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Electro Hydraulics Market for Off-Highway Equipment worth 234,487 units by 2032 | MarketsandMarkets

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MarketsandMarkets

07 Jul, 2025, 09:00 GMT

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DELRAY BEACH, Fla., July 7, 2025 /PRNewswire/ -- The electro hydraulics market for off-highway equipment is projected to grow from 92,501 units in 2025 to 234,487 units by 2032 at a CAGR of 14.2%, according to a new report by MarketsandMarkets. The electro hydraulics market is expanding in the Americas due to the increased focus on efficiency, precision, energy saving, and the demand for fuel-efficient hydraulics for off-highway equipment. Technological advancements in hydraulics, such as the integration of sensors, solenoid-operated control valves, and PLCs and ECUs, are estimated to further increase the demand for electro hydraulics in the coming years.

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Browse in-depth TOC on "Electro Hydraulics Market"

210 - Tables

84 - Figures

330 - Pages

By equipment type, the excavators segment is projected to lead the electro hydraulics market for off-highway equipment during the forecast period.

Excavators require high energy and fuel to operate, which makes them a key focus for efficiency improvements. Electro hydraulic systems offer precise control over critical functions, such as the boom, arm, and bucket, allowing for smoother and more responsive movements. This precision helps operators perform tasks like digging, lifting, and handling materials with greater accuracy and control than traditional hydraulic systems.

The integration of electronic controls in these systems also improves the overall performance by reducing fuel consumption. For instance, AB Volvo's IMVT technology improves precision and reduces fuel consumption by up to 25% for work functions. Electro hydraulics also help enhance cycle times and enable advanced features like automatic digging modes and grade assist systems. Moreover, electro hydraulics allow seamless integration with machine control and telematics systems, supporting remote monitoring and boosting job site productivity.

Leading global OEMs such as AB Volvo (Sweden), Sany Global (China), Caterpillar (US), Komatsu Ltd. (Japan), and Hitachi Construction Machinery Ltd. (Japan) are already offering excavators equipped with electro hydraulic technology. Due to excavators' high energy demands and the substantial benefits of electro hydraulics, this equipment type will likely experience the highest adoption rate.

By type, the electric segment is projected to grow at a higher rate than the conventional segment during the forecast period.

The electrically actuated hydraulic systems market is projected to grow faster than conventional ones due to the increasing demand for precision, efficiency, and automation across off-highway equipment sectors. These systems combine traditional hydraulic strength with the intelligence of electronic controls, offering real-time monitoring and adjustment of hydraulic functions through sensors, actuators, ECUs, and software. This results in significantly better fuel efficiency, reduced emissions, and enhanced performance.

Electro hydraulics are rapidly gaining traction in construction, agriculture, forestry, and mining equipment due to their ability to support advanced technologies like semi-autonomous operation, load-sensing hydraulics, machine control integration, and real-time data monitoring. In agriculture, they are essential for precision farming practices, while in construction and mining, they enhance equipment control and safety. Additionally, features such as advanced joysticks and touchscreen interfaces improve operator comfort and reduce fatigue, increasing demand for these systems.

Although electro hydraulic systems are more complex and come with higher initial costs, their long-term benefits in productivity, fuel savings, and regulatory compliance outweigh these challenges. As industry continues shifting towards smart, connected, and energy-efficient machinery, electro hydraulics are positioned for faster adoption and higher growth than conventional hydraulic systems.

Europe is projected to be the largest electro hydraulics market for off-highway equipment during the forecast period.

Europe is projected to account for the largest share of the global electro hydraulics market for off-highway equipment during the forecast period, at ~40%. The growing demand for electro hydraulics in this region is driven by the need for more efficient technologies, higher productivity, and the strong presence of major electro hydraulics technology providers. The dominance of the European market is further enhanced due to the presence of key technology providers, such as Bosch Rexroth (Germany), Power-Packer Europa B.V. (Netherlands), Poclain (France), and Walvoil S.p.A (Italy). The region also has a strong presence of several leading off-highway equipment manufacturers, including AB Volvo (Sweden), Liebherr (Switzerland), J C Bamford Excavators Ltd. (UK), and CNH Industrial N.V. (Italy). These technology providers have developed advanced electro hydraulic systems for many off-highway machines. Off-highway OEMs are increasingly using these systems in their machinery, which is helping the electro hydraulics market grow across Europe. Also, the European region has seen the highest adoption of electric-propelled off-highway equipment, whether construction or agriculture, which is also expected to drive the market demand in the region.

