US Automotive Traction Motor Market Size & Share Analysis - Growth Trends and Forecast (2026 - 2035)
US Automotive Traction Motor Market: by Type (AC Motor, DC Motor, Permanent Magnet Synchronous Motor, Brushless DC Motor, Induction Motor, Switched Reluctance Motor), Application (Electric Vehicles, Hybrid Vehicles, Plug-In Hybrid Vehicles, Commercial Vehicles, Passenger Cars, Heavy Vehicles), Distribution Channels (OEM, Aftermarket, Online, Dealers, Distributors, Direct Sales), Technology (Brushed, Brushless, Synchronous, Asynchronous, Direct Drive, Indirect Drive), Organization Size (Small, Medium, Large) and By US Historical & Forecast Period (2020-2035) Comprehensive Study 2025
Last Updated: 23-07-2025 | Format: PDF | Report ID:1125 | Author: Ankita R
US Automotive Traction Motor Market: Trends, Outlook, and Key Insights (2025-2035)
The US Automotive Traction Motor Market is witnessing robust growth, driven by the shift toward vehicle electrification and sustained advancements in motor technology. Valued at USD 3,360 Million in 2025, the market is projected to reach USD 11,200 Million by 2035, growing at a CAGR of 12.3%. Key segments include AC Motors, DC Motors, and Permanent Magnet Synchronous Motors, serving applications across electric and hybrid vehicles, commercial fleets, and passenger cars. The industry is highly dynamic, influenced by evolving regulations, strategic partnerships, and continuous technological innovation.
Latest Market Dynamics
Key Drivers
Surging adoption of electric vehicles, driven by stringent emission regulations and ambitious net-zero carbon goals. For instance, General Motors plans to exclusively offer electric vehicles by 2035, prompting demand for advanced traction motors.
Rapid advancements in permanent magnet synchronous motors, enhancing efficiency and driving major OEMs like Tesla to focus on integrating high-performance motors into new model line-ups.
Key Trends
Increasing investment in local manufacturing capacities for automotive traction motors. In July 2024, Siemens AG announced an expansion of its Texas facility focused on next-generation EV motor production.
Growth in integrated motor-control solutions, as companies like Nidec Corporation partner with EV manufacturers to deliver compact, high-efficiency motor systems for the US market.
Key Opportunities
Rising demand for high-torque motors in heavy vehicles and commercial fleets presents a sizable opportunity for suppliers like ABB Ltd., especially with the ongoing electrification of delivery and freight segments.
Development of cost-effective, rare-earth-free motor designs, as demonstrated by Robert Bosch GmbH’s July 2024 launch of induction motor technology aimed at reducing dependency on critical materials.
Key Challenges
Supply chain disruptions and raw material shortages continue to challenge consistent motor production, with Toshiba Corporation reporting delays in Q2 2024 due to copper and semiconductor procurement issues.
Market competition from lower-cost international suppliers pushes domestic firms to innovate and optimize cost structures, a challenge highlighted by Continental AG in its June 2024 earnings report.
Key Restraints
High initial investment costs for OEMs to retool existing production lines for advanced traction motors, as faced by Hyundai Mobis in their recent US expansion.
Variability in charging infrastructure deployment slows the full-scale adoption of electric vehicle platforms, impacting planned traction motor roll-outs for companies like ZF Friedrichshafen AG.
US Automotive Traction Motor Market Share by Type, 2025
In 2025, Permanent Magnet Synchronous Motors command the largest share of the US Automotive Traction Motor Market at 38%, reflecting their dominance in electric and hybrid vehicle adoption due to high efficiency and power density. Brushless DC Motors follow with 29%, benefiting from their low maintenance and suitability for a range of EV applications. Induction Motors account for 17%, fueled by their cost effectiveness and robust performance in heavy-duty vehicles. Collectively, these three types constitute nearly 85% of the market, showcasing the shift toward high-performance and durable traction solutions as the automotive industry transitions to electrified mobility.
US Automotive Traction Motor Market Share by Application, 2025
Electric Vehicles (EVs) represent the largest application segment in the US Automotive Traction Motor Market with a 46% share in 2025, underlining the nationwide shift toward zero-emission personal mobility. Hybrid Vehicles occupy a 28% market share, sustained by continued adoption in transitional fleets and consumer vehicles. Commercial Vehicles, including delivery vans and buses, stand at 16%, benefiting from fleet electrification investments by both public and private sectors. This breakdown illustrates the sector’s focus on supporting sustainable transportation for both individual and business use, alongside ongoing electrification of commercial and logistics operations.
