The automotive four-wheel drive vehicle market is expected to register a CAGR of 7.6% during 2023–2031. The evolution of advanced technologies and the introduction of high-end vehicles is likely to remain a key trend in the market.
Automotive Four-Wheel Drive Vehicle Market Analysis
- Governments and international organizations impose strict regulatory mandates and global safety standards that significantly drive the global automotive four-wheel drive vehicle market.
- Increasing disposable incomes in emerging markets, a growing inclination among consumers for crossovers, and technological and other advancements in vehicles have all contributed to the significant growth of the global four-wheel drive vehicle market.
- The market for four-wheel drive vehicles includes a variety of vehicle types, such as pickup trucks, SUVs, crossovers, and some passenger cars.
Automotive Four-Wheel Drive Vehicle Market Overview
- The growing passenger safety and security awareness, an increase in the number of vehicles in developing nations, and other factors are major drivers of the global automotive safety system market's growth.
- The number of accidents has increased due to the growing demand for high-speed vehicles. The need for safety feature integration in cars has grown dramatically.
- The global Automotive Four-Wheel Drive Vehicle market is anticipated to register high development during the forecast period.
- The market is expanding owing to factors like the driving demand for compact and mid-size four-wheel drive, such as SUVs and crossovers, the rising application of four-wheel drive systems in pickup trucks for improved off-road and towing capabilities, and the development of more fuel-efficient four-wheel drive vehicle market powertrains.
Strategic Insights
Automotive Four-Wheel Drive Vehicle Market Drivers and Opportunities
Increasing consumer demand for advancement in efficiency and technology to Favor the Market
- The mounting demand for advancement in efficiency and technology is a key aspect driving the automotive four-wheel vehicles market.
- The market is substantially driving owing to increasing popularity of SUV’s and crossovers in consumers. For instance, in 2022, SUVs accounted for around ~46% of global car sales, with significant development coming in the US, India and Europe.
- An increasing number of SUVs were electric, accounting for around ~16% of total SUV sales in 2022, above the average overall market share for EVs. For the first time ever, electric SUVs last year accounted for over half of global electric car sales.
Preference for Automatic AWD system
- The manual and automatic all-wheel drive (AWD) systems work together to form the current system. The current AWD-Disconnect system serves the following purposes it determines if all-wheel drive (AWD) is necessary, it uses electronic power steering to improve angle detection, it detects the steering angle for the proper distribution of torque in the required ratio for turning wheels, and it distributes torque between the front and rear wheels independently.
- In 2023, Honda cars announced Real Time AWD with Intelligent Control System, which adds a rear differential to a front-wheel-drive vehicle. Some models come with Honda’s i-VTM4 AWD System, which senses the torque needed by each axle and automatically sends power to the wheels that need it the most. This intuitive system makes AWD safe and enjoyable, and it’s available on Honda’s more powerful SUVs and trucks.
Automotive Four-Wheel Drive Vehicle Market Report Segmentation Analysis
Key segments that contributed to the derivation of the automotive four-wheel drive vehicle market analysis are type, system type, design, components, operating mode, and application.
- Based on the type, the automotive four-wheel drive vehicle market is divided into 4x4 wheeled drive and 4x2 wheeled drive.
- On the basis of the system type, the market is divided into automatic four-wheel drive system and manual four-wheel drive system.
- Based on design, the automotive four-wheel drive vehicle market is divided into RWD vehicles and FWD vehicles.
- Based on components, the automotive four-wheel drive vehicle market is divided into drive shafts, universal joints and transfer case.
- Based on operating mode, the automotive four-wheel drive vehicle market is divided into part-time mode, full-time mode and on-demand mode.
- On the basis of the application, the market is divided into passenger cars, light commercial vehicle and heavy commercial vehicle.
Automotive Four-Wheel Drive Vehicle Market Share Analysis by Geography
- The automotive four-wheel drive vehicle market report comprises a detailed analysis of five major geographic regions, which includes current and historical market size and forecasts for 2021 to 2031, covering North America, Europe, Asia-Pacific (APAC), Middle East and Africa (MEA), and South & Central America.
