The electronic parking brake system market size was valued at USD 2.51 billion in 2025 and is expected to reach USD 4.70 billion by 2032, at a CAGR of 9.4%, during the forecast period 2025-2032.
Increasing electrification of vehicles, particularly in hybrid and battery-electric models, and growing production of ICE vehicles are creating strong demand for electronic parking brakes, as they seamlessly integrate with electronic control units and support brake-by-wire functionalities. Key suppliers like Continental, ZF, Hyundai Mobis, ADVICS CO., LTD., Brembo Brake, and HL Mando are investing significantly in the development of modular EPB that reduce weight and improve reliability. For instance, in March 2025, ZF Friedrichshafen and Brembo will introduce a brake-by-wire system, replacing traditional hydraulic brakes with electronic components. These systems promise improved safety, faster response times, and reduced maintenance. Further, continued innovation by suppliers in actuator design, miniaturized sensors, and cost-efficient electronic modules is enabling wider EPB penetration beyond luxury cars into mid-sized and entry-level passenger vehicles. Also, stricter government safety regulations across major automotive markets are compelling OEMs to replace traditional handbrakes with electronically controlled systems, thereby accelerating EPB installations. For instance, Federal Motor Vehicle Safety Standards (FMVSS), particularly FMVSS No. 105 (Hydraulic and Electric Brake Systems) and FMVSS No. 135 (Light Vehicle Brake Systems) regulate service and parking brake performance. NHTSA requires that parking brakes, including EPB, meet holding force and fail-safe criteria, ensuring the system works under different vehicle load and slope conditions.
“Electric-hydraulic caliper is projected to hold a prominent market share during the forecast period.”
The electro-hydraulic caliper segment is primarily driven by reliability, scalability across segments, and integration with stability and driver assistance systems at competitive cost levels, with this motor-on-caliper architecture widely adopted by global OEMs in high-volume models such as the Volkswagen Golf, Audi A4, BMW 3 Series, Mercedes-Benz C-Class, Hyundai Tucson, Ford Escape/Kuga, and Chinese OEMs like BYD Qin, making it the dominant technology choice. The rising demand for modular brake designs that can be adapted across multiple platforms has further increased the adoption of electro-hydraulic caliper EPBs. OEMs are increasingly prioritizing systems that reduce mechanical complexity and improve assembly efficiency, making these solutions more attractive. Its strong presence in both mid-size and premium segments, coupled with supplier capability from ZF, Continental, Bosch, and Mando, ensures that electro-hydraulic caliper EPBs continue to outpace cable pull solutions and remain the mainstream option until brake-by-wire adoption scales further. For instance, in September 2024, Bosch launched an integrated electro-hydraulic braking system that specifically targeted SUVs and electric vehicles to address their complex weight distribution needs. Also, in June 2025, Astemo introduced its electro-mechanical brake-by-wire system, branded “Smart Brake”, at North American industry showcases, marking its commercial debut in the region. Such developments are projected to drive the market during the forecast period.
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“Premium class is projected to hold a significant market share during the forecast period.”
In premium class vehicles, there is a demand for higher levels of integration with advanced technologies such as brake-by-wire, automated parking systems, and adaptive cruise control, where EPB serves as a critical enabler. Models such as the BMW 5 Series, Audi A6, Mercedes-Benz E-Class, and Volvo S90 come with EPB as standard, not only to enable functions like auto-hold and hill-start assist but also to integrate seamlessly with ADAS systems that support autonomous parking, adaptive cruise braking, and remote park assist. Electrification in the luxury segment, exemplified by vehicles like the Mercedes EQE and BMW i7, has further reinforced EPB usage as it allows precise blending of regenerative and hydraulic braking. Also, OEMs benefit from the ease of integrating EPB into modern manufacturing assembly lines, which accelerates production efficiency and supports faster adoption. This alignment of EPB with automation, electrification, and premium design trends ensures its universal adoption in the E & F vehicle classes.
“Asia Pacific is projected to hold the largest market share during the forecast period.”
The Asia Pacific electronic parking brake system market is driven by rapid passenger vehicle production and the growing adoption of advanced braking technologies, with leading OEMs such as Hyundai, Kia, Toyota, and Honda equipping models like the 2025 Hyundai Tucson and Toyota Camry with EPB as standard. In addition, Chinese OEMs like BYD and Geely are extending EPB adoption not only in electric sedans but also in SUVs, aligning with their aggressive EV rollout strategies. Suppliers such as Mando Corporation, Hyundai Mobis, and Continental have expanded their manufacturing footprints in China, South Korea, and India to cater to rising local demand. In October 2024, Hyundai Mobis announced that it would spend USD 260 million on EV parts factories in Slovakia. Hyundai Mobis will also construct an electronic brake system and airbag factories in Zilina, Slovakia, where it already owns a parts plant. Furthermore, Indian OEMs like Tata Motors and Mahindra are also integrating EPBs in mid-size EVs and SUVs (Tata Harrier EV, Mahindra XEV 7e, Mahindra BE 6, and Mahindra XEV 9e) to align with safety and convenience, and are accelerating adoption. These developments highlight that Asia Pacific’s dominance is shaped by continuous innovation, OEM-supplier collaborations, shifting consumer preference towards mid and luxury vehicles, and the penetration of EPB technology across a broader vehicle mix.
Key Players
The electronic parking brake system market is dominated by key players, such as ZF Friedrichshafen AG (Germany), Continental AG (Germany), Astemo, Ltd. (Japan), Brembo N.V. (Italy), and ADVICS Co., Ltd. (Japan).
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