Electric power steering industry driven by the increasing demand for fuel efficiency

The electric power steering market has been forecast to increase at a compound annual growth rate (CAGR) of 13.44% through to 2016, driven by the increasing demand for fuel efficiency and the growing potential in the emerging markets.

Electric power steering (EPS) uses an electric motor to assist the driver of a vehicle. Sensors detect the position and torque of the steering column, and a computer module applies assistive torque via the motor, which connects to either the steering gear or steering column.

This allows varying amounts of assistance to be applied depending on driving conditions. Engineers can therefore tailor steering-gear response to variable-rate and variable-damping suspension systems, optimising ride, handling, and steering for each vehicle.

Electric systems have an advantage in fuel efficiency because there is no belt-driven hydraulic pump constantly running, whether assistance is required or not, and this is a major reason for their introduction.

Another major advantage is the elimination of a belt-driven engine accessory, and several high-pressure hydraulic hoses between the hydraulic pump, mounted on the engine, and the steering gear, mounted on the chassis.

The fast-paced growth in emerging economies offers huge potential for the electric power steering market. Despite the global economic slowdown, growth in APAC region (particularly China and India) has been robust. This has been primarily due to the massive fiscal stimulus package in China and to India's skillful macroeconomic management.

In the coming years, growth prospects are expected to develop in BRIC, while developed countries are expected to witness static sales or a fall in sales. Due to the high level of competition and the presence of several saturated markets most of the global automotive firms have shifted their focus to the APAC region and BRIC for new growth avenues, which will lead to opportunities for various automotive products and solutions.

Key players currently dominating the electric power steering market include JTEKT Corp., Mitsubishi Electric Corp., TRW Automotive Holdings Corp, and ZF Friedrichshafen AG.

For more information on the electric power steering market, see the latest research: Electric Power Steering Market

Follow us on Twitter @CandMResearch