Automotive Interior Market To Generate Revenue Worth $205.8 Billion by 2030

The global automotive interior market is projected to generate USD 205.8 billion revenue by 2030, advancing at a CAGR of 4.2% during 2024–2030. This can be ascribed to the surging demand for personal vehicles, the growing standard of living, and the rising disposable income and expenditure.

• Moreover, the surging demand for luxurious vehicles and electric vehicles around the world is a major factor creating a demand for automotive interiors.
• The growing concern about the safety of drivers and passengers coupled with technological advancements is encouraging the demand for advanced automotive interiors.
• The surging demand for lightweight commercial vehicles is another significant factor boosting the market growth.
• Moreover, the growing adoption of smart and advanced ambient lighting systems, advancements in seating systems, and surging investments in the development of comfortable and convenient interiors are significantly driving the growth of the automotive interior market.
• In addition, governments are taking strict action toward safety, so manufacturers or car makers give the best quality and technologically advanced features in their vehicles’ interiors.

Economic Car Class Category Holds the Largest Market Share

Based on passenger car class, the economic car category accounted for the largest revenue share, of 60%, in 2023, and it is further expected to maintain its dominance during the forecast period as well.

This is owing to the large consumer base for this segment. As technologies are more accessible and affordable, economical cars provide basic infotainment systems, steering-mounted controls, Bluetooth connectivity, rear AC vents, and some other mandated features.

• Moreover, companies offer aesthetically pleasing components at a lower cost, due to technological developments and material advancements.
• For instance, after the acquisition of Jaguar Land Rover by Tata, there has been a noteworthy enhancement in mid-segment car interiors and exteriors, as compared to Tata’s old cars.
• Tata’s new models offer more luxury in the interior at a reasonable price. The company offers floating car infotainment systems, demi digital clusters, and luxury and spacious cabins.
• These initiatives by car makers make a more competitive scenario among themselves to match the standard and quality of competitors and gain a competitive edge in the market.

Whereas, the mid-segment car category is expected to show the fastest growth over the forecast period. This can be due to the growing disposable income and the availability of mass middle-class consumers.

• Mid-segment cars are gaining more traction because consumers are highly inclined toward cost-effective and convenient vehicles.
• Additionally, mid-segment cars provide better fuel efficiency and are preferred by consumers, due to their size, efficiency, and innovative designs.

Geographically, the European market is projected to record noteworthy growth in the coming years. This can be ascribed to the surging production of electric vehicles, the presence of a large number of automakers in the region, and leading OEMs and interior manufacturers are more spending on research and development of interiors for future vehicles.

Some of the major players in the automotive interior market are FORVIA Faurecia, Adient plc., Robert Bosch GmbH, Yanfeng International Automotive Technology Co. Ltd., Lear Corporation, Grupo Antolin, Denso Corporation, Magna International Inc., Toyota Boshoku Corporation, and Sage Automotive Interiors.