CAGR: 4.3%Current Market Size: USD 118.2 BillionFastest Growing Region: MEA
Largest Market: APACProjection Time: 2021-2028Base Year: 2020
The global Automotive Interiors market is expected to grow from USD 118.2 Billion in 2020 to USD 163.9 Billion by 2028, at a CAGR of 4.3% during the Projection period 2021-2028. This growth of the automotive interiors market is significantly driven by an upsurge in production and sales volumes of vehicles around the globe coupled with the rising customer preference toward premium features, convenience, and safety.
Automotive Interiors are all of the components that are inside a vehicle. It includes the steering wheel, dashboard, door panels, seats, and so on. The interiors ensure the safety of passengers while providing and assuring the functions of the instrument panels, doors, seats, and windows. The range of interior components comprises seat adjusters and locking mechanisms, door panels, lashing eyes and fitting components, height and backrest adjusters, and actuators and footrests. This component offers grip, comfort, and sound insulation for the vehicle cabin. Along with enhancing user comfort, automotive Interiors boost the vehicle's aesthetic appearance and efficiency.
Further, the automotive interior is the foremost factor that influences the perception of buyers regarding the quality of a vehicle; hence it is an essential part of any vehicle.
Request Sample:- Global automotive interiors market
Market Dynamics
Drivers:
Passenger vehicles are the most common mode of transportation across developed countries. Also, there is a rise in demand for passenger vehicles in developing countries due to significant growth in per capita income. Moreover, demand for Special Utility Vehicles (SUVs) has increased in past few years due to increasing tour and leisure activities globally. The aforementioned factors are projected to tremendous growth in the number of passenger vehicles; thus, eventually boosting growth of the automotive interior market.
In the past few years, cars are being equipped with cutting-edge gadgets such as hands-free connectivity, entertainment system, and global position system (GPS) to enhance driving experiences. For instance, in September 2021, Hyundai Motor Company launched a new Hyundai Casper Micro SUV in South Korea. It is one of the smallest passenger vehicles in the company’s global portfolio. This vehicle also features a neat dashboard as well as an 8.0-inch touchscreen infotainment system, a 4.2-inch digital instrument cluster, air purifier, and an electric sunroof. The emergence of such vehicles focused on the well-being of drivers and improvement of the driving experience boosts demand for the automotive interior.
Restraints:
Steel, plastics, rubber, and aluminum are the most commonly used commodities in vehicles. However, increasing prices of this raw material are one of the major concerns for the automotive interior market. This is attributed to the fact that steel, iron, and plastics prices have soared to high levels in recent times. On the other hand, rising automotive import tariffs hampers the growth of the automotive interior market.
Opportunities:
Over the past decade, EV sales have grown significantly mainly across the China and Europe regions. These types of vehicles have the potential to decrease emissions and address climate change. Hence, demand for such vehicles is anticipated to increase significantly in upcoming years. This will provide lucrative growth opportunities for the automotive interior market.
Challenges:
Owing to the unprecedented crisis of COVID-19, a number of countries have employed nationwide lockdowns. However, as they are reopening, safety measures such as social distancing are still being applied. This has caused a significant economic downturn across the globe. Due to the slowdown in industrial activities and consumer markets, the automotive Interiors industry has been impacted as the production of vehicles has been hampered during the pandemic. The market players needed to embrace various strategies to cope with the pandemic. Thus, the emergence of the COVID-19 pandemic has posed challenges to the global Automotive Interiors market.
Segmentation Analysis
The global automotive interiors market has been segmented based on components, vehicle type, material, autonomous driving, electric vehicle, and regions.
By Component
By Vehicle Type
By Material
By Autonomous Driving
By Electric Vehicle
By Regional Analysis
The regions analyzed for the automotive interiors market include North America, Europe, South America, Asia Pacific, and the Middle East and Africa. The Asia-Pacific region dominated the Automotive Interiors market and held the 35.40% share of the market revenue in 2020.
Key Industry Players Analysis
Partnership between companies is likely to boost the growth of the market
The key players are now concentrating on implementing strategies such as adopting new technology, product innovations, mergers & acquisitions, joint venture, alliances, and partnerships to improve their market position in the global Automotive Interiors industry.
For instance, in February 2019, Yanfeng Automotive Interiors (YFAI), the supplier of automotive interiors partnered with Startup Autobahn in Stuttgart, the capital of southwest Germany’s Baden-Württemberg state.
In December 2018, Grupo Antolin entered into a strategic partnership with Walter Pack to strengthen its product offering and develop integrated products with advanced technology.
In January 2019, Gentherm, the global developer of innovative thermal management technologies, and Lear Corporation, the automotive technology provider announced a strategic development partnership to drive the future of passenger thermal seating solutions.
