Global automotive industry essentially constitutes a network of organizations operating into designing, development, manufacturing, selling and servicing of motor vehicles. Automobile market is a highly automated industry supported by large-scale technological developments. Broadly, automobile industry is segmented into passenger and commercial grade vehicles. Among these segments, passenger vehicles comprises the largest segment followed by commercial vehicles. In addition to the vehicular segments, automotive parts and supplies industry is gaining market dominance as well.
Global automotive market is expected to witness high growth in future attributing to low interest rates and low fuel prices. Post 2009 recession, the market is now witnessing positive growth with emerging markets expected to grow at a better rate than matured markets in long term. Emerging markets are projecting promising future in light vehicle (LV) category with rise in per capita income. In LV category, small, subcompact and compact segments account majority of the market share.
Similar to other industries trends like digitisation, automation, and new business models are also revolutionising automotive industry. Automotive industry is getting impacted by various disruptive technology trends like diversified mobility, driverless driving, electrification and connectivity. Automotive industry is getting impacted by a shift towards improved business models like shared mobility. It is expected that shared mobility solutions like car sharing and e-hailing may lead to decline in private- vehicle sales, but overall vehicle sales is likely to be offset by growing demand for shared vehicles which need replacements more often because of higher wear and tear due to increasing utilisation.
In addition, demand for environment friendly and fuel efficient electric vehicles has increased, however, higher cost and limited movement range are some challenges.
With rising diversification in the product portfolio along with stringent regulations governing environmental & safety concerns, global automotive market has become highly complex. In addition, original equipment manufacturers are experiencing cost pressures because of increasing demand for advanced technologies requiring higher investments.
ASDReport.com has an extensive collection of reports on automotive industry. The reports provide market insights on various subsectors of automotive market like automotive manufacturing, automotive services, automotive systems and vehicles.