Market Research Report
Automotive Collision Repair Market Size By Product, By Vehicle, By Source, By Auto Body Shops, COVID-19 Impact Analysis, Regional Outlook, Application Growth Potential, Price Trends, Competitive Market Share & Forecast, 2021 - 2027
|Automotive Collision Repair Market Size By Product, By Vehicle, By Source, By Auto Body Shops, COVID-19 Impact Analysis, Regional Outlook, Application Growth Potential, Price Trends, Competitive Market Share & Forecast, 2021 - 2027|
Published: July 15, 2021
Global Market Insights Inc.
Content info: 220 Pages
Delivery time: 2-3 business days
The automotive collision repair market is anticipated to witness significant growth by 2027 driven by the escalating demand for vehicle restoration across the globe. In addition, increasing occurrences of road accidents are anticipated to further fuel market growth through the forecast timeline.
Recently, industry players have been implementing strategic initiatives to improve their market standing, which has been favorable for business expansion in key regions. For instance, in July 2021, BASF, the German chemicals giant, announced the addition of Crest Industries (CRS) as its single line distributor in St. Louis, Missouri.
CRS has been a long-time supplier in the collision repair space with over five decades of market experience under its belt and offers customized solutions for bolts, nuts, body fillers, seam sealer, abrasives, and a range of specialty products. As BASF's newest ColorSource member, CRS would be able to incorporate the complete line of BASF Refinish coatings, including the Limco and Glasurit, R-M product lines, in its collection.
Moreover, mounting emphasis on improving the authenticity and quality of repair parts used in the sector has propelled the development of various standards to evaluate parts. As a result, improved product landscape has positively impacted business outlook across the globe.
To cite an instance, in July 2021, the Certified Automotive Parts Association (CAPA), which is an independent standard-setting and certification body for automotive crash parts, launched its Tier 1 Replacement Parts Verification Program. The program aims to clarify repair parts by making sure that the same materials, tooling, factory, and manufacturing processes are employed in production of both the car company part as well as the Tier 1 Verified replacement part.
The automotive collision repair market has been segmented based on product, vehicle, auto body shops, source, and region. On the basis of product, the market has been divided into crash parts, finishing compounds, adhesives & sealants, paints & coatings, abrasives, and others.
The finishing compounds sub-segment is estimated to witness substantial growth at around 2.5% CAGR over the forecast timeframe. Escalating finishing requirements for restoring vehicle appearance after accidents is likely to drive segmental growth in the coming years.
With respect to vehicle, the market has been segregated into PC, HCV, LCV, and two-wheelers. The HCV sub-segment is projected to account for more than 10% of the automotive collision repair market by 2027. Rising incidences of fatalities and injuries owing to truck accidents are set to bolster segmental adoption over the following years.
In terms of source, the market has been bifurcated into new OEM, aftermarket, remanufactured, and recycled. The remanufactured sub-segment is calculated to grow at a CAGR of over 1.5% through the analysis timeline. Remanufactured parts effectively replace & improvise faulty components prior to assembly processes at a minimum cost, which is anticipated to contribute to segmental expansion in the future.
In the regional landscape, the Europe automotive collision repair market is calculated to progress at a notable CAGR to reach a valuation of about USD 80 Billion by 2027. Growing establishment of automotive repair shops in the region is slated to support market growth over the forecast timeframe.