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Automotive Front-End Module Industry to See Robust Expansion, Valued at $161.6 Billion by 2029
Get 30% off global market reports with code ONLINE30 and keep ahead of tariffs, macro trends, and worldwide economic developments.What Is the Projected CAGR for the Automotive Front-End Module Market from 2024 to 2025?
In the past few years, the market size of the automotive front-end module has experienced gradual expansion. There is a projected growth from $117.87 billion in 2024 to $123.45 billion in 2025, marking a compound annual growth rate (CAGR) of 4.7%. This significant growth during the historic period is largely due to factors like safety regulations, trends in vehicle design, a hike in vehicle production, urbanization, and initiatives to reduce vehicle weight.
What are the Expected Market Size and CAGR for Automotive Front-End Module by 2029?
It is anticipated that the market size for automotive front-end modules will experience robust growth in the forthcoming years, reaching $161.6 billion in 2029 with a compound annual growth rate (CAGR) of 7.0%. This growth trajectory throughout the forecasts period can be tied to several factors including vehicle electrification, advanced driver assistance systems (ADAS), rigorous emission standards, connectivity features, modular and scalable designs, and sustainability initiatives. The prediction period is also expected to witness key trends such as the integration of an active grille shutter, construction using multi-material, integrated lighting systems, integration of safety sensors for pedestrians, designs specific to autonomous vehicles, and collaborative designs with Original Equipment Manufacturers (OEMs).
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Which Factors Are Driving the Global Automotive Front-End Module Market Expansion?
The automotive front-end module market is projected to expand, driven by the surge in vehicle manufacturing. Economic growth and enhanced living standards have altered consumer spending capacity. The global lifestyle disruptions caused by the COVID-19 pandemic are expected to give rise to new living adaptations. As social distancing has become the most effective means to combat COVID-19, the need for personal mobility has accelerated globally. This increase in vehicle production punctuates a rising production and demand for front-end modules. A report from the European Automobile Manufacturers Association in April 2022 indicates that there was a production of 79.1 million motor vehicles globally in 2021, which was a 1.3% bump from 2020. The Global EV Outlook 2021 also reported that consumers shelled out 120 billion USD on electric vehicles in 2020, marking a 50% growth from 2019. Thus, the ratcheting up of sales has propelled vehicle production, thereby stimulating the automotive front-end module market.
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Which Segment Currently Holds the Largest Share of the Automotive Front-End Module Market?
The automotive front-end module market covered in this report is segmented -
1) By Component: Headlight, Front Grill, Radiator, Condenser, Horn Assembly, Oil Cooler, Other Components
2) By Material: Steel, Composite, Plastic, Other Materials
3) By Vehicle Type: Passenger Cars, Light Commercial Vehicles, Heavy Commercial Vehicles
Subsegments:
1) By Headlight: Halogen Headlights, LED Headlights, Xenon Headlights
2) By Front Grill: Plastic Grills, Metal Grills, Composite Grills
3) By Radiator: Aluminum Radiators, Plastic Or Aluminum Radiators, Copper Brass Radiators
4) By Condenser: Aluminum Condensers, Copper Condensers
5) By Horn Assembly: Electric Horns, Air Horns
6) By Oil Cooler: Engine Oil Coolers, Transmission Oil Coolers
7) By Other Components: Bumper Reinforcements, Fenders, Air Ducts, Structural Brackets
Which Major Trends Are Shaping the Future of the Automotive Front-End Module Industry?
The evolution of technology is a notable trend that is gaining traction in the automotive front-end module industry. To enhance control, customization, and energy efficiency, leading companies in this market are innovating and creating advanced technological products like digital lighting solutions. For example, Marelli, a technology company based in Japan, along with Germany's OSRAM, a company specializing in lighting products and opto semiconductors, released the h-Digi microLED vehicle front light in July 2023. This ground-breaking h-Digi microLED high-resolution module uses a grid lighting system with around 40,000 LED pixels (20,000 per lamp). This smart solution strategically operates the LEDs to generate variable low-beam and high-beam light distributions, suitable for various driving situations like urban, rural, motorway, or challenging weather conditions. It further incorporates dynamic curve lighting and exact glare-free high beam zones to evade dazzling approaching drivers. When it comes to safety, the Marelli h-Digi microLED can display warnings or driver-helping images directly onto the road within the driver's field of vision. This technology also has the advantage of being compact and extremely energy efficient.
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Which Key Players Dominate the Automotive Front-End Module Industry Globally?
Major companies operating in the automotive front-end module market include Marelli Corporation, Cie Plastic Omnium SE, Denso Corporation, Faurecia SA, HBPO GMBH, Hyundai Mobis Co. Ltd., Magna International Inc., Mahle GmbH, Valeo S. A., Compagnie Plastic Omnium SE, Samvardhana Motherson Automotive Systems Group B. V., SL Corporation, AGS Automotive Systems, Arkal Plastic Products Ltd., Inteva Products LLC, Gestamp Automoción S. A., Flex-N-Gate Corporation, Hella KGaA Hueck & Co., Continental AG, ZF Friedrichshafen AG, Thyssenkrupp AG, Tower International Inc., Martinrea International Inc., Shiloh Industries Inc., G-Tekt Corporation, F-Tech Inc., KIRCHHOFF Automotive GmbH, JTEKT Corporation, Toyoda Gosei Co. Ltd., Benteler Automotive Corporation
What Are the Fastest-Growing Regions in the Automotive Front-End Module Market?
Asia-Pacific was the largest region in the automotive front-end module market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the automotive front-end module market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa
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