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Global medium and heavy-duty truck steering system market size was valued at USD 1,857 million in 2024. The market is projected to grow from USD 1,901 million in 2025 to USD 2,182 million by 2032, exhibiting a CAGR of 2.4% during the forecast period.
Medium and heavy-duty truck steering systems are critical components that enable directional control of commercial vehicles. These systems comprise various mechanical and electronic components working together to translate driver input into precise wheel movements. The primary product types include hydraulic power steering (holding 55% market share), electric power steering, and electro-hydraulic power steering systems, each offering distinct advantages in terms of efficiency and load-bearing capacity.
The market growth is driven by increasing commercial vehicle production, particularly in Asia-Pacific which dominates with 77% market share. However, the transition towards electric power steering systems presents both opportunities and challenges, as manufacturers balance performance requirements with fuel efficiency demands. Key industry players like Bosch, ZF, and Nexteer are investing in advanced steering technologies to meet evolving safety standards and automation requirements in the trucking sector.
Growing Demand for Fuel-Efficient Trucks Accelerates Electric Power Steering Adoption
The global push toward fuel efficiency in commercial vehicles is driving significant adoption of electric power steering (EPS) systems. Compared to traditional hydraulic systems, EPS offers 3-4% better fuel economy by eliminating parasitic losses from hydraulic pumps. This directly translates to substantial operational cost savings given fuel accounts for 30-40% of a fleet’s total expenses. Major manufacturers are responding – ZF Friedrichshafen recently launched its ReAX EPS system specifically designed for heavy trucks, claiming 5% fuel savings while improving maneuverability. With tightening emission regulations worldwide, the shift toward electric steering systems has become inevitable.
Vehicle Safety Regulations Propel Advanced Steering Technology Integration
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Stringent vehicle safety norms are mandating advanced driver assistance systems (ADAS) in commercial vehicles, creating demand for steer-by-wire and other electronic steering solutions. Features like lane keeping assist and autonomous emergency steering require precise electronic steering control. The European Union’s General Safety Regulation (GSR) already mandates several ADAS features for new trucks, with similar regulations being adopted globally. This regulatory push is accelerating OEM adoption of sophisticated steering systems capable of integrating with autonomous driving architectures. Bosch recently demonstrated a prototype fully redundant steer-by-wire system for trucks, highlighting the industry’s direction.
Expanding Logistics Sector Boosts Heavy-Duty Truck Production
The booming e-commerce industry and growing need for freight transportation continue to drive heavy-duty truck production worldwide. Global truck production is projected to exceed 4.2 million units annually by 2026, creating significant demand for associated components like steering systems. The Asia-Pacific region dominates this growth, accounting for over 60% of global heavy truck production. In China alone, heavy truck sales surpassed 1.1 million units in 2023 despite economic headwinds. This production surge creates a robust aftermarket for steering system components and upgrades, with steering parts representing 8-12% of typical heavy truck maintenance costs.
Higher Costs of Advanced Steering Systems Limit Widespread Adoption
While advanced steering technologies offer numerous benefits, their higher price points remain a significant adoption barrier in price-sensitive markets. Electric power steering systems cost approximately 40-50% more than traditional hydraulic systems for heavy-duty applications. In developing regions where fleet operators prioritize upfront costs over long-term savings, this price differential delays modernization. Even in mature markets, some fleet managers remain skeptical about the ROI of advanced steering technologies, particularly for mixed fleets with varying maintenance schedules and replacement cycles.
Supply Chain Constraints Impact Steering Component Availability
The global semiconductor shortage continues to disrupt production of electronic steering components, particularly for advanced EPS and steer-by-wire systems. A typical modern steering system contains 50-70 semiconductor components for control units, sensors and actuators. Lead times for critical electronic components have extended to 40-50 weeks in some cases, forcing OEMs to ration production or temporarily revert to simpler hydraulic systems. This supply chain volatility creates uncertainty in the steering system market, with smaller manufacturers particularly vulnerable to component shortages.