- Each region is further sub-segmented into respective countries. This report provides analysis and forecasts of 18+ countries, covering automotive four-wheel drive vehicle market dynamics such as drivers, trends, and opportunities that are impacting the markets at the regional level.
- Also, the report covers PEST analysis, which involves the study of major factors that influence the automotive four-wheel drive vehicle market in these regions.
Automotive Four-Wheel Drive Vehicle Market Report Scope
Automotive Four-Wheel Drive Vehicle Market News and Recent Developments
The automotive four-wheel drive vehicle market is evaluated by gathering qualitative and quantitative data post primary and secondary research, which includes important corporate publications, association data, and databases. A few of the developments in the automotive four-wheel drive vehicle market are listed below:
- X-PRESS PHOENIX, BorgWarner’s iDM146 integrated drive module (iDM) has been selected by Hyundai Motor Company (HMC) to power an additional A-Segment electric vehicle platform, scheduled to start production in the third quarter of 2024. This new business was awarded based on BorgWarner’s advanced iDM technology, its prior iDM win with HMC on another A-segment electric vehicle, and the longstanding relationship between the two companies. (Source: BorgWarner Inc., Company Website, August 2022)
Automotive Four-Wheel Drive Vehicle Market Report Coverage and Deliverables
The “Automotive Four-Wheel Drive Vehicle Market Size and Forecast (2021–2031)” report provides a detailed analysis of the market covering below areas:
- Automotive four-wheel drive vehicle market size and forecast at global, regional, and country levels for all the key market segments covered under the scope
- Automotive four-wheel drive vehicle market trends as well as market dynamics such as drivers, restraints, and key opportunities
- Detailed PEST/Porter’s Five Forces and SWOT analysis
- Automotive four-wheel drive vehicle market analysis covering key market trends, global and regional framework, major players, regulations, and recent market developments
- Industry landscape and competition analysis covering market concentration, heat map analysis, prominent players, and recent developments in the automotive four-wheel drive vehicle market
- Detailed company profiles
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Report Coverage
Revenue forecast, Company Analysis, Industry landscape, Growth factors, and Trends
Segment Covered
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to segments covered.
Regional Scope
North America, Europe, Asia Pacific, Middle East & Africa, South & Central America
Country Scope
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to country scope.
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The leading players operating in the automotive four-wheel drive vehicle market are ZF Friedrichshafen AG, Continental AG, Magna International Inc., Borgwarner Inc., Jtekt Corporation, American Axle Manufacturing, Eaton Corporation PLC, GKN PLC, and Dana Holding Corporation.
An increase in sales of high-end vehicles is anticipated to play a significant role in the global automotive four-wheel drive vehicle market in the coming years.
The global automotive four-wheel drive vehicle market is expected to grow at a CAGR of 7.6% during the forecast period 2023 - 2031.
The rapid technological advancement in the automotive sector is one of the major factors driving the automotive four-wheel drive vehicle market.
