Published: March 2021 | Report Code: AT10582 | Available Format: PDF | Pages: 249
The global automotive wire harness market was valued at $42.8 billion in 2019, which is expected to grow at a CAGR of 4.7% during the forecast period (2020–2030). The growing technological advancements and rising manufacturing of electric vehicles (EV) are some of the most-prominent factors leading to the growth of the market. Additionally, the integration of advanced features, such as high-voltage wiring harness systems in EVs and lightweight harness systems, coupled with the rise in the demand for autonomous passenger cars and light trucks, is projected to aid in the growth of the market during the forecast period.
However, the current COVID-19 pandemic has negatively impacted the market for automotive wire harnesses. Countries affected by COVID-19 around the world are implementing social distancing to curb the transmission of the virus. This, in turn, has derailed the growth of various sectors, including the automotive industry, as the shutting down of vehicle and auto parts manufacturing facilities disrupted the supply chain. However, by this time, many countries have lifted the lockdown and reopened the manufacturing and distribution facilities, which, in turn, is expected to have a positive impact on the growth of the market in the coming years.
Based on vehicle type, in terms of CAGR, commercial vehicles are expected to dominate the market during the forecast period. The growth is attributed to the rising integration of advanced electronic modules and connectivity features, which include data transfer to smartphones and sync with internet of things (IoT) devices, in the vehicles.
Based on propulsion, the internal combustion engine (ICE) category held the larger market share in 2019, and it is expected to maintain its dominance in the forecast period. This is because compared to electric vehicles (EVs), more ICE-based automobiles are manufactured. Additionally, they are being rapidly integrated with vehicle-to-vehicle (V2V) and vehicle-to-vehicle (V2V) connectivity, as well as self-driving functionalities. Therefore, the importance of wire harnesses for transferring electricity and data among a vast array of electronic sensors and systems is high in ICE vehicles.
Based on application, speed sensors are expected to register the highest CAGR over the forecast period. The availability of a broad range of customized speed sensors and rising global vehicle sales are some of the major factors driving the advance of this category.
Based on voltage, the LV category held the larger market share during the historical period (2014–2019), and is expected to maintain the leading position during the forecast period. This is primarily owing to the increasing number of advanced electronic features, such as human–machine interface (HMI) modules, and increasing level of autonomy in passenger cars, especially in the sedan and sports utility vehicle (SUV) categories.
The copper category dominated the market during the historical period, under the material type segment, and it is expected to retain its dominance in the coming years. This would primarily be due to the rising demand for copper-wire harnesses, as copper has been the material of choice for wires for a long time.
The APAC region is expected to hold the largest market share over the forecast period, owing to the growing production of EVs, coupled with the large consumer base for ICE-based vehicles. Essentially, the rising demand for passenger and commercial vehicles in China, India, Japan, and South Korea leads to the huge automotive production volume, which, in turn, drives the regional market.
The LAMEA region is expected to witness the highest growth rate during the forecast period, owing to the rising production of vehicles in Mexico and other regional countries.
The automotive wire harness market is currently witnessing the substitution of copper-based wire harnesses with other materials. Many of the research and development (R&D) initiatives in the automotive industry are aimed at reducing the metal content for achieving a reduction in the weight, so that the overall vehicle fuel efficiency can be raised. Copper and steel are currently being replaced by copper-based alloys and aluminum metal. Currently, various companies are replacing copper content in the vehicle with copper-based alloys due to their more favorable features. It is seen that doing so reduces the copper weight by nearly 0.8 kg.
For ensuring optimum performance of the vehicles and correct functioning of all the installed electronic systems and devices, original equipment manufacturers (OEMs) are currently focusing on developing advanced automotive wire harnesses. New technologies concerning environment protection and in-vehicle comfort are being deployed in new vehicles, especially passenger cars. For instance, eco-friendly wire harness solutions, such as high-voltage wire harness systems, for both hybrid and plug-in vehicles (battery and plug-in hybrid), for optimizing the overall vehicle performance, are being used globally. In addition, OEMs are undertaking R&D to improve the wire harness production process and reduce the weight of the overall wire harness network in a vehicle, due to the increasing demand for lightweight harnesses from automakers.
The EV market has been growing exponentially over the last few years. Therefore, the increasing sales of EVs, especially battery electric vehicles (BEV), in China, the U.S., Japan, and Germany, are leading to a high demand for wire harness products. EVs consist of a greater number of wire harnesses, as they have more electrical units and electronic components than ICE-based vehicles. Moreover, apart from electricity transmission, these wires are required for the transmission of high volumes of data, due to which harnesses are more important for an EV compared to an ICE-based automobile.
The growing integration of advanced features in ICE-based vehicles, especially passenger cars, is driving the demand for wiring harnesses. Particularly, the increasing demand for advanced driver-assistance systems (ADAS), which include speed sensors, radar sensors, and light detection and ranging (LiDAR) sensors; autonomous driving systems, connectivity features, and various other smart features is leading to the rising demand for wire harnessing in automobiles. These features enhance the passenger experience, which is the key reason for their increasing integration in the first place.
|Base Year (2019) Market Size||$42.8 Billion|
|Forecast Period CAGR||4.7%|
|Report Coverage||Market Trends; Market Estimation and Forecast; Segmentation Analysis; Regional Breakdown; Competitive Analysis; Companies’ Strategic Developments; Impact of COVID-19; Company Profiling|
|Market Size by Segments||By Vehicle Type; By Propulsion; By Application; By Voltage; By Material Type; By Region|
|Market Size of Geographies||U.S.; Canada; Germany; France; U.K.; Italy; Czech Republic; Russia; Spain; China; Japan; India; South Korea; Thailand; Mexico; Brazil; South Africa; Iran; Argentina|
|Secondary Sources and References (Partial List)||Alternative Fuels Data Center (AFDC), Asociación Mexicana de la Industria Automotriz (AMIA), Automotive Component Manufacturers Association of India (ACMA), Census and Economic Information Center (CEIC), China Association of Automobile Manufacturers (CAAM), Comité des constructeurs français d'automobiles (CCFA), European Automobile Manufacturers' Association (ACEA), Federal Motor Transport Authority (KBA), Germany|
The global automotive wire harness market is consolidated in nature, with the top two players being Yazaki Corp. and Sumitomo Electric Industries Ltd. In recent years, players in the market have been actively involved themselves in product launches and facility expansions to stay ahead in the competition.
The automotive wire harness market report offers comprehensive market segmentation analysis along with market estimation for the period 2014-2030.
Based on Vehicle Type
Based on Voltage
Based on Propulsion
Based on Material Type
Based on Application
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