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Global Vehicle Electrification Market

Dublin, Sept. 29, 2023 (GLOBE NEWSWIRE) -- The "Vehicle Electrification Market: Global Industry Trends, Share, Size, Growth, Opportunity and Forecast 2023-2028" report has been added to ResearchAndMarkets.com's offering.

The global vehicle electrification market has achieved significant growth, reaching a substantial $85.2 billion in 2022. Industry experts anticipate further expansion, with the market projected to soar to $131.9 billion by 2028, exhibiting a remarkable Compound Annual Growth Rate (CAGR) of 7.29% during the period 2023-2028.

Revolutionizing Transportation: Vehicle Electrification

Vehicle electrification involves the integration of electricity to power vehicles and replace components traditionally reliant on conventional energy sources. This transformation centers around electric powertrains and auxiliary systems, encompassing on-board and off-board charging systems, wireless power transfer, electronic power-assisted steering, electronic stability programs, electronic traction control, intelligent light systems, smart electromagnetic suspension, all-wheel drive, and airbag deployment systems. Vehicle electrification finds extensive applications in distribution and field services, as well as long-haul transportation worldwide.

Key Trends Driving the Vehicle Electrification Market

Several key trends are propelling the global vehicle electrification market:

1. Rising Demand for Electric Vehicles (EVs): There is a growing global demand for electric vehicles, driven by the flourishing automotive industry. This surge is a primary catalyst for market growth.

2. Environmental Concerns: Increasing environmental awareness and concerns about rising carbon dioxide emissions are driving the adoption of vehicle electrification as a substitute for conventional hydraulic and mechanical systems.

3. Weight Reduction: The focus on reducing the weight of automotive components to enhance fuel efficiency and operational performance is driving demand in the market.

4. Government Initiatives: Governments in various countries are actively promoting the use of fuel-efficient vehicles, further boosting the vehicle electrification market.

5. Declining Battery Prices: Falling battery prices worldwide are creating opportunities for investors and end-users in the market.

6. Advanced Technologies: The utilization of advanced technologies such as e-axle in electric vehicles is positively impacting the market.

7. R&D and Investment: Leading market players are heavily investing in research and development, product launches, mergers, and acquisitions, enhancing overall profitability.