CAGR: 5.5%Current Market Size: USD 22.3 BillionFastest Growing Region: APAC
Largest Market: North AmericaProjection Time: 2023-2030Base Year: 2022
The global Automotive Washer System Market is expected to grow from USD 22.3 billion in 2022 to USD 34.2 billion by 2030, at a CAGR of 5.5% during the Projection period 2023-2030. The growth of the Automotive Washer System Market is mainly driven by the increased use of automobiles.
The windscreen washer system and headlight washer system are the two main varieties of car washer systems. The windscreen washer system is a mandatory safety element found in all automobiles manufactured worldwide in order to give the driver a clear view. Numerous parts, including nozzles, washer fluid reservoirs, hose and connections, windscreen washer pump, wiper arm, wiper blade, and front & wiper motor, are included in the windscreen washer system. Headlamp washer system: Headlamp washer systems are typically seen in expensive and upscale cars like SUVs and sedans. The global demand for luxury and high-performance vehicles is anticipated to fuel the expansion of the automotive windscreen washer system market. The current approach has the advantage of allowing the usage of hydrocarbon-based freezing point depressants to be discontinued. In the months of April through November 2019, sales of passenger vehicles rose by 21% year over year. The development of the automotive windscreen washer system market is projected to be further impacted by innovation in alternative fuels and windscreen washer system technologies. The market for automotive windscreen washer systems is primarily driven by the rising demand for fuel-efficient cars, the adoption of new technologies, and the use of solar-reflective windscreens. Significant issues are being improved by the development of more modern wiper blades and windscreen cleaning systems. Although buyers would likely favour windscreens, other parts like nozzles, hoses, and reservoirs are predicted to dominate production and demand in terms of volume. The market is being helped by rising demand from both passenger and commercial vehicles.
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Market Dynamics:
Drivers:
The main drivers driving the market expansion are rising vehicle production and the implementation of effective wiper and washer technology. Furthermore, the worldwide automotive output has increased dramatically as a result of rising urban population density and expanding usage of fuel-efficient vehicles. Additionally, according to the Organisation Internationale des Constructeurs d'Automobiles (OICA), the world produced 90.1 million automobiles in 2015, with Asia Pacific and Oceania accounting for 51.9% of the total. Therefore, it is anticipated that these factors will fuel market expansion in the near future.
Restraints:
The development of the newest wiper blade and windscreen cleaning technologies has increased the cost of the finished goods, which is projected to restrain market expansion. Demand for wiper deicer, nozzle-integrated wipers, and heated nozzle washer systems is constrained by the high market penetration of comparably inexpensive wiper and washer system competitors. Major automakers including General Motors, Tesla, and Subaru provide consumers with exclusive winter/cold climate packages that include heated nozzles or wiper-deicer systems. Despite providing the best performance, these systems are relatively expensive. Therefore, it is anticipated that these issues would slow market growth in the near future.
Opportunities:
To take advantage of the rising demand for aftermarket and OEM products, automakers are building new production facilities or relocating existing ones in developing automobile markets. For instance, the major automaker Audi AG, located in Germany, began producing the Audi Q5 in San Jose Chiapa, Mexico, in September 2016. Ford Motor Company made plans to invest US$ 1.6 billion in a new facility in San Luis Potos, Mexico, public in April 2016. Additionally, the world's largest automaker, BMW AG, with headquarters in Germany, stated in 2015 that a new plant would be built in San Luis Potos, Mexico. Production at the facility is anticipated to begin in 2019.
Challenges:
The windscreen washer system needs timely maintenance and repair because it is utilized frequently. When a windscreen washer system is utilized frequently, it needs to be replaced on a regular basis, which is rather expensive. Furthermore, compared to other vehicle components, this system has a significantly shorter lifespan. Therefore, it is anticipated that the expense of routine windscreen washer system replacement will restrain market growth over the Projection period.
Segmentation Analysis:
The global Automotive Washer System Market has been segmented based on vehicle type, sales channel, and region.
By Vehicle Type
The vehicle type segment is an LCV, HCV, and PC. The PC segment led the largest share of the Automotive Washer System Market with a market share of around 42% in 2022. Due to rising middle-class populations and emerging disposable income, the passenger vehicle category currently commands the largest share of the global market. 13 of the 52 markets, including Russia, Argentina, and Thailand, experienced double-digit growth, offsetting minor reductions in important markets including the UK, US, South Korea, and Mexico. China's growth improves significantly from 17% in 2019 to just 2.3% in 2019.
