The vehicle under the hood electronic market size has grown strongly in recent years. It will grow from $39.84 billion in 2025 to $42.83 billion in 2026 at a compound annual growth rate (CAGR) of 7.5%. The growth in the historic period can be attributed to increasing adoption of ecus and sensors, rising regulatory emission standards, demand for vehicle performance optimization, growth of passenger car and commercial vehicle segments, advancements in engine management systems.
The vehicle under the hood electronic market size is expected to see strong growth in the next few years. It will grow to $56.63 billion in 2030 at a compound annual growth rate (CAGR) of 7.2%. The growth in the forecast period can be attributed to integration of AI in vehicle electronics, shift towards electric and hybrid vehicles, development of connected and smart vehicle systems, demand for lightweight and energy-efficient components, expansion of automotive manufacturing in emerging markets. Major trends in the forecast period include ai-enabled vehicle performance management, sustainable automotive electronics, smart powertrain control systems, advanced manufacturing for ecus and sensors, electrification-driven engine & transmission solutions.
The growing adoption of electric vehicles (EVs) is expected to drive the expansion of the vehicle under-the-hood electronics market in the coming years. Electric vehicles are automobiles powered fully or partially by electric motors that use energy stored in rechargeable batteries instead of conventional internal combustion engines. The rise in EV adoption is fueled by increasing environmental awareness and stricter carbon emission regulations. Under-the-hood electronics in EVs manage power distribution, battery systems, thermal control, and vehicle control units, ensuring safe and efficient performance. For example, according to the International Energy Agency, in 2023, electric vehicle sales increased by 3.5 million units compared to the previous year, reflecting a 35% year-over-year growth. Thus, the increasing prevalence of electric vehicles is boosting the demand for vehicle under-the-hood electronics.
Key players in the vehicle under-the-hood electronics market are pursuing strategic partnerships to enhance technology integration and broaden market reach. A strategic partnership involves collaboration between two or more organizations to combine resources, expertise, and efforts toward shared goals. For instance, in January 2024, Qualcomm Incorporated, a US-based semiconductor company, and Robert Bosch GmbH, a Germany-based engineering and technology firm, launched an integrated cockpit and Advanced Driver Assistance Systems (ADAS) platform. This platform unites previously separate infotainment and ADAS functions into a single, software-driven central vehicle computer, powered by Qualcomm’s Snapdragon Ride Flex SoC. The solution enables automakers to provide features such as automated parking, lane detection, personalized navigation, voice assistance, and multi-display control within one scalable system, reducing hardware complexity and cost while supporting vehicles from entry-level to premium segments.
In January 2025, NXP Semiconductors N.V., a Netherlands-based semiconductor manufacturer, acquired TTTech Auto for $625 million. This acquisition strengthens NXP’s automotive safety and control offerings by integrating TTTech’s real-time safety software and middleware into NXP’s automotive chip portfolio. TTTech Auto, based in Austria, specializes in safety software and real-time networking solutions for automotive electronic systems.
Major companies operating in the vehicle under the hood electronic market are Robert Bosch GmbH, Panasonic Corporation, ZF Friedrichshafen AG, Denso Corporation, HyundAI Mobis Co. Ltd., Continental Aktiengesellschaft, Thyssenkrupp AG, Mitsubishi Electric Corporation, Honeywell International Inc., Valeo S.A., NXP Semiconductors N.V., JTEKT Corporation, SKF AB, Toyoda Gosei Co. Ltd., ALPS ALPINE Co. Ltd., Joyson Safety Systems Co. Ltd., TokAI Rika Co. Ltd., Nexteer Automotive Group Limited, Johnson Electric Holdings Limited, NSK Ltd.
Note that the outlook for this market is being affected by rapid changes in trade relations and tariffs globally. The report will be updated prior to delivery to reflect the latest status, including revised forecasts and quantified impact analysis. The report’s Recommendations and Conclusions sections will be updated to give strategies for entities dealing with the fast-moving international environment.
Tariffs have affected the under-the-hood vehicle electronics market by increasing import costs for electronic components, sensors, and control units, particularly impacting regions like Asia-Pacific and North America that rely on cross-border supply chains. Engine control units, transmission control modules, and other critical ECUs face higher prices, which can slow production and vehicle rollout. However, tariffs have encouraged some manufacturers to localize production, diversify suppliers, and optimize costs, leading to innovation and more resilient supply chains in the long term.