1 Introduction
1.1 Scope of Study
1.2 The Insight Partners Research Report Guidance
2 Key Takeaways
3 Automotive Four-Wheel Drive Vehicle Market Landscape
3.1 Market Overview
3.2 Market Segmentation
3.2.1 Automotive Four-Wheel Drive Vehicle Market- By Type
3.2.2 Automotive Four-Wheel Drive Vehicle Market- By System Type
3.2.3 Automotive Four-Wheel Drive Vehicle Market- By Design
3.2.4 Automotive Four-Wheel Drive Vehicle Market- By Components
3.2.5 Automotive Four-Wheel Drive Vehicle Market- By Operating Mode
3.2.6 Automotive Four-Wheel Drive Vehicle Market- By Application
3.2.7 Market - By Region
3.2.7.1 By Countries
3.3 PEST Analysis
3.3.1 North America - PEST Analysis
3.3.2 Europe - PEST Analysis
3.3.3 Asia Pacific - PEST Analysis
3.3.4 Middle East and Africa - PEST Analysis
3.3.5 South America - PEST Analysis
4 Automotive Four-Wheel Drive Vehicle Market- Key Industry Dynamics
4.1 Key Market Drivers
4.2 Key Market Restraints
4.3 Key Market Opportunities
4.4 Future Trends
4.5 Impact Analysis
5 Automotive Four-Wheel Drive Vehicle Market Analysis- Global
5.1 Global Automotive Four-Wheel Drive Vehicle Market Overview
5.2 Global Automotive Four-Wheel Drive Vehicle Market Forecast and Analysis
6 Automotive Four-Wheel Drive Vehicle Market Revenue and Forecasts to 2028 - Type
6.1 Overview
6.2 Type Market Forecast and Analysis
6.3 4x4 Wheeled Drive Market
6.3.1 Overview
6.3.2 4x4 Wheeled Drive Market Forecast and Analysis
6.4 4x2 Wheeled Drive Market
6.4.1 Overview
6.4.2 4x2 Wheeled Drive Market Forecast and Analysis
7 Automotive Four-Wheel Drive Vehicle Market Revenue and Forecasts to 2028 - System Type
7.1 Overview
7.2 System Type Market Forecast and Analysis
7.3 Automatic Four-Wheel Drive System Market
7.3.1 Overview
7.3.2 Automatic Four-Wheel Drive System Market Forecast and Analysis
7.4 Manual Four-Wheel Drive System Market
7.4.1 Overview
7.4.2 Manual Four-Wheel Drive System Market Forecast and Analysis
8 Automotive Four-Wheel Drive Vehicle Market Revenue and Forecasts to 2028 - Design
8.1 Overview
8.2 Design Market Forecast and Analysis
8.3 RWD Vehicles System Market
8.3.1 Overview
8.3.2 RWD Vehicles Market Forecast and Analysis
8.4 FWD Vehicles Market
8.4.1 Overview
8.4.2 FWD Vehicles Market Forecast and Analysis
9 Automotive Four-Wheel Drive Vehicle Market Revenue and Forecasts to 2028 - Components
9.1 Overview
9.2 Components Type Market Forecast and Analysis
9.3 Drive Shafts Market
9.3.1 Overview
9.3.2 Drive Shafts Market Forecast and Analysis
9.4 Universal Joints Market
9.4.1 Overview
9.4.2 Software Market Forecast and Analysis
9.5 Transfer Case Market
9.5.1 Overview
9.5.2 Transfer Case Market Forecast and Analysis
9.5.2.1 Drive Chain Design Market
9.5.2.1.1 Drive Chain Design Market Forecast and Analysis
9.5.2.2 Gear Type Market
9.5.2.2.1 Gear Type Market Forecast and Analysis
10 Automotive Four-Wheel Drive Vehicle Market Revenue and Forecasts to 2028 - Operating Mode
10.1 Overview
10.2 Operating Mode Market Forecast and Analysis
10.3 Part-Time Mode Market
10.3.1 Overview
10.3.2 Part-Time Mode Market Forecast and Analysis
10.4 Full-Time Mode Market
10.4.1 Overview
10.4.2 Full-Time Mode Market Forecast and Analysis
10.5 On-Demand Mode Market
10.5.1 Overview
10.5.2 On-Demand Market Forecast and Analysis
11 Automotive Four-Wheel Drive Vehicle Market Revenue and Forecasts to 2028 - Applications
11.1 Overview
11.2 Applications Market Forecast and Analysis
11.3 Passenger Cars Market
11.3.1 Overview
11.3.2 Passenger Cars Market Forecast and Analysis
11.4 Light Commercial Vehicle Market
11.4.1 Overview
11.4.2 Light Commercial Vehicle Market Forecast and Analysis
11.5 Heavy Commercial Vehicle Market
11.5.1 Overview
11.5.2 Heavy Commercial Vehicle Market Forecast and Analysis
12 Automotive Four-Wheel Drive Vehicle Market Revenue and Forecasts to 2028 - Geographical Analysis
12.1 North America
