Market Statistics
Study Period | 2019 - 2030 |
2024 Market Size | USD 14.8 Billion |
2030 Forecast | USD 34.9 Billion |
Growth Rate (CAGR) | 15.1% |
Largest Region | Asia-Pacific |
Fastest Growing Region | Asia-Pacific |
Nature of the Market | Fragmented |
Report Code: 12545
Get a Comprehensive Overview of the Electric Traction Motor Market Report Prepared by P&S Intelligence, Segmented by Type (AC, DC), Power Rating (Below 200kW, 200-400 kW, Above 400kW), Application (Railways, EV), and Geographic Regions. This Report Provides Insights From 2019 to 2030.
Study Period | 2019 - 2030 |
2024 Market Size | USD 14.8 Billion |
2030 Forecast | USD 34.9 Billion |
Growth Rate (CAGR) | 15.1% |
Largest Region | Asia-Pacific |
Fastest Growing Region | Asia-Pacific |
Nature of the Market | Fragmented |
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The global electric traction motor market was valued at USD 14.8 billion in 2024, and it is projected to grow at a CAGR of 15.1% during 2024-2030, to reach USD 34.9 billion by 2030. This is ascribed to the mounting demand for energy-efficient motors, the increasing investments in electric vehicles, government favorable policies in support of environment-friendly vehicles, the growing urbanization coupled with the rising standard of living, and the surging infrastructure for railways.
Furthermore, strict environmental laws and emission standards to protect environmental sustainability, and increasing traction of EVs, particularly in emerging nations such as China, India, and Brazil, are driving the growth of the market.
The railway category is projected to be the fastest growing application with a CAGR of 13.8% over the forecasted period. In comparison to roads, the railway is a preferable option and more cost-effective for long-distance mass transportation of goods and products. Additionally, primarily due to technical improvements, the performance of railway engines and motors has improved in terms of speed and locomotive safety. Electric motors are widely used in the railway industry due to their numerous advantages, including modular design, performance efficiency, longevity, and low maintenance requirements.
As a result, traction motors have evolved to be a crucial part of railway locomotives. Additionally, it is projected that during the forecast period, the popularity of metro locomotives, particularly in metropolitan areas, would fuel the demand for such motors.
Moreover, the EV category will witness a substantial growth rate during the coming years. Traction motors are the primary components in hybrid and BEVs that convert electrical energy into mechanical energy. Such motors are a standard component of battery cars and are used for initial propulsion as well as to provide rotational torque. The development of hybrid vehicle technology has led to a major growth in the demand for traction motors. In addition, permanent magnet synchronous motors are often used in electric cars because they are lighter than induction motors and have a more compact design.
The AC category accounted for a larger revenue share, of 86%, in 2022, and it is expected to maintain its dominance during the predicted period as well. This is a result of the widespread usage of AC motors in industrial equipment, electric vehicles, and the railway sector. Such motors are also more manageable and effective than DC motors.
Based on power rating, the 200–400 kW category contributed the largest revenue share, in 2022, and it is further expected to maintain its position in the coming years. This is due to the extensive applications of electric motors with 200–400 kW in high-speed, subway trains; metro systems; and several other heavy industrial machinery.
Moreover, the below 200 kW category will register a substantial growth rate during the predicted period. This can be ascribed to the surging usage of electric motors with below 200 kW in the production of lightweight vehicles, favorable governmental and environmental regulations, and a rise in the need for dependable motors with high torque.
The introduction of incentives and increased support for the establishment of manufacturing facilities for these vehicles by regulatory organizations across many nations have created a favorable climate for the expansion of the electric scooter and motorbike sector. These advantageous conditions have been expanded to a number of other areas of the ecosystem for zero-emission scooters and motorcycles, such as battery manufacturing and installation of charging stations, attracting significant public investment across the world in this field.
Moreover, governments in several nations have reduced the registration tax and other compulsions including subsidies and tax rebates to promote the use of environmentally friendly automobiles with low emissions. For instance, the Government of Hong Kong provides fiscal redemption by reducing the registration tax on the purchase of electric motor cars. The market has benefited from subsidies since they have increased the consumer viability of e-bikes and scooters. These factors have a substantial impact on the development and adoption of battery-powered two-wheelers by users in several countries, which, in turn, propel the demand for electric traction motors.
Additionally, a number of national and municipal governments across the world offer incentives for EVs to offer consumers and manufacturers financial assistance for the purchase and production of plug-in and battery-assisted light and heavy motor vehicles. While the size of the battery and the vehicle's travel route determine the number of incentives, several nations have even expanded the benefits to very short-distance commercial electric scooters and motorbikes. These features have fueled the market growth.
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Geographically, the APAC market accounted for the largest revenue share, of 44%, in 2022, and it is also expected to maintain its dominance in the coming years. This is attributed to rising urbanization, increasing per capita income, and favorable government policies for electric vehicles, in the region. Moreover, continuous developments of the transportation infrastructure, which includes HEVs, railway connections, high-speed bullet trains, and metro rail systems; and the burgeoning demand for narrow gauges and industrial railway rolling stock, including electric, hybrid, and diesel-electric locomotives, contribute to the growth in demand for electric traction motors in APAC.
The European market will witness a substantial growth rate during the forecast period. This growth can be ascribed to rapid urbanization, which has led to higher levels of air pollution, greenhouse gas emissions, and energy waste; the increasing government focus on the implementation of effective and sustainable transportation solutions; and the rising daily commuter traffic, in the region.
North America held a significant revenue share in 2022, and it is also expected to maintain its position during the coming years. This is attributed to the high acceptance rate for EVs such as cars, scooters, and buses; high investment by automotive giants; implementation of environment-related legislations; and growing end-use industries. Additionally, the U.S. contributes the majority of revenue to the regional market, owing to the presence of key industry players, surging adoption of electric vehicles, and high spending power of people in the country.
This report offers deep insights into the electric traction motor industry, with size estimation for 2019 to 2030, the major drivers, restraints, trends and opportunities, and competitor analysis.
Based on Type
Based on Power Rating
Based on Application
Geographical Analysis
The electric traction motor market size stood at USD 14.8 billion in 2024.
During 2024–2030, the growth rate of the electric traction motor market will be around 15.1%.
Railways is the largest application area in the electric traction motor market.
The major drivers of the electric traction motor market include the mounting demand for high-performance motors, the rising adoption of EVs, the increasing government favorable policies and subsidies, and the surging infrastructure for railways.
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