Key Market Electro Hydraulics Industry:

Prominent players in the Electro Hydraulics Companies include as Bosch Rexroth (Germany), Danfoss (Denmark), Parker Hannifin Corp. (US), AB Volvo (Japan), Nott Company (Japan), Kawasaki Precision Machinery Ltd. (Japan), Power-Packer Europa B.V. (Netherlands), POCLAIN (France), Walvoil S.p.A. (Italy), LHY Powertrain GmbH & Co. KG (Germany), HYDAC International GmbH (Germany), Bucher Hydraulics (Germany), HAWE Hydraulik SE (Germany), KYB Corporation (Japan), Husco International (US).

Get 10% Free Customization on this Report: https://www.marketsandmarkets.com/requestCustomizationNew.asp?id=180873849

This report provides insights on:

  • Market Dynamics: Analysis of key drivers (improved efficiency and precision to drive market, shortage of skilled/trained labor), opportunities (future potential for adoption in excavators and backhoes, and steady adoption of electric equipment where EH systems have higher adoption), and challenges (aftermarket retrofitting to challenge OEM offerings and maintenance challenges with electrohydraulic systems) influencing the electro hydraulics market for off-highway equipment.
  • Product Development/Innovation: Detailed insights into upcoming technologies, research & development activities, and products & services offered by players in the electro hydraulics market for off-highway equipment.
  • Market Development: Comprehensive information about the lucrative market and analysis of the electro hydraulics market for off-highway equipment across varied regions
  • Market Diversification: Exhaustive information about new products & services, untapped geographies, recent developments, and investments in the electro hydraulics market.
  • Competitive Assessment: In-depth assessment of market ranking, growth strategies, and service offerings of leading players like Bosch Rexroth (Germany), Danfoss (Denmark), Parker Hannifin (US), Nott Company (US), and AB Volvo (Sweden), in the electro hydraulics market for off-highway equipment.

Related Reports:

Electric Construction Equipment Market

Construction Equipment Market

Autonomous Construction Equipment Market

Get access to the latest updates on Electro Hydraulics Companies and Electro Hydraulics Industry Growth

About MarketsandMarkets™:

MarketsandMarkets™ has been recognized as one of America's Best Management Consulting Firms by Forbes, as per their recent report.

MarketsandMarkets™ is a blue ocean alternative in growth consulting and program management, leveraging a man-machine offering to drive supernormal growth for progressive organizations in the B2B space. With the widest lens on emerging technologies, we are proficient in co-creating supernormal growth for clients across the globe.

Today, 80% of Fortune 2000 companies rely on MarketsandMarkets, and 90 of the top 100 companies in each sector trust us to accelerate their revenue growth. With a global clientele of over 13,000 organizations, we help businesses thrive in a disruptive ecosystem.

The B2B economy is witnessing the emergence of $25 trillion in new revenue streams that are replacing existing ones within this decade. We work with clients on growth programs, helping them monetize this $25 trillion opportunity through our service lines – TAM Expansion, Go-to-Market (GTM) Strategy to Execution, Market Share Gain, Account Enablement, and Thought Leadership Marketing.

Built on the 'GIVE Growth' principle, we collaborate with several Forbes Global 2000 B2B companies to keep them future-ready. Our insights and strategies are powered by industry experts, cutting-edge AI, and our Market Intelligence Cloud, KnowledgeStore™, which integrates research and provides ecosystem-wide visibility into revenue shifts.

To find out more, visit www.MarketsandMarkets™.com or follow us on Twitter , LinkedIn and Facebook .

Contact:
Mr. Rohan Salgarkar
MarketsandMarkets™ INC.
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USA: +1-888-600-6441
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