The vehicle under-the-hood electronic market research report is one of a series of new reports that provides vehicle under-the-hood electronic market statistics, including the vehicle under-the-hood electronic industry global market size, regional shares, competitors with the vehicle under-the-hood electronic market share, detailed vehicle under-the-hood electronic market segments, market trends, and opportunities, and any further data you may need to thrive in the vehicle under-the-hood electronic industry. This vehicle under-the-hood electronic market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenarios of the industry.
Under-the-hood vehicle electronics are electronic systems and components installed in the engine compartment that control essential functions, including engine performance, transmission management, emissions, power distribution, and, for hybrid and electric vehicles, power conversion and battery management. These electronics are designed to operate reliably under extreme conditions such as high temperatures, vibration, and exposure to fluids, serving as a critical foundation for modern vehicles by ensuring efficiency, safety, and regulatory compliance.
The primary types of under-the-hood vehicle electronics include automotive control modules and electronic control units (ECUs) as well as automotive under-the-hood sensors. Control modules and ECUs are electronic devices that monitor, manage, and optimize engine, transmission, emission, and powertrain operations, ensuring optimal vehicle performance, efficiency, and safety. They consist of various components, including sensors, actuators, control units, and wiring harnesses, and are used across passenger cars, commercial vehicles, and electric vehicles. These electronics are supplied through both original equipment manufacturers (OEMs) and the aftermarket, with applications in engine control, transmission management, emission regulation, and overall powertrain control.Asia-Pacific was the largest region in the vehicle under the hood electronic market in 2025. The regions covered in the vehicle under the hood electronic market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the vehicle under the hood electronic market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.
The vehicle under the hood electronic market includes of sales of battery management systems, ignition systems, electronic fuel injection systems, turbochargers and boost controllers. Values in this market are ‘factory gate’ values, that is, the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.
The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).
The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.
This product will be delivered within 1-3 business days.
The vehicle under the hood electronic market size is expected to see strong growth in the next few years. It will grow to $56.63 billion in 2030 at a compound annual growth rate (CAGR) of 7.2%. The growth in the forecast period can be attributed to integration of AI in vehicle electronics, shift towards electric and hybrid vehicles, development of connected and smart vehicle systems, demand for lightweight and energy-efficient components, expansion of automotive manufacturing in emerging markets. Major trends in the forecast period include ai-enabled vehicle performance management, sustainable automotive electronics, smart powertrain control systems, advanced manufacturing for ecus and sensors, electrification-driven engine & transmission solutions.
The growing adoption of electric vehicles (EVs) is expected to drive the expansion of the vehicle under-the-hood electronics market in the coming years. Electric vehicles are automobiles powered fully or partially by electric motors that use energy stored in rechargeable batteries instead of conventional internal combustion engines. The rise in EV adoption is fueled by increasing environmental awareness and stricter carbon emission regulations. Under-the-hood electronics in EVs manage power distribution, battery systems, thermal control, and vehicle control units, ensuring safe and efficient performance. For example, according to the International Energy Agency, in 2023, electric vehicle sales increased by 3.5 million units compared to the previous year, reflecting a 35% year-over-year growth. Thus, the increasing prevalence of electric vehicles is boosting the demand for vehicle under-the-hood electronics.
Key players in the vehicle under-the-hood electronics market are pursuing strategic partnerships to enhance technology integration and broaden market reach. A strategic partnership involves collaboration between two or more organizations to combine resources, expertise, and efforts toward shared goals. For instance, in January 2024, Qualcomm Incorporated, a US-based semiconductor company, and Robert Bosch GmbH, a Germany-based engineering and technology firm, launched an integrated cockpit and Advanced Driver Assistance Systems (ADAS) platform. This platform unites previously separate infotainment and ADAS functions into a single, software-driven central vehicle computer, powered by Qualcomm’s Snapdragon Ride Flex SoC. The solution enables automakers to provide features such as automated parking, lane detection, personalized navigation, voice assistance, and multi-display control within one scalable system, reducing hardware complexity and cost while supporting vehicles from entry-level to premium segments.
