Active Power Steering Market Size and Outlook 2031

Report Description

Key Insights	Details
Forecast Period	2026 - 2031
Market Size (2025)	USD 11.25 Billion
CAGR (2026-2031)	10.12%
Fastest Growing Segment	Steer-by-wire (12.32% projected CAGR through 2030)
Largest Market	Asia Pacific
Market Size (2031)	USD 20.06 Billion

Market Overview

The Global Active Power Steering Market is expected to grow from USD 11.25 Billion in 2025 to USD 20.06 Billion by 2031 at a 10.12% CAGR. Active power steering systems dynamically modify the steering ratio and effort based on vehicle speed and driving conditions, providing enhanced maneuverability at lower speeds and improved stability at higher velocities. The increasing integration of advanced driver-assistance systems, which necessitate precise steering control, and a growing consumer demand for superior vehicle safety and handling characteristics are primary market growth drivers. The transition towards vehicle electrification further supports demand for active power steering due to its inherent energy efficiency and seamless compatibility with electric architectures.

However, a significant impediment to broader market expansion is the elevated manufacturing complexity and higher unit cost inherent in these advanced steering systems when compared to conventional electric power steering solutions. According to the International Organization of Motor Vehicle Manufacturers (OICA), global vehicle production reached 96.4 million units in 2025, representing the foundational market volume where active power steering systems can be integrated. This extensive market, however, experiences cost sensitivity that can impede the wider adoption of premium componentry.

Key Market Drivers

EU Safety Regulation Drives Advanced Steering Requirements
The increasing integration of Advanced Driver Assistance Systems (ADAS) is a significant catalyst for the global active power steering market. These systems, ranging from lane-keeping assist to autonomous emergency braking, rely heavily on precise and responsive steering control to function effectively and enhance vehicle safety. Active power steering systems offer the necessary dynamic adjustments to steering ratio and effort, ensuring seamless interaction with ADAS functionalities. According to ERTICO, October 2026, in a market trends report, from July 7, 2026, all newly registered passenger cars and light vans in the EU must feature advanced emergency braking with pedestrian and cyclist detection, alongside advanced driver distraction warning. This regulatory push necessitates advanced steering solutions capable of executing precise maneuvers dictated by safety systems.

Steer-by-Wire and Software-Defined Steering Accelerate Adoption
Further impacting the market is the rapid advancement in steer-by-wire and software-defined steering technologies. These innovations eliminate the mechanical link between the steering wheel and the road wheels, offering unprecedented flexibility in vehicle design, enhanced customization of steering feel, and critical enablers for higher levels of autonomous driving. According to Maction Consulting, October 2026, in its 'Automotive Industry Trends 2026' report, over half of automotive development teams globally are now implementing software-defined vehicle architectures. This shift towards software-centric vehicle design inherently favors active power steering as it can be fully integrated and controlled digitally, optimizing performance and energy management. Globally, this technological evolution aligns with broader automotive trends; according to BloombergNEF, in August 2026, electric vehicles are projected to constitute over a quarter (27%) of global car sales in 2026, further reinforcing the demand for efficient and electronically controlled steering systems.

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Key Market Challenges

Cost and Complexity Impeding Market Growth
A significant challenging factor impeding the broader expansion of the global active power steering market is the elevated manufacturing complexity and higher unit cost inherent in these advanced steering systems. This directly positions active power steering at a competitive disadvantage when compared to more conventional electric power steering solutions, which generally offer lower production expenses. Original equipment manufacturers and consumers alike demonstrate a strong sensitivity to overall vehicle cost, leading to resistance against integrating or purchasing premium componentry unless its value proposition significantly outweighs the increased price.

Economic Viability Constraints in High-Volume Markets
Consequently, the higher cost associated with active power steering systems directly limits their adoption, particularly within high-volume vehicle segments where cost optimization is paramount. According to the European Automobile Manufacturers' Association (ACEA), in 2025, new passenger car registrations in the European Union reached 10.82 million units. This substantial market volume highlights the competitive environment where the economic viability of advanced components such as active power steering can be critically assessed, restricting its widespread integration and thus hampering the overall growth of the market.