Technical Complexity Challenges Traditional Hydraulic Suppliers
The transition to electronic steering requires entirely new engineering capabilities that challenge traditional hydraulic component suppliers. Developing reliable fail-safe architectures for steer-by-wire systems demands expertise in functional safety standards, redundant system design and cybersecurity – disciplines outside conventional mechanical steering experience. Several established suppliers have struggled with this transition, leading to quality issues in early EPS deployments. The industry now faces a skills gap as it seeks engineers proficient in both mechanical systems and automotive electronics, a rare combination that commands premium salaries.
Autonomous Truck Development Creates New Steering System Paradigms
The accelerating development of autonomous commercial vehicles presents transformative opportunities for steering system providers. Level 4 autonomous trucks require steering systems with continuous availability, prompting development of innovative redundant architectures. Nexteer Automotive recently unveiled a dual-redundant steering system specifically for autonomous trucks featuring two independent ECUs and motor windings. As autonomous truck pilots expand globally, steering system manufacturers have an unprecedented chance to redefine vehicle architecture and establish new technology standards for the autonomous era.
Emerging Markets Offer Growth Potential for Cost-Optimized Solutions
Developing economies in Asia, Africa and South America present significant opportunities for steering system manufacturers who can deliver appropriately priced solutions. While these regions currently favor simple hydraulic systems, growing environmental awareness and fuel price sensitivity create demand for cost-optimized electric power steering variants. Several Chinese manufacturers have introduced simplified EPS systems specifically for price-sensitive markets, trading some features for 15-20% cost reductions compared to premium systems. This strategic market segmentation allows manufacturers to extend the transition to electric steering across all regions and vehicle classes.
Predictive Maintenance Integration Transforms Aftermarket Services
The incorporation of IoT capabilities in modern steering systems enables new predictive maintenance business models. Sensor-equipped steering columns can monitor component wear patterns, fluid quality and alignment trends, allowing condition-based replacement rather than fixed intervals. Major fleet operators report 20-30% maintenance cost reductions from such predictive approaches. Steering system providers are increasingly bundling hardware with analytics services – JTEKT’s recent SmartSteer system includes cloud-based diagnostics that predict component failures with 90%+ accuracy, creating valuable recurring revenue streams beyond initial equipment sales.
MARKET CHALLENGES
Standardization Gaps Impede Advanced Steering Technology Development
The lack of global standards for next-generation steering systems creates uncertainty and duplicate development costs. Requirements for steer-by-wire systems vary significantly between regions, forcing manufacturers to develop multiple variants. North America prioritizes mechanical backup capability while European regulators emphasize electronic redundancy. These divergent approaches fragment the market and delay economies of scale. The situation is complicated by competing proprietary technologies from major suppliers, each advocating their architecture as the industry standard.
Other Challenges
Weight Considerations for Heavy-Duty Applications
Balancing advanced features with weight constraints remains an engineering challenge for commercial vehicle steering systems. A typical heavy truck EPS adds 15-20 kg versus hydraulic systems, a meaningful consideration given strict gross vehicle weight regulations. Manufacturers must carefully optimize material selections and packaging to minimize weight penalties while ensuring durability across millions of steering cycles.
Technical Support Requirements
The complexity of modern steering systems requires expanded technical support infrastructure. Fleet technicians need specialized training for electronic system diagnostics and repairs, creating logistical challenges for multinational fleets. Several manufacturers have responded by developing augmented reality troubleshooting tools, but the industry still faces a shortage of qualified service personnel as mechanical steering expertise becomes less relevant.
Hydraulic Power Steering Dominates the Market Due to Cost-Effectiveness and Reliability
The market is segmented based on type into:
Hydraulic Power Steering
Electric Power Steering
Electro-Hydraulic Power Steering
Heavy-Duty Truck Segment Leads Owing to High Demand in Commercial Transportation
The market is segmented based on application into:
Heavy-Duty Truck
Medium-Duty Truck
Advanced Steering Technologies Gaining Traction for Enhanced Safety Features
The market is segmented based on technology into:
Conventional Steering Systems
Advanced Driver Assistance Systems (ADAS)
Autonomous Steering Technologies
OEMs Hold Major Share as Primary Suppliers to Truck Manufacturers
The market is segmented based on sales channel into:
Original Equipment Manufacturers (OEMs)
Aftermarket
Steering System Innovators Drive Market Competition Through Technological Advancements
The global medium and heavy-duty truck steering system market features a semi-consolidated competitive landscape, with established automotive suppliers competing alongside specialized steering system manufacturers. Robert Bosch GmbH emerges as a dominant force, leveraging its extensive R&D capabilities and global supply chain network to maintain approximately 18% market share in 2024. The company's strength lies in its integrated steering solutions that combine hydraulic and electrical components, particularly for heavy-duty applications.
