Automotive Brake Components Market Research Report: Forecast (2023-2028)

Market Insights & Analysis: Global Automotive Brake Components Market (2023-28)

The Global Automotive Brake Components Market is expected to grow at a CAGR of around 6% during the forecast period, i.e., 2023-28. Most of the market growth would be propelled by the ever-increased demand for passenger & commercial vehicles worldwide owing to improving disposable incomes of people and rising construction activities, respectively. Besides, stringent vehicle safety standards set by governments, the mounting consumer interest in luxury vehicles, and the growing demand for disc brakes in commercial vehicles are other prominent aspects projected to drive the market in the coming years.

With the increasing number of road accidents & rising fatalities, governments of various countries are implementing strict norms for automakers to equip vehicles with robust safety systems. As a result, brake component manufacturers are actively working on introducing new & improved braking systems while also investing massively in R&D to launch new technologies.

In addition, the ever-increasing penetration of EVs (Electric Vehicles) and the growing consumer inclination toward autonomous vehicles are also promulgating the automotive brake components market growth. The rising preference of automakers for aluminum components has surged the demand for brake calipers in disc braking systems to improve both aesthetics & wear resistance and ensure better corrosion protection.

Furthermore, a trend for recent advancements in vehicles & the massive use of aerodynamic design have led to more efficient utilization of engine power in order to achieve faster speeds. As a result, there's a burgeoning demand for advanced braking systems like ESC (Electronic Stability Control), EBD (Electronic Brakeforce Distribution), & TC (Traction Control), among others, worldwide, where manufacturers are making substantial R&D investments to bring out cutting-edge braking technologies. Hence, these aspects are set to create new directions for the automotive brake components market to witness significant expansion in the forecast period.

Market Dynamics

Key Driver: Stringent Government Regulations for Enhanced Safety in Vehicles

Governments of various countries worldwide are laying out strict regulations for automakers to include enhanced safety features in vehicles, owing to which technologies like ABS (Anti-lock Brake Systems), BA (Brake Assist), EBD (Electronic Brakeforce Distribution), & AEB (Advanced Emergency Braking) have gained traction in the past few years, in order to reduce road accidents. ABS provides enhanced vehicle stability & directional control and aids in minimizing stopping distance when hard brakes are applied. On the other hand, BA is based on ABS technology & is used usually in combination with ABS to reduce the stopping distance by around 45%. Next is EBD, i.e., the extended version of ABS that helps distribute equal force to each wheel and offers benefits like improved traction, better stability, & enhanced braking efficiency. Hence, the burgeoning adoption of these technologies by automakers to comply with stringent government regulations is projected to drive the Global Automotive Brake Components Market during 2023-28.

Growth Restraint: Significant Costs associated with the Maintenance of Advanced Braking Systems

Repair & maintenance of an automotive braking system is expensive in general, which involves the replacement of brake fluid, brake shoes, brake pads, and resurfacing rotors, along with cleaning, adjusting, & lubricating other components. In another instance, the replacement of ABS, which involves sensors on each wheel, is highly expensive. Moreover, critical mechanisms, such as rotors, master cylinders, drums, calipers, & pads, among others, also incur high replacement costs. Hence, these aspects are projected to hamper the global automotive brake components market in the coming years, especially in cost-sensitive countries, where the penetration of advanced braking systems is restricted mainly to high-end cars.

Market Segmentation

Based on Vehicle Type:

• Medium and Heavy Commercial Vehicles
• Light Commercial Vehicles
• Passenger Cars

Among all, passenger cars are the prime shareholders of the Global Automotive Brake Components Market. The production & sales of passenger cars are tremendously increasing worldwide owing to growing population levels, improving disposable incomes, and rapid urbanization. With ever-increasing consumer demand for enhanced safety, automakers are actively working on bringing more efficient braking systems with increased power in multiple terrain types. Currently, as a large number of people are looking forward to buying cars with ADAS (Advanced Driver Assistance System), it is positively influencing the demand for the automotive brake components market owing to rising requirements for electromagnetic induction braking systems.

Based on Sales Channel:

• OEM
• Aftermarket

Here, OEMs hold a prominent market share owing to the continuously growing sales of passenger cars and the ever-increasing consumer demand for improved vehicle control & safety. Moreover, massive investments by automakers in R&D activities toward making advanced & innovative technologies for advanced brake components, coupled with their mounting focus on offering efficient products with high durability, are other prominent aspects driving OEM sales. Additionally, the rapid expansion of manufacturing facilities by industry participants and the increasing number of mergers & acquisitions among distributors & small-scale manufacturers shall further stimulate the automotive brake components market for OEMs in the future.

Regional Projection

Geographically, the Global Automotive Brake Components Market expands across:

• North America
• South America
• Europe
• Middle East
• Africa
• Asia-Pacific

Of all regions globally, Asia-Pacific is a strong market for automotive brake components, owing mainly to the ever-growing automotive production & sales and the easy availability of low-cost labor & raw materials. In the past few years, the region has emerged as an automotive production hub owing to changing consumer preferences, increasing disposable income of the middle-class population, and cost advantages for OEMs, which have already set up their manufacturing units on an extensive scale. Moreover, advancements in braking systems, coupled with expansions by manufacturers to cater to the evolving consumer demands for disc brakes in light commercial vehicles owing to the increasing number of accidents, are other prominent aspects driving the regional market.

China & India are the largest regional market, owing to massive vehicle production and stringent safety standards. On the other hand, Japan is also a prominent market shareholder due to the presence of the leading automakers, which are rigorously conducting R&D activities to bring cutting-edge advancements to the automobile industry. These aspects are set to create profitable opportunities for the leading companies operating in the automotive brake components market across Asia-Pacific over the coming years.

Recent Developments in the Global Automotive Brake Components Market

• In March 2022, Nisshinbo Holdings Inc. formed a JV (Joint Venture) with Continental AG (Continental) in Gurgaon, Haryana, India, for the local production of valve blocks, i.e., the main component of EBS (Electronic Brake Systems). The newly established enterprise, i.e., expected to commence operations from April 2023, will work on localizing machining for valve blocks meant for ESC (Electronic Stability Control) for passenger cars and ABS (Anti-lock Brake Systems) for both two-wheelers & passenger vehicles.
• In 2022, BOSCH announced the expansion of its plant in Aguascalientes with an investment of around USD 84 million in opening a new facility for the production of a new generation of brake systems for its North American customers.

Gain a Competitive Edge with Our Global Automotive Brake Components Market Report

1. Global Automotive Brake Components Market Report by MarkNtel Advisors provides a detailed & thorough analysis of market size & share, growth rate, competitive landscape, and key players. This comprehensive analysis helps businesses gain a holistic understanding of the market dynamics & make informed decisions.
2. This report also highlights current market trends & future projections, allowing businesses to identify emerging opportunities & potential challenges. By understanding market forecasts, companies can align their strategies & stay ahead of the competition.
3. Global Automotive Brake Components Market Report aids in assessing & mitigating risks associated with entering or operating in the market. By understanding market dynamics, regulatory frameworks, and potential challenges, businesses can develop strategies to minimize risks & optimize their operations.

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