In January 2025, NXP Semiconductors N.V., a Netherlands-based semiconductor manufacturer, acquired TTTech Auto for $625 million. This acquisition strengthens NXP’s automotive safety and control offerings by integrating TTTech’s real-time safety software and middleware into NXP’s automotive chip portfolio. TTTech Auto, based in Austria, specializes in safety software and real-time networking solutions for automotive electronic systems.
Major companies operating in the vehicle under the hood electronic market are Robert Bosch GmbH, Panasonic Corporation, ZF Friedrichshafen AG, Denso Corporation, HyundAI Mobis Co. Ltd., Continental Aktiengesellschaft, Thyssenkrupp AG, Mitsubishi Electric Corporation, Honeywell International Inc., Valeo S.A., NXP Semiconductors N.V., JTEKT Corporation, SKF AB, Toyoda Gosei Co. Ltd., ALPS ALPINE Co. Ltd., Joyson Safety Systems Co. Ltd., TokAI Rika Co. Ltd., Nexteer Automotive Group Limited, Johnson Electric Holdings Limited, NSK Ltd.
Note that the outlook for this market is being affected by rapid changes in trade relations and tariffs globally. The report will be updated prior to delivery to reflect the latest status, including revised forecasts and quantified impact analysis. The report’s Recommendations and Conclusions sections will be updated to give strategies for entities dealing with the fast-moving international environment.
Tariffs have affected the under-the-hood vehicle electronics market by increasing import costs for electronic components, sensors, and control units, particularly impacting regions like Asia-Pacific and North America that rely on cross-border supply chains. Engine control units, transmission control modules, and other critical ECUs face higher prices, which can slow production and vehicle rollout. However, tariffs have encouraged some manufacturers to localize production, diversify suppliers, and optimize costs, leading to innovation and more resilient supply chains in the long term.
The vehicle under-the-hood electronic market research report is one of a series of new reports that provides vehicle under-the-hood electronic market statistics, including the vehicle under-the-hood electronic industry global market size, regional shares, competitors with the vehicle under-the-hood electronic market share, detailed vehicle under-the-hood electronic market segments, market trends, and opportunities, and any further data you may need to thrive in the vehicle under-the-hood electronic industry. This vehicle under-the-hood electronic market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenarios of the industry.
Under-the-hood vehicle electronics are electronic systems and components installed in the engine compartment that control essential functions, including engine performance, transmission management, emissions, power distribution, and, for hybrid and electric vehicles, power conversion and battery management. These electronics are designed to operate reliably under extreme conditions such as high temperatures, vibration, and exposure to fluids, serving as a critical foundation for modern vehicles by ensuring efficiency, safety, and regulatory compliance.
The primary types of under-the-hood vehicle electronics include automotive control modules and electronic control units (ECUs) as well as automotive under-the-hood sensors. Control modules and ECUs are electronic devices that monitor, manage, and optimize engine, transmission, emission, and powertrain operations, ensuring optimal vehicle performance, efficiency, and safety. They consist of various components, including sensors, actuators, control units, and wiring harnesses, and are used across passenger cars, commercial vehicles, and electric vehicles. These electronics are supplied through both original equipment manufacturers (OEMs) and the aftermarket, with applications in engine control, transmission management, emission regulation, and overall powertrain control.Asia-Pacific was the largest region in the vehicle under the hood electronic market in 2025. The regions covered in the vehicle under the hood electronic market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the vehicle under the hood electronic market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.
The vehicle under the hood electronic market includes of sales of battery management systems, ignition systems, electronic fuel injection systems, turbochargers and boost controllers. Values in this market are ‘factory gate’ values, that is, the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.
The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).
The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.
This product will be delivered within 1-3 business days.
