Market Research Report
Global Automotive Interior Materials Market - 2020-2027
|Global Automotive Interior Materials Market - 2020-2027|
Published: January 21, 2021
Delivery time: 2 business days
The global automotive interior materials market size was worth US$ XX billion in 2019 and is estimated to show significant growth by reaching up to US$ XX billion by 2027, growing at a CAGR of XX% during the forecast period (2020-2027).
Automotive interior materials are the resources utilized inside the automotive cabin, which offer an appealing look, improved reliability to automobiles and enhanced sustainability, leading to a better and upgraded automotive cabin design. Various materials make the appearance more attractive and comfortable such as plastic, wood, fabrics, composites and others. The materials can only be used once they meet specific industry standards, such as fire safety standards for interior materials.
As per National Fire Protection Association, USA, nearly 25% of vehicle fires originate from the interior; therefore, to safeguard the passengers, automotive interior materials must be adequately chosen, ensuring safety and comfort. The vehicle's cabin section is critical to vehicle weight and makes lightweight interior materials imperative to conserving emission levels. Therefore, the superior attributes and functions of cabin components have led to a significant increase in interior vehicle components.
The expanding automotive industry drives the global automotive interior materials market in the developing region of the globe and the growing emphasis on overall weight reduction to optimize fuel efficiency. The rapidly growing market of electric vehicles to overcome environmental concerns and fast depleting fossil resources.
Expanding the automotive industry and growing emphasis on overall weight reduction of vehicles to optimize fuel efficiency
The main focus of key players in the automobile industry is to increase fuel efficiency and reduce emissions by reducing the vehicle's weight. Therefore manufacturers are adopting lightweight material to improve the growth of the automobile industry. Advanced materials are the major components essential for boosting modern automobiles' fuel economy while maintaining safety and performance parameters.
It takes less energy to accelerate a high weight material than heavier weight material; a reduction in 10% of vehicle weight can result in 6-8%fuel economy efficiency. Therefore, replacing iron and steel components of automotive interior materials with a similar volume of plastic and composite offering lightness, strength and superior stiffness has led to emergence as a viable internal solution.
Major key players of the automotive industry focus on reducing carbon emissions by implementing lightweight plastics and composites in vehicle instrument panels, flooring components and dashboards. Hence, manufacturers are encouraged to use automotive interior materials and are expected to build their market share in the forecast period.
The rapidly growing market of electric vehicles to overcome the environmental concerns and fats depleting fossil resources
As per the forecast done by the International Energy Agency, the number of electric vehicles on the world's road is expected to increase from 3 million to 125 million by 2030. Sales of electric cars topped 2.1 million globally in 2019, surpassing the sales of the 2018 year. As of now, electric vehicles accounted for 2.6% of global car sales and about 1% of global car stock in 2019, which made it register a 40% year-on-year increase.
Electric vehicles are generally made up of plastics and other lightweight materials to improve fuel efficiency and reduce recharge timings. Many key players worldwide focus on promoting electric vehicles as an economical and eco-friendly option compared to other traditional technology, targeting both performance and environmental concerns of the ecosystem, which has increased the sales of electric vehicles and the market of interior materials.
Uncertainty in the global automotive industry and improper disposal of effluents from the tanning industries have severely impacted the growth of the automotive interior materials market
The automotive industry has played a vital role in the growth of the interior material market; however, there has been slow or flat growth seen in the automotive industry, which is directly responsible for impacting the expansion of the automotive interior material market. In 2018 as per the data released by OICA, countries such as Spain, China, Turkey have registered a negative growth rate in the automotive industry. The statistics continued in 2019 for countries like India. The arrival of COVID-19 further weakens China's automotive market and other regions of the globe, thus hampering the global automotive interior material market in recent times.
The use of leather as automotive upholstery is another reason hampering the growth of the automotive interior market. As leather is the most expensive material used for the interior of any automotive industry, its use in the developed market is stagnant due to the adverse effect of leather processing in the environment; therefore, it is estimated to affect the growth of automotive interior materials in the forecast period.
