Automotive Electric Oil Pump Market – Snapshot

Automotive electric oil pumps are predominantly used to pump coolant and lubricant oil efficiently and effectively inside various vehicle systems, such as transmission, engine, and brakes, of an automobile. Insufficiency in lubrication is likely to create problems in vehicle components, such as wear & tear and friction. This, in turn, is expected to hamper the performance of systems, such as transmission, engine, and braking system, and cause harm to the interior components of the systems, which leads to heavy loss. Therefore, level of coolant and lubricating oil is maintained in the vehicle in order to circulate them at high pressure for effective and better working of transmission system, engine, and braking system parts. Usage of automotive electric oil pump varies according to the type of application and type of vehicle, such as an off-road vehicle, a heavy commercial vehicle, or a normal passenger car. The performance of transmission system, braking system, and performance or fuel efficiency of an engine directly depends on the operation of the electric oil pump.

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An electric oil pump is an oil pump driven by an electric motor and is used to maintain oil pressure and lubricate the automobile components during engine stop of stop-start vehicles. Electric oil pumps are needed for hybrid electric vehicles and vehicles with idling start-stop system. These pumps, which are able to supply oil even when the engine is switched off, are characterized by high voltage, high oil-pressure, and high flow rate. The pumps themselves are internal gear pumps with an improved bearing construction, designed to minimize torque loss. They also produce minimal noise and vibration due to reduced gear vibration. These are factors drive the automotive electric oil pump market.

The engine oil pump segment held a major share of the market in 2017, owing to rising concerns about the environment and carbon emission and high penetration of these pumps in hybrid electric vehicles since the production of hybrid electric vehicle was high in 2017. The market share held by the engine oil pump segment is projected to decline during the forecast period, owing to the increasing production of battery electric vehicles, in which the engine is replaced by battery and motors. However, the transmission system and braking system are likely to remain prominent components in electric vehicles. Hence, transmission oil pump and braking oil pump segments are expected to expand at a higher growth rate during the forecast period. Introduction of hub motor in electric vehicles is expected to replace the transmission unit and braking system, as hub motors have the transmission system integrated with braking unit directly in the hub. Increasing adoption of hub motors is likely to hamper the transmission electric oil pump segment during the forecast period.

Governments across the globe are providing incentives to purchase battery electric vehicles in order to curb vehicle emissions and comply with the norms set by various regulatory bodies. This, in turn, is boosting the battery electric vehicle segment of the market.

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Demand for commercial vehicles is estimated to increase due to the expansion of the construction sector, geographical area of city due to growth in IT hubs, and rapid industrialization in Asia Pacific. Propagation of procedure subcontracting and connected administrations in Asia Pacific has boosted the travel demand for several employees, who are transported through vans and small/medium buses, which in turn is driving the demand for light commercial vehicles.

In terms of volume, the OEM segment is likely to lead the market, as more number of electric oil pump units are produced per year, which is directly fit into the vehicle. It is backed by low labour expenses and steady economies that helps in localizing the manufacturing units for key OEMs, which is likely to eliminate heavy import duty taxes. Cost of one unit of electric oil pump is less for OEM, considering the deals between OEM and component supplier, incentives provided to OEMs, and lesser production cost as the production for OEMs is undertaken at a mass level. In terms of revenue, aftermarket is the leading sales channel segment due to higher price of automotive electric oil pump in the aftermarket.

Asia Pacific is a leading market for the automotive electric oil pump, globally, owing to more production of electric vehicles, governments’ norms boosting the production of electric vehicles, and presence of developed economies such as China, Japan, and South Korea, in the region. Infrastructural development and increasing demand for efficient and environmentally acceptable vehicles in developing countries, such as China and India, are likely to drive the automotive electric oil pump market in Asia Pacific during the forecast period. This is primarily attributed to the rise in urbanization in countries and technological advancements in the lubrication system in vehicles. Asia Pacific is followed by Europe, owing to high production of electric vehicles especially in the Nordic region.

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Major players operating in the global automotive electric oil pump market include FTE automotive, Hitachi Automotive, Rheinmetall Automotive AG, Johnson Electric, Nidec Corporation, Mitsubishi Electric, Mikuni American Corporation, Magna International, HUSCO Automotive, LLC, MAHLE Group, Delphi Automotive PLC., Robert Bosch GmbH, DENSO CORPORATION, ZF Friedrichshafen AG, AISIN SEIKI, and SHW AG.

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