Electric Vehicle Motors Market Report 2026

The electric vehicle motors market size has grown rapidly in recent years. It will grow from $27.85 billion in 2025 to $31.84 billion in 2026 at a compound annual growth rate (CAGR) of 14.3%. The growth in the historic period can be attributed to ev adoption growth, improvements in electric drivetrains, demand for efficient propulsion, advances in motor design, battery-powered mobility expansion.

The electric vehicle motors market size is expected to see rapid growth in the next few years. It will grow to $54.03 billion in 2030 at a compound annual growth rate (CAGR) of 14.1%. The growth in the forecast period can be attributed to higher range requirements, cost optimization of drivetrains, adoption of rare-earth alternatives, smart motor integration, scaling of ev production. Major trends in the forecast period include shift toward high-efficiency motors, adoption of permanent magnet motors, growth of integrated drive units, demand for compact motor designs, expansion of ev powertrain platforms.

The growing demand for electric and hybrid vehicles is expected to drive the growth of the electric vehicle motor market going forward. Electric vehicles (EVs) and hybrid vehicles use electric power exclusively or in combination with internal combustion engines, reducing reliance on fossil fuels. Rising environmental awareness, government incentives, technological advancements, and efforts to reduce fuel dependence are fueling this demand. Electric motors in these vehicles convert electrical energy into mechanical power, enabling propulsion. For instance, in 2024, according to the International Energy Agency is a France-based autonomous intergovernmental organization, electric vehicle sales in 2023 rose by 3.5 million units compared to 2022, marking a 35% year-on-year growth. Therefore, the rising adoption of electric and hybrid vehicles is propelling the electric vehicle motor market.

Major companies in the electric vehicle motor market are focusing on advanced technologies, such as 800-volt systems, to enhance motor performance and charging efficiency. 800-volt technology enables faster charging, higher power efficiency, reduced weight, and compact motor design compared to traditional 400-volt systems. For instance, in August 2023, Robert Bosch GmbH, a Germany-based engineering and technology company, developed an 800V inverter and electric motor system featuring silicon carbide semiconductors. This innovation reduces energy loss by 50% and achieves up to 99% inverter efficiency, improving range and overall vehicle performance.

In January 2023, RattanIndia Enterprises Limited made a strategic move by acquiring Revolt Motors, an India-based manufacturer of electric motorcycles, to bolster its presence in the electric vehicle market. The acquisition aims to significantly expand Revolt's footprint and position it as a leading player in the electric two-wheeler segment within the nation. This strategic partnership reflects RattanIndia Enterprises' commitment to leveraging cutting-edge technologies and strengthening its position in the rapidly growing electric vehicle industry.

Major companies operating in the electric vehicle motors market report include Tesla Motors Inc., BYD Company Ltd., Robert Bosch GmbH, DENSO Corporation, Continental AG Magna International Inc., LG Magna e-Powertrain Co. Ltd, Mitsubishi Electric Corporation, Aisin Corporation, Nidec Motor Corporation, BorgWarner Inc., Mahle GmbH, Vitesco Technologies, GKN Automotive Ltd., Johnson Electric Holdings Limited, TECO Electric & Machinery Co. Ltd., Hitachi Astemo, Siemens AG, ABB Ltd., Toshiba Corporation, Parker Hannifin Corp., Delta Electronics Inc., Ametek Incorporation.

Asia-Pacific was the largest region in the electric vehicle motors market in 2025. The regions covered in the electric vehicle motors market report include Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the electric vehicle motors market report include Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The electric vehicle motors market consists of sales of synchronous AC motors, induction AC motors, auxiliary motors, and motor controllers. values in this market are ‘factory gate’ values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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