Automotive Torque Converter Market – Size, Share & Trends Forecast Report 2021-2028 (PDF)

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Market Overview

Over the forecast period, the Automotive Torque Converter Market will register a CAGR exceeding 6.5%.

  • An automatic transmission’s torque converter serves the same purpose as a manual transmission clutch. Modern vehicles have increased the demand for torque converters. A torque converter’s key features are its ability to multiply torque when the input and output torque of the engine’s spin is significantly different. Torque is a fluid coupling that relies on fluid hydrodynamics to allow the engine and transmission to spin independently.
  • The global sales of passenger cars and commercial vehicles have increased dramatically over the last three years. Despite a decline in new vehicle sales in 2019, the number of automatic cars sold, particularly in the Asia Pacific region, has increased.
  • The growing adoption of torque converters in commercial vehicles is one of the main factors behind the market’s growth. The rising construction activity and the growing freight and logistics industries drive the adoption of automatic transmissions in commercial vehicles.

Semi-automatic and fully-automatic commercial vehicles are now as efficient as manual commercial vehicles due to technological advancements. The price difference between manual and automatic transmissions has decreased significantly, making them more affordable to purchase. Due to increased activities in construction, mining, and tourism, the sales of commercial vehicles have increased over the years.

Scope of this report

The Automotive Torque Converter Market can be segmented according to Transmission Type (AMT and DCT and Others), Vehicle Types (Passenger Vehicles and Commercial Vehicles), and Geography.

Key Market Trends

Increased adoption of automatic transmissions in commercial vehicles

Fully automatic commercial vehicles can be as efficient as manual commercial vehicles, thanks to technological advances. The user can enjoy a more relaxed driving experience with an automatic transmission. There is no need to shift gears as often. An automatic transmission is desirable because it makes driving more accessible, especially in heavy traffic. Many major automotive companies have been working on improving the automatic transmission of commercial vehicles over the years.

  • Eicher Motor Limited introduced the medium-duty commercial vehicle Eicher3016 AMT in January 2019. It is equipped with an automated manual transmission system.
  • Volvo AB, another major automaker, introduced I-shift technology early in the 2000s. This 12-speed manual gearbox has an automatic gear-changing system that allows high driving comfort, excellent fuel economy, and excellent ride quality.
  • Tata Motors introduced AMT (Automated Manual Transmission) technology to its Starbus and Ultra buses in April 2017.

The market will grow substantially in the future due to increased sales of commercial vehicles and greater penetration of automatic transmissions systems.

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North America and Asia-Pacific will dominate the market.

North America has the highest revenue share and was the most critical market segment in 2019. It is expected to continue growing during the forecast period. The high labor costs associated with the replacement market are a significant problem for the market. American’s prospects of growth in the torque converter market will be significantly affected by the increased adoption of automatic transmission in heavy-duty and medium-duty commercial vehicles. Fleet owners will choose automatic transmission for heavy-duty and medium-duty commercial vehicles because of their high fuel efficiency, comfort, driving experience, and driving skills. These features will attract consumers to the passenger car segment. This segment will also see a significant increase in the adoption of automatic transmissions in passenger cars.

China is the market leader in Asia-Pacific for commercial vehicles. China is home to four out of ten commercial vehicle sales. China saw a significant increase in commercial vehicle sales in 2018, with 4.3 million units sold since 2017.

To increase sales, major Indian automobile manufacturers have invested heavily in the research and development of automatic transmission technology passenger cars to improve their profitability. The automatic transmission has experienced a tremendous increase in popularity within the passenger car segment. There are 17.3% more passenger cars sold in India in 2019 with automatic transmission than 1.4% in 2011. Maruti Suzuki, India’s largest automobile manufacturer, has almost a quarter of Celerio, Ciaz, and XL6 sales.

Get a sample report to understand the trends in geography.

Competitive Landscape

The market for automotive automatic transmissions is well-consolidated, with significant players like Magna International, Magna International, Denso, and Aisin Seiki dominating. Aisin Seiki provides automatic transmission systems for small- and medium-sized commercial vehicles, while Aisin AW supplies passenger cars and small commercial trucks. Toyota makes some automatic transmissions in-house for its vehicles. Aisin AW or Aisin Seiki supplies some automatic transmissions. JATCO supplies automatic transmissions to Mitsubishi Motors and Nissan. Daihatsu, Subaru, and Honda all make their automatic transmissions. Mazda’s front-wheel-drive vehicles are manufactured internally, and Aisin AW supplies its rear-wheel-drive Roadster transmissions.

Major Players

  1. Aisin
  2. BorgWarner
  3. Exedy
  4. ZF Friedrichshafen AG
  5. Valeo

 

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