PUBLISHER: The Business Research Company | PRODUCT CODE: 1702878
PUBLISHER: The Business Research Company | PRODUCT CODE: 1702878
A gearbox, also referred to as an automotive transmission, plays a crucial role in a vehicle's drivetrain system. Its primary function is to transfer the engine's power to the wheels, facilitating the vehicle's movement. By adjusting torque and speed according to driving conditions and driver input, the transmission ensures optimal performance and efficiency. It manages power distribution from the engine to the wheels, enabling the vehicle to operate effectively across different speeds and loads.
Automotive transmissions come in various types, including manual transmission, intelligent manual transmission (IMT), automated manual transmission (AMT), automatic transmission (AT), dual-clutch transmission, and others. In a manual transmission, drivers manually select gears using a clutch pedal and gear stick, providing greater control over the vehicle's performance and efficiency. Engines can be internal combustion (IC) engines or electric engines, running on fuel types such as gasoline, diesel, and others. Vehicle categories encompass passenger vehicles, light commercial vehicles, heavy commercial vehicles, and electric vehicles.
The automotive transmission market research report is one of a series of new reports from The Business Research Company that provides automotive transmission market statistics, including the automotive transmission industry global market size, regional shares, competitors with the automotive transmission market share, detailed automotive transmission market segments, market trends, and opportunities, and any further data you may need to thrive in the automotive transmission industry. These automotive transmission market research reports deliver a complete perspective of everything you need, with an in-depth analysis of the current and future scenarios of the industry.
The automotive transmission market size has grown strongly in recent years. It will grow from $131.61 billion in 2024 to $140.96 billion in 2025 at a compound annual growth rate (CAGR) of 7.1%. The growth in the historic period can be attributed to growth in global automobile production, increasing consumer preference for automatic transmissions, government regulations on fuel efficiency and emissions, rising disposable incomes and improved living standards and rising investments in research and development for transmission innovations.
The automotive transmission market size is expected to see strong growth in the next few years. It will grow to $182.96 billion in 2029 at a compound annual growth rate (CAGR) of 6.7%. The growth in the forecast period can be attributed to continued innovation in electric vehicle (EV) transmissions, growing demand for fuel-efficient and low-emission vehicles, expansion of automotive industries in emerging markets, increased adoption of advanced driver-assistance systems (ADAS) and government incentives for the development of green technologies. Major trends in the forecast period include shift towards hybrid and fully electric vehicle transmissions, development of lightweight and compact transmission systems, integration of smart and connected transmission technologies, enhanced focus on transmission durability and performance and technological advancements in transmission systems.
The growing demand for electric and hybrid vehicles is expected to drive the expansion of the automotive transmission market in the future. These vehicles utilize electric propulsion systems, either exclusively or in conjunction with traditional internal combustion engines, to lower emissions and enhance fuel efficiency. Factors such as increased environmental awareness, government incentives, and advancements in battery technology are fueling the demand for electric and hybrid vehicles. Automotive transmission systems in these vehicles manage power distribution between electric motors, batteries, and internal combustion engines to maximize efficiency and performance. For example, in April 2023, The International Energy Agency (IEA), an autonomous intergovernmental organization based in Europe, reported that global electric car sales saw a significant rise of 3.5 million units in 2023 compared to 2022, marking a 35% year-on-year increase. Thus, the rising demand for electric and hybrid vehicles is boosting the growth of the automotive transmission market.
Leading companies in the automotive transmission market are focusing on developing technologically advanced products with features such as crawl mode and hill-start assistance to gain a competitive edge. These features improve driving comfort and safety by enabling smoother starts on inclines and easier maneuvering at slow speeds in off-road or crowded urban areas. For instance, in October 2023, ZF Group, a German automotive parts manufacturer, introduced the Transwin, an automatic transmission for medium and heavy-duty trucks in China. The series includes 9-speed and 6-speed variants to meet various user needs and working conditions. It is designed for different transportation scenarios, including long-distance and urban delivery, and features crawl mode and hill-start assistance for enhanced driving comfort. The transmission is equipped with ZF's latest software platform and OptiDrive shift system to ensure precise gear shifts and optimal performance in all driving conditions.
In August 2023, MiddleGround Capital, a US-based private equity firm, acquired Xtrac for an undisclosed sum. This acquisition is expected to position Xtrac for long-term growth and leadership in the transition to hybrid and electric vehicle transmissions for motorsport and high-performance automotive applications. Xtrac, a UK-based engineering company, designs and manufactures transmission systems for high-performance vehicles.
Major companies operating in the automotive transmission market are Volkswagen, Toyota Motor Corporation, Ford Motor Company, General Motors Co., Honda Motor Co. Ltd., Nissan Motor Co. Ltd., Caterpillar Inc., ZF Friedrichshafen AG, Magna International Inc., Aisin Corporation, Chang'an Automobile Co. Ltd., BorgWarner Inc., American Axle & Manufacturing Inc., FAW Group Corp. Ltd., CLAAS, Allison Transmission Holdings Inc., Kalyani Technoforge Limited, TREMEC Corporation, Link Engineering Company, JATCO Ltd., Solero Technologies LLC, IMS Global Gear Machining LLC, Avtec Limited, Shanghai Automotive Transmission Co. Ltd., Hyundai Kefico Corporation, Colotti Trasmissioni, Gimec Trasmissioni S.r.l.
Europe was the largest region in the automotive transmission market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the automotive transmission market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
The countries covered in the automotive transmission market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.
The automotive transmission market consists of sales of variable transmissions (CVTs), and dual-clutch transmissions (DCTs). Values in this market are 'factory gate' values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.
The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).
The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.
Automotive Transmission Global Market Report 2025 from The Business Research Company provides strategists, marketers and senior management with the critical information they need to assess the market.
This report focuses on automotive transmission market which is experiencing strong growth. The report gives a guide to the trends which will be shaping the market over the next ten years and beyond.
Where is the largest and fastest growing market for automotive transmission ? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward? The automotive transmission market global report from the Business Research Company answers all these questions and many more.
The report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market's historic and forecast market growth by geography.
The forecasts are made after considering the major factors currently impacting the market. These include the Russia-Ukraine war, rising inflation, higher interest rates, and the legacy of the COVID-19 pandemic.