Global Automotive Sensors Market Research Report: Forecast (2022-27)

Market Definition

Automotive sensors are crucial components of a vehicle's Electronic Control Unit (ECU) that track its aspects, such as fuel consumption, pollution, coolant levels, speed, engine, etc. They transmit signals to the ECU that makes adjustments, and if it fails to make the required changes, it sends a warning sign to the driver. Their role is to ensure efficient & safe operations of vehicles by detecting, analyzing, & managing the performance of their internal & external environments.

Market Insights

The Global Automotive Sensors Market is expected to observe around 6.8% CAGR in the forecast period of 2022-27. The market growth is likely to be driven primarily by the rapidly surging automobile production worldwide, the emerging trend of electrification in the automotive sector, and mounting customer requirements for enhanced comfort & safety in vehicles.

Besides, the growing customer interest in alternative fuel vehicles to reduce carbon footprints, owing to strict government regulations for automobile safety & emission control across different countries, is another prominent aspect leading to the burgeoning deployment of more advanced automotive sensors in vehicles and boosting the global market.

Automotive Original Equipment Manufacturers (OEMs) nowadays are integrating numerous sensors into their vehicles to suffice surging user requirements for enhanced performance & reduced downtime. Some car companies are even introducing advanced solutions to address 'Driver Fatigue,' i.e., a notable contributor to road accidents.

Moreover, the surging penetration of hybrid & Electric Vehicles (EVs), technological advancements in ADAS (Advanced Driver Assistance Systems), and various innovations in autonomous & connected cars are other crucial aspects projected to accelerate the growth of the Global Automotive Sensors Market through 2027.

Market Segmentation

Based on Sensor Type:

• Temperature
• Pressure
• Speed
• Position
• Others (Magnetic, Gas, Inertial, etc.)

Amongst them all, Position sensors held the largest share in the Global Automotive Sensors Market, and the same trend is expected during 2022-27. It attributes to the mounting demand for autonomous cars and the surging adoption of advanced technologies in passenger & commercial cars owing to improving living standards of people & their increasing preferences for better safety & comfort in vehicles.

Position sensors are an integral part of vehicles, from seats, pedals, & wheels to valves, gear shifters, knobs, etc. They ensure the proper safety & functioning of all vehicle components. As a result, there's a growing need for position sensing in steering wheel positions, throttle controlling, automatic gear selection, and managing vehicle stability.

Moreover, the rising focus of OEMs on vehicle safety has further infused the use of position sensors in vehicles integrated with ADAS. The expanding application of Smart hall sensors in speed sensing for ABS (Anti-Lock Braking Systems) is also augmenting the growth of the global market for position sensors. Nevertheless, the advent of magnetic & silicon-based automotive sensors is another prominent aspect that projects remunerative growth prospects for the Global Automotive Sensors Market through 2027.

Based on Application:

• Powertrain
• Chassis
• Exhaust
• Telematics
• Safety & Control

Here, the powertrain and safety & control applications are the most prominent contributors to the growth of the global market. The extensive use of sensors in vehicles to keep track of their position, temperature, pressure, speed, gas, etc., for safe rides & efficient performance, coupled with various government regulations for vehicle safety, emissions, & fuel efficiency, are the prime aspects contributing to the market growth of automotive sensors for the powertrain application.

On the other hand, the safety & control application projects lucrative growth prospects for the global market in the coming years. The sudden rise in road accidents over the previous few years has compelled automakers to enhance safety & security in vehicles by integrating more and more sensors that can assist drivers by providing them with alerts regarding any upcoming risk.

With increasing mining & construction activities worldwide, the emergence of ADAS technology in commercial vehicles, which notifies drivers about any obstacle ahead, is positively influencing the growth of the global market. Moreover, stringent emission control norms imposed by governments in many countries and booming fuel prices are also encouraging truck & bus owners to opt for these performance up-gradation operations to restrict carbon emissions and enhance driving comfort. Hence, these aspects portray a pool of profitable opportunities for the Global Automotive Sensors Market for the safety & control application in vehicles through 2027.

