Automotive Industry Market Size Overview:
The Automotive Industry Market Size is likely to get its second run owing to the shift to electric vehicles, autonomous vehicles, and hybrid vehicles. Development of roads and new means of transportation are likely to pave the way for automobiles. Market Research Future’s report on the global automotive industry covers drivers, challenges, trends, niches, and opportunities for the period of 2019 to 2024 (forecast period). The COVID-19 pandemic and its impact on the industry is covered exclusively.
Market Scope
The global Automotive Industry Market Size is expected to garner growth at CAGR of 2.78% during the forecast period. During that time, its value can grow from 96,804 thousand units in 2024 to 113,366 thousand units by 2032.
Sales of passenger cars, trucks, buses, and self-powered vehicles are expected to boost the industry demand till the end of the forecast period. Development of roads, reliance on new modes of mobility, rising standards of living, and the large middle class can bode well for the market. Furthermore, the emphasis on safety of car owners and passengers by integrating airbags can bode well for sales.
New emission norms and the need for lightweight vehicles can induce the need for raw materials which can adhere to conditions set by federal safety and environment regulation agencies. Preference of advanced driver assistance systems in cars, park assist, and other features to be included in latest variants of automobiles can drive the global automotive industry. Rapid rise of software and investments in new technologies such as augmented reality (AR), artificial intelligence (AI), and machine learning (ML) can bolster the market demand. The focus on improved vehicle performance can evoke the implementation of latest systems in passenger and commercial vehicles.
Segmentation
By vehicle, the automotive industry comprises passenger car and commercial vehicle. Passenger cars are expected to dominate the market owing to increased purchasing power of passengers and its use for commuting to the workplace. Stringent government regulations pertaining to emissions, large populace, and improved standards of living can influence the segment growth.
On the other hand, commercial vehicles sales can zoom up owing to increase in territorial trades and infrastructural spending in various economies. The use of telematics and connectivity between vehicles for monitoring the movement of goods in commercial vehicles can bode well for the segment.
Regional Analysis
Asia Pacific is the present frontrunner. It can dominate the global automotive industry due to presence of China, Japan, India, South Korea, and other prominent automotive markets. For instance, China’s consumers and its per capita disposable income coupled with the number of new vehicle purchases and replacement of vehicles are growing rapidly. Major automotive OEMs such as Nissan, SAIC, Toyota, Maruti, and Hyundai are headquartered in this region.
However, the North America region is expected to be the fastest growing during the forecast period. The United States automotive industry is predicted to contribute to overall vehicle production and sales. This is attributed to establishment of engine manufacturing plants, design and testing of new cars, and foreign direct investments. Preference of electric vehicles, support for charging infrastructure, and use of blockchain for ensuring safe transactions can drive the regional market demand. Manufacture of luxury vehicles and focus on lowering emission rates can bode well for the automotive industry by introducing new concept vehicles. Partnerships and collaborations with governments can bring forth various growth opportunities.
Competitive Outlook
General Motors, Nissan Motor Corporation, SAIC Motor Corporation Limited, Daimler AG, Honda Motor Corporation, Toyota Motor Corporation, Hyundai Motor Company, Fiat Chrysler Automobiles, Volkswagen AG, and Ford Motor Company are key players of the global automotive industry.