12.1.1 North America Automotive Four-Wheel Drive Vehicle Market overview
12.1.2 North America Automotive Four-Wheel Drive Vehicle Market Forecast and Analysis
12.1.2.1 North America Market Forecast and Analysis - By Countries
12.1.2.1.1 US market
12.1.2.1.2 Canada market
12.1.2.1.3 Mexico market
12.1.2.2 North America Market Forecast and Analysis - By Type
12.1.2.3 North America Market Forecast and Analysis - By System Type
12.1.2.4 North America Market Forecast and Analysis - By Design
12.1.2.5 North America Market Forecast and Analysis - By Components
12.1.2.6 North America Market Forecast and Analysis - By Operating Mode
12.1.2.7 North America Market Forecast and Analysis - By Application
12.2 Europe
12.2.1 Europe Automotive Four-Wheel Drive Vehicle Market overview
12.2.2 Europe Automotive Four-Wheel Drive Vehicle Market Forecast and Analysis
12.2.2.1 Europe Market Forecast and Analysis - By Countries
12.2.2.1.1 France market
12.2.2.1.2 Germany market
12.2.2.1.3 Italy market
12.2.2.1.4 Spain market
12.2.2.1.5 UK market
12.2.2.2 Europe Market Forecast and Analysis - By Type
12.2.2.3 Europe Market Forecast and Analysis - By System Type
12.2.2.4 Europe Market Forecast and Analysis - By Design
12.2.2.5 Europe Market Forecast and Analysis - By Components
12.2.2.6 Europe Market Forecast and Analysis - By Operating Mode
12.2.2.7 Europe Market Forecast and Analysis - By Application
12.3 Asia pacific (APAC)
12.3.1 Asia Pacific Automotive Four-Wheel Drive Vehicle Market overview
12.3.2 Asia Pacific Automotive Four-Wheel Drive Vehicle Market Forecast and Analysis
12.3.2.1 Asia Pacific Market Forecast and Analysis - By Countries
12.3.2.1.1 Australia market
12.3.2.1.2 China market
12.3.2.1.3 India market
12.3.2.1.4 Japan market
12.3.2.2 Asia Pacific Market Forecast and Analysis - By Type
12.3.2.3 Asia Pacific Market Forecast and Analysis - By System Type
12.3.2.4 Asia Pacific Market Forecast and Analysis - By Design
12.3.2.5 Asia Pacific Market Forecast and Analysis - By Components
12.3.2.6 Asia Pacific Market Forecast and Analysis - By Operating Mode
12.3.2.7 Asia Pacific Market Forecast and Analysis - By Application
12.4 Middle East and Africa (MEA)
12.4.1 Middle East and Africa Automotive Four-Wheel Drive Vehicle Market overview
12.4.2 Middle East and Africa Automotive Four-Wheel Drive Vehicle Market Forecast and Analysis
12.4.2.1 Middle East and Africa Market Forecast and Analysis - By Countries
12.4.2.1.1 South Africa market
12.4.2.1.2 Saudi Arabia market
12.4.2.1.3 UAE market
12.4.2.2 Middle East and Africa Market Forecast and Analysis - By Type
12.4.2.3 Middle East and Africa Market Forecast and Analysis - By System Type
12.4.2.4 Middle East and Africa Market Forecast and Analysis - By Design
12.4.2.5 Middle East and Africa Market Forecast and Analysis - By Components
12.4.2.6 Middle East and Africa Market Forecast and Analysis - By Operating Mode
12.4.2.7 Middle East and Africa Market Forecast and Analysis - By Application
12.5 South America (SAM)
12.5.1 South America Automotive Four-Wheel Drive Vehicle Market overview
12.5.2 South America Automotive Four-Wheel Drive Vehicle Market Forecast and Analysis
12.5.2.1 South America Market Forecast and Analysis - By Countries
12.5.2.1.1 Brazil market
12.5.2.2 South America Market Forecast and Analysis - By Type
12.5.2.3 South America Market Forecast and Analysis - By System Type
12.5.2.4 South America Market Forecast and Analysis - By Design
12.5.2.5 South America Market Forecast and Analysis - By Components
12.5.2.6 South America Market Forecast and Analysis - By Operating Mode
12.5.2.7 South America Market Forecast and Analysis - By Application
13 Industry Landscape
13.1 Mergers & acquisitions
13.2 Market Initiatives
13.3 New developments
13.4 Investment scenarios
14 Competitive Landscape
14.1 Competitive Product mapping
14.2 Market Positioning/ Market Share
15 Automotive Four-Wheel Drive Vehicle, Key Company Profiles