ZF Friedrichshafen AG and JTEKT Corporation follow closely, together accounting for nearly 30% of the global market. These players have strengthened their positions through strategic acquisitions and technology partnerships. ZF's acquisition of TRW Automotive in 2015 significantly expanded its commercial vehicle steering portfolio, while JTEKT benefits from strong OEM relationships in the Asia-Pacific region.
The market is witnessing increasing competition as manufacturers transition from traditional hydraulic systems to electro-hydraulic and fully electric steering solutions. While hydraulic systems still dominate with 55% market share, companies like Nexteer Automotive are aggressively developing electric power steering (EPS) systems for medium-duty trucks, anticipating stricter emissions regulations and fuel efficiency requirements.
Regional players including Mando Corporation in South Korea and CAAS in China are expanding their global footprint through competitive pricing and localized product development. These companies are particularly successful in emerging markets where cost sensitivity remains high, though they face challenges matching the technology roadmap of established European and Japanese suppliers.
Robert Bosch GmbH (Germany)
ZF Friedrichshafen AG (Germany)
Nexteer Automotive (U.S.)
RH Sheppard Co., Inc. (U.S.)
Hitachi Astemo (Japan)
CAAS (China)
JTEKT Corporation (Japan)
Mando Corporation (South Korea)
Knorr-Bremse AG (Germany)
The global Medium and Heavy-duty Truck Steering System market is witnessing a transformative shift from traditional Hydraulic Power Steering (HPS) to Electric Power Steering (EPS) systems. While HPS accounts for approximately 55% of market share, EPS adoption is growing at a CAGR of over 4.5%, driven by regulations on fuel efficiency and the need for advanced driver assistance systems (ADAS). Unlike HPS, EPS eliminates hydraulic fluid dependency, reducing maintenance costs by 15-20% while improving energy efficiency. Leading manufacturers like Bosch, ZF, and Nexteer are heavily investing in modular EPS solutions, particularly for heavy-duty applications where precision and reliability are critical.
Integration of Advanced Driver-Assistance Systems (ADAS)
The demand for steering systems compatible with ADAS, such as lane-keep assist and automated parking, is increasing as governments mandate safety features for commercial vehicles. For instance, Euro 7 norms and U.S. NHTSA regulations place greater emphasis on collision avoidance, creating opportunities for electro-hydraulic hybrid systems and steer-by-wire technologies. In 2024, nearly 35% of new medium-duty trucks in Europe featured integrated ADAS-ready steering, a trend expected to expand to heavy-duty segments by 2028.
Asia-Pacific dominates the market with a 77% revenue share, attributed to rapid infrastructure development and logistics growth in China and India. Countries like Indonesia and Thailand are further accelerating demand due to new emission standards (Bharat Stage VI) and fleet modernization initiatives. Meanwhile, North America is witnessing a 3.2% annual growth in heavy-duty truck production, driven by the expansion of e-commerce logistics. This regional diversification is prompting manufacturers to establish localized production facilities, reducing lead times by 20-30% compared to centralized manufacturing models.
North America
The North American market for medium and heavy-duty truck steering systems is characterized by high technological adoption and stringent safety regulations. The U.S. dominates the region due to its expansive freight transportation infrastructure and well-established logistics sector, which accounts for over 60% of regional demand. While hydraulic power steering (HPS) remains prevalent, manufacturers are increasingly transitioning toward electric power steering (EPS) solutions to meet fuel efficiency and emissions standards set by the EPA and NHTSA. Key players like Robert Bosch and ZF are investing in advanced assistive technologies, including lane-keeping and automated steering features, driven by the growth of autonomous trucking pilots. However, high costs of EPS adoption and an aging fleet population pose challenges for rapid market expansion.