Latest Development
Report Metrics
Report Attribute |
Details |
Projection period |
2021-2028 |
Base year considered |
2020 |
CAGR (%) |
4.3% |
Market Size |
118.2 Billion in 2020 |
Projection unit |
Value (USD) |
Segments covered |
Component, Vehicle Type, Material , Autonomous Driving, Electric Vehicle, and Region |
Report Scope |
Revenue Projection, competitive landscape, company ranking, growth factors, and trends |
Companies covered |
ADIENT, Grupo Antolin, Hyundai Mobis Company, ltd., Calsonic Kansei Corporation, Faurecia S.A, Robert Bosch, Visteon Corporation, International Automotive Components Group S.A. (IAC), Lear Corporation, and Yanfeng Automotive Interiors |
By Component |
|
By Vehicle Type |
|
By Material |
|
By Autonomous Driving |
|
By Electric Vehicle |
|
Regional scope |
|
Scope of the Report
Global Automotive Interiors Market by Component:
Global Automotive Interiors Market by Vehicle Type:
Global Automotive Interiors Market by Material:
Global Automotive Interiors Market by Autonomous Driving:
Global Automotive Interiors Market by Electric Vehicle:
Global Automotive Interiors Market by Region:
Global Automotive Interiors market is expected to reach USD 163.9 Billion by 2028, at a CAGR of 4.3% from 2021 to 2028.
The regions analyzed for the Automotive Interiors market include North America, Europe, South America, Asia Pacific, and the Middle East and Africa.
The global Automotive Interiors market has been segmented based on component, vehicle type, material, autonomous driving, electric vehicle, and region.
Leading market players active in the global Automotive Interiors market are ADIENT, Grupo Antolin, Hyundai Mobis Company, ltd., Calsonic Kansei Corporation, Faurecia S.A, Robert Bosch, Visteon Corporation, International Automotive Components Group S.A. (IAC), Lear Corporation, and Yanfeng Automotive Interiors among others.
Upsurge in production and sales volumes of vehicles around the globe coupled with the rising customer preference toward premium features, convenience, and safety.
Lockdowns imposed by the governments in various countries have temporarily suspended manufacturing activities. Due to a slowdown in industrial activities and consumer markets, the automotive Interiors industry has been impacted as the production of vehicles has been hampered during the pandemic.
Huge demand for passenger vehicles across the globe is one of the major factors driving the growth of the Automotive Interiors market
Based on the sales revenue, product offering, and regional presence, the companies are selected.
Political- Battery Electric Vehicle (BEV) uses a battery pack that is charged up to store electric energy. The growth of this segment is driven by factors such as supporting government regulations & policies and improvement in battery technology. positive regulations and government support in terms of subsidies are projected to attract a number of automotive manufacturers such as Toyota, Honda, and Hyundai to set up their plants in the Asia Pacific.
Economic- Passenger vehicles are the most common mode of transportation across developed countries. Also, there is a rise in demand for passenger vehicles in developing countries due to significant growth in per capita income. Moreover, demand for Special Utility Vehicles (SUVs) has increased in past few years due to increasing tour and leisure activities globally. The aforementioned factors are projected to tremendous growth in the number of passenger vehicles; thus, eventually boosting the growth of the automotive interior market. Steel, plastics, rubber, and aluminum are the most commonly used commodities in vehicles. However, increasing prices of this raw material are one of the major concerns for the automotive interior market. This is attributed to the fact that steel, iron, and plastics prices have soared to high levels in recent times. On the other hand, rising automotive import tariffs hampers the growth of the automotive interior market.
Social- In Asia-Pacific, an upsurge in vehicle production along with the rising demand for luxury and comfort fuels the growth of the automotive interiors market. In addition to this, positive regulations and government support in terms of subsidies are projected to attract a number of automotive manufacturers such as Toyota, Honda, and Hyundai to set up their plants in the region. On the other hand, the emergence of electric vehicles in major economies, such as China, Japan, and India, is further supporting the market value.
Technological- Over the past decade, EV sales have grown significantly mainly across the China and Europe regions. These types of vehicles have the potential to decrease emissions and address climate change. Hence, demand for such vehicles is anticipated to increase significantly in upcoming years. This will provide lucrative growth opportunities for the automotive interior market.
Environmental- The global automotive interiors market is likely to affect the environment at a lesser intensity as they are focusing on creating electric vehicles which will reduce the pollution to a greater extent and thus will act as a strong reason to boost the growth of the market at a global level.
Legal- Lear Corporation, one of the automotive technology leaders in Seating and E-Systems acquired substantially all of Kongsberg Automotive's Interior Comfort Systems (ICS) business unit in October 2021. In July 2020, Grupo Antolin partnered with AED Engineering, the German integrated electronics provider. Through this partnership, Grupo Antolin is projected to improve its electronic capabilities and consolidate the company as a global provider of technological solutions for the automotive interior.
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