COVID-19 Impact Analysis
The global automotive interior materials market has shown a significant decline due to the COVID-19 pandemic, as many manufacturing plants were closed for months. Further several countries have restricted production activities during the covid-19 pandemic. The major lockdown due to the COVID-19 outbreak leads to suddenly dropping down consumers' interest towards purchasing any goods and halt in transportation sectors has severely hampered the business of automotive interior materials market due to disruption in the product's supply chain management.
COVID-19 has severely impacted the automotive sector's growth due to disruption of Chinese part exports, large-scale interruption in manufacturing across Europe and assembly plant closure in the United States. For instance, Hyundai suspended vehicle production for several weeks in 2020 due to the interruption of the supply chain of automotive parts from China. The situation is further expected to maintain the market momentum in the coming months owing to growing concerns of coronavirus across the globe, thus severely hampering the automotive interior materials market's growth.
The global automotive interior materials market is segmented based on material, vehicle type, application and region.
Rising safety concerns and increasing customer demand to get non-hazardous materials for car dashboards coupled with new technology and design are building the dashboard segment's overall market in the forecast period
In terms of application, the automotive interior material market is segmented into dashboard, seats, carpet & headliners, airbags & seatbelts, door pannel & trims, steering wheels and others. Out of the mentioned segments, the dashboard is expected to show dominance with around 35% market share in 2016 over others segment as it is one of the main parts of the car interior component.
It plays a vital role in different aspects such as reliability, safety, technology, user friendly, appearance and others. Therefore automotive manufacturers are continually improving vehicle dashboards and the materials used have a significant impact on the automotive industry. Growing concerns of the customer and increasing demand to get eco-friendly and non-hazardous material, with new technology and design, create opportunities for the overall market of the automotive interiors materials in recent times.
Airbags and seatbelts are expected to grow at the fastest rate in the forecast period owing to the adoption of safety regulations by the government and automotive agencies, coupled with increasing attention to vehicles safety are creating enormous opportunities for the automotive interior materials manufacturers to grow in the forecast period of the automotive interior materials market.
Rapidly growing automotive industry in the Asia-Pacific region and presence of countries contributing to the growth of automotive industries and electric vehicles in the region
Asia-Pacific region dominates the global automotive interior materials market due to strong automotive industries in countries such as China, Japan, India, South Korea and others. China, for instance, a rising middle class, will continue driving the steady growth of the Chinese auto market, with the demand for new purchases and rapidly growing replacements of vehicles are adding to the overall market of the region's automotive industry. A growing number of the automotive industry is expected to build the forecast period's automotive interior materials market. Furthermore, the rising adoption and development of electric vehicles in the region further add lucrative opportunities for the automotive interiors material market in recent times.
On the other hand, Europe is expected to grow at the fastest rate due to improved innovation and a growing market for various applications for interior materials in the automotive industry, which is expected to drive the region's market.
The automotive interior market is highly competitive and consolidated with the presence of major global companies. Some of the key players contributing to the market's growth include Contitech ag, Toyota Boshoku corporation, Adient plc, Saudi Basic Industries Corporation, Lear Corporation, Grupo Antolin, Faurecia, BorgWarner, Sage Automotive Interiors Inc, BASF SE and among others.
The major players are adopting several growth strategies such as product launches, acquisitions and collaborations, contributing to the global automotive interior material market. However, the key players are using product launching as the growth strategy for building revenue for the company.
Overview: An American Irish-domiciled company focused on manufacturing automotive seating for customers globally and is based in the U.S. In 2017 the company became the world's largest auto seat manufacturer, contributing to one-third of the global market revenue. As of 2017, Adient employed 86,000 people across 250 manufacturing/assembly plants.
The global automotive interior materials market report would provide access to an approx: 76 market data table, 80 figures and 244 pages.
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