Global Airbag Market - 2025-2032

Airbag Market Airbag Market reached US$ 14.87 billion in 2024 and is expected to reach US$ 27.75 billion by 2032, growing with a CAGR of 8.11% during the forecast period 2025-2032.

The global airbag market has witnessed substantial growth in recent years, primarily driven by heightened safety awareness, stringent government regulations, and advancements in automotive technology. Airbags, designed to protect passengers during collisions, are now standard in most vehicles across developed and emerging economies. The market encompasses various types including front airbags, curtain airbags, knee airbags, and side airbags, with frontal airbags holding the majority share due to regulatory mandates in countries like the US, Germany, and Japan.

North America and Europe lead in terms of airbag adoption, owing to mature automotive industries and strict crash safety regulations enforced by agencies like NHTSA (National Highway Traffic Safety Administration) and Euro NCAP (European New Car Assessment Programme). For instance, in 2023, General Motors announced upgrades across its SUV lineup with next-gen smart airbags designed to adapt to passenger size and seating position.

Airbag Market Trends

Several key trends are shaping the airbag market globally, with technology advancement, regulatory influence, and evolving vehicle designs at the forefront. One major trend is the integration of smart airbag systems. These systems use sensors and AI to determine the severity of impact and deploy airbags accordingly, reducing the risk of injury from unnecessary deployment.

For instance, Hyundai’s 2024 models feature multi-collision airbags that activate during secondary impacts, a step forward in protecting passengers in complex accident scenarios. Another significant trend is the increased focus on side, curtain, and knee airbags beyond traditional front airbags. As consumers demand higher safety ratings, automakers are installing additional airbag modules for all-around protection.

Airbag Market Dynamics

Rising Consumer Awareness About Vehicle Safety

Rising consumer awareness about vehicle safety is a significant driver of the global airbag market, as buyers increasingly prioritize safety features when choosing vehicles. With access to crash test results, safety ratings, and online reviews, modern consumers are better informed about the technologies that protect them and their families. Organizations like Euro NCAP, IIHS, and Global NCAP have played a pivotal role by publishing detailed safety assessments that highlight the importance of features like airbags.

For instance, in 2025, Comoto – the parent company of America's leading motorcycle gear retailers, including Cycle Gear, J&P Cycles, RevZilla and REVER – is rolling out the second year of their Airbags Save initiative this May in support of Motorcycle Safety Awareness Month. The countrywide campaign is designed to raise awareness about wearable airbag technology and its role in reducing serious injuries among riders.

High Costs Associated with Integrating Advanced Airbag Systems into Vehicles

One significant obstacle to the expansion of the automotive airbags market is the financial burden associated with incorporating sophisticated airbag systems into vehicles. When automakers choose to manufacture and integrate advanced airbag systems with sophisticated technology, they may face the challenge of increased production costs.

Researching and analyzing various aspects such as costs, manufacturing processes and materials needed for top-notch airbag systems is crucial. Advanced airbag systems are a factor that affects the overall cost of the vehicle. Consumers might have reservations about buying vehicles that come with costly safety features, particularly in markets where price sensitivity is a major concern.

Airbag Market Segment Analysis

The global airbag’ market is segmented based on type, vehicle type, component, sales channel and region.

Passenger Cars Segment: A Key Driver of Growth in the Global Airbag Market

Passenger cars (PC) segment is a primary driver of the global airbag market due to its high production volume, growing consumer base, and increasing integration of advanced safety systems. Passenger cars account for the majority of vehicle sales worldwide, especially in developing economies where urbanization and rising income levels are fueling demand for personal vehicles. As a result, automakers are under pressure to equip these vehicles with comprehensive safety features, including airbags, to meet both regulatory standards and consumer expectations.

For instance, in the financial year 2025, Indian passenger vehicle sales reached a record high of 4.3 million units, representing a 2% increase over the previous year. This growth was primarily driven by the strong performance of utility vehicles, with sales reaching 25.21 lakh units, according to the Society of Indian Automobile Manufacturers (SIAM). Thus, the passenger cars segment drives the airbag market by combining mass production scale with increasing regulatory and consumer demands for safety, making it the most influential segment in shaping the direction and growth of airbag technologies globally.

Airbag Market Geographical Share

North America’s Impact: Powering Growth and Innovation in the Global Airbag Market

North America plays a pivotal role in driving the global airbag market, primarily due to its stringent automotive safety regulations, high vehicle ownership rates, and strong consumer demand for advanced safety features. The US, in particular, has one of the most comprehensive vehicle safety frameworks, with mandates from the National Highway Traffic Safety Administration (NHTSA) requiring frontal airbags in all passenger vehicles since the late 1990s.

Furthermore, North American consumers are highly safety-conscious, often prioritizing safety ratings when selecting a vehicle. Automakers like Ford, General Motors, and Tesla have responded by integrating advanced airbag technologies such as knee airbags, side-curtain airbags, and pedestrian protection systems in even mid-range models. For instance, the 2024 Chevrolet Traverse includes 7 airbags as standard, aligning with consumer expectations and competitive market positioning.

Sustainability Analysis

Sustainability is becoming an increasingly important factor in the global airbag market, as both regulators and consumers push for environmentally responsible manufacturing practices and end-of-life vehicle management. Traditionally, airbag systems have been challenging to recycle due to their complex composition typically involving a mix of metal inflators, synthetic fabrics, and chemical propellants.

However, growing environmental concerns are compelling manufacturers to adopt more sustainable materials and processes. One key area of advancement is the development of eco-friendly airbag fabrics. Companies like Toyoda Gosei and Autoliv are exploring the use of bio-based and recyclable nylon for airbag cushions, aiming to reduce dependence on petroleum-derived materials. Additionally, there is increasing interest in water-based coatings and solvents during airbag manufacturing to minimize emissions and toxic waste.

Airbag Market Major Players

The major global players in the market include Joyson Safety System, Autoliv Inc, Toyoda Gosei Co. Ltd, Robert Bosch GmbH, Hyundai Mobis Co. Ltd, Denso Corporation, Magna International, Hyundai Mobis Co. Ltd, Aptiv PLC, Magna International and among others.

Key Developments

• In 2024, Hyundai Mobis has introduced the world’s first airbags designed specifically for Purpose-Built Vehicles (PBVs), including the innovative ‘Self-Supporting Passenger Airbag’ and ‘Door-Mounted Curtain Airbag.’ These PBV-tailored airbags enhance collision protection and prevent occupant ejection during rollovers, meeting strict global safety standards.

• In 2024, Autoliv, continues its journey to a sustainable future by introducing airbag cushions made of 100% recycled polyester which significantly reduce the greenhouse gas (GHG) footprint of airbags.

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Target Audience 2024

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