Global Automotive Sensors Market - Growth, Trends, and Forecast (2018 - 2023)
The global automotive sensors market is expected to register a CAGR of around 8% during the forecast period of 2018-2023. The major trend driving the global automotive sensors market are miniaturization and improved communication capabilities, which enable their integration into vehicles, without interfering with the basic functionalities of the vehicle. The increasing demand for safety and security in automobiles is the main factor that plays a vital role for the growth of the market.
Government Initiatives for Safer Roads
According to the World Health Organization, more than 1.25 million people are killed in road accidents every year and about 50 million people get injured. For instance, major automakers have agreed to install automatic emergency braking systems in nearly all vehicles in the United States, by September 2022. Similarly, the EU Commission is considering introducing automatic braking system and making it mandatory for cars. As a result, the demand for automotive sensors is expected to increase.
Connected Vehicles and Advancements in Other Vehicular Technologies
Automated and connected vehicle technologies are among the most highly researched automotive technologies. Connected car devices essentially assist in monitoring vehicles and drivers. The devices also keep private automobile owners, as well as fleet managers updated about their vehicle’s performance on the fuel economy index, emissions, on-board diagnostics (OBD), vehicle maintenance, and recalls. Some devices also provide GPS tracking and real-time alerts. Connected vehicles could dramatically reduce the number of fatalities and serious injuries caused by accidents on roads and highways. The US Department of Transportation's (USDOT’s) Connected Vehicle program is working with state and local transportation agencies, vehicle and device makers, and the public, to test and evaluate technology that will enable cars, buses, trucks, trains, roads and other infrastructure, and smartphones and other devices, to communicate with one another. Other significant factors driving the market are - increasing vehicle production worldwide, stringent government regulations with respect to economy and emissions norms, increasing vehicle electrification, and growing demand for sensors, owing to convenience and comfort. The continuous innovations and investments in research and development, to meet the changing consumer preferences, have led to improved fabrication techniques and enhanced sensing abilities at lower costs, thereby driving market growth. The two significant trends for vehicles are - electrification and automation. There is a rapid integration of high-value sensing modules, such as RADAR, imaging, and LIDAR, in automotive systems. The advent of electrical vehicles is expected to significantly change the amount and the distribution of pressure and magnetic sensors within the car, over the long term. More electric cars implies fewer pressure sensors and a surge in magnetic sensors for battery monitoring and various positioning and detection of moving pieces.
Key Developments in the Market