Market Definition
A Tire Pressure Monitoring System (TPMS) is an automotive electronic system or device to monitor the pressure of a vehicle’s tire using sensors connected to the wheel speed sensors of ABS/ESC systems. It provides a warning when tires are under or over-inflated, helps increase fuel economy, and may potentially prevent a tire blowout. The two significant types of TPMS are Direct and Indirect, where Direct sensors measure the pressure in each tire using a sensor installed on the wheels, the Indirect sensors work by measuring wheel spin and can only tell if a tire’s pressure is low.
Market Insights & Analysis: Global Tire Pressure Monitoring Systems Market (2023-28)
The Global Tire Pressure Monitoring Systems Market is projected to grow at a CAGR of around 9.0% during the forecast period, i.e., 2023-28. The market growth is attributed to rising safety concerns, government regulations, and the surging number of passenger & commercial vehicles. Additionally, the elevating number of luxury vehicles, increasing economic and environmental policies, shifting consumer and manufacturer preference for advanced safety features, and the need to reduce vehicular emissions and improve vehicle fuel efficiency are also aiding in market expansion.
| Report Coverage | Details |
|---|---|
| Study Period | Historical Data: 2018-21 |
| Base Year: 2022 | |
| Forecast Period: 2023-28 | |
| CAGR (2023-2028) | 9.0% |
| Regions Covered | North America: US, Canada, Mexico |
| Europe: Germany, The UK, France, Spain, Italy, Rest of Europe | |
| Asia-Pacific: China, India, Japan, South Korea, Rest of Asia-Pacific | |
| South America: Brazil, Argentina, Rest of South America | |
| Middle East & Africa: UAE, Saudi Arabia, South Africa, Rest of MEA | |
| Key Companies Profiled | Continental AG, Denso corporation, Delphi Automotive, Sensata Technologies, Dunlop Tech Gbmh, Wabco, Bendix Commercial Vehicle systems LLC, Schrader Electronics, Pacific Industrial Co., Ltd., Huf and Hlsbeck & Frst Gmbh & Co. |
| Unit Denominations | USD Million/Billion |
The growing and transforming automotive system with emerging regulations in different countries, with the automotive safety system becoming more efficient, technologically advanced, and simple, has augmented further adoption of TPMS. Again, the surging preference of consumers for advanced driver assistance systems is further facilitating the adoption of tire pressure monitoring systems, especially the direct sensor system, as it assists and helps the driver by providing simpler alerts and increasing vehicle safety.
However, the high replacement cost of the sensors could impede the market growth, with consumers avoiding re-installing the sensors. On the contrary, the rising regulations of government mandates and increased disposable income and safety awareness could assist in market elevation.
.png)
Market Dynamics
Key Driver: Rising Installation of Accident Preventive Safety Systems
The continuous occurrence of automobile accidents has urged manufacturers, and consumers to adapt and improve the safety features in the vehicle to prevent damage and causality by focusing on the improvement of automotive vehicles with the installation of new safety features. This has resulted in continuous research and development into the issue and coming up with more minor, complementing designs and systems, leading to the higher installation of such sensor systems, thereby driving the industry. As a solution, TMPS provides safety by improving vehicle handling, decreasing tire wear, reducing braking distance, and better fuel economy. In addition, the concerns over the higher number of accidents occurring due to tire failures have accelerated the market growth.
Possible Restraint: High Replacement Costs & Added Installation Charges
The sensors in TPMS are costly, and their replacement costs are high, which could hinder market growth. When the sensor’s battery dies on one tire, the three sensors of other tires are likely, also close to dying; thus, consumers would need to replace all four sensors, which could be a hindrance and impede market expansion. Additional costs like installation costs and tasks like balancing the tire add further costs and functions for the customer, leading to either procrastination of the installation or avoiding re-installation of sensors, which could turn into a safety issue and also restrain the industry.
Growth Opportunity: Emerging Favorable Government Regulations for TPMS
Looking at consumer and road safety issues, governments worldwide are mandating advanced and updated regulations regarding the safety features an automotive vehicle must exhibit, depending on the model and vehicle type. For instance,
As TPMS reduces the tire wear rate while also increasing vehicle safety, the government mandates opens further avenues for the industry. Moreover, emerging countries with the scope of developing new mandates and updating regulation policies provide additional growth opportunities to the market.