Key Market Trends

AI-Powered Adaptive Steering and Personalization
The emergence of AI-assisted adaptive steering represents a pivotal trend, moving beyond reactive driver assistance to proactive, intelligent vehicle control. This involves using artificial intelligence algorithms to learn driver preferences and dynamically adjust steering characteristics based on real-time driving conditions and scenarios. Vehicle manufacturers are actively integrating AI to enable more personalized and intuitive steering responses, enhancing both comfort and safety. For instance, Hyundai Mobis, in October 2026, hosted a Mobility Application Hackathon where 67 teams participated to develop infotainment apps centered on artificial intelligence and software-defined vehicles. This highlights the growing focus on leveraging AI to create sophisticated and adaptable steering experiences.

Lightweighting and Energy-Efficient EPS Deployment
Concurrently, a significant emphasis on lightweighting and energy-efficient designs is shaping the active power steering market. This trend is driven by the broader automotive industry's push to improve overall vehicle efficiency, critical for extending the range of electric vehicles and enhancing fuel economy. Manufacturers are exploring advanced materials and optimized component geometries to reduce the mass of steering systems without compromising structural integrity. This also includes developing systems that consume less power during operation. Illustrating this commitment, General Motors, as of August 2026, is accelerating the integration of Electric Power Steering (EPS) across its Silverado and Hummer platforms, with an objective to achieve a 20% reduction in steering system weight by 2026. Such initiatives are crucial for meeting environmental regulations and consumer demands.

Segmental Insights

Steer-by-wire: Fastest-Growing Segment Enabling Autonomous Driving and Enhanced Safety
A key segmental insight for the Global Active Power Steering Market highlights that the Steer-by-wire segment is the fastest growing. This rapid expansion is primarily driven by its indispensable role in the progression of autonomous driving technologies and the increasing demand for enhanced vehicle safety features. By eliminating the traditional mechanical connection between the steering wheel and the road wheels, Steer-by-wire systems provide superior flexibility for integration with advanced driver-assistance systems and enable more precise electronic control, directly addressing the automotive industry’s shift towards intelligent vehicle dynamics and improved occupant protection. This technology also facilitates innovative vehicle interior designs and can standardize cockpit modules, contributing to reduced complexity and costs for manufacturers.

Regional Insights

Asia Pacific Leads the Global Active Power Steering Market Through Production Scale, Safety Initiatives, and EV Adoption
Asia Pacific is the leading region in the Global Active Power Steering Market, primarily driven by substantial automotive production across key countries such as China, Japan, and India. The region's prominent position is attributed to the increasing demand for vehicles equipped with advanced features, alongside government initiatives promoting enhanced road safety and reduced environmental impact through stricter emission standards. Furthermore, the accelerating adoption of electric and hybrid vehicles necessitates sophisticated and energy-efficient steering solutions. Original equipment manufacturers are actively localizing production and investing in technological innovations, including the integration of advanced driver-assistance systems, to meet evolving consumer preferences for safer and more comfortable driving experiences.

Recent Developments

In April 2025, Nexteer Automotive launched its High-Output Column-Assist Electric Power Steering (HO CEPS) system, marking a significant product introduction in the active power steering sector. This new system expanded steering assist capacity up to 110 Nm, allowing it to support larger and heavier vehicles, including those typically requiring more complex steering systems. The HO CEPS aims to maintain steering precision, enhance fuel efficiency, and offer cost-effectiveness, providing original equipment manufacturers with greater flexibility across vehicle platforms.
In February 2025, ZF began the series production of its steer-by-wire system for the NIO ET9 electric vehicle. This breakthrough research and subsequent commercial launch signified a pivotal step in active power steering technology by eliminating the mechanical connection between the steering wheel and the front wheels. ZF supplied both the steering wheel actuator and the redundant steering gear actuator, alongside the necessary software, enabling new possibilities for steering wheel designs and advanced vehicle control functions.
In January 2025, the Rane Group, an industrial company based in India, formed a partnership with Germany's ZF Friedrichshafen AG. This collaboration was established to introduce advanced rack drive electric power steering (EPS) technologies to the Indian market. The initiative aims to localize sophisticated electric power steering solutions, thereby improving vehicle safety and driver comfort. This strategic alliance is expected to strengthen the supply of innovative steering systems within India, directly contributing to the evolution of the global active power steering market by advancing regional technological capabilities.
In August 2024, Robert Bosch GmbH introduced its ServoE steering system, augmenting its product portfolio with a fully electric steering system specifically designed for heavy trucks. This electromechanical steering system facilitated simple and oil-free assembly, and its power-on-demand function was developed to ensure environmentally conscious driving. The system allowed for the customization of steering function and feel to meet specific customer requirements, representing a new product launch directly impacting the heavy commercial vehicle segment of the global active power steering market.

