Drive Shaft Market Size was valued at USD 41,974.0 million in 2023. The drive shaft market industry is projected to grow from USD 44,200.4 million in 2024 to USD 65,689.4 million by 2032, exhibiting a compound annual growth rate (CAGR) of 5.08% during the forecast period (2024 - 2032). Increasing vehicle sales and increasing the automotive industry's development are the key market drivers enhancing market growth.
Source: Secondary Research, Primary Research, MRFR Database, and Analyst Review
Over the past three years, sales of electric vehicles have increased positively on a scale. For instance, in 2020, EV sales increased 39% year over year to 3.1 million units, while the overall passenger car market declined by 14%. EV sales are expected to increase by double digits in many European nations in 2020. In contrast to 26% in 2019, the European region accounted for roughly 43% of sales of electric cars in 2020. Approximately 3.24 million plug-in vehicles were sold globally, up from 2.26 million in 2019. Sales have increased significantly due to stricter regulations by various organizations and governments to reduce emissions and promote zero-emission vehicles.
China is the market leader for electric vehicles. In China, the number of electric vehicle sales is rapidly increasing. For instance, in 2020, almost 1.3 million new energy vehicles were sold, accounting for 41% of all EV sales globally, only behind Europe. Regarding EV share, China continues to be far ahead of the US. In the US, only 2.4% of sales in 2020 were electric vehicles.
Furthermore, vehicle manufacturers are working tirelessly to create the most effective electric vehicles as the market for them expands. Additionally, driveshaft manufacturers are updating their product lines to offer the best products to OEMs to increase market share. For instance, in February 2021, the manufacturer of fully electric commercial vehicles, Volta Trucks, officially announced that Meritor had been chosen as the key supplier of drivetrain components for Volta Zero. This significant purchasing milestone will support the delivery of Volta Zero vehicles for customer trials in 2021, and the start of series production around a year later has enhanced the drive shaft market CAGR across the globe in recent years.
However, due to the presence of significant developing nations in the region, such as China and India, where demand for both passenger and commercial vehicles is rising annually, the region's automobile market is expanding quickly. For instance, in January 2021, China's vehicle sales and manufacturing rose by 34.6%. Following the country's recovery from COVID-19's effects, sales have increased since 2020. According to supply and demand statistics, China is the largest automobile market, another factor driving the growth of the drive shaft industry revenue.
The drive shaft market segmentation, based on vehicle type, includes passenger cars, light commercial vehicles, and heavy commercial vehicles. The passenger cars segment held the majority share 2021 of the drive shaft market revenue. The passenger car sector is driven by automation and connectivity due to rising manufacturing in the Asia-Pacific region. Low-cost labor and abundant raw materials will boost the passenger vehicle industry globally. Over the anticipated timeframe, the growth of the heavy-duty truck industry will be fueled by rising and local trading activity.
The drive shaft market segmentation, based on design, includes the front drive shaft and rear drive shaft. The rear drive shaft segment dominated the market in 2021 and is projected to be the faster-growing segment during the forecast period 2022-2030. The main factor influencing the market's growth is considered to be the fact that most commercial vehicles have rear drive shafts. An automobile's transmission transmits power or rotary motion to the rear axle through the drive shaft. Hence, the rising demand for rear drive shafts positively impacts market growth.
Figure 2: Drive Shaft Market by Design, 2021 & 2030 (USD Million)
Source: Secondary Research, Primary Research, MRFR Database, and Analyst Review
By region, the study provides market insights into North America, Europe, Asia-Pacific, and the Rest of the World. Asia-Pacific Drive Shaft industry accounted for USD 2,543.96 million in 2021 and is expected to exhibit the fastest CAGR growth during the study period. Emerging Asian-Pacific economies contribute to a share of vehicle sales, which is anticipated to continue over the forecast period. Furthermore, significant GDP growth and rising per capita income are the main drivers of the automotive industry's expansion. They are anticipated to positively impact drive shaft demand in this region during the projected period.
Further, the major countries studied in the market report are the U.S., Canada, Germany, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.
Figure 3: DRIVE SHAFT MARKET SHARE BY REGION 2021 (%)
Source: Secondary Research, Primary Research, MRFR Database, and Analyst Review
Europe drive shaft market accounts for the second-largest market share due to its favorable government policies, the presence of leading OEMs, and its developed automobile infrastructure. Further, the Germany drive shaft market held the largest market share, and the UK drive shaft market was the fastest-growing market in the European region.
The North America drive shaft market accounts for a significant market share. The rising demand for electric and light commercial vehicles is majorly attributed to the drive shaft market's rapid expansion in the North American region. The market is expanding due to the rising vehicle production and the consequent increase in drive shafts use in these vehicles. Moreover, the US drive shaft market held the largest market share, and the Canada drive shaft market was the fastest-growing market in the North America region.
Major market players are spending a lot of money on R&D to increase their product lines, which will help the drive shaft market grow even more. Market participants are also taking various strategic initiatives to grow their footprint, with key market developments such as new product launches, contractual agreements, mergers and acquisitions, increased investments, and collaboration with other organizations. Competitors in the drive shaft industry must offer cost-effective items to expand and survive in an increasingly competitive and rising market environment.
