Automotive Sensors Market

Automotive Sensors Market Industry Overview:

Sensors are a form of transducers which helps in detecting the difference in its environment owing to the mechanical change and transfers it as an electric or optical signal to the concerned auto component. In automotive industry, the sensors are primarily used to develop a centralized control system for the vehicle. Also, the sensors are installed in vehicles to improve reliability of the vehicle & safety of the passenger. Different sensors such as temperature sensors, pressure sensors, speed sensors, position sensors, oxygen sensors, and NOx sensors among others, are used in various automobiles. Automotive sensors are a key part of a vehicle that are developed to transmit, detect, record, analyze, and display vehicle performance details of the internal & external environment of the vehicle. Growing popularity of vehicle automation as well as increasing demand for connected cars across the globe, the demand for automatic sensors market is expected to grow significantly. The global automotive sensors market was valued at USD 23.85 billion in 2022 and is likely to reach USD 48.76 billion by 2030, at a CAGR of 10.8%.

Market Segmentation:

By type, the automotive sensors market is classified into temperature sensors, pressure sensors, speed sensors, level/position sensors, magnetic sensors, gas sensors, and inertial sensors. The level/position sensors segment garnered a significant market share in 2020. Position sensors find widespread usage in position measurement in various automotive applications including chassis, powertrain, safety & control, etc. These sensors can be either linear or angular. They send information to the engine control modules (ECM) that are used in vehicles for carrying out different necessary actions. The pressure sensors is likely to register a robust CAGR during the forecast timeline. Pressure sensors are becoming a major part of engine & safety. Within the engine, these sensors helps in monitoring the oil and coolant pressure as well as regulates the power that the engine delivers to achieve the required speed, whenever the brake pedals or accelerator are applied. Moreover, in safety features, these sensors constitute a key part of the anti-lock braking system (ABS).

On the basis of application, the automotive sensors market has been divided into powertrain, body electronics, vehicle security systems, and telematics. The powertrain segment is likely to account for the highest market share by the end of 2028. Sensors are used in powertrains to monitor speed, position, pressure, gas, and temperature. These sensors are required for effective and safe operations of powertrains. Also, strict fuel-efficiency and emission norms imposed by governments across geographies further boost the segment growth. Moreover, automotive sensors help the automobile engines in burning fuel efficiently by offering correct data to engines in order to optimize the fuel consumption as per the requirements of the automobiles.

Based on vehicle type, the automotive sensors market has been bifurcated into passenger cars and commercial vehicles. The passenger cars segment witnessed the highest market share in 2020. Sensors employed in passenger cars helps in enhancing the performance of cars, improve the passenger’s safety, and reduce emissions from them. Moreover, the surging demand for safe vehicles has directly propelled the demand for automobiles in developing countries of Asia Pacific and Latin America. Also, the rising disposable of consumers has further increased the demand for automobiles with improved safety and advanced features, thus augmenting the segment growth.

Market Dynamics and Factors:

Significant growth in global motor vehicle production, imposition of strict government regulations related to emissions, surging demand for vehicle electrification, and rise in consumer demand for safety & comfort in vehicles are some of the key factors bolstering the demand for automotive sensors market in the coming years. Moreover, growing adoption of hybrid electric vehicles (HEVs) due to rising concern and awareness regarding environmental pollution by the greenhouse gases emitted from IC engine vehicles is expected to augment the automotive sensors market growth. The increasing popularity of EVs has resulted in an increased demand for temperature sensors, current sensors, cell voltage sensors, and other components for battery management systems. Also, the companies in the market are innovating efficient battery management systems in order to control functions of several sensors associated to electric powertrain.

However, the pandemic has adversely affected the automotive sensors market growth which led to disruptions in the supply chain, closure of several manufacturing facilities, and international trade barriers. Moreover, consumer demand has decreased considerably, causing many automakers to lower their production capacity for new vehicles, thus negatively influencing the automotive sensors market growth amid the pandemic.

Geographical Analysis:

The Asia Pacific automotive sensors market garnered the highest market share around 35%, in 2020 and is likely to garner the highest CAGR during the review period. China, India, and Japan are the key contributors in the regional market mainly due to rising consumption of automotive sensors in growing automobile production. Moreover, supportive government initiatives in countries such as China and India to spread awareness regarding the latest developments in manufacturing sector will drive the automotive sensors market. The Indian market for automotive sensors is witnessing significant growth which is mainly attributed to low cost of raw materials and stagnant growth in developed nations.

Automotive Sensors Market Report Scope

Key Market Segmentation

Global Automotive Sensors Market - By Type

 o    Temperature Sensors 

 o    Pressure Sensors

 o    Speed Sensors

 o    Level/Position Sensors

 o    Magnetic Sensors

 o    Gas Sensors

 o    Inertial Sensors

Global Automotive Sensors Market - By Application

 o    Powertrain

 o    Body Electronics

 o    Vehicle Security Systems

 o    Telematics

Global Automotive Sensors Market - By Vehicle Type

 o    Passenger Cars 

 o    Commercial Vehicles

Global Automotive Sensors Market - By Region

North America

 o   US

 o   Canada

 o   Mexico

Europe

 o   Germany

 o    UK

 o    France

 o    Italy

 o   Spain

 o   Russia

 o   Benelux

 o   Nordics

 o   Rest of Europe

 Asia-Pacific

 o    China

 o    India

 o    Japan

 o    South Korea

 o    Rest of Asia-Pacific

 Middle East and Africa

 South America