Key Market Players

Robert Bosch GmbH
ZF Friedrichshafen AG
JTEKT Corporation
NSK Ltd
Nexteer Automotive Corporation
ThyssenKrupp AG
Hyundai Mobis Co. Ltd
Denso Corporation
Hitachi Astemo Ltd
Knorr-Bremse AG

By Steering Type	By Vehicle Type	By Propulsion Type	By Component	By Distribution Channel	By Region
Hydraulic Power Steering (HPS) Electric Power Steering (EPS) Electro-Hydraulic Steering (EHPS) Steer-by-Wire	Passenger Cars Light Commercial Vehicles (LCV) Medium and Heavy Commercial Vehicles (MHCV) Buses & Coaches	Internal Combustion Engine (ICE) Battery Electric Vehicle (BEV) Plug-in Hybrid Electric Vehicle (PHEV) Hybrid Electric Vehicle (HEV) Fuel Cell Electric Vehicle (FCEV)	Steering Column Steering Rack Sensors Control Modules Others	Original Equipment Manufacturer (OEM) Aftermarket	North America Europe Asia Pacific South America Middle East & Africa

Report Scope:

In this report, the Global Active Power Steering Market has been segmented into the following categories, in addition to the industry trends which have also been detailed below:

Active Power Steering Market, By Steering Type:

Hydraulic Power Steering (HPS)
Electric Power Steering (EPS)
Electro-Hydraulic Steering (EHPS)
Steer-by-Wire

Active Power Steering Market, By Vehicle Type:

Passenger Cars
Light Commercial Vehicles (LCV)
Medium and Heavy Commercial Vehicles (MHCV)
Buses & Coaches

Active Power Steering Market, By Propulsion Type:

Internal Combustion Engine (ICE)
Battery Electric Vehicle (BEV)
Plug-in Hybrid Electric Vehicle (PHEV)
Hybrid Electric Vehicle (HEV)
Fuel Cell Electric Vehicle (FCEV)

Active Power Steering Market, By Component:

Steering Column
Steering Rack
Sensors
Control Modules
Others

Active Power Steering Market, By Distribution Channel:

Original Equipment Manufacturer (OEM)
Aftermarket

Active Power Steering Market, By Region:

North America

United States
Canada
Mexico

Europe

France
United Kingdom
Italy
Germany
Spain

Asia Pacific

China
India
Japan
Australia
South Korea

South America

Brazil
Argentina
Colombia

Middle East & Africa

South Africa
Saudi Arabia
UAE

Competitive Landscape

Company Profiles: Detailed analysis of the major companies present in the Global Active Power Steering Market.

Available Customizations:

Global Active Power Steering Market report with the given market data, TechSci Research offers customizations according to a company's specific needs. The following customization options are available for the report:

Company Information

Detailed analysis and profiling of additional market players (up to five).