15.1 ZF Friedrichshafen AG
15.1.1 Key Facts
15.1.2 Business Description
15.1.3 Products and services
15.1.4 Financial Overview
15.1.5 SWOT Analysis
15.1.6 Key Developments
15.2 Continental AG
15.2.1 Key Facts
15.2.2 Business Description
15.2.3 Products and services
15.2.4 Financial Overview
15.2.5 SWOT Analysis
15.2.6 Key Developments
15.3 Magna International Inc.
15.3.1 Key Facts
15.3.2 Business Description
15.3.3 Products and services
15.3.4 Financial Overview
15.3.5 SWOT Analysis
15.3.6 Key Developments
15.4 Borgwarner Inc.
15.4.1 Key Facts
15.4.2 Business Description
15.4.3 Products and services
15.4.4 Financial Overview
15.4.5 SWOT Analysis
15.4.6 Key Developments
15.5 Jtekt Corporation
15.5.1 Key Facts
15.5.2 Business Description
15.5.3 Products and services
15.5.4 Financial Overview
15.5.5 SWOT Analysis
15.5.6 Key Developments
15.6 American Axle Manufacturing
15.6.1 Key Facts
15.6.2 Business Description
15.6.3 Products and services
15.6.4 Financial Overview
15.6.5 SWOT Analysis
15.6.6 Key Developments
15.7 Eaton Corporation PLC
15.7.1 Key Facts
15.7.2 Business Description
15.7.3 Products and services
15.7.4 Financial Overview
15.7.5 SWOT Analysis
15.7.6 Key Developments
15.8 GKN PLC
15.8.1 Key Facts
15.8.2 Business Description
15.8.3 Products and services
15.8.4 Financial Overview
15.8.5 SWOT Analysis
15.8.6 Key Developments
15.9 Dana Holding Corporation
15.9.1 Key Facts
15.9.2 Business Description
15.9.3 Products and services
15.9.4 Financial Overview
15.9.5 SWOT Analysis
15.9.6 Key Developments
15.10 Oerlikon Inc.
15.10.1 Key Facts
15.10.2 Business Description
15.10.3 Products and services
15.10.4 Financial Overview
15.10.5 SWOT Analysis
15.10.6 Key Developments
16 Appendix
16.1 About The Insight Partners
16.2 Glossary of Terms
16.3 Research Methodology
List of Companies
1. ZF Friedrichshafen AG
2. Continental AG
3. Magna International Inc.
4. Borgwarner Inc.
5. Jtekt Corporation
6. American Axle Manufacturing
7. Eaton Corporation PLC
8. GKN PLC
9. Dana Holding Corporation
10. Oerlikon Inc.
The Insight Partners performs research in 4 major stages: Data Collection & Secondary Research, Primary Research, Data Analysis and Data Triangulation & Final Review.
- Data Collection and Secondary Research:
As a market research and consulting firm operating from a decade, we have published many reports and advised several clients across the globe. First step for any study will start with an assessment of currently available data and insights from existing reports. Further, historical and current market information is collected from Investor Presentations, Annual Reports, SEC Filings, etc., and other information related to company’s performance and market positioning are gathered from Paid Databases (Factiva, Hoovers, and Reuters) and various other publications available in public domain.
Several associations trade associates, technical forums, institutes, societies and organizations are accessed to gain technical as well as market related insights through their publications such as research papers, blogs and press releases related to the studies are referred to get cues about the market. Further, white papers, journals, magazines, and other news articles published in the last 3 years are scrutinized and analyzed to understand the current market trends.
- Primary Research:
The primarily interview analysis comprise of data obtained from industry participants interview and answers to survey questions gathered by in-house primary team.
For primary research, interviews are conducted with industry experts/CEOs/Marketing Managers/Sales Managers/VPs/Subject Matter Experts from both demand and supply side to get a 360-degree view of the market. The primary team conducts several interviews based on the complexity of the markets to understand the various market trends and dynamics which makes research more credible and precise.
