Dublin, Jan. 08, 2021 (GLOBE NEWSWIRE) -- The "Automotive Interiors Market - Growth, Trends, and Forecast (2020 - 2025)" report has been added to ResearchAndMarkets.com's offering.
The automotive interiors market is anticipated to register a CAGR of about 4.83% during the forecast period (2020 - 2025).
Automotive interiors of the vehicles consist of Infotainment system, instrument panel, body panels, etc. Automotive interior plays a very important role in vehicle's performance, aesthetic appeal and salability.
In order to meet the need for creating fuel-efficient and lightweight systems, manufacturers are coming up with a lightweight material to use in the automotive interiors, which is driving the automotive interior market. For example, manufacturers are now using lightweight materials such as high strength steel and thermoplastic.
Due to rising customer expectations and fierce competition, a large number of car manufacturers are offering infotainment systems even in entry-level cars. This, in turn, may boost the infotainment market and as a result, the infotainment systems subcategory is expected to be the fastest growing. Currently, vehicles are equipped with advanced gadgets, such as an entertainment system, hands-free connectivity, and global position system (GPS), to enhance the driving experience.
However, the global sales of automobiles are forecast to fall to just under 62 million units in 2020, down from a peak of almost 80 million units in 2017. The sector is projected to experience a downward trend on the back of a slowing global economy and the advent of the coronavirus pandemic in all key economies. Shutdown of manufacturing facilities has further worsen the situation and may hinder the growth of the market in 2020 and 2021.
Key Market Trends
Infotainment System Dominates the Automotive Interiors Market
The infotainment system is the largest segment in the automotive interiors market.
Earlier, cars were offered with only one infotainment screen but as the technology is advancing the number as well as the dimension of the infotainment screens are also increasing. As such, the infotainment screens have become the main focal points for every automaker and these screens are packed with the latest technology capabilities, as the 2021 Mercedes S-Class will be coming with five touch screens along with the central unit of 12.8-inch OLED screen. Honda revealed the new Honda E which has pillar to pilar screens. This includes two 6 inch screens with an 8.8 TFT screen and two 12.3 inch LCD screens.
Automakers are constantly upgrading their infotainment systems to provide the best features and technologies to their customers. Some of the recent launches and models are:
In July 2020, Volkswagen announced the upgrades in its 2021 lineup of vehicles, one of the main change is MIB3 infotainment system. The new MIB3 infotainment system offers wireless App-Connect, with multi-phone pairing, and enhanced voice recognition. The MIB3 infotainment system features a redesigned navigation system, with enhanced map designs, intuitive route options, quick access to frequently visited locations, and advanced route management. MIB3 also have SiriusXM's newest and most advanced audio entertainment platform-SiriusXM with 360L.
In August 2020, Skoda launched new generation infotainment system in Karoq, Kodiaq and Superb. The new systems is equipped with built-in SIM card that ensures a permanent internet connection, which also enables various online features such as Internet radio and wireless SmartLink technology.
As the cars are coming with more and more connected features, the telecom and technology players are partnering with major automotive players to develop best connectivity and infotainment solutions for the customers. For instance,
In May 2020, Honda enter into partnership with Tencent to develop infotainment system for the Chinese market. In the partnership, Tencent will include new functions into the system for Honda cars, such as voice command, to make a payment and then pick up their purchase. The new infotainment system will enable passengers to listen to Tencent's exclusive music streaming content, internet radio, and audio books and newspapers.
Asia-Pacific is Leading the Automotive Interiors Market
The automotive interiors market is led by the Asia-Pacific region, followed by Europe and North America.
In Asia-Pacific, government initiatives, such as subsidies and tax concessions, across various countries are attracting the automotive OEMs to build their manufacturing plants in the region. China is one of the largest consumer of vehicles. The demand for premium interiors, comfort, and new and innovative features, like head-up displays and navigation system, along with the growing focus toward sufficing the safety standards, is driving the market in the region.
In China local players are collaborating to produce the best interior products. For instance, BAIC Yinxiang Automobile Co. Ltd collaborated with ADAYO (a subsidiary of Foryou Corporation). ADAYO specializes in the design and development of vehicle infotainment systems, Baidu, GPS, and GLONASS (single-or dual-mode) navigation systems, and driver assistance systems.
