Electric Vehicle Reducer Market by Product Type (Single-stage Type, Multi-stage Type) by Vehicle Type (Battery Electric Vehicles (BEVs), Plug-In Hybrid Electric Vehicles (PHEVs), Hybrid Electric Vehicles (HEVs), Fuel Cell Electric Vehicles) by Sales Channel (Original Equipment Manufacturer (OEM), Aftermarket): Growth, Future Prospects & Competitive Analysis, 2015 - 2027

The electric vehicle reducer market is expected to cross market value of USD 2,148.8 million in 2027 from USD 211.7 million in 2020. It is expected to grow at a CAGR of over 39.25% during the forecast period.

Key Market Drivers and Restraints

The use of high-efficiency reducers can save energy significantly which is a factor expected to drive growth of the global electric vehicle reducer market. In addition, the use of reducers, such as gear reducers, can reduce motor power consumption, thereby, augment growth of the global electric vehicle reducer market. Also, technological advancement in EVs have boosted growth of global electric vehicle reducer market over the forecast period.

However, frequent replacement of reducer components is a factor that is expected to hinder the global electric vehicle reducer market. Adoption of speed reducer to reduce fuel cost as well as greenhouse emissions, coupled with technological advancements in electric vehicles are factors expected to create potential opportunities for the prominent manufacturers operating in the market.

Impact of COVID 19

The electric vehicle reducer market will show considerable growth on the back of the global pandemic. Due to the COVID-19 outbreak, global or partial shutdown have a negative impact on the supply chain and product demand. In addition, decline in trading activities and transport restrictions in this pandemic has impacted the market growth negatively and hampered its growth.

Asia Pacific to Dominate the global electric vehicle reducer market

The global electric vehicle reducer market covers the six regions, namely Europe, North America, Asia Pacific, Latin America (LATAM), Middle East and Africa, including all the key economies in these regions. Asia Pacific market is dominated the global market and accounted for more than 32.3% of the target market. This is attributed to increasing demand for the reducer in electric vehicles and rising collaboration among players to enhance market penetration.

Multi-stage type would continue to dominate the global electric vehicle reducer market in terms of product type

Single-stage type and multi-stage type are the product type of electric vehicle reducer market. In 2020, multi-stage type segment accounted for the largest share of global electric vehicle reducer market, owing to growing demand in commercial and residential sectors.

Battery electric vehicle is the major segment in the global electric vehicle reducer market in terms of vehicle type

Battery electric vehicles (BEVs), plug-in hybrid electric vehicles (PHEVs), hybrid electric vehicles (HEVs), and fuel cell electric vehicles are the vehicle type of electric vehicle reducer market. In 2020, battery electric vehicles segment accounted for the largest share of global electric vehicle reducer market.

Aftermarket is the major segment in the global electric vehicle reducer market in terms of Sales Channel

Based on sales channel, the global electric vehicle reducer market is segregated into original equipment manufacturer (OEM) and aftermarket. In 2020, aftermarket segment is accounted for a significant share in 2020 of the global electric vehicle reducer market.

Frequently asked questions about global electric vehicle reducer market