenger cars power steering (EPS) models, are part of the fuel efficiency increases. EPS systems are more energy-efficient than conventional hydraulic Passenger cars power steering systems since they use electricity only when steering assistance is needed. Hydraulic systems, on the other hand, continuously draw engine power to keep hydraulic pressure up, which translates to higher fuel consumption. The quest for electric and hybrid vehicles further emphasizes the need for EPS technology in meeting fuel efficiency targets. These cars use electric power for propulsion, and EPS is consistent with their electric drivetrains, thus a choice of preference for automakers. EPS systems not only save fuel but also lower emissions, further affirming their part in meeting sustainability targets.

Increasing Trend Towards Autonomous Vehicles
Another key driver of the Passenger cars Passenger Cars Power Steering Market is the increasing trend towards autonomous vehicles. As the car industry inches closer to achieving autonomous driving features, the function of Passenger cars power steering becomes more important. Passenger cars power steering systems, particularly EPS, are central to the design and operation of autonomous cars. They allow for accurate control and adjustment of steering inputs, which is a requirement for autonomous driving features like lane-keeping assist, automatic parking, and collision avoidance systems. These systems are dependent on responsive and accurate Passenger cars power steering to steer the vehicle efficiently and safely. Further, the transition towards autonomous vehicles is fueling growth in steer-by-wire systems, which do away with the mechanical linkage of the steering wheel and the wheels. Steer-by-wire technology, facilitated by sophisticated Passenger cars power steering systems, allows more design freedom in autonomous vehicle interiors, as the steering wheel can be redesigned or even removed.

Key Market Challenges

MIR Regional

 Download Sample  Ask for Discount  Request Customization 

Environmental Issues and Sustainability (B. 400 words)
One of the biggest issues that the Passenger cars Passenger Cars Power Steering Market faces is the increasing focus on sustainability and environmental issues. With the world urgently needing to cut carbon emissions and control climate change, the auto sector, including the Passenger cars power steering segment, comes under growing pressure. Passenger vehicle power steering systems, especially hydraulic ones, depend on hydraulic pumps and fluid to operate. Hydraulic systems may be linked with environmental issues based mainly on possible fluid leakage and fluid disposal requirements. Upon leakage, hydraulic fluid could pollute the environment, and soil and water could be affected. Furthermore, the manufacturing and disposal of hydraulic fluid can cause adverse environmental effects, especially if the fluid is not properly disposed of and managed. For hydraulic Passenger cars power steering systems to be sustainable, the use of environmentally friendly hydraulic fluids and rigorous recycling and disposal procedures must be adopted.

Integration with Advanced Driver Assistance Systems
The integration of Passenger cars power steering systems with advanced driver assistance systems (ADAS) poses a major challenge to the Passenger cars Passenger Cars Power Steering Market. While ADAS technologies like adaptive cruise control, lane-keeping assist, and automated parking increase vehicle safety and convenience, they also impose further requirements on Passenger cars power steering systems. ADAS depends on accurate and quick steering inputs to perform tasks such as lane-keeping and automatic lane changing. The systems need Passenger cars power steering systems to supply accurate and timely help in order to ensure the safe and efficient functioning of ADAS functionalities. Integrating Passenger cars power steering systems with ADAS is, however, complicated and needs accurate calibration and synchronization. Any imbalance or latency in steering commands may jeopardize the performance and safety of ADAS operations and might result in system failure or accidents. In addition, the urgency for autonomous cars, which have a heavy reliance on advanced steerings, exacerbates this dilemma. Steer-by-wire systems that sever the mechanical linkage between the wheels and steering wheel are becoming prevalent in autonomous vehicles. These systems are solely dependent on electronic control, which requires fault-tolerance and redundant steering arrangements.

Cybersecurity Vulnerabilities and Risks
As Passenger cars power steering systems are being integrated more and more with electronic control units (ECUs) and connectivity options, cybersecurity has become a key issue in the Passenger cars Passenger Cars Power Steering Market. As cars are becoming more connected and dependent on electronic control, they are exposed to cyber threats and vulnerabilities. Passenger cars power steering systems with electronic components like EPS are a potential target of cyberattacks. Cyberattackers can take advantage of weaknesses in the steering control unit (SCU) or communication protocols and control the steering system, even threatening vehicle control and safety. Secure communication protocols, encryption, and intrusion detection systems are stringent measures needed to ensure the cybersecurity of Passenger cars power steering systems. Automakers and manufacturers of passenger car power steering systems need to work with cybersecurity specialists to detect and address potential cyber vulnerabilities in such key components. Moreover, with increasing autonomy and connectivity in cars, the surface area for potential cyberattacks also increases. The steering system will have to be made resilient enough to counter complex cyberattacks, and ongoing monitoring and updates need to be provided to remain a step ahead of changing cybersecurity threats.