Global Active Power Steering Market is an upcoming report to be released soon. If you wish an early delivery of this report or want to confirm the date of release, please contact us at sales@techsciresearch.com

Table of content

1. Product Overview

1.1. Market Definition

1.2. Scope of the Market

1.2.1. Markets Covered

1.2.2. Years Considered for Study

1.2.3. Key Market Segmentations

2. Research Methodology

2.1. Objective of the Study

2.2. Baseline Methodology

2.3. Key Industry Partners

2.4. Major Association and Secondary Sources

2.5. Forecasting Methodology

2.6. Data Triangulation & Validation

2.7. Assumptions and Limitations

3. Executive Summary

3.1. Overview of the Market

3.2. Overview of Key Market Segmentations

3.3. Overview of Key Market Players

3.4. Overview of Key Regions/Countries

3.5. Overview of Market Drivers, Challenges, Trends

4. Voice of Customer

5. Global Active Power Steering Market Outlook

5.1. Market Size & Forecast

5.1.1. By Value

5.2. Market Share & Forecast

5.2.1. By Steering Type (Hydraulic Power Steering (HPS), Electric Power Steering (EPS), Electro-Hydraulic Steering (EHPS), Steer-by-Wire)

5.2.2. By Vehicle Type (Passenger Cars, Light Commercial Vehicles (LCV), Medium and Heavy Commercial Vehicles (MHCV), Buses & Coaches)

5.2.3. By Propulsion Type (Internal Combustion Engine (ICE), Battery Electric Vehicle (BEV), Plug-in Hybrid Electric Vehicle (PHEV), Hybrid Electric Vehicle (HEV), Fuel Cell Electric Vehicle (FCEV))