US Automotive Traction Motor Market Revenue (USD Million), 2020-2035
The US Automotive Traction Motor Market is expected to grow from USD 1,100 Million in 2020 to reach USD 11,200 Million by 2035, reflecting a strong CAGR of 12.3%. Revenue acceleration is particularly notable from 2025 onwards, propelled by OEM electrification targets, government incentives, and surging demand for next-generation EVs and hybrid models. Market participants are scaling production and investing in research to capture opportunities in both established and emerging vehicle segments. This trajectory highlights the central role traction motors play in the US automotive industry's evolution toward electrification.
US Automotive Traction Motor Market Year-on-Year Growth (%), 2020-2035
Year-on-year growth in the US Automotive Traction Motor Market is projected to peak between 2025 and 2028, with annual increases reaching up to 16%. Growth rates moderate after 2030 as electrification achieves deeper market penetration and some technology standardization emerges. Continued government incentives, OEM investments, and battery technology advancements will further boost growth. This chart underscores the dynamic expansion phase through the next decade before entering a phase of steady, sustainable market maturity.
US Automotive Traction Motor Market Share by Region, 2025
In 2025, the Midwest region dominates the US Automotive Traction Motor Market with a 33% share, leveraging its established auto manufacturing base and proximity to supply chain networks. The West region follows with 28%, driven by strong demand for EVs in California and significant investments in clean energy infrastructure. The South region captures 22%, buoyed by investments in large new automotive plants and favorable policy environments. This regional distribution highlights the central and coastal states as key growth engines for traction motor adoption and production.
US Automotive Traction Motor Market Share by Leading Players, 2025
The US Automotive Traction Motor Market is moderately concentrated, with Siemens AG leading at 18% share on account of its robust technological offerings and OEM partnerships. ABB Ltd. claims 13% share, sustained by a broad product portfolio and regional expansion. Nidec Corporation holds 11%, closely followed by Bosch at 10% and Toshiba at 7%. The competitive landscape is shaped by a blend of global brands and specialized regional suppliers, with ongoing consolidation expected as electrification matures.
US Automotive Traction Motor Market Share by Buyers, 2025
OEMs constitute the largest share of buyers in the US Automotive Traction Motor Market at 52% in 2025, as automakers accelerate production of electrified models. Fleet operators, including logistics and delivery companies, account for 23%, while aftermarket buyers and service providers make up 14%. The evolving buyer landscape reflects both the mainstreaming of electric mobility and the need for reliable, scalable traction solutions across passenger and commercial vehicle segments.
Study Coverage
Metrics
Details
Years
2020-2035
Base Year
2025
Market Size
Revenue (USD Million)
Regions
Midwest, West, South, Northeast
Segments
By Type (AC Motor, DC Motor, Permanent Magnet Synchronous Motor, Brushless DC Motor, Induction Motor, Switched Reluctance Motor), By Application (Electric Vehicles, Hybrid Vehicles, Plug-In Hybrid Vehicles, Commercial Vehicles, Passenger Cars, Heavy Vehicles), By Distribution Channels (OEM, Aftermarket, Online, Dealers, Distributors, Direct Sales), By Technology (Brushed, Brushless, Synchronous, Asynchronous, Direct Drive, Indirect Drive), By Organization Size (Small, Medium, Large)
July 15, 2024: Siemens AG announces a US$150 million expansion in its Texas EV traction motor plant to meet rising North American demand.
June 20, 2024: Robert Bosch GmbH launches a rare-earth-free induction motor technology aimed at cost-effective, sustainable EV solutions.
June 18, 2024: ABB Ltd. partners with a leading US commercial vehicle manufacturer for exclusive supply of high-torque motors for electric delivery fleets.
June 11, 2024: Nidec Corporation secures a major contract with a US-based automaker to co-develop compact, integrated EV traction motors focused on next-generation passenger vehicles.
June 8, 2024: Continental AG reports continued investments in US-based R&D centers to accelerate innovations in motor efficiency and connectivity.
Frequently Asked Questions
About the Author
Ankita R
Lead Industry Analyst
Ankita R is a Lead Industry Analyst specializing in market research, industry analysis, and business consulting across Automotive & Transportation. Ankita R brings a commercially grounded perspective to sectors shaped by changing demand, innovation, and competitive dynamics, helping turn complex market trends into clear strategic insights for business decision-makers. With 10+ years of experience across research, analytics, and strategic advisory roles, Ankita R has helped organizations translate data into actionable growth strategies.