India represents the fourth-largest automobile industry globally, with more than 3.4 million cars sold in 2019. Over the past few years, there has been an increasing demand from consumers for features, like infotainment systems with navigation facilities, convenience, and connectivity. For instance,
In August 2020, Kia launched its new Sonet with a 10.25-inch HD infotainment screen and the 4.2-inch (10.66 cm) instrument cluster, and it includes an LED Sound Mood Lighting. Similarly in January 2020, Tata Altroz launched with the 7-inch floating touchscreen infotainment system and ambient lighting.
The Asia Pacific automotive interiors market is expected to witness growth in both entry level and luxury vehicles during the forecast period.
The automotive interiors market is moderately consolidated with various medium and large sized companies and a few big players. Some of the players are focusing on expanding their geographical presence by acquiring or merging with the regional and country-level players. Major investments are being made by companies in the foreign markets to cater to increasing demand and expand their business. Expansion and investments are the most preferred growth strategies, followed by mergers and acquisitions.For instance,
In 2019, Faurecia, a leading manufacturer of instrument panels introduced NAFILEAN performance materials that helped reduce weight and improve performance. NAFILEAN is estimated to reduce the weight of the product by up to 25% compared to standard injection molded plastic parts while also providing 40% better fit and finish. The production of automotive performance materials (APM) under the joint venture of Faurecia and Interval, a major French agricultural cooperative, set plans to expand the business to the North American market, which is already underway.
In 2019, Alcantara offers Dashboard fabrics for luxury OEMs. Luxury brands, such as Ferrari, Alfa Romeo, Bugatti, McLaren, Lamborghini, Porsche, Audi, Lexus, BMW, Maserati, and Jaguar, use Alcantara. But the material has also been featured in more mainstream models, likes those of Dodge, Nissan, and Subaru.
Reasons to Purchase this report:
The market estimate (ME) sheet in Excel format
3 months of analyst support
Key Topics Covered:
2 RESEARCH METHODOLOGY
3 EXECUTIVE SUMMARY
4 MARKET DYNAMICS
4.1 Market Drivers
4.2 Market Restraints
4.3 Industry Attractiveness - Porter's Five Forces Analysis
4.3.1 Threat of New Entrants
4.3.2 Bargaining Power of Buyers/Consumers
4.3.3 Bargaining Power of Suppliers
4.3.4 Threat of Substitute Products
4.3.5 Intensity of Competitive Rivalry
5 MARKET SEGMENTATION
5.1 By Vehicle Type
5.1.1 Passenger Cars
5.1.2 Commercial Vehicles
5.2 By Component Type
5.2.1 Instrument Panels
5.2.2 Infotainment Systems
5.2.3 Interior Lighting
5.2.4 Body Panels
5.2.5 Other Component Types
5.3.1 North America
184.108.40.206 United States
220.127.116.11 Rest of North America
18.104.22.168 United Kingdom
22.214.171.124 Rest of Europe
5.3.3 Asia Pacific
126.96.36.199 South Korea
188.8.131.52 Rest of Asia-Pacific
5.3.4 South America
184.108.40.206 Rest of South America
5.3.5 Middle East
220.127.116.11 United Arab Emirates
18.104.22.168 Saudi Arabia
22.214.171.124 South Africa
126.96.36.199 Rest of Middle East & Africa
6 COMPETITIVE LANDSCAPE
6.1 Vendor Market Share
6.2 Company Profiles
6.2.1 Adient PLC
6.2.2 Grupo Antolin
6.2.3 Panasonic Corp.
6.2.5 Magna International
6.2.6 Toyota Boshuku Corporation
6.2.7 Hyundai Mobis Co.
6.2.8 Pioneer Corporation
6.2.9 JVCKENWOOD Corporation
6.2.10 Robert Bosch GmbH
7 MARKET OPPORTUNITIES AND FUTURE TRENDS
For more information about this report visit https://www.researchandmarkets.com/r/84ky26
Research and Markets also offers Custom Research services providing focused, comprehensive and tailored research.
CONTACT: CONTACT: ResearchAndMarkets.com Laura Wood, Senior Press Manager email@example.com For E.S.T Office Hours Call 1-917-300-0470 For U.S./CAN Toll Free Call 1-800-526-8630 For GMT Office Hours Call +353-1-416-8900