Global Automotive Front End Module Industry to Grow 2x, Spurred by Smart Connectivity Technology
Published : 15 Sep 2021 Industry: Automotive
A recently published report by Fact.MR maintains an optimistic outlook for the automotive front end modules market, envisaging a CAGR of nearly 6% to reach US$ 205 Bn by the end of the 2021-2031 forecast period. Steady adoption of automotive front-end modules is likely to translate into sales worth US$ 121 Bn by 2021.
In the historical period 2016-2020, automotive front end modules sales surged at nearly 4% CAGR, closing in at nearly US$ 110 Bn. During the COVID-19 pandemic, growth took a temporary backseat, amid cessation of automotive manufacturing and production operations. However, the growing e-mobility base helped sustain demand to a very large extent.
With growing consumer inclination toward vehicle front-end modules, heavy investments are being made in the automotive front-end module space as manufacturers opt for miniaturization of their products. In addition, the evolution of smart automotive front-end modules has embossed a positive impact on its market’s growth on the coattails of the increasing proliferation of the Internet of Things (IoT).
Key Takeaways from the Market Study
- Global market for automotive front end modules to surge 1.7x until 2031
- Sales of automotive front-end modules in Asia estimated to surpass US$ 55 Bn by 2022
- North America to experience a growth rate of 5% until 2031
- By material, composite automotive front end modules to capture over 55% of revenue
- Europe likely to account for 2 out of 5 automotive front end module sales through 2031
- By vehicle, passenger cars to be dominant end users, expanding at a CAGR of 6% across the assessment period
“As mobility trends transform, demand for advanced automotive front end modules is expanding substantially, with manufacturers incorporating advanced solutions such as smart connectivity, AI and Wi-Fi enabled module functioning,” comments the Fact.MR analyst.
Competition in the global automotive front end module market is expected to rise, with players focusing on gaining a competitive advantage and increasing their market foothold. Various players around the world are investing in new R&D projects, making joint ventures, and partnerships.
- In October 2020, Hyundai Mobis undertook a significant investment in Envisics, a UK-based leader in Augmented Reality Heads-Up Display (AR HUD)- a next-generation safety convenience feature which matches driving information with the road ahead in real-time
- In September 2021, Faurecia S.A acquired intellectual property assets of uMist Ltd., a Swedish startup specializing in biomimetic spray technology, to accelerate its technology leadership for commercial vehicles ultra-low emissions
More Insights Available
Fact.MR, in its new offering, brings to the fore an unbiased analysis of the global automotive front end module market, presenting historical demand data (2016-2020), and forecast statistics for the period of 2021-2031.
The study divulges compelling insights on the automotive front end module market on the basis of material (metal, composite, and plastic), vehicle type (passenger cars (PC), light commercial vehicles (LCV) and heavy commercial vehicles (HCV) and sales channel (OEMs and aftermarkets), across seven regions (North America, Latin America, Europe, East Asia, South Asia, Oceania and Middle East & Africa).
About the Automotive Division at Fact.MR
Expert analysis, actionable insights, and strategic recommendations of the highly seasoned automobile team at Fact.MR helps clients from across the globe with their unique business intelligence needs. With a repertoire of over thousand reports and 1 million-plus data points, the team has analyzed the automotive industry across 50+ countries for over a decade. The team provides unmatched end-to-end research and consulting services. Reach out to explore how we can help.
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Consultant - Industrial Goods and Automotive