Automotive Fabric Market Analysis
The automotive fabric market is estimated to generate revenue of USD 41.2 billion in 2024, and it is expected to witness a CAGR of 5.1% during 2024–2030, to reach USD 55.7 billion by 2030. This can be ascribed to the increasing demand for luxury cars and the preference for their interiors to be aesthetically pleasing. Another reason behind the advance of the market is the increasing awareness of vehicle safety. This opens opportunities for the automotive fabric market, especially in the fast-developing countries.
The rising purchasing power of people is now encouraging automotive OEMs to deliver cars with more comfort and premium looks. This is often achieved with leather upholstery on the seats, which exudes a sense of luxury and refinement. In in 2023, the U.S. witnessed a rise in the sale of new cars by 12%, reaching 5.6 million units.
Moreover, with the growing environmental awareness, people are shifting toward EVs, which opens new opportunities for the automotive fabric market players. Additionally, governments are implementing road safety rules, which mandate the wearing of seat belts by every passenger. In addition, the Government of India has necessitated all passenger cars have a minimum of six airbags from October 2023.