By Sales Channel
The sales channel segment is aftermarket and OEM. The aftermarket segment led the largest share of the Automotive Washer System Market with a market share of around 61% in 2022. The operational lifespan of automobile components has a threshold lifespan and is heavily dependent on usage. Additionally, the replacement of wipers, blades, pumps, and nozzles in washer systems depends on the various driving circumstances. Component manufacturers are hoping to profit from the ongoing expansion of passenger automobiles and light commercial vehicles by moving their focus toward lightweight components with various vehicle model compatibility. As a result, it is anticipated that robust aftermarket sales will support the expansion of the worldwide automotive washer system market during the Projection period.
Global Automotive Washer System Market- Sales Analysis.
The sale of the Automotive Washer System Market expanded at a CAGR of 4% from 2016 to 2022.
A vital part of the vehicle safety system, the automotive washer system improves the vision of oncoming traffic to lower the likelihood of an accident. Every car has this fundamental safety feature. It is made up of a number of parts, including pumps, nozzles, reservoirs, hose and connectors, and wiper motors. Together, these elements clean the windscreen of water and debris. Rising new vehicle sales and the strong aftermarket demand for washer system components are two of the major factors anticipated to propel the growth of the worldwide automotive washer system market.
Similar to this, advances in wiper blade and nozzle design, expanding use of rear camera washer systems, growing use of headlamp washer systems in semi-luxury and mid-sized vehicles, and integration of smart technologies are all driving market demand. The Internet of Things (IoT) has been successfully integrated into the automotive industry, enabling internal and external systems to communicate with automotive components and systems to deliver effective solutions. The market for mid-sized cars is gradually embracing rain-sensing wipers. Businesses like CISCO are working with top automakers to provide a synchronised system that combines weather Projection with rain-sensing wiper technology. For instance, in June 2016, Volkswagen introduced the Ameo, a compact sedan featuring added technologies such as rain-sensing wipers.
Thus, owing to the aforementioned factors, the global Automotive Washer System Market is expected to grow at a CAGR of 5.5% during the Projection period from 2023 to 2030.
By Regional Analysis:
The regions analyzed for the Automotive Washer System Market include North America, Europe, South America, Asia Pacific, the Middle East, and Africa. North America region dominated the Automotive Washer System Market and held a 38.2% share of the market revenue in 2022.
Global Automotive Washer System Market - Country Analysis:
Germany's Automotive Washer System Market size was valued at USD 1.59 billion in 2022 and is expected to reach USD 2.45 billion by 2030, at a CAGR of 5.6% from 2023 to 2030. Europe's economy is doing well, and several of its nations rank highly on the World Bank's "Doing Business" index, with Germany coming in at number 30. German engineering and its world-class automotive industry are well-known. German OEMs have a positive perception of the market, which has led to a healthy market for auto parts and accessories. Overall, there is still a positive feeling and impression toward European suppliers of parts and components. The major advancements in the European automotive industry as a result of increasing R&D spending and partnerships with IT companies are what is fueling the market expansion. Germany is known as the centre of the automobile industry, so the market for vehicle washing systems is rapidly growing there.
China’s Automotive Washer System Market size was valued at USD 1.73 billion in 2022 and is expected to reach USD 2.7 billion by 2030, at a CAGR of 5.9% from 2023 to 2030. With 25.8 million sales, China continues to be the largest single market, although reporting the slowest growth rate in more than a decade, due to the population's tremendous expected expansion. This was mostly caused by the quick rate of expansion observed in China, India, and Indonesia's growing economies.
India's Automotive Washer System Market size was valued at USD 1.33 billion in 2022 and is expected to reach USD 2.08 billion by 2030, at a CAGR of 5.8% from 2023 to 2030. Because the area has a sizable client base and a thriving automobile industry. During the Projection period, the market is expected to be driven by India's rapidly increasing automotive sector.
Key Industry Players Analysis:
To increase their market position in the global Automotive Washer System Market business, top companies focus on tactics such as adopting new technology, mergers & acquisitions, product developments, collaborations, partnerships, joint ventures, etc.
