Global Gearbox Market - Forecasts from 2023 to 2028

The global gearbox market is expected to grow at a CAGR of 4.67%, from US$23.675 billion in 2021 to US$32.587 billion in 2028.

A gearbox is a mechanical device that transmits power from an engine or motor to the wheels of a vehicle or machinery. It works by using a series of gears of different sizes that can be shifted to adjust the torque and speed of the output shaft. The global gearbox market is a large and growing industry with various applications in the automotive, aerospace & defense, manufacturing, construction, and industrial sectors. The demand for the gearbox market is driven by increased automotive & aerospace production, the growing need for industrial automation, and the increasing demand for heavy machinery in the manufacturing industry.

The increasing automotive production and manufacturing activities are augmenting the gearbox demand.

Gearboxes are essential components of vehicles, playing a critical role in transmitting power from the engine to the wheels. Automotive manufacturers are constantly innovating to produce lighter, more compact gearboxes, offer better fuel efficiency, reduce emissions, and improve overall performance. The trend of electric and hybrid vehicles has also increased the demand for gearboxes that can handle the unique characteristics of these vehicles, such as regenerative braking and motor-generator operation. The gearbox demand in the automotive sector is expected to be driven by the increasing use of automobiles. According to European Automobile Manufacturers' Association (ACEA), the market for passenger vehicles in the European Union increased by 11.3% from 2022 to 2023 with 760,041 units. According to the Society of Indian Automobile Manufacturers (SIAM) annual report 2020-2021, electric car registrations increased by 41% in 2020, and around 3 million electric cars were sold globally. The manufacturing sector plays a critical role in the global gearbox market, as it is a major consumer of gearboxes in various applications such as machinery, robotics, and automation for precise and efficient motion control in machines and equipment, which is essential for achieving high levels of productivity and quality. The increasing trend towards Industry 4.0 and the adoption of smart manufacturing technologies are driving the demand for advanced gearboxes with enhanced capabilities. The continued evolution and development in the manufacturing sector will fuel the demand for gearboxes. According to the International Federation of Robotics (IFR), global sales of industrial robots increased by 12% in 2020, reaching a record high of 373,000 units. Industrial robots worldwide will increase from around 2.7 million in 2019 to 4.9 million by 2025. 

The Asia Pacific region is expected to hold a significant market share.

The increasing demand for gearboxes in various end-use industries such as automotive, manufacturing, and construction and the rapid industrialization and infrastructure development in emerging economies such as China, Japan, and India are driving the gearbox market growth in the Asia-Pacific region. The Chinese government announced National High-tech Zone Development Plan (2021-2025) to attract investments in advanced manufacturing technologies such as robotics, artificial intelligence, and automation which promote the development of high-tech industries in China and increases the need for gearboxes as it provides precise and efficient motion control in advanced manufacturing technologies. The Indian government's National Electric Mobility Mission Plan (NEMMP) 2020 aims to achieve national fuel security by promoting electric and hybrid vehicles in India. It includes a target of achieving 30% electric vehicle penetration by 2030, and the vehicles need a gearbox for regenerative braking and motor-generator operation. As the adoption of electric and hybrid vehicles increases, the demand for gearboxes used in these vehicles increases. The Japanese government's Robot Revolution Initiative (RRI) 2020 aims to promote the use of robots in the manufacturing industry and support the development of autonomous robots, which will increase the usage and need for gearboxes. These factors all add to the global gearbox market growth in the Asia Pacific.

Market Developments:

• January 2022: Timken Company announced a strategic partnership with Schaeffler AG to expand its power transmission product portfolio, including gearboxes and bearings.
• May 2021: Bonfiglioli launched its new 300M series of industrial gearboxes, designed for high performance and efficiency in heavy-duty applications, and the gearbox was suitable for use in various industries, including mining, cement, and steel.
• March 2021: BorgWarner Inc. developed a new dualtronic clutch and control module gearbox for the Volkswagen Group's MEB platform. It was designed to provide smooth and efficient shifting in electric vehicles, improving their performance and range. 

Market Segmentation:

By Type

• Concentric
• Parallel

By Gear Type

• Spur Gear
• Worm Gear
• Bevel Gear
• Helical Gear
• Others

By End-User

• Automotive
• Aerospace & Defense
• Manufacturing
• Construction
• Others

By Geography

• North America
• USA
• Canada
• Mexico
• South America
• Brazil
• Argentina
• Others
• Europe
• UK
• Germany
• France
• Spain
• Others
• Middle East and Africa
• Saudi Arabia
• UAE
• Others
• Asia Pacific
• China
• Japan
• India
• South Korea
• Australia
• Other