Cost Pressures and Affordability
Cost pressures and affordability issues are chronic threats in the Passenger cars Passenger Cars Power Steering Market. Passenger cars power steering systems, particularly EPS, provide many advantages in comfort, safety, and efficiency but can also be a factor towards the price of an automobile. Consumers are more and more becoming price-conscious, and the added cost of power steering technology found in advanced Passenger cars can have a bearing on a vehicle's market competitiveness. Automakers are forced to strike a fine line between providing value features such as Passenger cars power steering and not being too pricey for price-sensitive segments and emerging markets. Additionally, the shift to more sophisticated Passenger cars power steering technologies, such as EPS and steer-by-wire systems, can be accompanied by increased development and production expense. These expenses can be further augmented by the necessity of added sensors, control units, and redundancy functions to enable advanced driver assistance and autonomous driving capabilities. To overcome these challenges, automobile manufacturers and Passenger cars power steering system producers are spending on research and development to lower production costs while ensuring high-quality standards. This involves innovations in manufacturing processes, material selection, and component integration to achieve optimal production efficiency.

Key Market Trends

Shift Towards Electric Power Steering (EPS) Systems
The most notable trend in the Passenger cars Passenger Cars Power Steering Market is the universal use of Electric Passenger cars power steering (EPS) systems. EPS has picked up a lot of momentum over the past few years, slowly replacing conventional hydraulic Passenger cars power steering systems. EPS systems have a number of benefits over hydraulic systems, which is why they are the preferred option for automakers as well as consumers. Above all, EPS systems are more energy-efficient since they use electricity only when steering assistance is needed. Hydraulic systems, on the other hand, use a constant supply of hydraulic fluid and a pump, meaning that there is always energy being consumed. Additionally, EPS systems offer more flexibility and responsiveness. They can be calibrated to modify the amount of steering assistance according to driving conditions, vehicle speed, and driver input. This dynamic compensation improves driving by providing less steering effort at low speeds, which is appropriate for parking and city driving, and more firmer steering effort at high speeds, which provides stability and responsiveness. EPS systems are also very suitable for being integrated with advanced driver assistance systems (ADAS) and autonomous driving technologies. These systems depend on accurate and timely steering inputs, which makes EPS a critical component for functions like lane-keeping assist and automated parking.

Integration of Advanced Driver Assistance Systems (ADAS)
Integration of Advanced Driver Assistance Systems (ADAS) in passenger cars is a key trend that has a direct influence on the design and functionality of Passenger cars power steering systems. ADAS incorporates a set of technologies intended to advance vehicle safety, facilitate greater driver convenience, and open the door for autonomous driving functions. Precise steering input and control is one of the core functionalities of ADAS systems. Passenger cars power steering systems, and specifically EPS, have an instrumental role to play in enabling various ADAS functionalities. For example, lane-keeping assist takes advantage of Passenger cars power steering to subtly steer the vehicle back onto the correct course in order to remain within the lane. Likewise, adaptive cruise control systems can use steering inputs to assist in keeping the vehicle positioned within the lane while adjusting the vehicle's speed to maintain an adequate following distance. The integration of ADAS demands Passenger cars power steering systems to be responsive, precise, and able to respond to changing driving conditions. Passenger cars power steering control units (PSCUs) are provided with sophisticated sensors and algorithms so that steering assistance can match the vehicle's environment and driver's input. The incorporation of ADAS technologies is fueling innovation in Passenger cars power steering systems, resulting in more advanced and sophisticated designs which are capable of meeting the changing needs of vehicle automation and safety.

