Home Mining Minerals & Metals Hub Unit Bearing Market Size & Share, Growth, Revenue, Forecast 2032

Hub Unit Bearing Market

Hub Unit Bearing Market Size, Share & Trends Analysis Report By Type (Conventional Type, HUB I, HUB II, HUB III), By Application (Passenger Cars, Commercial Vehicles, Two-Wheeler) and By Region(North America, Europe, APAC, Middle East and Africa, LATAM) Forecasts, 2024-2032

Report Code: SRMM1405DR
Study Period 2020-2032 CAGR 8.3%
Historical Period 2020-2022 Forecast Period 2024-2032
Base Year 2023 Base Year Market Size USD 1.1 billion
Forecast Year 2032 Forecast Year Market Size USD 2.4 billion
Largest Market Asia-Pacific Fastest Growing Market North America
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Market Overview

The global hub unit bearing market size was valued at USD 1.1 billion in 2023 and is projected to reach a value of USD 2.4 billion by 2032, registering a CAGR of 8.3% during the forecast period (2024-2032).

A hub unit bearing, also known as a wheel bearing, is a critical component in the automobile industry that allows for smooth and regulated rotation of vehicle wheels. It supports the vehicle's weight, allows for effective wheel rotation, and connects the axle to the wheel. Hub unit bearings are typically sealed, pre-greased, and installed as a single unit, making them an integral part of the wheel hub assembly. This design reduces maintenance requirements and simplifies replacement operations.

 The global hub unit bearing market is an integral part of the automotive industry, giving rotational support to vehicle wheels and maintaining proper steering and suspension systems. The market's dynamics are directly linked to automotive production trends, with increased vehicle demand driving the requirement for high-performance hub unit bearings. Continuous technological improvements, including innovations in bearing materials and design, help to improve efficiency and longevity. The growing popularity of electric and hybrid vehicles creates unique demands for improved bearing systems.

Market Dynamics

Global Hub Unit Bearing Market Drivers:

Automotive Industry Growth

The growth of the automobile industry is a significant driver of the hub unit-bearing market. As the global economy grows, so does the need for vehicles, resulting in increased production and sales. According to S&P Worldwide Mobility, worldwide light vehicle production in 2023 is predicted to reach 89.8 million units, up 9% from 2022. However, a report by GlobalData in Q2 2023 projects that worldwide light vehicle manufacturing in 2023 would be 87.43 million units, a 6% increase over the previous year. This pattern points to an ongoing growth trajectory for the automobile industry. Emerging markets such as China, India, and Brazil have experienced rapid urbanization, rising disposable incomes, and increased automobile demand. For example, China has become the world's largest automotive market, selling millions of vehicles yearly. Sales rose 7.1% to nearly 18 million automobiles in the first nine months of 2023.

Furthermore, as vehicle production and sales expand, so does the demand for hub unit bearings. Hub unit bearings are critical components in automobile wheel assemblies, and their demand is directly related to vehicle production and sales worldwide. To accommodate rising demand, automakers and suppliers invest in capacity growth, technology updates, and market expansion projects. This results in increasing demand for hub unit bearings and other vehicle components. As a result, the continued growth of the automotive industry and increased vehicle production and sales provide a solid basis for the hub unit-bearing market trend.

Global Hub Unit Bearing Market Restraints:

Price Competition

The hub unit-bearing industry is characterized by fierce competition among producers, and price pressure can be a significant impediment. Price competition is caused by various causes, including the availability of several suppliers, the standardization of specific bearing types, and the influence of original equipment manufacturers (OEMs) looking for cost-effective alternatives.

Furthermore, hub bearings in North America cost between USD 80 and USD 300, with additional labor charges of USD 80 to USD 200 on each side for replacement. Prices in Asia-Pacific, particularly in nations such as China, India, Japan, and South Korea, where vehicles are widely used, may vary depending on local market dynamics and production costs. Intense pricing competition might reduce profit margins for hub unit-bearing manufacturers. Suppliers may be forced to accept lower rates to gain contracts and maintain relationships with OEMs, reducing their profitability. Smaller market players may need more margin to sustain operations.

Similarly, economic downturns or disruptions can aggravate price competitiveness by increasing price sensitivity among OEMs and customers. For example, during a recession, consumers may postpone car purchases, resulting in lower demand for hub unit bearings, while OEMs may bargain harder on component prices.

Global Hub Unit Bearing Market Opportunity:

Increasing Adoption of Electric Vehicles

The rising shift to electric vehicles creates a significant opportunity for the hub unit-bearing market. As EVs become more common, the demand for specialized bearings that fulfill the specific needs of electric drivetrains, such as decreased friction and increased durability, is likely to expand. The IEA expects electric car sales to continue to rise until 2023, with 14 million sold by the end of the year, indicating a 35% year-on-year growth. Electric cars could account for 18% of overall car sales this year. The usage of electric vehicles is expected to increase as governments develop laws to encourage EV use and automakers offer new electric models.

