Press Release

Electric Vehicle Motor Market to Soar at 17% CAGR during 2025-30

The Global Electric Vehicle Motor Market size was valued at around USD46 billion in 2024 and is projected to reach USD120 billion by 2030. Along with this, the market is estimated to grow at a CAGR of around 17% during the forecast period, i.e., 2025-30, cites MarkNtel Advisors in the recent research report. The need to cut carbon emissions coupled with the growth of environmental consciousness has driven increased demand for electric vehicle motors. Due to the increasing stringency of the emission rules that governments across the globe have instituted, governments everywhere are increasingly becoming strict in promoting the use of electric vehicles with incentives and encouraging the demand for EV motors.

Stricter emission regulations increased investments in EV infrastructure and technological advancements are also causing a rapid shift in the global electric vehicle motor market. Because governments around the world enforce strict emission standards to reduce greenhouse gas emissions, automakers are being compelled to increase EV manufacturing. Governments are also providing incentives and subsidies to promote the use of electric vehicles and aid in this transition. These incentives significantly lower the cost of possession which raises consumer demand.

However, in severe weather electric vehicle motor performance is severely limited which hinders the global market. Cold temperatures can reduce an EV range by up to 40% because they raise battery resistance and the energy required for cabin heating. Additionally, overheating batteries lower power output in hotter regions like Arizona increasing the labor-intensiveness of thermal management systems. Extreme weather also has an impact on motor efficiency. To minimize this challenge, the use of silicon carbide in power electronics which enhances performance and efficiency is one of the main trends in the global market for electric vehicle motors.

There have also been recent developments in improvements of lightweight material and motor efficiency that are being used to upgrade motor technology to contribute to the entire performance of vehicles. Permanent magnet motors with good power-to-weight ratios are gradually gaining popularity and in axial flux motors and the in-wheel type, it makes it possible to create high-performance, lightweight compact designs that bring better vehicle dynamics and range. Lightweight and compact motor designs are becoming more important to further optimize energy consumption and make EVs more efficient and sustainable, further states the research report, “Global Electric Vehicle Motor Market Analysis, 2025”.

Global Electric Vehicle Motor Market Segmentation Analysis:

Electric Passenger Cars in High Demand

Based on the vehicle type, the market is further bifurcated into Electric Passenger Cars, Electric Commercial Vehicles, Electric Two Wheelers, and Electric Three Wheelers. The electric vehicle motor market is dominated by the electric passenger cars segment which holds a roughly 70% global market share. Government incentives growing environmental concerns and advancements in battery technology have all contributed to this dominance and increased use of electric vehicles. Governments worldwide are promoting the use of passenger EVs through subsidies and stricter emission regulations. The passenger car segment is anticipated to continue to lead the EV motor market in the years to come due to continuous improvements in battery affordability efficiency and charging infrastructure.

Asia-Pacific Leads the Electric Vehicle Motor Industry

Geographically, Asia-Pacific leads the electric vehicle motor market with a rough 60% of the world market share. This is attributed to top EV producers and consumers in South Korea, Japan, and China. Government initiatives like China's New Energy Vehicle policy and India's FAME II scheme are speeding up the adoption of EVs. Furthermore, companies like LG Energy Solution, Hyundai, and Toyota are leading the way in battery and motor technology advancements as South Korea and Japan make large investments in these areas. There shall be a deep manufacturing ecosystem to keep the downward trend of manufacturing costs and surge in infrastructure spending, which enables Asia-Pacific dominance in the future years of global EV motor production.

Competitive Landscape

With strategic initiatives such as mergers, collaborations, and acquisitions, the leading market companies, including Siemens AG, ABB Ltd., Nidec Corporation, Mitsubishi Electric Corporation, Robert Bosch GmbH, BorgWarner Inc., Continental AG, Magna International Inc., Hitachi, Ltd., AISIN CORPORATION, LG Magna e-Powertrain Co., Ltd., Johnson Electric Holdings Limited, Toshiba Corporation, GKN Automotive, Allied Motion Technologies Inc., and Others are looking forward to strengthening their market positions.

Key Questions Answered in the Research Report

1. What are the industry’s overall statistics or estimates (Overview, Size- By Value, Forecast Numbers, Segmentation, Shares)?
2. What are the trends influencing the current scenario of the market?
3. What key factors would propel and impede the industry across the globe?
4. How has the industry been evolving in terms of geography & product adoption?
5. How has the competition been shaping up across various regions?
6. How have buying behavior, customer inclination, and expectations from product manufacturers been evolving during 2020-30?
7. Who are the key competitors, and what strategic partnerships or ventures are they coming up with to stay afloat during the projected time frame?