A typical research interview fulfils the following functions:
- Provides first-hand information on the market size, market trends, growth trends, competitive landscape, and outlook
- Validates and strengthens in-house secondary research findings
- Develops the analysis team’s expertise and market understanding
Primary research involves email interactions and telephone interviews for each market, category, segment, and sub-segment across geographies. The participants who typically take part in such a process include, but are not limited to:
- Industry participants: VPs, business development managers, market intelligence managers and national sales managers
- Outside experts: Valuation experts, research analysts and key opinion leaders specializing in the electronics and semiconductor industry.
Below is the breakup of our primary respondents by company, designation, and region:
Once we receive the confirmation from primary research sources or primary respondents, we finalize the base year market estimation and forecast the data as per the macroeconomic and microeconomic factors assessed during data collection.
- Data Analysis:
Once data is validated through both secondary as well as primary respondents, we finalize the market estimations by hypothesis formulation and factor analysis at regional and country level.
- 3.1 Macro-Economic Factor Analysis:
We analyse macroeconomic indicators such the gross domestic product (GDP), increase in the demand for goods and services across industries, technological advancement, regional economic growth, governmental policies, the influence of COVID-19, PEST analysis, and other aspects. This analysis aids in setting benchmarks for various nations/regions and approximating market splits. Additionally, the general trend of the aforementioned components aid in determining the market's development possibilities.
- 3.2 Country Level Data:
Various factors that are especially aligned to the country are taken into account to determine the market size for a certain area and country, including the presence of vendors, such as headquarters and offices, the country's GDP, demand patterns, and industry growth. To comprehend the market dynamics for the nation, a number of growth variables, inhibitors, application areas, and current market trends are researched. The aforementioned elements aid in determining the country's overall market's growth potential.
- 3.3 Company Profile:
The “Table of Contents” is formulated by listing and analyzing more than 25 - 30 companies operating in the market ecosystem across geographies. However, we profile only 10 companies as a standard practice in our syndicate reports. These 10 companies comprise leading, emerging, and regional players. Nonetheless, our analysis is not restricted to the 10 listed companies, we also analyze other companies present in the market to develop a holistic view and understand the prevailing trends. The “Company Profiles” section in the report covers key facts, business description, products & services, financial information, SWOT analysis, and key developments. The financial information presented is extracted from the annual reports and official documents of the publicly listed companies. Upon collecting the information for the sections of respective companies, we verify them via various primary sources and then compile the data in respective company profiles. The company level information helps us in deriving the base number as well as in forecasting the market size.
- 3.4 Developing Base Number:
Aggregation of sales statistics (2020-2022) and macro-economic factor, and other secondary and primary research insights are utilized to arrive at base number and related market shares for 2022. The data gaps are identified in this step and relevant market data is analyzed, collected from paid primary interviews or databases. On finalizing the base year market size, forecasts are developed on the basis of macro-economic, industry and market growth factors and company level analysis.
- Data Triangulation and Final Review:
The market findings and base year market size calculations are validated from supply as well as demand side. Demand side validations are based on macro-economic factor analysis and benchmarks for respective regions and countries. In case of supply side validations, revenues of major companies are estimated (in case not available) based on industry benchmark, approximate number of employees, product portfolio, and primary interviews revenues are gathered. Further revenue from target product/service segment is assessed to avoid overshooting of market statistics. In case of heavy deviations between supply and demand side values, all thes steps are repeated to achieve synchronization.
We follow an iterative model, wherein we share our research findings with Subject Matter Experts (SME’s) and Key Opinion Leaders (KOLs) until consensus view of the market is not formulated – this model negates any drastic deviation in the opinions of experts. Only validated and universally acceptable research findings are quoted in our reports.
We have important check points that we use to validate our research findings – which we call – data triangulation, where we validate the information, we generate from secondary sources with primary interviews and then we re-validate with our internal data bases and Subject matter experts. This comprehensive model enables us to deliver high quality, reliable data in shortest possible time.
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