Light Commercial Vehicle Powertrain Sensor Market Expected to Reach $20.1 Billion by 2033

According to a new report published by Allied Market Research, titled, “Light Commercial Vehicle Powertrain Sensor Market," The Light Commercial Vehicles Powertrain Sensors Market Size was valued at $9.1 billion in 2023, and is estimated to reach $20.1 billion by 2033, growing at a CAGR of 8.6% from 2024 to 2033.

LCV (Light Commercial Vehicle) powertrain sensors are specialized devices embedded within the powertrain system to monitor and measure key parameters such as engine speed, transmission fluid temperature, and component positioning. These sensors ensure optimal power delivery from the engine to the wheels by providing real-time data to the vehicle's electronic control unit (ECU). The ECU then adjusts enhance performance, fuel efficiency, and emissions control. Key examples include crankshaft position sensors, throttle position sensors, and transmission speed sensors, all of which play an essential role in managing drivability, power distribution, and overall vehicle performance.

Stringent environmental and emission regulations, particularly in regions like Europe and North America, are compelling manufacturers to adopt innovative technologies to reduce emissions in internal combustion engine (ICE) light commercial vehicles. For instance, according to European Commission the passenger cars and light commercial vehicles (vans) are respectively responsible for around 16% and 3% of total EU emissions of carbon dioxide (CO2), the main greenhouse gas driving climate change. To help reduce emissions, the EU has a Regulation that sets CO2 emission performance standards for new passenger cars and vans (Regulation (EU) 2019/631). Furthermore, in April 2023, the European Parliament and the Council amended the Regulation to strengthen the CO2 emission performance standards for new passenger cars and vans, and bring them in line with the EU’s ambition to reach climate neutrality by 2050. This amendment strengthened the emission targets applying from 2030 and set a 100% emission reduction target for both cars and vans from 2035 onwards.

According to International Energy Agency (IEA), the increasing adoption of electric vehicles (EVs) is a significant driver for the Light Commercial Vehicle (LCV) powertrain sensor market. In 2022, global electric LCV sales surged by over 90%, reaching more than 310,000 units, even as overall LCV sales declined by nearly 15%. This trend highlights the growing preference for electric LCVs among businesses and governments aiming for greener transport options.

As businesses and governments push for greener transport options, the demand for electric LCVs has surged, necessitating the integration of advanced powertrain sensors. These sensors are critical for managing various aspects of EVs, such as battery performance, energy efficiency, and motor control. Powertrain sensors help optimize the operation of electric vehicles by ensuring the smooth functioning of essential components, like the battery management system (BMS) and the electric motor. Additionally, as more businesses transition their fleets to electric models, there is a growing need for sensors that can improve operational efficiency, lower energy consumption, and extend vehicle range. The transition to electric LCVs is expected to continue to drive demand for advanced sensor technologies, further boosting the growth of the market.

These regulations mandate lower levels of harmful emissions, pushing automakers to incorporate powertrain sensors that can monitor engine performance, optimize fuel efficiency, and ensure compliance with legal standards. Sensors such as exhaust gas temperature sensors, oxygen sensors, and pressure sensors are used to improve combustion efficiency, reduce fuel consumption, and minimize pollutants.

The light commercial vehicle (LCV) powertrain sensor market is segmented into sensor type, vehicle type, propulsion type, sales channel, and region. By sensor type, the market is divided into temperature sensors, pressure sensors, position sensors, speed sensors, oxygen sensors (O2 sensors), and others. By vehicle type, the segmentation pick-up trucks, light trucks, and others. By propulsion type, the market is divided into internal combustion engine (ICE) vehicles, and electric vehicles (EVs). By sales channel, it includes Original Equipment Manufacturers (OEMs) and the aftermarket. By region, the market is analyzed across North America, Europe, Asia-Pacific, and LAMEA.

The key players included in the Light Commercial Vehicles Powertrain Sensors Market Analysisare Continental AG, Robert Bosch GmbH, DENSO CORPORATION, Honeywell International Inc., Sensata Technologies, Inc., PHINIA Inc. (Delphi Technologies PLC), Valeo, Hitachi Astemo, Ltd., ZF Friedrichshafen AG, Infineon Technologies AG, HELLA GmbH & Co. KGaA, Niterra India PVT. LTD., CTS Corporation, and Amphenol Corporation

Key Market Findings

• Based on sensor type, Pressure Sensors segment dominated the global Light Commercial Vehicles Powertrain Sensors Market Size in the year 2023 and is likely to remain dominant during the Light Commercial Vehicles Powertrain Sensors Market Forecast period.
• Based on vehicle type, Light Trucks segment dominated the global Light Commercial Vehicles Powertrain Sensors Industry in the year 2023 and is likely to remain dominant during the forecast period.
• Based on propulsion type, the Internal Combustion Engine (ICE) segment had the dominating Light Commercial Vehicles Powertrain Sensors Market Share in the year 2023 and is likely to remain dominant during the forecast period.
• Based on sales channel, OEMs dominated the global Light Commercial Vehicles Powertrain Sensors Industryin the year 2023 and is likely to remain dominant during the forecast period.
• Based on region, Asia-Pacific dominated the global market in the year 2023 and is likely to remain dominant during the forecast period.