Automotive lighting market to hit $40bn by 2024

This particular market is driven by the development of lighting solutions by various manufacturers such as adaptive front and rear lighting, and dynamic bend lighting systems. Increasing demand from OEMs for advanced LEDs and laser-based light modules to improve the vehicle safety parameters and providing aesthetic looks to the vehicles further contribute to the industry demand.

The popularity of the intelligent lighting technologies in the commercial vehicles, such as situation based light control and driver assistance at night, creates several growth opportunities in the automotive lighting market, says Global.

With the growing demand for automobiles across the globe, the utilisation of automotive lighting products has increased rapidly, says Global.

The global automotive industry identifies the need for intelligent and green lighting solutions. Additionally, government programs and initiatives to reduce the number of road accidents and improve the driving experience are anticipated to provide an impetus to the automotive lighting market.

LED lighting technologies are proving popular in automotive due to the rising implementation of vehicle lighting systems, says Global. However, it anticipates that high tariff and trade restrictions in several countries will hamper the automotive lighting market growth. These restrictions limit the sales of lighting and other automotive systems to different countries, according to Global. In addition, fluctuations in the raw materials and component prices due to changing supplier conditions will hinder the product development.

Global also predicts the passenger cars segment to grow at 6% CAGR from 2018 to 2024, and the interior automotive lighting at 7% CAGR from 2018 to 2024.

Furthermore, Global says commercial vehicles are witnessing steady growth due to the implementation of enhanced lighting products and growth in trade and transportation business, and government infrastructure development projects.

The European automotive lighting market was valued at over $8billion in 2017 and this is anticipated to rise further due to the presence of major automotive manufacturers in the region such as BMW, Audi and Mercedes-Benz.

Several manufacturing standards, set by the European Commission to support sustainable development and energy-efficient products, will also contribute to industry growth, concludes Global.