July 13, 2024
Ict

The Electro Hydraulic Servo Valve Powered Automotive Industry, A Key Driver Of Growth

Electro hydraulic servo valves are precision control valves that enable precise flow and directional control of hydraulic fluids in industrial machinery and equipment. These valves play a critical role in applications across industries such as industrial machinery, aerospace, and the automotive sector. The adoption of electro hydraulic servo valves in components of electric vehicles like motors, brakes, power steering systems enable key functionality. The growing demand for electric and hybrid vehicles worldwide driven by stringent emission norms is a major driver of the electro hydraulic servo valve market. The global electro hydraulic servo valve market is estimated to be valued at US$ 2410.44 Billion in 2024 and is expected to exhibit a CAGR of 28% over the forecast period 2024 to 2031, as highlighted in a new report published by Coherent Market Insights.

Electro hydraulic servo valves allow precise and rapid control of hydraulic functions making them suitable for industrial robots, semiconductor manufacturing equipment, compressors, and machine tools among others. These valves facilitate complex, coordinated and rapid hydraulic motion sequences for automated operations. They enable precision movements with high power density perfectly suitable for manufacturing applications requiring speed, force and positional accuracy. The growing automation across industries has substantially increased the demand for industrial robots and automated machinery incorporating electro hydraulic servo valves. The need for high-precision automated production processes is promoting the adoption of electro hydraulic servo valves.

Market key trends:
One of the key trends in the Electro Hydraulic Servo Valve Market is the increasing focus on lightweight and compact valve designs. With the focus on fuel efficiency and performance in vehicles, automotive manufacturers are demanding electro hydraulic components that are smaller in size and lighter weight. Leading electro hydraulic servo valve manufacturers are developing innovative valve designs integrated with advanced materials and miniaturized electronics to achieve compact sizes without compromising on power and response time. The newer generation of lightweight valves allow more flexible vehicle component packaging and optimization of payload capacity.

Porter’s Analysis
Threat of new entrants: The electro hydraulic servo valve market requires huge R&D investments and has significant switching costs for customers, making the threat of new entrants medium.
Bargaining power of buyers: Large OEMs have significant bargaining power over electro hydraulic servo valve suppliers due to their bulk buying capabilities. However, the need for customization limits this power.
Bargaining power of suppliers: A few large players dominate the supply of electro hydraulic servo valves. This gives them medium bargaining power over buyers.
Threat of new substitutes: There are no cost-effective substitutes for electro hydraulic servo valves currently. Tech developments may raise threat of substitutes in future.
Competitive rivalry: The market has few dominant global players with others having regional presence. Competition is based on product performance, pricing and customization.

Key Takeaways

The global Electro Hydraulic Servo Valve market size is expected to witness high growth over the forecast period.

Regional analysis

shows that Asia Pacific is currently dominating the market due to presence of large automotive industries in countries like China and Japan. Growing demand for construction machinery and high presence of hydraulic component suppliers are expected to drive the APAC market.

Key players

operating in the Electro Hydraulic Servo Valve market are Toyota Motor Corporation, Hyundai Motor Company, Honda Motor Co., Ltd., and Ballard Power Systems. Toyota is a leading player with extensive product range. Hyundai and Honda are also prominent with strong focus on research and development. Ballard is growing rapidly with its focus on fuel cell technology

*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it