Increasing Need for Energy-Efficient Systems
An increasing need for energy-efficient Passenger cars power steering systems is a major trend in the Passenger cars Passenger Cars Power Steering Market. Energy efficiency is a paramount consideration for both automakers and consumers, prompted by the need to minimize fuel consumption, lower carbon emissions, and increase the driving range of electric vehicles (EVs). As noted above, Electric Passenger cars power steering (EPS) systems have become popular in the industry because of their naturally better energy efficiency. EPS only uses electricity when the steering aid is necessary, thus being more cost-effective and eco-friendly than conventional hydraulic systems. Automakers are more concerned with optimizing Passenger cars power steering systems to reduce energy usage to satisfy consumer demands and regulatory standards for energy efficiency. This optimization includes many aspects of system design, such as the employment of efficient electric motors, intelligent control algorithms, and minimizing friction and power losses in the system. In addition, electric and hybrid vehicles are increasingly common in the automotive market, and Passenger cars power steering systems need to be compatible with these energy-efficient drivetrains. In hybrid vehicles, Passenger cars power steering systems can use the electric powertrain to realise even more energy savings and assist in the overall efficiency of the vehicle. In general, the increasing demand for energy-saving Passenger cars power steering systems is an indication of the industry's focus on sustainability and the need to meet consumers' demands for more environmentally friendly and cost-effective vehicles. 

More Emphasis on Vehicle Weight Reduction
The increased emphasis in the automotive industry on reducing the weight of vehicles has important repercussions for Passenger cars power steering systems. Weight reduction is a very important strategy for vehicle manufacturers if they are to maximize fuel efficiency, increase performance, and lower carbon emissions. Less energy is needed to accelerate and drive lighter vehicles, which supports better fuel economy. Lower vehicle weight can also promote improved handling and maneuverability, further improving the driving experience. As car manufacturers attempt to reduce the weight of vehicles, Passenger cars power steering systems also need to go through weight reduction. This has resulted in the creation of smaller and lighter Passenger cars power steering components, such as smaller electric motors and fewer hydraulic components in the case of hydraulic Passenger cars power steering (HPS) systems. Additionally, the use of sophisticated materials, like lightweight alloys and composites, in building Passenger cars power steering parts ensures weight reduction with comparable strength and durability. They are applied to steer rack design, columns, and other parts of the system. Additionally, Passenger cars power steering systems contribute to weight distribution inside the vehicle. By optimizing the positioning of Passenger cars power steering components, manufacturers can achieve more balanced weight distribution, which can have a positive impact on handling and stability.

Segmental Insights

Market Analysis

 Download Sample  Ask for Discount  Request Customization 

By Mechanism Analysis Electric Passenger cars power steering Segment to Dominate-Rising Usage by Automakers will favor growth.

The automobile steering system market is further subdivided into Passenger cars power steering (EPS), hydraulic Passenger cars power steering (HPS), and electro-hydraulic Passenger cars power steering (EHPS). The Passenger cars power steering category is expected to dominate the market throughout the projected period, owing to manufacturers' increased deployment of Passenger cars power steering in all vehicle types. Advances in Passenger cars power steering to steer-by-wire technology are also expected to promote market expansion in this area. Because of its widespread use in commercial vehicles, the hydraulic Passenger cars power steering category is predicted to rise rapidly in the market throughout the projection period. Because of its restricted load-bearing capability, electronic Passenger cars power steering does not function in commercial vehicles. Furthermore, hydraulic Passenger cars power steering is capable of absorbing road shocks. Because of its leaking, less durability, and vibration features, the manual steering category is predicted to rise steadily in the market. Steering the vehicle involves significant human effort. The electro-hydraulic Passenger cars power steering category is predicted to increase significantly in the automotive steering market over the forecast period. When compared to conventional hydraulic power steering, it delivers smoother and more responsive handling.

Regional Insights

During the projected period, Asia Pacific is estimated to lead the automobile steering system market. The growing sales and production of automakers from emerging nations are likely to drive the growth of the automotive steering system market in this area. Demand for high-end luxury vehicles and rising disposable income in developing nations are also expected to drive market expansion in this area.

Europe is estimated to be the second-largest market stakeholder and to exhibit significant growth in the market throughout the projection period. Government fuel economy standards in this region have resulted in an increase in the use of fuel-efficient automobiles with an effective steering system. The global market for electric vehicles is quickly expanding. In Europe, for example, 2021 was a record year for electric car sales. European manufacturers were reluctant to enter the EV industry but rapidly established themselves as significant participants. Furthermore, some governments throughout the world have developed regulations, incentives, and initiatives to encourage the use of electric vehicles.

By 2024, electric vehicles are predicted to account for approximately 4% of new car sales and 7% of the global car fleet. With the increasing sales of electric vehicles, the deployment rate of Passenger cars power steering systems (such as Passenger cars power steering (EPS)) is predicted to increase throughout the projection period.

Over the projected period, North America is also predicted to see strong growth in the automobile steering system market. It is the second-largest market for hydraulic Passenger cars power steering systems, with a few big automakers operating in both Canada and the United States. This aspect is projected to drive the market expansion of this area.

