Automotive Starter Motor - Market Share Analysis, Industry Trends & Statistics, Growth Forecasts 2019 - 2029

The Automotive Starter Motor Market is valued at USD 15.63 billion in the current year and is anticipated to grow to USD 20.35 billion by the next five years, registering a CAGR of 4.5% in terms of revenue during the forecast period.

Over the medium term, with rising strict emission standards around the globe, auto manufacturers are progressively shifting their production from conventional engine vehicles to electric and hybrid. As vehicles running in micro-hybrid and hybrid vehicles use starter motors, the increase in the number of passenger cars running on this powertrain is expected to drive the market.

Stringent emission standards, fuel efficiency, and government incentives are the major factors driving automakers and buyers to shift toward hybrid vehicles from conventional vehicles. Rising demand for fuel-efficient vehicles across the region is encouraging consumers to buy hybrid vehicles, which is likely to witness major growth for the market during the forecast period.

The rapid expansion of manufacturing industries across the globe is likely to create lucrative opportunities for the market during the forecast period. As many developing countries across the globe, especially in the Asia-Pacific region, still majorly rely on IC engines, it is the largest and the fastest growing among others.

Automotive Starter Motor Market Trends

Hybrid/Micro-Hybrid Segment is Expected to Witness Significant Growth

Governments all over the world are providing subsidies to encourage people to buy electric and hybrid automobiles. By extending tax exemptions and subsidies that were set to expire by 2020, the Chinese government recently introduced measures to support the new energy vehicle (NEV) industry. It includes electric vehicles, plug-in hybrid vehicles, and fuel cell vehicles - which were severely impacted by the COVID-19 outbreak.

In addition, the government hinted at new investments that could eventually boost the sales of hybrid electric vehicles, in turn aiding the starter motor market.

Due to strict emission regulations and the rising awareness of low or zero-emission vehicles, the hybrid vehicle industry is experiencing a significant demand in developing nations like Mexico, India, and Brazil. The governments of these nations are also offering incentives to aid the sales of hybrid electric vehicles. For instance,

• The Indian government announced that FAME II, a program designed to promote electric mobility throughout the nation, would be extended through 2024. Similarly, the Brazilian government is promoting the purchase of hybrid vehicles by lowering the tax rate, including plug-in hybrids, hybrid electric vehicles, and CNG hybrids.

To cater to the increased demand for Hybrid and Micro-Hybrid vehicles, many car makers are launching products running on the low emission powertrain. For instance,

• In 2022, Maruti Suzuki launched a facelift of Baleno in India, which comes with micro-hybrid features like the start-stop function.

Some of the major players dominating the market are Volkswagen SE, Stellantis, BMW Group, Nissan Motor Corp., and Mitsubishi Motors. Key players are launching new products to secure their market position and stay ahead of the market curve. For instance,

• In April 2022, Maserati introduced the Maserati Grecale, a mild-hybrid vehicle in Italy. The hybrid powertrain comes in two outputs, with entry-level Grecale GTs getting a 296 hp version while up-level Modena trims get 325 hp. All models come with all-wheel drive and eight-speed automatic gearboxes. The Maserati Grecale witnessed a sale of around 1,704 units in 2022 in the country.

Hence, with the increase in the number of hybrid and micro-hybrid vehicles across the globe, the automotive starter motor market is expected to witness significant growth in the following years.

Asia-Pacific is Expected to Remain the Largest Market

Asia-Pacific dominated the market in terms of vehicle sales. With major developing and developed countries in this region, many OEMs are establishing manufacturing facilities. Additionally, China and India became the most popular destination for the automotive industry.

Governments in several nations set forth policies in place to improve the infrastructure for electric and hybrid electric vehicles to lower their carbon footprint. However, despite numerous efforts, there is still a considerable demand for vehicles that are powered by internal combustion engines, particularly for commercial vehicles, including vehicles for mass transit and mining applications.

The hybrid vehicle market in China is currently being led by automakers like Honda and Toyota, whose models include the Honda Accord Hybrid and Toyota Corolla Hybrid. Several vehicle manufacturers introduced new models of mild hybrid in the country, which in turn is likely to witness major growth for the market during the forecast period. For instance,

• In December 2022, Mazda Motor Corporation introduced a new hybrid vehicle model equipped with a strong hybrid mechanism that will allow it to be driven solely by a motor around 2025. The company plans to develop the HV in-house, adopting a "mild hybrid" mechanism to support the engine with a motor.

Many players in India are shifting focus to incorporate technology associated with micro-hybrid, owing to the stringent emission norms. For instance, Maruti Suzuki in India holds the largest market share in the country, and most of the cars in the brand's portfolio come with SHVS (Smart Hybrid Vehicle By Suzuki) technology that gets micro-hybrid features like idle start-stop.

Internal combustion engine-powered car sales as a whole are increasing in this area. For instance, China, which presently leads the world in vehicle sales, sold more than 23 million passenger automobiles in 2022. Owing to the rise in vehicle sales, car makers are launching new vehicles with the latest technology. For instance,

• In June 2022, Mahindra launched its new generation of Scorpio SUV in India that comes powered by a gasoline and a diesel engine. With that, the car also features a start-stop feature.

Because of the rising popularity of hybrid and micro-hybrid vehicles in countries like India and China, the overall market is expected to grow in the Asia-Pacific region in the upcoming years.

Automotive Starter Motor Industry Overview

Several key players, such as Robert Bosch GmbH, Denso Corporation, Valeo Group, Hitachi Automotive Systems Ltd., and others, dominate the automotive starter motor market. The rise in demand for lightweight vehicles to enhance vehicle fuel efficiency is likely to witness major growth for the market during the forecast period. For instance,

• In March 2023, Proton introduced its first mild-hybrid electric vehicle (MHEV) model, the X90. The XC90 model is equipped with a 48 V Belt-Starter Generator (BSG) motor, a DCDC converter, a 48 V lithium-ion battery, a battery management system, a recuperation braking system, and a hybrid module control system.
• In March 2022, Nexteer Automotive introduced a new eDrive product line with the launch of a 48 V integrated Belt-Driven Starter Generator (iBSG) that hybridizes conventional internal combustion engine (ICE) vehicles to help OEMs meet emissions and fuel efficiency regulations.

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• The market estimate (ME) sheet in Excel format
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