Global Automotive Contract Manufacturing Market Growth (Status and Outlook) 2025-2031

The global Automotive Contract Manufacturing market size is predicted to grow from US$ 124650 million in 2025 to US$ 195400 million in 2031; it is expected to grow at a CAGR of 7.8% from 2025 to 2031.

Automotive Contract Manufacturing refers to the practice where an automotive company (typically an Original Equipment Manufacturer, or OEM) outsources the production or assembly of its vehicles, parts, or components to a third-party manufacturer. The third-party manufacturer, often referred to as a contract manufacturer or OEM supplier, is responsible for producing the vehicles or components according to the specifications provided by the client company.

The Automotive Contract Manufacturing market is in a stage of rapid change and growth, with electrification, intelligence, regionalization and digitalization as the main driving forces. Contract manufacturers are reshaping the global automotive industry chain through technological innovation, cost control and in-depth cooperation. In the future, with the popularization of electric vehicles and intelligent connected vehicles, the contract manufacturing market will usher in a broader development space. At the same time, regionalized supply chains and technological innovation will become the key to industry competition.

Market development prospects: The market size continues to expand. Electrification and intelligence drive growth. Regionalized supply chains become mainstream. Technological innovation drives industry change.

Regional analysis: The North American market is dominated by electric vehicles and autonomous driving technology, and contract manufacturers have strong competitiveness in battery systems, electric drive systems and sensors. The US government has promoted the development of the local electric vehicle industry chain through the Inflation Reduction Act (IRA), bringing new opportunities for contract manufacturers. The European market is characterized by strict environmental regulations and electrification transformation. Contract manufacturers have advantages in lightweight materials, battery recycling and carbon reduction technologies. The EU's "Fit for 55" plan has further promoted the application of electric vehicles and renewable energy. The Asian market (especially China and India) is the world's largest automobile production and consumption market. Chinese contract manufacturers have leading advantages in batteries, motors and electronic control systems, and benefit from government policy support for new energy vehicles. The Indian market is oriented towards low-cost manufacturing and exports.

Market dynamics: Magna and LG New Energy jointly build factories. Bosch increases investment in China. Tesla's integrated die-casting technology triggers industry changes. India's Tata Motors cooperates with contract manufacturers. European battery recycling policies promote the transformation of contract manufacturers.

LPI (LP Information)' newest research report, the “Automotive Contract Manufacturing Industry Forecast” looks at past sales and reviews total world Automotive Contract Manufacturing sales in 2024, providing a comprehensive analysis by region and market sector of projected Automotive Contract Manufacturing sales for 2025 through 2031. With Automotive Contract Manufacturing sales broken down by region, market sector and sub-sector, this report provides a detailed analysis in US$ millions of the world Automotive Contract Manufacturing industry.

This Insight Report provides a comprehensive analysis of the global Automotive Contract Manufacturing landscape and highlights key trends related to product segmentation, company formation, revenue, and market share, latest development, and M&A activity. This report also analyses the strategies of leading global companies with a focus on Automotive Contract Manufacturing portfolios and capabilities, market entry strategies, market positions, and geographic footprints, to better understand these firms’ unique position in an accelerating global Automotive Contract Manufacturing market.

This Insight Report evaluates the key market trends, drivers, and affecting factors shaping the global outlook for Automotive Contract Manufacturing and breaks down the forecast by Type, by Application, geography, and market size to highlight emerging pockets of opportunity. With a transparent methodology based on hundreds of bottom-up qualitative and quantitative market inputs, this study forecast offers a highly nuanced view of the current state and future trajectory in the global Automotive Contract Manufacturing.

This report presents a comprehensive overview, market shares, and growth opportunities of Automotive Contract Manufacturing market by product type, application, key players and key regions and countries.

Segmentation by Type:
Full Vehicle Assembly
Component Manufacturing
Engineering and Design Outsourcing

Segmentation by Application:
Passenger Cars
Commercial Vehicles

This report also splits the market by region:
Americas
United States
Canada
Mexico
Brazil
APAC
China
Japan
Korea
Southeast Asia
India
Australia
Europe
Germany
France
UK
Italy
Russia
Middle East & Africa
Egypt
South Africa
Israel
Turkey
GCC Countries

The below companies that are profiled have been selected based on inputs gathered from primary experts and analyzing the company's coverage, product portfolio, its market penetration.
Valmet Automotive
Magna International Inc
Providence Enterprise
Astarc Group
Woodall Nicholson
AVTEC
Inokom
Jayem Automotives
Steyr
Yulon Motor
Shanghai Automotive lC Engineering Center Co. Ltd
Flex Ltd

Please note: The report will take approximately 2 business days to prepare and deliver.