Provided by Accuray Research LLP
The Global Automotive Wiring Harness Market is expected to reach $95,311.0 million by 2025 growing at a CAGR of 9.1% from 2015 to 2025.
Increasing fuel costs, stringent government regulations, and a rise in demand for high-end electronics and electric vehicles are the factors driving the market growth. These technological developments will create favourable growth opportunities in the near future. However, secure discarding of used wiring harness is restraining this growth.
By vehicle type, the market is segmented by hybrid vehicles, electric vehicles, two wheelers, heavy vehicles, passenger car and commercial vehicles. The passenger car segment commanded the largest market revenue in 2015 and is poised to reach $43,557.1 million by 2025. However, the commercial vehicles segment is expected to grow at the highest CAGR of 11.5% during the period. This segment is driven by low maintenance needs and better fuel combustion.
In terms of wiring harness development, environmentally friendly products, such as hi-voltage wiring harness systems for HEVs and EVs and weight-saving wiring harnesses systems designed to improve fuel efficiency, are in strong demand. Technical developments in the automotive segment have augmented the fitting trend of many high end microelectronics and security features into the automobile. Growing demand for connectivity and car digitization, which not only helps establish connectivity within the integral parts of a vehicle, but also enables communication with other vehicles through improved and intelligent roadway infrastructure, is another emerging trend in the market.
Europe commanded the largest market revenue in 2015. The presence of prominent automobile manufacturers such as BMW, Mercedes Benz, and Audi in Europe is driving this regional market and generating an exponential demand for premium passenger cars. These cars are fitted with innovative electronic devices for safety and navigation, which will further drive the European automotive wiring harness market.
Europe is a major hub of many renowned OEMs, which are known for delivering quality and high performance vehicles. The majority of European vehicles are equipped with high-end electronics and safety features. However, Eastern Europe still trails behind countries like the U.K., Germany, France and Italy. This gives the OEMs an opportunity to expand their footprints in Eastern Europe and this help foster the demand for automotive wiring harness in Europe.
The Asia Pacific region is expected to grow at the highest CAGR during the forecast period. Asia Pacific is dominated by developing countries such as India and China where the automotive industry is rising at a faster pace. China is expected to register the highest Y-o-Y growth during the forecast period in Asia Pacific, due to a rise in automotive production, growing awareness about vehicle safety, and the increasing popularity of vehicle infotainment in the country.
Although automobile sales have been stagnant in the developed markets, emerging markets, especially those in Asia Pacific have provided growth opportunities. Almost all leading OEMs have a strong presence in the Asia Pacific region, and it is anticipated that more will follow suit in the years to come. Consumer awareness in Asia Pacific has brought about a transformation in the automotive industry. Earlier, consumers in these countries just wanted to buy a vehicle, irrespective of the safety and entertainment features provided by the OEMs; however, today, consumers are demanding safety features at an affordable price. This change in consumer behaviour has pushed wiring harness manufacturers to come up with compliant products.
The key players in the market include:
- Delphi Packard Electric System
- Leoni Electrical Systems Shanghai
- Sumitomo Electric Industries
- Fujikura Changchun, Coroplast
- Changchun SE Bordnetze
- Sumitomo Wiring Systems
- Kromberg & Schubert
- Gold Peak Industries
Stay up-to-date with the latest market developments, trending news stories and industry advances with the Research and Markets blog. Don’t forget to join our mailing list to receive alerts for the latest blog plus information about new products.