Europe
Europe’s steering system market is shaped by strict Euro VI emission norms and the push for electrification in commercial vehicles. Germany and France lead in adoption, thanks to dense freight corridors and OEM investments in electro-hydraulic power steering (EHPS) solutions. The EU’s 2025 CO₂ reduction targets are accelerating R&D in lightweight steering components, with companies like ZF and Nexteer introducing modular systems. However, the aftermarket segment faces pressure due to extended vehicle lifespans and cost-sensitive fleet operators. A moderate shift toward EPS is underway, though higher upfront costs and infrastructure limitations slow widespread adoption. Collaboration between OEMs and Tier-1 suppliers remains pivotal to navigating regulatory complexities.
Asia-Pacific
As the largest and fastest-growing market, Asia-Pacific holds 77% of global demand, predominantly fueled by China’s booming logistics and construction sectors. Hydraulic systems dominate (55% share) due to affordability, but India and Southeast Asia are gradually adopting EHPS to comply with emissions standards. Japan and South Korea lead in EPS innovation, driven by local giants like JTEKT and Mando. The region’s price sensitivity and fragmented aftermarket challenge premium solutions, though government initiatives like India’s Bharat Stage VI norms are pushing modernization. Rising freight volumes and infrastructure projects will sustain demand, but supply chain bottlenecks and uneven regulation enforcement create regional disparities.
South America
This region shows nascent growth potential, with Brazil and Argentina as key markets due to expanding agricultural and mining activities. Cost-driven demand favors hydraulic systems, though EHPS gains traction in urban fleet renewals. Economic volatility and limited local manufacturing heighten reliance on imports, particularly from Chinese suppliers. Infrastructure gaps and low electrification rates hinder EPS adoption, but long-term opportunities lie in mining and long-haul trucking segments. Political instability and currency fluctuations remain persistent barriers for global suppliers.
Middle East & Africa
The market here is emerging but uneven, with growth concentrated in GCC countries like Saudi Arabia and the UAE. Heavy-duty trucks dominate demand, linked to oil/gas logistics and construction. While hydraulic systems prevail, investments in smart highways and fleet telematics are fostering interest in advanced steering technologies. Limited local production and aftermarket fragmentation constrain growth, though partnerships with global OEMs aim to improve accessibility. Africa’s potential is untapped due to underdeveloped road networks, but regional trade agreements could stimulate long-term demand.
This market research report offers a holistic overview of global and regional markets for the forecast period 2025–2032. It presents accurate and actionable insights based on a blend of primary and secondary research.
✅ Market Overview
Global and regional market size (historical & forecast)
Growth trends and value/volume projections
✅ Segmentation Analysis
By product type or category
By application or usage area
By end-user industry
By distribution channel (if applicable)
✅ Regional Insights
North America, Europe, Asia-Pacific, Latin America, Middle East & Africa
Country-level data for key markets
✅ Competitive Landscape
Company profiles and market share analysis
Key strategies: M&A, partnerships, expansions
Product portfolio and pricing strategies
✅ Technology & Innovation
Emerging technologies and R&D trends
Automation, digitalization, sustainability initiatives
Impact of AI, IoT, or other disruptors (where applicable)
✅ Market Dynamics
Key drivers supporting market growth
Restraints and potential risk factors
Supply chain trends and challenges
✅ Opportunities & Recommendations
High-growth segments
Investment hotspots
Strategic suggestions for stakeholders
✅ Stakeholder Insights
Target audience includes manufacturers, suppliers, distributors, investors, regulators, and policymakers
-> Key players include Robert Bosch GmbH, ZF, Nexteer, RH Sheppard (Knorr-Bremse), Hitachi (Knorr-Bremse), CAAS, JTEKT, and Mando, among others.
-> Key growth drivers include increasing demand for commercial vehicles, technological advancements in steering systems, and stringent safety regulations.
-> Asia-Pacific holds the largest market share (77%) due to strong commercial vehicle production in China, India, and Japan.
-> Emerging trends include shift toward electric power steering systems, integration of advanced driver assistance systems (ADAS), and development of autonomous truck technologies.
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