Automotive transmission pumps are components that function to circulate automatic transmission fluid under pressure to various parts of an automatic transmission system in a vehicle. Transmission pumps help in shifting gears automatically by circulating transmission fluid at precise pressures. The growing consumer preference for vehicles with automatic transmission over manual transmission is contributing to the demand for automotive transmission pumps.

The global Automotive Transmission Pump market is estimated to be valued at US$ 35.08 Bn in 2023 and is expected to exhibit a CAGR of 5.5% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.

Market Opportunity:

The light commercial vehicle (LCV) and heavy commercial vehicle (HCV) segments are expected to drive significant demand for automotive transmission pumps over the forecast period. Growing e-commerce activities have boosted demand for delivery vans and trucks in the last mile delivery industry. Various initiatives by governments worldwide to develop infrastructure such as roads, railways, ports are increasing construction activities, thereby fuelling demand for HCVs for transportation of goods. This rise in LCV and HCV sales will generate substantial opportunity for automotive transmission pump manufacturers during the forecast period.

Porter's Analysis

Threat of new entrants: The automotive transmission pump market requires huge capital investments and technical expertise, which acts as a barrier for new players. The established brands have economies of scale and supply chain advantages.

Bargaining power of buyers: The buyers in this market include large automotive OEMs. Their bargaining power is high due to the presence of many suppliers. They can negotiate on price and demand better quality and service.

Bargaining power of suppliers: The suppliers of raw materials and components have moderate bargaining power due to the availability of substitutes. However, the automotive component suppliers with technological expertise possess higher bargaining power.

Threat of new substitutes: No direct substitutes to automotive transmission pumps are available currently. However, transmission systems with electric motors can act as substitutes in future.

Competitive rivalry: The market is fragmented with the presence of global and regional players. Brand recognition, product quality, technical expertise, and pricing determine the competitive rivalry.

SWOT Analysis

Strengths: Established brands with global presence and distribution network, large R&D capabilities, ability to offer customized solutions as per customers' needs.

Weaknesses: Heavy reliance on automotive industry and sales of vehicles, rising raw material prices can squeeze margins, changes in government regulations.

Opportunities: Growth of automotive industry in developing markets, shift towards advanced automatic transmissions, development of fuel-efficient and electric vehicles.

Threats: Change in consumer preferences towards public transport, strict emission norms affecting diesel vehicles, intensifying competition from local players.

Key Takeaways

The Global Automotive Transmission Pump Market Size is expected to witness high growth supported by the rising vehicle production and sales globally. Asia Pacific dominates the market currently owing to the large automotive manufacturing base in China, India, and Japan.

Regional analysis: Asia Pacific is projected to maintain its dominance during the forecast period. Countries like China, India, and Japan account for a majority of the vehicle production. The growing middle-class population and economic development will propel the adoption of vehicles.

Key players operating in the automotive transmission pump market are Aisin Seiki Co., Ltd., Bosch Limited, Magna International Inc., ZF Friedrichshafen AG, Schaeffler AG, BorgWarner Inc., JTEKT Corporation, Denso Corporation, Eaton Corporation, Hitachi Automotive bSystems, Ltd., Valeo SA, GKN Automotive Limited, Hyundai WIA Corporation, Aisin AW Co., Ltd., Metaldyne Performance Group Inc.

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https://www.newswirestats.com/automotive-transmission-pump-market-size-share-growth-outlook-2023/