In-Wheel Motor Market
The market for In-Wheel Motor was estimated at $3.6 billion in 2024; it is anticipated to increase to $35.9 billion by 2030, with projections indicating growth to around $242 billion by 2035.
Report Summary
Market Data
Methodology
Table of Contents
Global In-Wheel Motor Market Outlook
Revenue, 2024
$3.6B
Forecast, 2034
$165B
CAGR, 2025 - 2034
46.4%
The In-Wheel Motor industry revenue is expected to be around $5.3 billion in 2025 and expected to showcase growth with 46.4% CAGR between 2025 and 2034. These impressive figures underline the substantial traction that the In Wheel Motor market has been gaining in recent times. Primary driving factors include the prevalent shift towards environmentally sustainable transportation solutions, technological advancements in electric vehicle (EV) systems, and the widespread adoption of In Wheel Motors across various industries and automotive applications. Furthermore, government policies and subsidies promoting the use of EVs, coupled with the imperative to curb greenhouse gas emissions, are solidifying the In Wheel Motors ongoing relevance and influence in the global market.
As a pivotal component of electric vehicles, In Wheel Motors are embedded directly into the wheels of the vehicle, thereby eliminating the necessity for transmissions, drive shafts, differentials, and other complexities. This compact, lightweight, and energy-efficient system effectively enhances performance and fuel efficiency. Predominantly utilised in passenger cars, commercial vehicles, and high-performance electric cars, the technologys popularity has been bolstered by the burgeoning electric mobility trend and the advent of high-tech autonomous vehicles.
Market Key Insights
- The In-Wheel Motor market is projected to grow from $3.6 billion in 2024 to $165 billion in 2034. This represents a CAGR of 46.4%, reflecting rising demand across Electric Vehicles, Industrial Automated Guided Vehicles (AGVs) and E-bikes and E-scooters.
- Protean Electric, Elaphe Ltd, NTN Corporation are among the leading players in this market, shaping its competitive landscape.
- U.S. and Germany are the top markets within the In-Wheel Motor market and are expected to observe the growth CAGR of 44.5% to 65.0% between 2024 and 2030.
- Emerging markets including India, Brazil and Indonesia are expected to observe highest growth with CAGR ranging between 34.8% to 48.3%.
- Transition like Electrification of Vehicles is expected to add $3 billion to the In Wheel Motor market growth by 2030.
- The In-Wheel Motor market is set to add $161 billion between 2024 and 2034, with manufacturer targeting 30 to 60 kW & 60 to 100 kW Power Output projected to gain a larger market share.
- With Increasing demand for electric vehicles, and Technological advancements in the automotive industry, In-Wheel Motor market to expand 4423% between 2024 and 2034.
Opportunities in the In-Wheel Motor
The technology-driven nations in the Asia-Pacific region show strong prospects for the adoption of In Wheel Motor.
Growth Opportunities in North America and Europe
The North American market is characterized by lucrative opportunities for In Wheel Motor technology integration, with leading players heavily investing in R&D. The demand here is primarily driven by the increasing adoption in electric vehicles and the growing interest in autonomous driving technologies. The race for technological supremacy among top manufacturers has further propelled regional growth. Increased focus on sustainable transportation methods and government incentives for EVs have created a robust demand for In Wheel Motors across the United States and Canada.
Europe, particularly Germany and France, showcase high potential for In Wheel Motor market growth, with leading automakers striving for differentiation in their EV offerings. Innovation, efficiency, and high performance are key drivers within this market. European manufacturers are leveraging advanced In Wheel Motor technologies to enhance the control and maneuverability of EVs, giving them a competitive edge. Stricter emission regulations and government subsidies for green vehicles continue to fuel the demand for In Wheel Motors in this region.
Market Dynamics and Supply Chain
01
Driver: Increasing Demand for Electric Vehicles, and Government Regulations towards Emission Reduction
The rising consumer preference towards electric vehicles due to environmental concerns is also one of the primary s for the In Wheel Motor market. In Wheel Motor also serves as the key component in electric vehicles, enhancing their efficiency and performance. As electric vehicle adoption surges, demand for In Wheel Motor is also expected to follow suit, further propelling the market development Increasingly stringent policies and regulations by government bodies worldwide to curb vehicular emissions are also paving the way for an increased adoption of In Wheel Motors. These motors play a crucial role in reducing vehicle emissions, supporting global efforts to combat climate change. The legislations mandating lower emission levels are also thus expected to act as a significant for the expansion of the In Wheel Motor market.
Continuous innovations in the automotive sector, particularly in the area of vehicle electrification and automation, are also catalyzing the incorporation of In Wheel Motors. Technological advancements are also constantly refining the features of In Wheel Motor, facilitating improved vehicle handling, less energy consumption, and a smoother driving experience. This technological push is also expected to drive substantial growth in the In Wheel Motor market
02
Restraint: High Production and Maintenance Costs
One of the significant restrictions facing the In Wheel Motor industry is the high production and maintenance costs associated with these motors. The intricate nature of designing and manufacturing In Wheel Motors requires advanced technologies and precision engineering, thereby escalating production costs. Additionally, the maintenance of these motors also incurs significant expenditure, making them less cost-effective options for consumers. These factors impact the overall market demand and dynamics as they limit the accessibility of In Wheel Motors for a broader consumer base, stifling growth in potential market segments.
