|
Forecast Period
|
2026-2030
|
|
Market Size (2024)
|
USD 5.5 Billion
|
|
CAGR (2025-2030)
|
9.6%
|
|
Fastest Growing Segment
|
Passenger
Cars
|
|
Largest Market
|
Central Region
|
|
Market Size (2030)
|
USD 9.5 Billion
|
Market
Overview
Russia Automotive EPS Market was valued at USD 5.5 Billion in 2024 and is
expected to reach USD 9.5 Billion by 2030 with a CAGR of 9.6% during the
forecast period. Russia’s automotive electric power steering (EPS) market is positioned
for growth between 2026 and 2030 as several key drivers propel demand for more
advanced steering solutions. As the automotive industry continues to evolve,
electric power steering systems, which offer improved efficiency, comfort, and
safety over traditional hydraulic systems, are becoming increasingly popular.
Automakers are seeking EPS technologies that reduce fuel consumption and
increase overall vehicle performance. With an increasing emphasis on energy
efficiency and sustainability in the automotive sector, EPS is expected to
become the standard for steering systems in the coming years. According to the
Association of European Businesses (AEB), the Russian car market grew by 58% in
January–September 2024 and by 33% in September 2024 year-on-year.
The market growth will also be propelled by the increasing adoption of
electric vehicles (EVs) and hybrid cars in Russia. These types of vehicles
require steering systems that are more energy-efficient and align with their
green technologies. Electric power steering is well-suited to meet these
requirements as it consumes less energy compared to traditional hydraulic
systems. As consumers continue to prioritize safety and convenience in their
vehicle purchases, the demand for advanced EPS technologies, which include
features like automatic lane-keeping assist and adaptive steering, is expected
to rise, shaping the future of the market.
However, several challenges remain in the path of EPS growth in Russia’s
automotive market. The adoption of electric power steering systems faces
challenges such as high manufacturing costs, limited awareness, and concerns
regarding system reliability. Despite these barriers, the long-term market
outlook for EPS is positive due to continuous technological advancements and
the increasing adoption of eco-friendly vehicle solutions.
Market
Drivers
Technological Advancements in EPS Systems
The continuous development of advanced EPS technologies in Russia is a
major driver. Integrating features such as adaptive steering and enhanced
control systems improves vehicle handling and driving precision. These
innovations not only reduce energy consumption but also offer customizable
steering experiences, fueling the demand for EPS in modern vehicles across
Russia.
Shift Toward Electric and Hybrid Vehicles
Russia's automotive market is witnessing a rise in the adoption of
electric and hybrid vehicles, driving the need for efficient, energy-saving
steering systems. EPS systems are ideally suited for these vehicles, offering
lighter and more energy-efficient alternatives compared to traditional
hydraulic systems. This trend is expected to further expand the EPS market,
particularly in environmentally conscious vehicle segments.
In 2024, Russian electric vehicle (EV) sales surged, reaching over
20,500 units, marking a 350% increase from the previous year. This growth was
mainly fueled by Chinese brands, especially Zeekr, despite challenges such as
limited charging infrastructure and minimal government support.
Stringent Environmental and Fuel Efficiency Regulations
Russia’s government is focusing on reducing carbon emissions and
promoting fuel efficiency, urging automakers to shift to more energy-efficient
vehicle systems. EPS systems, which require less energy and contribute to lower
emissions, support compliance with these regulations, driving their adoption
across the automotive sector.
Enhanced Vehicle Safety Features
As consumer demand for safer vehicles rises, EPS systems are becoming an
integral part of modern automotive safety. With advanced safety features such
as lane-keeping assist and collision avoidance systems, EPS plays a critical
role in delivering precise steering control and improving vehicle safety, a key
factor pushing the demand in Russia.
Cost-Effectiveness and Reduced Maintenance Needs
EPS systems offer significant cost savings over traditional hydraulic
systems by reducing the need for fluid replacements and maintenance. The
durability and lower operational costs of EPS systems make them an appealing
option for automakers in Russia, contributing to their increased adoption in
both production and replacement markets.
Download Free Sample Report
Key Market Challenges
High Initial Costs of EPS Systems
The significant upfront investment required for manufacturing and
installing EPS systems poses a challenge in Russia, where price sensitivity in
the automotive market is high. While EPS offers long-term savings, the higher
initial costs can limit its adoption, especially in budget-conscious consumer
segments.