Table of Contents
1. Executive Summary
2. Vehicle Under the Hood Electronic Market Characteristics
3. Vehicle Under the Hood Electronic Market Supply Chain Analysis
4. Global Vehicle Under the Hood Electronic Market Trends and Strategies
5. Vehicle Under the Hood Electronic Market Analysis of End Use Industries
7. Global Vehicle Under the Hood Electronic Strategic Analysis Framework, Current Market Size, Market Comparisons and Growth Rate Analysis
8. Global Vehicle Under the Hood Electronic Total Addressable Market (TAM) Analysis for the Market
9. Vehicle Under the Hood Electronic Market Segmentation
10. Vehicle Under the Hood Electronic Market Regional and Country Analysis
11. Asia-Pacific Vehicle Under the Hood Electronic Market
12. China Vehicle Under the Hood Electronic Market
13. India Vehicle Under the Hood Electronic Market
14. Japan Vehicle Under the Hood Electronic Market
15. Australia Vehicle Under the Hood Electronic Market
16. Indonesia Vehicle Under the Hood Electronic Market
17. South Korea Vehicle Under the Hood Electronic Market
18. Taiwan Vehicle Under the Hood Electronic Market
19. South East Asia Vehicle Under the Hood Electronic Market
20. Western Europe Vehicle Under the Hood Electronic Market
21. UK Vehicle Under the Hood Electronic Market
22. Germany Vehicle Under the Hood Electronic Market
23. France Vehicle Under the Hood Electronic Market
24. Italy Vehicle Under the Hood Electronic Market
25. Spain Vehicle Under the Hood Electronic Market
26. Eastern Europe Vehicle Under the Hood Electronic Market
27. Russia Vehicle Under the Hood Electronic Market
28. North America Vehicle Under the Hood Electronic Market
29. USA Vehicle Under the Hood Electronic Market
30. Canada Vehicle Under the Hood Electronic Market
31. South America Vehicle Under the Hood Electronic Market
32. Brazil Vehicle Under the Hood Electronic Market
33. Middle East Vehicle Under the Hood Electronic Market
34. Africa Vehicle Under the Hood Electronic Market
36. Vehicle Under the Hood Electronic Market Competitive Landscape and Company Profiles
37. Vehicle Under the Hood Electronic Market Other Major and Innovative Companies
40. Vehicle Under the Hood Electronic Market High Potential Countries, Segments and Strategies
41. Appendix
Executive Summary
Vehicle Under The Hood Electronic Market Global Report 2026 provides strategists, marketers and senior management with the critical information they need to assess the market.This report focuses vehicle under the hood electronic market which is experiencing strong growth. The report gives a guide to the trends which will be shaping the market over the next ten years and beyond.
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Description
Where is the largest and fastest growing market for vehicle under the hood electronic? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward, including technological disruption, regulatory shifts, and changing consumer preferences? The vehicle under the hood electronic market global report answers all these questions and many more.The report covers market characteristics, size and growth, segmentation, regional and country breakdowns, total addressable market (TAM), market attractiveness score (MAS), competitive landscape, market shares, company scoring matrix, trends and strategies for this market. It traces the market’s historic and forecast market growth by geography.
- The market characteristics section of the report defines and explains the market. This section also examines key products and services offered in the market, evaluates brand-level differentiation, compares product features, and highlights major innovation and product development trends.
- The supply chain analysis section provides an overview of the entire value chain, including key raw materials, resources, and supplier analysis. It also provides a list competitor at each level of the supply chain.
- The updated trends and strategies section analyses the shape of the market as it evolves and highlights emerging technology trends such as digital transformation, automation, sustainability initiatives, and AI-driven innovation. It suggests how companies can leverage these advancements to strengthen their market position and achieve competitive differentiation.
- The regulatory and investment landscape section provides an overview of the key regulatory frameworks, regularity bodies, associations, and government policies influencing the market. It also examines major investment flows, incentives, and funding trends shaping industry growth and innovation.
- The market size section gives the market size ($b) covering both the historic growth of the market, and forecasting its development.
- The forecasts are made after considering the major factors currently impacting the market. These include the technological advancements such as AI and automation, Russia-Ukraine war, trade tariffs (government-imposed import/export duties), elevated inflation and interest rates.
- The total addressable market (TAM) analysis section defines and estimates the market potential compares it with the current market size, and provides strategic insights and growth opportunities based on this evaluation.
- The market attractiveness scoring section evaluates the market based on a quantitative scoring framework that considers growth potential, competitive dynamics, strategic fit, and risk profile. It also provides interpretive insights and strategic implications for decision-makers.
- Market segmentations break down the market into sub markets.
- The regional and country breakdowns section gives an analysis of the market in each geography and the size of the market by geography and compares their historic and forecast growth.