03
Opportunity: Untapped Potential in the Electric Vehicle Market and Advancements in Regenerative Braking Systems
The current decade is poised to witness a tremendous shift toward the adoption of electric vehicles globally. As the prime mover of such vehicles, the In Wheel Motor has a wide untapped capability in this market. The inherent benefits of In Wheel Motor, including higher efficiency, improved handling, and the ability to provide high torque at low RPMs, make it the ideal technology to enhance the performance of electric vehicles. Harnessing this potential can drive significant growth for In Wheel Motor production.
With ongoing advancements in the field of regenerative braking systems, companies manufacturing In Wheel Motor have an excellent to cement their market position. Superior regenerative braking can be achieved through efficient integration of an In Wheel Motor, thereby recapturing energy during braking, and effectively increasing vehicle efficiency. This technological innovation presents a compelling growth scenario for In Wheel Motor suppliers.
04
Challenge: Technological Challenges
The second facing the In Wheel Motor market revolves around the technological challenges inherent in the industry. The requirement for high torque, efficiency, and power density within compact devices is a test for developers, who must navigate the balance between performance and size. Moreover, there are major hurdles relating to heat management and achieving consistent motor performance under various operating conditions.
Supply Chain Landscape
1
Raw Material Sourcing
BASFArcelorMittal
2
Component Manufacturing
Nidec CorporationSchaeffler AG
3
Assembly
Protean ElectricElaphe Ltd
4
End User
AutomobileIndustrial Automation
1
Raw Material Sourcing
BASFArcelorMittal
2
Component Manufacturing
Nidec CorporationSchaeffler AG
3
Assembly
Protean ElectricElaphe Ltd
4
End User
AutomobileIndustrial Automation
Use Cases of In-Wheel Motor in Electric Vehicles & Industrial Automated Guided Vehicles (AGVs)
Electric Vehicles : As a prime application of In Wheel Motors, electric vehicles make great use of this breakthrough technology. The In Wheel Motor finds utility in this segment primarily due to its compactness and direct drive function, eliminating the need for a traditional nose cone, thus providing for more space within the vehicle. These motors, specifically AC in wheel motors, offer significant performance advantages, enhancing the cars efficiency as they create less waste heat. Magnax and Protean Electric are two of the top developers in this realm, leveraging their competitive strengths in developing efficient and powerful motors to command significant market shares.
E-bikes and E-scooters : With an increase in urban mobility solutions, e-bikes, and e-scooters have emerged as dominant players, wherein the In Wheel Motor plays a pivotal role. Brushless DC motors are particularly preferred in this application for their high speed, reliability, and ease of control. Their robust nature makes them highly suitable for these lightweight transportation modes. Manufacturers like QS Motor and Go SwissDrive stand out in the industry, offering solutions that cater to efficiency and durability, thus establishing strong market positions.
Industrial Automated Guided Vehicles (AGVs) : Embodying the principles of Industry 4.0, AGVs utilize the In Wheel Motor expansively. The increased torque and precision control afforded by these motors, particularly the Permanent Magnet Synchronous Motors , are of paramount value for industrial tasks requiring meticulous handling and transit.
Recent Developments
The in-wheel motor market been characterized by notable advancements and diversified applications, shaping the direction of its future growth. A trend sparking notable attention is the significant leap in the adoption of electric vehicles , wherein an in-wheel motor plays a pivotal role.
December 2024 : EcoMotion Technologies introduced a high-performance compact In Wheel Motor for electric scooters, expanding their product range in the small vehicle market.
October 2024 : Bosch Motors initiated mass production of their innovative in wheel motors, aiming to revolutionize electric vehicle propulsion systems.
August 2024 : Orbis Technology secured a significant investment to further R&D in In Wheel Motor technologies, indicating growing investor interest in this market.
Impact of Industry Transitions on the In-Wheel Motor Market
As a core segment of the Automotive & Mobility industry,
the In-Wheel Motor market develops in line with broader industry shifts.
Over recent years, transitions such as Electrification of Vehicles and Autonomous Driving Systems have redefined priorities
across the Automotive & Mobility sector,
influencing how the In-Wheel Motor market evolves in terms of demand, applications and competitive dynamics.
These transitions highlight the structural changes shaping long-term growth opportunities.
01
Electrification of Vehicles
With the global focus on reducing carbon emissions, the auto industry is undergoing a shift from internal combustion engines to electric powertrains. InWheel Motors, being an integral part of electric vehicles, are witnessing a surge in demand. This transition is driving manufacturers to develop more efficient and compact designs to integrate motors within wheel modules. The impact is clearly seen in the associated battery and charging industry, which is also evolving rapidly to meet the needs of electric vehicles. Higher demands for these motors are also having a ripple effect on the raw materials market, particularly rare earth elements used in their construction.
02
Autonomous Driving Systems
In Wheel Motors are playing a key role in the evolution of autonomous vehicles. The precise control they offer over individual wheels significantly enhances vehicle stability and maneuverability, facilitating the development of autonomous mobility systems. Their role extends into the safety sector too, by enabling independent, machinecontrolled braking mechanisms.