One of the primary business strategies manufacturers adopt in the drive shaft industry to benefit clients and expand the market sector is manufacturing locally to reduce operating costs. The drive shaft industry has provided vehicles with some of the most significant benefits in recent years. The drive shaft industry major players such as GKN PLC (UK), Advanced Composite Products & Technology Inc., ACPT Inc. (US), American Axle & Manufacturing Holdings Inc. (US), and others are working on expanding the market demand by investing in research and development activities.
GKN PLC (UK) is a British multinational company with its main office in Redditch, England, that manufactures automotive and aerospace components. It has a well-established company named Guest, Keen, and Nettlefolds. The initials of three early members of the company's history, John Guest, Arthur Keen, and Joseph Henry Nettlefold, are used as the name. All three were significant iron and steel industry figures during the Industrial Revolution. Although steel production remained the main focus of GKN for the bulk of the 20th century, it diversified into the production of tools and components. Government policies during the second half of the 20th century, when Britain's steel industry was the target of numerous nationalization and privatization attempts, significantly impacted it. In January 2020, GKN PLC and Delta Electronics Inc. announced their collaboration to create cutting-edge eDrive technology.
Also, American Axle & Manufacturing Holdings Inc. (US) is a manufacturer of driveline and drivetrain systems and components for automobiles, with its corporate headquarters in Detroit, Michigan. AAM has expanded to serve numerous OEM manufacturers in passenger, light truck, and commercial vehicle segments. Some of its key products are axles, drive shafts, front axles, universal joints, sealing products, and thermal management items. In February 2021, Ram's heavy-duty pick-up truck axle and driveshaft program was secured by American Axle & Manufacturing (AAM) Holdings Inc. through 2030.
February 2021: Ram's heavy-duty pick-up truck axle and driveshaft program has been secured by American Axle Manufacturing (AAM) through 2030.
August 2021: Wanxiang Qianchao announced the beginning of production of high-speed ball cage driveshafts for a van model manufactured by the Russian company GAZ International LL through its subsidiary Wanxiang Qianchao Transmission Shaft Co. (GAZ).
February 2022: Drive shafts have been added as a new product vertical, according to Endurance Technologies. The driveshaft is a high-tech, proprietary product used in the automotive industry. Three-wheelers and four-wheelers, including some light commercial vehicles, are eligible for the application. For EVs as well, the driveshaft is a necessary component.
| Report Attribute/Metric | Details |
| Market Size 2023 | USD 41,974.0 Million |
| Market Size 2024 | USD 44,200.4 Million |
| Market Size 2032 | USD 65,689.4 Million |
| Compound Annual Growth Rate (CAGR) | 5.08% (2024-2032) |
| Base Year | 2023 |
| Market Forecast Period | 2024-2032 |
| Historical Data | 2018 & 2022 |
| Market Forecast Units | Value (USD Million) |
| Report Coverage | Revenue Forecast, Market Competitive Landscape, Growth Factors, and Trends |
| Segments Covered | Vehicle Type, Design, and Region |
| Geographies Covered | North America, Europe, Asia-Pacific, and the Rest of the World |
| Countries Covered | The U.S, Canada, Germany, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil |
| Key Companies Profiled | GKN PLC (UK), Advanced Composite Products & Technology Inc., ACPT Inc. (US), American Axle & Manufacturing Holdings Inc. (US), Neapco Holdings LLC (US), Dana Holding Corporation (US), Yamada Manufacturing Co. Ltd. (Japan), Trelleborg AB (Sweden), NTN Corporation (Japan), Ifa Rotorion - Holding GmbH (Germany), and The Timken Company (US) |
| Key Market Opportunities | Increasing demand for lightweight drive shafts to meet the demand for fuel-efficient vehicles with the stringent norms |
| Key Market Dynamics | Increasing vehicle sales Increase in the development of the automotive industry |
Drive Shaft Market Highlights:
Frequently Asked Questions (FAQ) :
The drive shaft market size was valued at USD 41,974.0 Million in 2023.
The market is projected to register a CAGR of 5.08% during the forecast period 2024-2032.
Asia-Pacific had the largest share of the market.
The key players in the market are GKN PLC (UK), Advanced Composite Products & Technology Inc., ACPT Inc. (US), American Axle & Manufacturing Holdings Inc. (US), Neapco Holdings LLC (US), Dana Holding Corporation (US), Yamada Manufacturing Co. Ltd. (Japan), Trelleborg AB (Sweden), NTN Corporation (Japan), Ifa Rotorion - Holding GmbH (Germany), and The Timken Company (US).
The passenger cars category dominated the drive shaft industry in 2021.
The rear drive shaft had the largest share in the drive shaft market.
Senior Research Analyst I have a bachelor's degree in mechanical engineering and an mba. i have more than two years of expertise in the retail, food, and beverage, chemical, and material industries, and hence have developed a sound cross-domain expertise. a firm believer in lifelong learning and sharing of knowledge. having a proclivity for hatching ideas and trying to absorb as much information as possible in a short amount of time. introducing corporates to the data and insight, which enables them to move from probability to possibility, has been my key areas of interest.Â
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