Double-Digit Surge Ahead for Automotive Electronics

The global market for automotive electronics is expected to more than double between 2019 and 2029, as reported by Fact.MR. One key area of growth is sensors, with expectations to grow at an annual rate of 10% over this period. Trends like using lightweight materials, miniaturizing components, and integrating artificial intelligence into vehicles are major drivers.

The rise of electric vehicles (EVs), advanced driver-assistance systems (ADAS), and smart devices connected to the Internet of Things (IoT) are also boosting the demand for automotive electronics. Specifically, devices that conduct electrical currents are projected to double in market size from 2019 to 2029, growing at a steady rate of over 7% annually. The increase in sales of heavy-duty vehicles in industrial sectors and light-duty vehicles in developing regions significantly contributes to this growth.

In particular, sensors present lucrative growth opportunities due to the widespread adoption of parking assistance systems in both traditional and new-energy vehicles. Regarding geographical distribution, East and South Asia, along with Oceania, make up more than 43% of the market value. Countries like China, India, and Indonesia are key players in this dominance. China is not only the largest producer but also the most significant consumer of automotive products. Coupled with rising automotive sales in India and Indonesia, these regions are well-positioned to lead global sales throughout the forecast period.

In North America, the growing ecosystem for electric vehicles in developed countries, such as the USA, offers substantial growth opportunities. Key manufacturers like Continental, Autoliv, and Bosch contribute to the US accounting for more than 80% of motor vehicle manufacturing in the region.