The global torque vectoring market is valued at US$ 10.7 billion in 2023 and is expected to surge to US$ 43 billion by 2033, growing at an impressive CAGR of 15% throughout the forecast period (2023 to 2033).
Torque vectoring is an advanced automotive technology that optimizes the distribution of torque between the wheels of a vehicle. It improves traction, stability, and control, particularly in challenging driving conditions such as sharp corners, uneven terrain, or adverse weather. Torque vectoring systems are primarily employed in all-wheel-drive (AWD) and four-wheel-drive (4WD) vehicles, helping enhance performance, especially for high-performance sports cars and luxury vehicles. This technology has gained significant traction due to its ability to improve driving dynamics, ensuring better safety and enhanced driving pleasure. The market for torque vectoring systems is on a growth trajectory, driven by the increasing demand for performance, safety, and efficiency in vehicles.
Market Insights
The adoption of torque vectoring technology is being influenced by the growing focus on improving vehicle performance and safety. Automotive manufacturers are incorporating this system to offer customers better handling and stability, especially in high-end and performance vehicles. Torque vectoring works by adjusting the power distributed to each wheel, helping the driver maintain control during acceleration, cornering, or braking. This results in smoother rides and less tire wear, adding to the overall durability and longevity of vehicles.
With the rise in electric vehicles (EVs) and hybrid vehicles, torque vectoring is becoming increasingly essential. Electric powertrains offer greater control over individual wheel power, allowing for more precise torque vectoring compared to traditional internal combustion engine (ICE) vehicles. The shift toward electrification is expected to drive innovation in torque vectoring technology, expanding its applications beyond luxury and sports cars to include EVs and other vehicle categories.
Market Growth
The torque vectoring market is expected to grow substantially in the coming years, fueled by increasing demand for safety, performance, and efficiency across the automotive sector. Automakers are investing heavily in R&D to develop more advanced and efficient torque vectoring systems. As consumers continue to shift toward electric vehicles, this technology will become even more critical, contributing to the overall growth of the market.
Regionally, the Asia-Pacific market is poised for significant growth, driven by expanding automotive production in countries such as China, Japan, and South Korea. These nations are major hubs for electric vehicle production, which will accelerate the adoption of torque vectoring systems in this region. Meanwhile, North America and Europe remain key markets for luxury and high-performance vehicles, where torque vectoring technology has already gained substantial traction.
The development of all-wheel-drive electric vehicles (AWD EVs) will also propel the growth of the torque vectoring market, as these vehicles rely on the precise distribution of power across wheels to optimize performance and range. This trend is expected to gain momentum as global consumers increasingly embrace electric mobility.
List of Key Companies Profiled in The Report
- Continental AG
- Bosch Ltd
- JTEKT corporation
- Eaton Corporation
- American Axle & Manufacturing, Inc.
- BorgWarner
- Ricardo
- Timken
- Others
Recent Industry News
In recent years, the torque vectoring market has witnessed several noteworthy developments. Key automotive manufacturers are increasingly incorporating advanced torque vectoring systems into their new vehicle models, particularly in the electric and hybrid vehicle segments. Companies like Tesla, Audi, and BMW have introduced vehicles that feature sophisticated torque vectoring systems, enhancing their performance and driving dynamics.
Partnerships and collaborations between automotive OEMs and technology providers have also been a driving force in the market. For example, companies specializing in electric powertrains and automotive electronics are working together to develop integrated torque vectoring solutions tailored to electric vehicles. These collaborations are expected to lead to more efficient and cost-effective torque vectoring systems that can be deployed across a broader range of vehicles.
Notable Developments
One of the most notable developments in the torque vectoring market is the increasing integration of AI and machine learning into vehicle control systems. AI-driven torque vectoring systems can adjust power distribution in real-time based on driving conditions, optimizing performance without requiring manual intervention. This technology is particularly beneficial for autonomous and electric vehicles, where precision and adaptability are paramount.
Another significant development is the expansion of torque vectoring applications beyond luxury and high-performance vehicles. Mid-range vehicles are beginning to feature this technology as manufacturers aim to enhance safety and driving experience across all segments. Additionally, advancements in software and sensor technologies are enabling more seamless integration of torque vectoring with other vehicle systems, such as traction control and electronic stability control (ESC).
These developments signal that torque vectoring technology will continue to evolve, offering even greater benefits to a wide range of vehicles in the coming years. As the automotive industry shifts toward electrification and autonomy, torque vectoring will remain a key technology for improving vehicle performance, safety, and efficiency.
Competitive Landscape
The global torque vectoring market is highly competitive, with automotive manufacturers and suppliers actively integrating torque vectoring technology to improve vehicle performance. OEMs either develop proprietary systems or collaborate with suppliers for implementation. Research institutions also play a key role in advancing the technology through studies and collaborations.
In March 2022, American Axle & Manufacturing, Inc. received General Motors' Overdrive Award for sustainability and innovation, boosting its market presence. In February 2019, Toyota Motor Corp. introduced two new AWD systems, including the dynamic torque vectoring system with advanced ratchet-type dog clutches for improved driving force distribution.