5.2.4. By Component (Steering Column, Steering Rack, Sensors, Control Modules, Others)

5.2.5. By Distribution Channel (Original Equipment Manufacturer (OEM), Aftermarket)

5.2.6. By Region

5.2.7. By Company (2025)

5.3. Market Map

6. North America Active Power Steering Market Outlook

6.1. Market Size & Forecast

6.1.1. By Value

6.2. Market Share & Forecast

6.2.1. By Steering Type

6.2.2. By Vehicle Type

6.2.3. By Propulsion Type

6.2.4. By Component

6.2.5. By Distribution Channel

6.2.6. By Country

6.3. North America: Country Analysis

6.3.1. United States Active Power Steering Market Outlook

6.3.1.1. Market Size & Forecast

6.3.1.1.1. By Value

6.3.1.2. Market Share & Forecast

6.3.1.2.1. By Steering Type

6.3.1.2.2. By Vehicle Type

6.3.1.2.3. By Propulsion Type

6.3.1.2.4. By Component

6.3.1.2.5. By Distribution Channel

6.3.2. Canada Active Power Steering Market Outlook

6.3.2.1. Market Size & Forecast

6.3.2.1.1. By Value

6.3.2.2. Market Share & Forecast

6.3.2.2.1. By Steering Type

6.3.2.2.2. By Vehicle Type

6.3.2.2.3. By Propulsion Type

6.3.2.2.4. By Component

6.3.2.2.5. By Distribution Channel

6.3.3. Mexico Active Power Steering Market Outlook

6.3.3.1. Market Size & Forecast

6.3.3.1.1. By Value

6.3.3.2. Market Share & Forecast

6.3.3.2.1. By Steering Type

6.3.3.2.2. By Vehicle Type

6.3.3.2.3. By Propulsion Type

6.3.3.2.4. By Component

6.3.3.2.5. By Distribution Channel

7. Europe Active Power Steering Market Outlook

7.1. Market Size & Forecast

7.1.1. By Value

7.2. Market Share & Forecast

7.2.1. By Steering Type

7.2.2. By Vehicle Type

7.2.3. By Propulsion Type

7.2.4. By Component

7.2.5. By Distribution Channel

7.2.6. By Country

7.3. Europe: Country Analysis

7.3.1. Germany Active Power Steering Market Outlook

7.3.1.1. Market Size & Forecast

7.3.1.1.1. By Value

7.3.1.2. Market Share & Forecast

7.3.1.2.1. By Steering Type

7.3.1.2.2. By Vehicle Type

7.3.1.2.3. By Propulsion Type

7.3.1.2.4. By Component

7.3.1.2.5. By Distribution Channel

7.3.2. France Active Power Steering Market Outlook

7.3.2.1. Market Size & Forecast

7.3.2.1.1. By Value

7.3.2.2. Market Share & Forecast

7.3.2.2.1. By Steering Type

7.3.2.2.2. By Vehicle Type

7.3.2.2.3. By Propulsion Type

7.3.2.2.4. By Component

7.3.2.2.5. By Distribution Channel

7.3.3. United Kingdom Active Power Steering Market Outlook

7.3.3.1. Market Size & Forecast

7.3.3.1.1. By Value

7.3.3.2. Market Share & Forecast

7.3.3.2.1. By Steering Type

7.3.3.2.2. By Vehicle Type

7.3.3.2.3. By Propulsion Type

7.3.3.2.4. By Component

7.3.3.2.5. By Distribution Channel

7.3.4. Italy Active Power Steering Market Outlook

7.3.4.1. Market Size & Forecast

7.3.4.1.1. By Value

7.3.4.2. Market Share & Forecast

7.3.4.2.1. By Steering Type

7.3.4.2.2. By Vehicle Type

7.3.4.2.3. By Propulsion Type

7.3.4.2.4. By Component

7.3.4.2.5. By Distribution Channel

7.3.5. Spain Active Power Steering Market Outlook

7.3.5.1. Market Size & Forecast

7.3.5.1.1. By Value

7.3.5.2. Market Share & Forecast

7.3.5.2.1. By Steering Type

7.3.5.2.2. By Vehicle Type

7.3.5.2.3. By Propulsion Type

7.3.5.2.4. By Component

7.3.5.2.5. By Distribution Channel

8. Asia Pacific Active Power Steering Market Outlook

8.1. Market Size & Forecast

8.1.1. By Value

8.2. Market Share & Forecast

8.2.1. By Steering Type

8.2.2. By Vehicle Type

8.2.3. By Propulsion Type

8.2.4. By Component

8.2.5. By Distribution Channel

8.2.6. By Country

8.3. Asia Pacific: Country Analysis

8.3.1. China Active Power Steering Market Outlook

8.3.1.1. Market Size & Forecast

8.3.1.1.1. By Value

8.3.1.2. Market Share & Forecast

8.3.1.2.1. By Steering Type

8.3.1.2.2. By Vehicle Type

8.3.1.2.3. By Propulsion Type

8.3.1.2.4. By Component

8.3.1.2.5. By Distribution Channel

8.3.2. India Active Power Steering Market Outlook

8.3.2.1. Market Size & Forecast

8.3.2.1.1. By Value

8.3.2.2. Market Share & Forecast

8.3.2.2.1. By Steering Type

8.3.2.2.2. By Vehicle Type

8.3.2.2.3. By Propulsion Type

8.3.2.2.4. By Component

8.3.2.2.5. By Distribution Channel

8.3.3. Japan Active Power Steering Market Outlook

8.3.3.1. Market Size & Forecast

8.3.3.1.1. By Value

8.3.3.2. Market Share & Forecast

