The automotive switch market is projected to grow to USD 6.2 billion by 2026 from USD 7.5 billion in 2021, at a CAGR of 3.8% during the forecast period. The major driving factors for the automotive switches industry are growing demand of premium vehicles and increasing adoption of electronics in vehicles around the globe. The growing trend of light weighting is also driving automakres to adopt switches in vehicles.
The automotive industry plays a crucial role in building the global economy. However, the COVID-19 outbreak disrupted the whole automotive supply chain on a global scale in the first 6–7 months of 2020. The pandemic presented an uncertain recovery timeline for the automotive industry due to lockdown implementation and shutdown of manufacturing facilities in various parts of the world. The automotive industry faced four major challenges amid COVID-19?limited supply of vehicle parts, drop in new vehicle sales, shutdown of production facilities, and decline in working capital. As the automotive switches market is dependent on vehicle production, this market is expected to be impacted due to this outbreak. However, with growing normalcy and momentum in vehicle production, the automotive switches market is expected to pick up pace in 2021 and in the coming years.
Electronics is estimated to be the largest and fastest-growing market in application segment
Electronics comprises of systems such as touchpad, transmission, inhibito switch, radio etc. The Asia Pacific is projected to be the largest transmission system market. Due to the increasing adoption of automatic transmission, the transmission system switch market is projected to grow significantly. In countries such as India and China, the market for automatic transmission is rising rapidly, driving the market in the Asia Pacific region. Thus, in the coming years, electronics is expected to remain the largest by 2026. The growing need for operationalaccuracy and performance is also driving adoption of switches in PCs, LCVs and HCVs.
LCV is expected to be the fastest market of the automotive switches market, by vehicle type
LCVs have limited penetration of HVAC, power windows compared to PCs. However, with growing demand of pick up trucks with enhanced canbin comfort and safety, the market for buttons and knobs is expected to grow rapidly. North America is the largest LCV automotive switches market across all regions. LCV market in North America is dominated by players such as General Motors, Ford and Fiat Chrysler etc. These automkares have started introducing new featuresb such as better engine, navigation and camera. Thus, with advanced features, the automotive switches market is expected to get a boost.
Asia Pacific is expected to be the largest market for automotive switches
Asia Pacific is the largest switches market among all the regions under research scope. The Chinese market is the largest in the Asia-Oceania region and is experiencing growth in the sales and demand for premium vehicles. China is one of the major markets for premium vehicles, as the disposable income in China is rising, and subsequently boosting the demand for automotive switches. Considering, higher penetration of electronics in cars in Japan and South Korea, automotive switches market holds a significant share. Also, with growing vehicle production in India coupled with enhanced features is expected to drive the market. Thus, considering the above mentioned factors, Asia Pacific is expected to be the largest automotive switches market.
The breakup of primary respondents
- By Company: Tier 2 – 55%, Tier 1 – 32%, Others -
- By Designation: C level executives - 17%, Directors/Vice-Presidents - 31%, Others – 52%
- By Region: Europe - 25%, Asia Oceania - 10%, North America - 59%, RoW- 6%
The automotive switches industry is dominated by global players and comprises several regional players including Robert Bosch GmbH (Germany), Continental AG (Germany), ZF Friedrichshafen AG(Germany), Alps Alpine Co., Ltd. (Japan), Panasonic Corporation (Japan), Omron Corporation (Japan), Hella KGaA Hueck & Co., (Germany, Tokai Rika (Japan), Valeo (France), Johnson Electric (Hong Kong). The study includes an in-depth competitive analysis of these key players in the automotive switches market with their company profiles, MnM view of the top five companies, recent developments, and key market strategies.
The study segments the automotive switches market and forecasts the market size based on size based on type(knob, lever, button, touchpad and other switches), application (HVAC system switches, Indicator system switches, electronic system switches, EMS switches, power windows switches, ignition switches, multi-purpose switches and other switches), vehicle type (passenger cars, light commercial vehicles, heavy commercial vehicles), and region (North America, Europe, Asia Pacific, and RoW).
Key Benefits of Buying the Report:
The report will help the market leaders/new entrants in this market with the information on the closest approximations of the revenue numbers for the automotive switches market and the sub-segments. This will also help the key players to identify the highest potential region and design its product portfolio as per the market requirements. A detailed study on PC, LCV and HCV automotive switches, is expected to help manufacturers to understand the potential market for them. This report also include various analysis like value chain, average selling price analysis, patent analysis, technology analysis, case study analysis, market ecosystem, porter’s analysis, tariff and regulatory landscape. This report will help stakeholders understand the competitive landscape and gain more insights to better position their businesses and plan suitable go-to-market strategies. The report also helps stakeholders understand the pulse of the market and provides them with information on key market drivers, restraints, challenges, and opportunities.