The Automotive Transmission market across the globe is witnessing a steady transformation from manual transmission to automatic transmission. Rising demand for electric vehicles is one of r primary factors bolstering the automotive transmission market. Furthermore, stringent environmental norms, rise in demand for ecofriendly vehicles are also playing an imperative role in propelling the automotive transmission market demand.
Based on transmission type, manual transmission and automatic transmission comprises the overall automotive market for automotive transmission. In 2016, in terms of revenue, manual transmission emerged as the segment leader. This supremacy was witnessed due to the widespread use of manual transmission over automatic transmission in the European region for the transmission system.
The automatic transmission market on the other hand is expected to demonstrate a significant growth rate in the future. The highest growth rate has been attributed to high accuracy, reduced cost and effort to increase fuel efficiency. An increase in incidences of road accidents and change in government policies toward pollution are other reasons that are predicted to boost the growth rate of the automatic transmission market. The continuous reduction in the ceiling levels of automotive carbon emissions by regulatory bodies in corresponding countries (Like the European Commission, U.S. Environmental Protection Agency – Clean Air Act), is likely to propel the automatic transmission segment market in the coming two to three years.
By Vehicle Type, the automotive transmission market has been segregated into passenger vehicles and commercial vehicles (light commercial vehicles, heavy commercial vehicles, and buses & coaches). In terms of revenue, the passenger vehicle segment constituted more market share in 2016 on account of the high production ratio in relation to the commercial vehicles.
The automotive transmission industry is highly fragmented with the presence of small and medium-sized manufacturers. Continental AG, ZF Friedrichshafen AG, Allison Transmission, Eaton Corporation, Borg Warner, Magana International Inc., Aisin Seiki, JATCO, Schaeffler AG, Hyundai Dymos, Bonfiglioli RIDUTTORI S.P.A., and Magneti Marelli S.p.A. are the major players operating in this market.