Latest Development:
Report Metrics
Report Attribute |
Details |
Study Period |
2022-2030 |
Base year |
2022 |
CAGR (%) |
5.5% |
Market Size |
22.3 billion in 2022 |
Projection period |
2023-2030 |
Projection unit |
Value (USD) |
Segments covered |
By Vehicle Type, By Sales Channel, and By Region. |
Report Scope |
Revenue Projection, competitive landscape, company ranking, growth factors, and trends |
Companies covered |
Robert Bosch GmbH, Denso Corporation, Mergon Group, Kautex Textron GmbH & Co. KG., Valeo SA, Mitsuba Corporation, HELLA KGaA Hueck & Co., and Ningbo Joyson Electronic Corp. |
By Vehicle Type |
|
By Sales Channel |
|
Regional scope |
|
Scope of the Report
Global Automotive Washer System Market By Vehicle Type:
Global Automotive Washer System Market By Sales Channel:
Global Automotive Washer System Market By Region:
Global automotive washer market is expected to reach USD 34.2 billion by 2030.
The automotive washer market is projected to have a CAGR of 5.5%.
The main drivers driving the market expansion are rising vehicle production and the implementation of effective wiper and washer technology. Furthermore, the worldwide automotive output has increased dramatically as a result of rising urban population density and expanding usage of fuel-efficient vehicles. Additionally, according to the Organisation Internationale des Constructeurs d'Automobiles (OICA), the world produced 90.1 million automobiles in 2015, with Asia Pacific and Oceania accounting for 51.9% of the total. Therefore, it is anticipated that these factors will fuel market expansion in the near future.
Leading market players active in the global automotive washer market are Robert Bosch GmbH, Trico Products Corporation, Kautex Textron GmbH & Co. KG, Denso Corporation, Valeo SA, Mergon Group, Continental AG, Mitsuba Corporation, Ningbo Joyson Electronic Corp, and HELLA KGaA Hueck & Co., among other.
Based on the sales channel, the global automotive washer market has been segmented into aftermarket and OEM.
Political Factors- Commercial organisations need political stability because it influences consumer and investor confidence, which has a big impact on the economy. Political turmoil at a high degree has a negative impact on consumer spending, business investment, and economic growth. Due to both internal and external conflicts, there is currently political upheaval in the area where the automotive washer market is active. If management is unable to recognise and control the current political instability, the company may not be able to accomplish its growth objectives and it may be reluctant to spend more money.
Economic Factors- The efficiency of the financial market and general economic growth, which have a significant positive correlation, enable capital accumulation and the creation of goods and services. The automotive washer market must choose countries with exceptionally efficient financial needs in order to build financial and human resources swiftly. By monitoring the effectiveness of the financial market, the market for automotive washer treatments may be able to stay one step ahead of the competition. The automotive washer market should evaluate the rates of economic growth of the various countries before determining whether to go global. In countries that are experiencing rapid economic growth, there are more options to achieve long-term growth objectives.
Social factors- Economic problems and consumption habits are intertwined. When consumers have more discretionary income and are eager to spend more on goods and services to improve their lifestyles, the automotive washer business will have enormous growth potential. This is due to the simplicity with which new goods and services may be introduced to these clients and the increased likelihood that sales would rise. In order to adjust its marketing mix strategies, the automotive washer industry must carefully analyse the consumption/spending habits and preferences of today's increasingly picky consumers.
Technological Factors- The market and industry as a whole may be impacted by the pace and growth of technical innovation. By examining the forthcoming trends in technical innovation, the automotive washer market will be able to comprehend the rate of new product creation, the length of the product life cycle, and the distinctive features that consumers prefer. By examining consumer sentiments about cutting-edge, new digital technologies, the automotive washer business can assess whether moving to e-commerce will be more profitable than opening a physical site. If competitors employ automation technology to reduce costs, especially if the general public is digitally aware, the automotive washer market may be driven to transition from manual to automated ways.
Environmental Factors- Due to stringent environmental legislation in numerous nations, businesses are under pressure to reduce their impact on the environment. Because failing to do so could lead to harsh, reputation-damaging criticism from relevant stakeholders, the automotive washer market should adopt ethical production practises in response, promote ethical consumption among its target market, work to improve its brand's sustainability reputation, and ensure full compliance with local and international environmental laws. The market for automotive washer must make preparations in order to adhere to regulations and standards in the Basic Materials sector.
Legal Factors- Workers' rights, such as those to a fair salary, equality, equity, inclusion, fairness, and their bodily and psychological safety, are protected by a wide range of laws collectively known as employment law. Others have harsh penalties for breaking any of the above employee rights, while some countries do not successfully enforce employment laws. Before joining or conducting business in these countries, the automotive washer market should certify the security of the working environment. The right procedures must be in place in order to prevent both direct and indirect discrimination.
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