Based on Vehicle Type;

• Passenger Cars
• Light Commercial Vehicles (LCV)
• Heavy Commercial Vehicles (HCV)

Of all vehicle types, the deployment of sensors is maximum in passenger cars, mainly due to the growing demand for enhanced safety, optimized fuel consumption, & electrification in vehicles, coupled with the mounting interest of consumers in premium vehicles with ADAS & other advanced features. Besides, the burgeoning adoption of EVs in several countries across North America & Europe is also contributing to the increased deployment of sensors.

On the other hand, light commercial vehicles accounted for a considerable market share and are expecting a significant growth rate during 2022-27 owing to the mounting awareness about safety & comfort features offered by advanced sensors, coupled with stringent government norms for vehicle safety & carbon emissions.

Regional Landscape:

Geographically, the Global Automotive Sensors Market expands across:

• North America
• South America
• Asia-Pacific
• Europe

Amongst all regions globally, Asia-Pacific is anticipated to record the highest growth rate in the Automotive Sensors Market. It attributes to the burgeoning disposable income of people, low automotive production costs, easy availability of low-cost labor, and the increasing demand for safe & highly efficient vehicles. Moreover, massive investments in infrastructure developments across the automotive sector and the soaring customer demand for more efficient & safer vehicles are also driving the regional market.

Across the region, emerging economies such as China & India are the leading markets with the surging focus of automakers on advanced safety systems. Of both countries, China, the largest vehicle manufacturer, has stringent vehicle safety regulations and is experiencing an increasing demand for autonomous & electric vehicles. Various government initiatives & favorable policies for encouraging the use of PHEVs, FCEVs, & BEVs to curb carbon emissions and rising awareness among customers regarding vehicle safety are infusing the sales of automotive sensors in the country.

On the other hand, the rapid industrialization and high sales of passenger cars with adaptive cruise control are driving the automotive sensors market in India. Moreover, the ever-increasing need for AEBS (Autonomous Emergency Braking Systems) & other safety sensors owing to a rise in road-accident related death rate in the country, coupled with the booming demand for enhanced fuel-efficiency in commercial vehicles, are other crucial aspects projected to boost the sales of automotive sensors in India and propel the overall market growth through 2027.

Market Dynamics:

Key Driver: Mounting Consumer Interest in Autonomous Vehicles

The growing adoption of ADAS & AD (Autonomous Driving) systems integrated with various position, temperature, speed, image sensors, etc., is the prime aspect projected to drive the Global Automotive Sensors Market during 2022-27. Besides, numerous ongoing R&D activities on enhancing the autonomous abilities of vehicles owing to stringent government regulations & growing consumer awareness regarding vehicle safety are other prominent aspects projected to accelerate the demand for automotive sensors worldwide in the coming years.

Growth Restraint: High Costs of Advanced Sensors used in Autonomous Vehicles

Autonomous vehicles are highly-expensive, and so are the sensors equipped in them. Presently, only a few luxury cars are integrated with sensors that possess abilities to enhance driver comfort. The installation of various advanced sensors in vehicles drives up its overall production cost, which might be a notable restraint for the Global Automotive Sensors Market during 2022-27.

Key Questions Answered in the Market Research Report:

1. What are the overall statistics or estimates (Overview, Size- By Value, Forecast Numbers, Segmentation, Shares) of the Global Automotive Sensors Market?
2. What are the region-wise industry size, growth drivers, and challenges?
3. What are the key innovations, opportunities, current & future trends, and regulations in the Global Automotive Sensors Market?
4. Who are the key competitors, their key strengths & weaknesses, and how do they perform in the Global Automotive Sensors Market based on the competitive benchmarking matrix?
5. What are the key results derived from surveys conducted during the Global Automotive Sensors Market study?