Market Segmentation
Based on Technology
Here, Direct Tire Pressure Monitoring System is expected to gain the largest market share during the forecast period, aided by the features such as delivering exact pressure for each tire, no loss of tire pressure information, sensor batteries that last the life of the vehicle mostly, and the ability to monitor spare tires.
The direct system has a sensor in each wheel, which generates accurate warnings and alerts the driver instantly when the pressure in any tire falls below the predetermined level because of rapid air loss caused by puncture or other reasons while detecting gradual air loss over time. Whereas, in an Indirect system, if one tire is low on pressure, the sensors alert the driver when the circumference of the tire changes resulting in rolling at a slightly different number of revolutions per mile than other tires by using the vehicle’s anti-lock braking system’s wheel speed.
Direct TMPS also reduce the handling of multiple components via the different size of the printed circuit board and remove the extra cost for external components. Direct TMPS allows to monitor of 18 or more tires in heavy-duty trucks and trailers, thus saving money on tire servicing costs. The simpler design allows the consumers to read the sensors quickly, further facilitating its adoption.
Based on Vehicle Type
Between the two, Passenger Vehicle dominated the market with the largest market share during the historical period and is anticipated to follow the same trend in the forecast years. It is attributed to the fact that TPMS is primarily found in passenger vehicles, as tire pressure is a critical safety feature. Besides, the increase in demand for passenger vehicles in the automotive market and the affordable safety feature through tire pressure sensors add to the market growth.
Moreover, the collective efforts of the automotive industry to introduce new features to reduce accident impact, fatalities, and overall vehicle safety are further influencing the market positively. For instance, High-end models of BMW, Chrysler, Hyundai, Jeep, Lexus, Toyota, Rolls Royce, and Volkswagen come with TPMS systems manufactured by Dill Air Control.
Thus, with consumer awareness and rising requirements for advanced safety features, TPMS is anticipated to become a standard feature in C-segment hatchbacks, sedans, and SUVs, promoting market acceleration in the forecasting period. In addition, the rising consumer interest in increasing features that improve overall vehicle safety and reduce fatalities and the impact of crashes is aiding in market expansion.
Regional Projection
Geographically, the Global Tire Pressure Monitoring Systems Market expands across:
Globally, Asia-Pacific is expected to address the maximum growth in the market during the forecasting period, attributing to the adherence to strict regulatory rules concerning safety and the use of tire pressure monitoring systems in emerging nations such as China, Japan, and South Korea. As a result, the region has been facing a rise in transportation demand and automotive sales. Additionally, with the rising population, on-road vehicles, and an increase in the standard of living, with more disposable income and spending power, the awareness of utilizing the best safety systems has been influencing consumers, and hiking automotive sales, resulting in further growth of the industry.
Thus surge in the production of premium cars and a rise in safety installation propel the market growth. In addition, the rising research and development and more trade in the region with increasing automotive vehicles with TPMS, such as compact and mid-sized vehicles in various countries, fuel the market expansion.
Recent Developments in the Global Tire Pressure Monitoring Systems Market
Gain a Competitive Edge with Our Global Tire Pressure Monitoring Systems Market Report
Frequently Asked Questions
A. The Tire Pressure Monitoring Systems Market is projected to grow at a CAGR of around 9.0% during 2023-28.
A. Accident preventative safety systems are expected to drive the tire pressure monitoring systems market during 2023-28.
A. Continental AG, Denso corporation, Delphi Automotive, Sensata Technologies, Dunlop Tech Gbmh Wabco, Bendix Commercial Vehicle systems LLC, Schrader Electronics, Pacific Industrial Co., Ltd., and Huf and Hlsbeck & Frst Gmbh & Co are the top players in the tire pressure monitoring systems market.
A. Direct Tire Pressure Monitoring System is anticipated to emerge as an area of remunerative opportunities for the leading players in the market during the forecast period.
A. Globally, Asia-Pacific would provide lucrative prospects for the tire pressure monitoring systems market in the years ahead.
A. Emerging government regulations are the growth opportunities driving the tire pressure monitoring systems market through 2028.
A. High replacement cost and added installation charges are the possible restraints affecting the growth of the tire pressure monitoring systems market.