Recent Developments

  • Melexis launched the new MLX90376, anabsolute magnetic position sensor IC capable of handling 360° rotatingautomotive applications while demonstrating strong stray field immunity, inDecember 2022. The gadget delivers cutting-edge sensing for steering and valveapplications and facilitates system integration up to ASIL D-level functionalsafety.
  • DAF introduces an electronic hydraulicsteering (EHS) system on a 6x2 tractor and rigid trucks with a steered pusheraxle in December 2022. The new technology is available for the whole NewGeneration DAF truck range, including the XF, XG, XD, and XG+.
  • The FAW Hongqi R&D Centre stated inNovember 2022 that the Hongqi steering team of the FAW New Energy DevelopmentCenter's chassis development division created the Hands On/Off Detection (HOD)steering wheel technology, which debuted in China.
  • ZF expects to invest around USD 100million in November 2022 to enhance the existing product range and chassiscomponent production capability at the Zhangjiagang facility. The chassiscomponent facility will produce control arms, steering knuckles, steering tierods and stabilizer links, effectively covering the whole chassis componentproduct line.

Key Market Players

By Mechanism

By Component

By Region

  • Electronic power steering (EPS)
  • Hydraulic power steering (HPS)
  • Electro-Hydraulic power steering (EHPS)
  • Hydraulic Pump Sensors
  • Electric Motor
  • Others
  • North America
  • Europe
  • Asia Pacific
  • South America
  • Middle East & Africa

Table of Content

Sure! Here's a sample Table of Contents (TOC) for a market research report on the Passenger Cars Power Steering Market:


Table of Contents

  1. Executive Summary
    1.1. Market Overview
    1.2. Key Findings
    1.3. Analyst Recommendations
    1.4. Opportunity Snapshot

  2. Market Introduction
    2.1. Definition and Scope
    2.2. Research Methodology
    2.3. Assumptions and Limitations

  3. Market Dynamics
    3.1. Market Drivers
    3.2. Market Restraints
    3.3. Market Opportunities
    3.4. Industry Challenges
    3.5. Value Chain Analysis
    3.6. Porter’s Five Forces Analysis

  4. Market Segmentation
    4.1. By Type

    • Hydraulic Power Steering (HPS)

    • Electric Power Steering (EPS)

    • Electro-Hydraulic Power Steering (EHPS)
      4.2. By Component

    • Steering Column

    • Pump

    • Sensor

    • Electric Motor

    • Others
      4.3. By Vehicle Type

    • Hatchbacks

    • Sedans

    • SUVs

    • Others
      4.4. By Sales Channel

    • OEMs

    • Aftermarket

  5. Regional Analysis
    5.1. North America
    5.2. Europe
    5.3. Asia Pacific
    5.4. Latin America
    5.5. Middle East & Africa

  6. Competitive Landscape
    6.1. Market Share Analysis
    6.2. Competitive Benchmarking
    6.3. Company Profiles

    • Bosch

    • JTEKT Corporation

    • Nexteer Automotive

    • ZF Friedrichshafen AG

    • NSK Ltd.

    • Mando Corporation

    • Hyundai Mobis

    • Other Key Players
      6.4. Recent Developments
      6.5. Strategic Initiatives

  7. Market Forecast and Outlook (2024–2030)
    7.1. Market Size Projections
    7.2. Segment-wise Forecast
    7.3. Regional Forecast

  8. Technological Advancements
    8.1. Innovations in Steering Technology
    8.2. Integration with Advanced Driver-Assistance Systems (ADAS)
    8.3. Trends in Electrification and Autonomous Vehicles

  9. Regulatory Landscape
    9.1. Global & Regional Regulations Impacting the Market
    9.2. Safety Standards

  10. Conclusion and Recommendations

  11. Appendix
    11.1. Glossary of Terms
    11.2. List of Abbreviations
    11.3. References

List Tables Figures

To get a detailed Table of content/ Table of Figures/ Methodology Please contact our sales person at ( chris@marketinsightsresearch.com )

FAQ'S

For a single, multi and corporate client license, the report will be available in PDF format. Sample report would be given you in excel format. For more questions please contact:

sales@marketinsightsresearch.com

Within 24 to 48 hrs.

You can contact Sales team (sales@marketinsightsresearch.com) and they will direct you on email

You can order a report by selecting payment methods, which is bank wire or online payment through any Debit/Credit card, Razor pay or PayPal.