Limited Consumer Awareness
In Russia, many consumers still lack awareness of the benefits of EPS
compared to traditional hydraulic steering systems. Despite its superior
efficiency and handling characteristics, the unfamiliarity with EPS may delay
its widespread adoption among vehicle buyers, particularly in regions where
traditional systems are still dominant.
Concerns Over System Reliability
As a relatively newer technology, EPS is viewed by some consumers and
automakers as less reliable than the established hydraulic systems. Any
performance or durability issues in EPS systems could hinder their broader
acceptance in Russia’s automotive market, particularly in the long term.
Scarcity of Skilled Workforce
The shift toward electric power steering systems in Russia presents a
challenge in terms of the required workforce. The need for skilled labor to
design, manufacture, and maintain EPS technology could strain the industry, as
there may be a lack of specialized training and expertise available locally.
Technological Integration with Other Automotive Systems
Integrating EPS with other advanced vehicle systems, such as electric
powertrains or autonomous driving features, requires sophisticated engineering
and development efforts. The challenge of ensuring compatibility and seamless
functionality between these systems could slow down the adoption rate of EPS in
Russia’s automotive market.
Key Market Trends
Rise in Autonomous Vehicle Adoption
With the global automotive industry moving toward greater autonomy,
Russia is following suit, incorporating EPS systems into vehicles with
autonomous driving capabilities. These systems offer the precision and
adaptability necessary for autonomous steering, contributing to the rising
demand for EPS as part of connected and self-driving vehicles.
Focus on Lightweight Materials
To enhance the efficiency of EPS systems, Russian automakers are
increasingly using lightweight materials in their designs. Reducing the overall
vehicle weight improves fuel efficiency and performance, making EPS an
attractive option for electric and hybrid vehicle segments.
Increased Emphasis on User-Centric Experience
Automakers in Russia are increasingly prioritizing customer satisfaction
by integrating EPS systems that enhance vehicle comfort and steering response.
The ability to adjust steering effort and precision to suit driver preferences
is becoming a key feature in modern vehicles, driving consumer demand for EPS.
Integration of Smart Technologies
Smart features such as lane-keeping assist and emergency steering are
being integrated into EPS systems, aligning with the global trend of connected
and intelligent vehicles. The growth of these smart technologies in Russia is
pushing the demand for EPS systems that can support these innovations, offering
a safer and more connected driving experience.
Personalized Steering Options
As consumer preferences for customization increase, Russian automakers
are offering vehicles with customizable steering settings, allowing drivers to
adjust the steering response and effort. EPS systems, due to their inherent
flexibility, are ideally suited for this trend, helping to drive their adoption
in the Russian automotive market.
Segmental Insights
Type Insights
The automotive electric power steering (EPS) market can be segmented
based on the type of assist system used, including rack assist type (REPS),
column assist type (CEPS), and pinion assist type (PEPS). Each of these EPS
types offers unique benefits and applications in modern vehicles.
REPS systems are known for their efficient performance and compact
design. They utilize an electric motor mounted directly on the rack to provide
steering assistance. This type of EPS system is commonly used in vehicles
requiring precise and responsive steering control. REPS systems offer
advantages such as reduced weight, better fuel efficiency, and low maintenance
costs, which make them a popular choice among automakers.
In CEPS systems, the electric motor is integrated into the steering
column to assist in the rotation of the steering wheel. This type of EPS system
is typically used in smaller or compact vehicles, where space constraints
require a more compact and lightweight steering solution. CEPS offers benefits
such as improved steering feel and enhanced comfort during driving,
particularly in low-speed situations.
PEPS systems are designed to provide steering assistance at the pinion
gear. The motor in this system is mounted on the steering shaft, offering a
high level of precision and responsiveness. PEPS systems are particularly
effective in larger vehicles, providing enhanced stability and control at
higher speeds. This system is often used in vehicles that demand a high degree
of steering accuracy and reliability.
Each of these EPS types is suitable for different types of vehicles, and
their adoption depends on factors such as vehicle size, required steering
precision, and performance needs. The growing demand for energy-efficient and
low-maintenance steering solutions is likely to drive the adoption of these
systems across various segments of the automotive industry.