- Expanded geographical coverage includes Taiwan and Southeast Asia, reflecting recent supply chain realignments and manufacturing shifts in the region. This section analyzes how these markets are becoming increasingly important hubs in the global value chain.
- The competitive landscape chapter gives a description of the competitive nature of the market, market shares, and a description of the leading companies. Key financial deals which have shaped the market in recent years are identified.
- The company scoring matrix section evaluates and ranks leading companies based on a multi-parameter framework that includes market share or revenues, product innovation, and brand recognition.
Scope
Markets Covered:
1) By Types: Automotive Under The Hood Control Modules And Electronic Control Units (ECUs); Automotive Under The Hood Sensors2) By Component: Sensors; Actuators; Control Units; Wiring Harnesses
3) By Vehicle Type: Passenger Cars; Commercial Vehicles; Electric Vehicles
4) By Sales Channel: Original Equipment Manufacturer (OEM); Aftermarket
5) By Application: Engine Control; Transmission Control; Emission Control; Powertrain Control
Subsegments:
1) By Automotive Under-The-Hood Control Modules and Electronic Control Units (ECUs): Engine Control Unit (ECU); Transmission Control Unit (TCU); Powertrain Control Module (PCM); Electronic Brake Control Module (EBCM); Fuel Injection Control Module; Turbocharger Control Module2) By Automotive Under-The-Hood Sensors: Temperature Sensors; Pressure Sensors; Oxygen (O2) Sensors; Mass Air Flow (MAF) Sensors; Knock Sensors; Camshaft Or Crankshaft Position Sensors; Speed Sensors; Exhaust Gas Recirculation (EGR) Sensors
Companies Mentioned: Robert Bosch GmbH; Panasonic Corporation; ZF Friedrichshafen AG; Denso Corporation; Hyundai Mobis Co. Ltd.; Continental Aktiengesellschaft; Thyssenkrupp AG; Mitsubishi Electric Corporation; Honeywell International Inc.; Valeo S.A.; NXP Semiconductors N.V.; JTEKT Corporation; SKF AB; Toyoda Gosei Co. Ltd.; ALPS ALPINE Co. Ltd.; Joyson Safety Systems Co. Ltd.; Tokai Rika Co. Ltd.; Nexteer Automotive Group Limited; Johnson Electric Holdings Limited; NSK Ltd.
Countries: Australia; Brazil; China; France; Germany; India; Indonesia; Japan; Taiwan; Russia; South Korea; UK; USA; Canada; Italy; Spain.
Regions: Asia-Pacific; South East Asia; Western Europe; Eastern Europe; North America; South America; Middle East; Africa
Time Series: Five years historic and ten years forecast.
Data: Ratios of market size and growth to related markets, GDP proportions, expenditure per capita.
Data Segmentation: Country and regional historic and forecast data, market share of competitors, market segments.
Sourcing and Referencing: Data and analysis throughout the report is sourced using end notes.
Delivery Format: Word, PDF or Interactive Report + Excel Dashboard
Added Benefits:
- Bi-Annual Data Update
- Customisation
- Expert Consultant Support
Companies Mentioned
The companies featured in this Vehicle Under the Hood Electronic market report include:- Robert Bosch GmbH
- Panasonic Corporation
- ZF Friedrichshafen AG
- Denso Corporation
- Hyundai Mobis Co. Ltd.
- Continental Aktiengesellschaft
- Thyssenkrupp AG
- Mitsubishi Electric Corporation
- Honeywell International Inc.
- Valeo S.A.
- NXP Semiconductors N.V.
- JTEKT Corporation
- SKF AB
- Toyoda Gosei Co. Ltd.
- ALPS ALPINE Co. Ltd.
- Joyson Safety Systems Co. Ltd.
- Tokai Rika Co. Ltd.
- Nexteer Automotive Group Limited
- Johnson Electric Holdings Limited
- NSK Ltd.
Table Information
| Report Attribute | Details |
|---|---|
| No. of Pages | 250 |
| Published | January 2026 |
| Forecast Period | 2026 - 2030 |
| Estimated Market Value ( USD | $ 42.83 Billion |
| Forecasted Market Value ( USD | $ 56.63 Billion |
| Compound Annual Growth Rate | 7.2% |
| Regions Covered | Global |
| No. of Companies Mentioned | 21 |