8.3.3.2.1. By Steering Type

8.3.3.2.2. By Vehicle Type

8.3.3.2.3. By Propulsion Type

8.3.3.2.4. By Component

8.3.3.2.5. By Distribution Channel

8.3.4. South Korea Active Power Steering Market Outlook

8.3.4.1. Market Size & Forecast

8.3.4.1.1. By Value

8.3.4.2. Market Share & Forecast

8.3.4.2.1. By Steering Type

8.3.4.2.2. By Vehicle Type

8.3.4.2.3. By Propulsion Type

8.3.4.2.4. By Component

8.3.4.2.5. By Distribution Channel

8.3.5. Australia Active Power Steering Market Outlook

8.3.5.1. Market Size & Forecast

8.3.5.1.1. By Value

8.3.5.2. Market Share & Forecast

8.3.5.2.1. By Steering Type

8.3.5.2.2. By Vehicle Type

8.3.5.2.3. By Propulsion Type

8.3.5.2.4. By Component

8.3.5.2.5. By Distribution Channel

9. Middle East & Africa Active Power Steering Market Outlook

9.1. Market Size & Forecast

9.1.1. By Value

9.2. Market Share & Forecast

9.2.1. By Steering Type

9.2.2. By Vehicle Type

9.2.3. By Propulsion Type

9.2.4. By Component

9.2.5. By Distribution Channel

9.2.6. By Country

9.3. Middle East & Africa: Country Analysis

9.3.1. Saudi Arabia Active Power Steering Market Outlook

9.3.1.1. Market Size & Forecast

9.3.1.1.1. By Value

9.3.1.2. Market Share & Forecast

9.3.1.2.1. By Steering Type

9.3.1.2.2. By Vehicle Type

9.3.1.2.3. By Propulsion Type

9.3.1.2.4. By Component

9.3.1.2.5. By Distribution Channel

9.3.2. UAE Active Power Steering Market Outlook

9.3.2.1. Market Size & Forecast

9.3.2.1.1. By Value

9.3.2.2. Market Share & Forecast

9.3.2.2.1. By Steering Type

9.3.2.2.2. By Vehicle Type

9.3.2.2.3. By Propulsion Type

9.3.2.2.4. By Component

9.3.2.2.5. By Distribution Channel

9.3.3. South Africa Active Power Steering Market Outlook

9.3.3.1. Market Size & Forecast

9.3.3.1.1. By Value

9.3.3.2. Market Share & Forecast

9.3.3.2.1. By Steering Type

9.3.3.2.2. By Vehicle Type

9.3.3.2.3. By Propulsion Type

9.3.3.2.4. By Component

9.3.3.2.5. By Distribution Channel

10. South America Active Power Steering Market Outlook

10.1. Market Size & Forecast

10.1.1. By Value

10.2. Market Share & Forecast

10.2.1. By Steering Type

10.2.2. By Vehicle Type

10.2.3. By Propulsion Type

10.2.4. By Component

10.2.5. By Distribution Channel

10.2.6. By Country

10.3. South America: Country Analysis

10.3.1. Brazil Active Power Steering Market Outlook

10.3.1.1. Market Size & Forecast

10.3.1.1.1. By Value

10.3.1.2. Market Share & Forecast

10.3.1.2.1. By Steering Type

10.3.1.2.2. By Vehicle Type

10.3.1.2.3. By Propulsion Type

10.3.1.2.4. By Component

10.3.1.2.5. By Distribution Channel

10.3.2. Colombia Active Power Steering Market Outlook

10.3.2.1. Market Size & Forecast

10.3.2.1.1. By Value

10.3.2.2. Market Share & Forecast

10.3.2.2.1. By Steering Type

10.3.2.2.2. By Vehicle Type

10.3.2.2.3. By Propulsion Type

10.3.2.2.4. By Component

10.3.2.2.5. By Distribution Channel

10.3.3. Argentina Active Power Steering Market Outlook

10.3.3.1. Market Size & Forecast

10.3.3.1.1. By Value

10.3.3.2. Market Share & Forecast

10.3.3.2.1. By Steering Type

10.3.3.2.2. By Vehicle Type

10.3.3.2.3. By Propulsion Type

10.3.3.2.4. By Component

10.3.3.2.5. By Distribution Channel

11. Market Dynamics

11.1. Drivers

11.2. Challenges

12. Market Trends & Developments

12.1. Merger & Acquisition (If Any)

12.2. Product Launches (If Any)

12.3. Recent Developments

13. Global Active Power Steering Market: SWOT Analysis

14. Porter's Five Forces Analysis

14.1. Competition in the Industry

14.2. Potential of New Entrants

14.3. Power of Suppliers

14.4. Power of Customers

14.5. Threat of Substitute Products

15. Competitive Landscape

15.1. Robert Bosch GmbH

15.1.1. Business Overview

15.1.2. Products & Services

15.1.3. Recent Developments

15.1.4. Key Personnel

15.1.5. SWOT Analysis

15.2. ZF Friedrichshafen AG

15.3. JTEKT Corporation

15.4. NSK Ltd

15.5. Nexteer Automotive Corporation

15.6. ThyssenKrupp AG

15.7. Hyundai Mobis Co. Ltd

15.8. Denso Corporation

15.9. Hitachi Astemo Ltd

15.10. Knorr-Bremse AG

16. Strategic Recommendations

17. About Us & Disclaimer

Report Description

Table of content

Figures and Tables

Frequently asked questions

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