In 2023, electric cars (EVs) accounted for 6.38% of Indian auto sales, up from 1.75% in 2021. This represents a significant increase from pre-pandemic levels of slightly under 1%. In 2023, India's EV sales reached a record 1.53 million units, a more than 50% increase over the previous year. Electric vehicles, emphasizing energy efficiency, require low-friction bearings to enhance drivetrain performance. Hub unit bearing manufacturers may create and deliver specialized bearings that improve electric vehicles' overall performance and efficiency.

In addition, regulatory measures to decrease emissions and encourage sustainable mobility are significant motivators for adopting electric vehicles. As governments worldwide implement stronger emission laws, demand for electric cars will likely rise, offering a long-term potential for hub unit-bearing manufacturers.

Regional Analysis

Asia-Pacific Dominates the Global Market

The global hub unit-bearing market analysis is conducted in North America, Europe, Asia-Pacific, the Middle East and Africa, and Latin America.

Asia-Pacific is the most significant global hub unit-bearing market shareholder and is estimated to grow at a CAGR of 8.4% over the forecast period because of its high vehicle usage, which includes passenger cars, motorcycles, and commercial trucks. China, India, Japan, and South Korea are the most significant contributors to regional market growth. China is the world's largest producer and consumer of passenger automobiles and the largest market for electric vehicles, which is predicted to expand further throughout the forecast period. In China's highly fragmented market structure, enterprises devote significant time and effort to product development and marketing strategy. Chinese manufacturers regularly offer aftermarket equipment at competitive pricing. China's cheaper labor and production expenses make their wheel hub-bearing goods more affordable than other manufacturers. Numerous Chinese bearing manufacturers have partnered with automakers as original equipment suppliers, entering supply agreements. Chinese firms have achieved significant advances in bearing technology and manufacturing procedures. This, in turn, boosts market growth.

In addition, India is one of the world's largest motorcycle markets. The country's automotive sector is expanding faster, likely fueling regional market growth. Thus, electric vehicle production and sales will likely increase in India, bolstering the Asia-Pacific hub-bearing market over the forecast period.

North America is anticipated to exhibit a CAGR of 8.8% over the forecast period. North America is also a key market for hub unit bearings, thanks to the presence of major car manufacturers in the United States and Canada. Tesla Inc. and Harley-Davidson, Inc. are present in the United States, which can help to drive regional market growth. Wheel hub bearings must meet high-quality criteria to comply with North American rules and regulations. By adhering to these rules, local producers ensure that their goods meet the performance and specification criteria. This dedication to excellence boosts the market presence of North American businesses.

Furthermore, the United States has many original equipment manufacturers (OEMs) producing automobiles for local and international markets. As a result, there is a significant need for aftermarket components for these cars, such as wheel hub bearings. In the United States, the distribution of automobile aftermarket products is well established. These factors are expected to fuel the market and generate significant demand for hub unit bearings in the North American region.

Europe has a prominent hub unit bearings market owing to the region's robust automotive industry. Several major car manufacturers operate in European countries, and there is a great need for high-quality, dependable components such as hub unit bearings. Germany, in particular, is known for its robust automotive industry, with businesses such as Volkswagen, BMW, and Mercedes-Benz playing key roles. The German automobile market strongly needs precision-engineered components like sophisticated hub unit bearings. Hub unit-bearing manufacturers who offer new and high-performance products have a chance to succeed in this competitive environment. In 2023, 3.1 million automobiles were shipped from German facilities to clients worldwide, 17% higher than in 2022. This means that exports are nearly 11% lower than before the crisis in 2019, when Germany exported 3.5 million new automobiles.

Similarly, the European Automobile Manufacturers' Association (ACEA) states that the EU manufactured more than 9 million cars in the first three quarters of 2023, representing a 14% increase over 2022. The United States produced about 6 million cars in 2023, up 11.2% from 2022. Germany, Spain, and the United Kingdom contributed to this production. The production figures demonstrate the high need for automotive components, such as hub unit bearings, to support the manufacture of automobiles and commercial vehicles.