Download Free Sample Report
Regional
Insights
In 2024, the Central region of Russia was expected to dominate the
automotive electric power steering (EPS) market. This region, which includes
the capital city of Moscow and surrounding areas, plays a central role in the
country’s automotive industry due to its strong infrastructure, high levels of
industrial activity, and proximity to major automotive manufacturing plants.
Moscow, as the country’s economic and technological hub, drives the
demand for advanced automotive technologies, including EPS systems. The Central
region has a large concentration of automotive manufacturers and suppliers,
facilitating the production and distribution of vehicles equipped with the
latest steering systems. The region’s developed transportation network and
close ties to global automotive trends make it a key market for the adoption of
electric power steering in both domestic and foreign-made vehicles.
A significant factor contributing to the growth of the EPS market in the
Central region is the increasing focus on vehicle efficiency and environmental
sustainability. With stringent emissions regulations in place, there is a
strong push from both the government and consumers for the adoption of
technologies that reduce fuel consumption and carbon footprints. Electric power
steering, being more energy-efficient and environmentally friendly compared to
traditional hydraulic systems, aligns well with these objectives.
The Central region also benefits from a higher disposable income, which
allows consumers to afford vehicles equipped with advanced technologies like
EPS. As economic conditions improve and demand for higher-quality vehicles
grows, automakers are more likely to invest in electric power steering systems
to cater to the consumer base seeking comfort, safety, and fuel efficiency.
With growing awareness of the benefits of EPS, including improved
handling and reduced maintenance costs, demand is expected to rise in the
Central region. Furthermore, Moscow’s role as a leading business and
technological center ensures that the region remains at the forefront of
automotive innovation, influencing trends across the rest of the country. As
automakers continue to prioritize energy-efficient solutions, the Central
region will maintain its dominant position in the Russian automotive EPS market
through 2024.
Recent
Developments
- December 2023, The Industrial Development Fund (IDF) revealed an
investment of USD 23.97 million to establish the production of
import-substituting components. This investment will fund the construction of a
new facility in Murom, Vladimir region, where mass production of electric power
steering racks will begin for vehicles on the AURUS platform, as well as for
light commercial vehicles (LCVs) such as the Gazelle and Sobol. This will mark
the first such facility in Russia.
- September 2023, OMODA Russia launched the new S5 GT sedan in the
country. Available in two trim levels, Neo and Ultra, the Neo variant includes
features such as cruise control, dual-zone climate control, an electric parking
brake, and a heated steering wheel with electric power steering.
- February 2023, JSC Avtoelektronika Russia developed a prototype for an
electric power steering system for the Lada Vesta sedan. This development marks
an expansion of the company's product range in the Russian passenger car
market.
Key
Market Players
- JTEKT Corporation
- Nexteer Automotive Corporation
- NSK Ltd.
- Friedrichshafen AG
- Robert Bosch GmbH
- Mitsubishi Electric Corporation
- GKN PLC
- Denso Corporation
- Hyundai Mobis Co. Ltd.
- Thyssenkrupp AG
|
By Type
|
By Vehicle Type
|
By Demand Category
|
By Region
|
- Rack Assist Type
- Colum Assist Type
- Pinion Assist Type
|
- Passenger Cars
- Commercial Vehicles
|
- Original Equipment Manufacturer (OEM)
- Aftermarket
|
- Far Eastern
- Siberian
- Ural
- Northwest
- Volga
- Central
- South
|
Report
Scope:
In this
report, the Russia Automotive EPS Market has been segmented into the following
categories, in addition to the industry trends which have also been detailed
below:
·
Russia Automotive EPS Market, By Type:
o
Rack Assist Type
o
Colum Assist Type
o
Pinion Assist Type
·
Russia Automotive EPS Market, By Vehicle Type:
o
Passenger Cars
o
Commercial Vehicles
·
Russia Automotive EPS Market, By Demand Category:
o
Original Equipment Manufacturer (OEM)
o
Aftermarket
·
Russia Automotive EPS Market, By Region:
o
Far Eastern
o
Siberian
o
Ural
o
Northwest
o
Volga
o
Central
o
South
Competitive
Landscape
Company
Profiles: Detailed
analysis of the major companies presents in the Russia Automotive EPS Market.
Available
Customizations:
Russia Automotive
EPS Market report with the given market data, TechSci Research
offers customizations according to the 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).
Russia Automotive
EPS 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 [email protected]