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Differential Market To 2025 Reporting And Evaluation Of Recent Industry Developments

Differential Market

According to a new market report published by Transparency Market Research  “Differential Market for Automotive: ((By Vehicle: Passenger Vehicle, Commercial Vehicle, Electric Vehicle) (By Differential Types: Open Differential, Lock Differential, and others) (By Drive Type: Two Wheel Drive, Four Wheel Drive)) - Global Industry Analysis, Size, Share, Growth, Trends and Forecast 2017 - 2025”, the global differential market for automotive  is expected to propagate greater than 5% CAGR  during the forecast period from 2017 to 2025 to reach close to US$ 27 Bn in 2025

Global differential market for automotive is projected to grow at more than 5% CAGR during the forecast period 2017-2025, according to a new research report by Transparency Market Research (TMR). According to the report, the global market will continue to be influenced by a range of macroeconomic and industry-specific factors. Asia-Pacific will continue to be at the fore-front of global demand, with the market in the region growing at above 5.48% through 2025.

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Differential market across the globe is witnessing transformation in the automotive industry. Rise in sales of SUVs, crossovers has been noticeable in recent past years owing to the growing end user focus towards comfort, safety and large boot space. Declining car loan rates and easy availability of customizable financing options have empowered the end user to go a step ahead for buying premium cars integrated with advanced differentials. Rising urbanization and hub-spoke architecture in different countries has attributed towards the increase in overall vehicle miles driven globally by approximately 2% - 4% over the past recent years. All these primary factors are likely to pave the way for the growth of automotive differentials in the coming two to four years.

The rise in demand for limited slip differential is one the major trend that will drive the market for differential during the forecast period. Limited slip differential is expected to grow at a higher CAGR of 6.76% in forecast period. It provides better traction control in snow, mud and during off road owing to its unique features. To provide better grip or provide greater differentiation between wheels, limited slip differential is an increasingly popular among top selling SUVs and cSUVs. Models M2, M3, M4, M5, and M6 of BMW are equipped with the active limited slip differential which provides locking effect depending on situation.

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Key players in the automotive differential industry are expected to benefit from the formation of strategic alliances with global players in the differential market for automotive market. Prominent players in the differential market for automotive market are ZF Friedrichshafen AG, Eaton, BorgWarner, Schaeffler, GKN PLC, JTEKT Corporation, DANA Limited, and Drexler Automotive GmbH, Neapco Inc.

ZF Friedrichshafen AG, GKN, Eaton and Schaeffler AG are the leading companies among all and have a large product portfolio other than differential. Eaton Corporation and Dana Ltd., are specialized in manufacturing of the differentials and they manufactures different types of differentials for automotive industry. Dana Ltd., developed the electronic limited slip differential which bridges the gap between all-wheel drive system and two wheel drive open differential system by providing better traction, which improves drivability.

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