Report Scope

Report Metric Details
Segmentations
By Type
  1. Conventional Type
  2. HUB I
  3. HUB II
  4. HUB III
By Application
  1. Passenger Cars
  2. Commercial Vehicles
  3. Two-Wheeler
Company Profiles NSK Ltd. NTN Corporation C&U Americas EBI Bearings Co., Ltd BCA Bearings Diesel Technic SE IMB Bearing IVECO S.p.A. Tata Bearings Ltd. Scania AB Hangzhou Motion Auto Parts
Geographies Covered
North America U.S. Canada
Europe U.K. Germany France Spain Italy Russia Nordic Benelux Rest of Europe
APAC China Korea Japan India Australia Singapore Taiwan South East Asia Rest of Asia-Pacific
Middle East and Africa UAE Turkey Saudi Arabia South Africa Egypt Nigeria Rest of MEA
LATAM Brazil Mexico Argentina Chile Colombia Rest of LATAM
Report Coverage Revenue Forecast, Competitive Landscape, Growth Factors, Environment & Regulatory Landscape and Trends
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Segmental Analysis

The global hub unit bearing market is segmented based on type and application.

The market is further segmented by type into conventional types, HUB I, HUB II, and HUB III.

The HUB III segment will likely dominate the market over the forecast period. HUB III represents the most recent and advanced generation of hub unit bearings. These bearings are at the vanguard of technical innovation, featuring cutting-edge materials, design principles, and integrated innovative technologies. HUB III bearings are designed to fulfill the needs of current automobiles, especially those equipped with electric drivetrains and innovative safety systems. They may include sensor integration for real-time monitoring and data feedback, contributing to predictive maintenance techniques. HUB III bearings are intended to be highly efficient, durable, and adaptive to the changing landscape of the automotive industry.

The supremacy can be attributable to its widespread use in passenger vehicles. It includes a first-generation ball bearing, a hub shaft integrated with the outer side inner ring, and a flange integrated with the outer ring for mounting on the knuckle. HUB III is smaller and lighter than earlier hub unit bearings and is projected to fuel segment growth.

HUB II implies a step forward in hub unit-bearing technology, including additional improvements to solve specific issues or requirements. These bearings may include innovative materials, precision engineering, and technologies designed to reduce weight and friction. HUB II bearings are likely engineered to optimize performance, influencing fuel efficiency and vehicle dynamics. As vehicle technology advances, HUB II bearings aspire to deliver better functionality than previous models.

The market can be bifurcated by application into Passenger Cars, Commercial Vehicles, and two-wheelers.

The passenger car category is anticipated to account for most of the market share owing to the global increase in passenger car sales. These hub unit bearings are used more extensively in passenger cars than motorcycles and commercial vehicles. Hub unit bearings for passenger automobiles are intended to satisfy the unique needs of vehicles used for personal transportation. These bearings support the wheels, allowing smooth and effective rotation, steering, and suspension. Given this market's wide range of passenger automobiles, from tiny sedans to SUVs, hub unit bearings must accommodate different vehicle sizes and weights. In passenger car applications, comfort, noise reduction, and overall vehicle performance are also important factors.

The commercial category is divided into small and heavy commercial vehicles. Hub unit bearings for commercial vehicles are designed to meet the needs of trucks, buses, and other heavy-duty vehicles used to move products or passengers. Commercial vehicles often have heavier loads and more demanding working conditions than passenger cars. As a result, hub unit bearings for this category are designed to endure larger loads, provide strong support, and be more durable. These bearings let commercial trucks operate reliably and safely in various road and load conditions.

Market Size By Type

Recent Developments

  • December 2023- NSK introduced HTF-SRM Ball Screws: High Speed/High Heat Resistance for Injection Molding and High-Load Drive Applications
  • December 2023- Lamborghini's Active Wheel Hub adjusted camber and toe in real-time, as we saw on the test track with the Huracán.
  • June 2023- BCA Bearings expanded wheel hub coverage with seven new SKUs, including five first-to-market offerings.
  • November 2023- Diesel Technic will implement an automated guided vehicle system in intralogistics.

Top Key Players

NSK Ltd. NTN Corporation C&U Americas EBI Bearings Co., Ltd BCA Bearings Diesel Technic SE IMB Bearing IVECO S.p.A. Tata Bearings Ltd. Scania AB Hangzhou Motion Auto Parts Others

Frequently Asked Questions (FAQs)

What is the estimated growth rate (CAGR) of the Hub Unit Bearing Market?
Hub Unit Bearing Market size will grow at approx. CAGR of 8.3% during the forecast period.
Some of the top prominent players in Hub Unit Bearing Market are,NSK Ltd.,NTN Corporation, C&U Americas, EBI Bearings Co., Ltd, BCA Bearings, Diesel Technic SE, IMB Bearing, IVECO S.p.A., Tata Bearings Ltd., Scania AB, Hangzhou Motion Auto Parts, etc.
India has been dominating the Hub Unit Bearing Market, accounting for the largest share of the market.
The region with the most rapid expansion in the Hub Unit Bearing Market is Asia-Pacific.
The global Hub Unit Bearing Market report is segmented as follows: By Type, By Application


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