Vehicles Lighting Market - Global Industry Analysis, Size, Share, Growth Opportunities, Future Trends, Covid-19 Impact, SWOT Analysis, Competition and Forecasts 2022 to 2030
The global Vehicles Lighting market was valued at 1954.35 Million USD in 2022 and will grow with a CAGR of 4.45% from 2023 to 2030.
Vehicles Lighting Market Overview:
Lighting plays an important role in the car by illuminating the vehicle's path so that the driver can see the road clearly. Along with meeting the driver's need to illuminate their path, lighting systems help other drivers and pedestrians on the road sense the size, location and direction of movement of the vehicle. It gives aesthetics to both the interior and exterior of the vehicle and enhances the visibility of the vehicle. The lighting system consists of lighting and signaling devices. This lighting equipment is placed in various locations such as the front, rear, top and interior of the vehicle. In 2018, HELLA GmbH & Co. developed integrated OLED technology for the rear combination lamps of the new Audi A8. This technology provides a uniform appearance and individually controllable segments.
Traditionally, halogen has been the predominant lighting technology as it is inexpensive and readily available, with other dominant lighting technologies being xenon and LED. It also adds an aesthetic look to both the interior and exterior parts of your vehicle. Growing concerns about road safety and government regulations on lighting are major factors driving the demand for lighting equipment. Other factors such as increase in disposable income, improvement in lifestyle, and increase in transportation requirements contribute to the increase in vehicle production, fueling the growth of the automotive lighting market.
Vehicles Lighting Market size, estimates and forecasts are provided in terms of sales volume (K units) and revenue (million USD), with historical and forecast data for the period 2017 to 2030, with 2022 being considered as the base year. This report segments the global Vehicles Lighting Market in detail. Regional market sizes related to products by type, by application, and by player are also delivered. In estimating the size of the market, we took into account the impact of COVID-19 and the Russian-Ukraine war.
Key Market Updates:
- In January 2020 – A joint development agreement for LiDAR solutions has been signed between Marelli and XenomatiX.
- In September 2019 - Osram launched the world's first hybrid LED called "Eviyos" specially designed for automotive headlights. Eviyos can provide HD projection to display warnings or symbols to other vehicles on the road.
- In November 2020 - Global automotive supplier HELLA has developed a new series of compact task lights. The new work lights can be placed flat on the vehicle wall and provide improved visibility to the work area around the vehicle.
Major Market Segments Covered in Vehicles Lighting Market Industry Research:
Market Key Players:
Koito (Japan), Valeo (France), Hella (Germany), Magneti Marelli (Italy), ZKW Group (Austria), Lumax Industries (India), Varroc (USA), TYC (China), Xingyu (China), And Others.
- Xenon Lights
- Halogen Lights
- Front Light
- Rear Combination Light
- Fog Lights
- Interior Lighting
The industry is expected to be dominated by Europe. Government regulations are pushing the market out of the region. Since 2011, the European Union has made it mandatory to use daytime running lights (DRLs) across Europe whenever the weather is bad. The dominance of this region in the market is expected to be maintained by early adoption of innovative automotive lighting solutions among major key players.
Asia Pacific holds the second largest position in the market due to the availability of raw materials and huge demand for cost-effective electrical and mechanical components from countries such as Japan, China and India.
North America is expected to witness significant growth in the market. Increased sales of electric vehicles and early adoption of Advanced Driver Assistance System (ADAS) features are driven by high adoption of automotive lighting systems in North America. North America held a 23.8% market share in 2020.
The rest of the world contributes a minimal market share in the global market. ROW will witness good growth during the forecast period owing to growing awareness and acceptance of advanced technologies.
- North America
- Rest of North America
- Nordic Countries
- Benelux Union
- The Netherlands
- Rest of Europe
- South Korea
- Southeast Asia
- Rest of Southeast Asia
- Rest of Asia-Pacific
- The Middle East & Africa
- Saudi Arabia
- South Africa
- Rest of the Middle East & Africa
- Latin America
- Rest of Latin America
Significant Market Dynamics:
Increases in disposable income, improved lifestyles and changing consumer preferences have positively impacted premium car sales worldwide. Many driver assistance features such as Blind Spot Detection (BSD), Lane Departure Warning (LDW), Adaptive Cruise Control (ACC) and Forward Collision Warning System (FCWS) are not mandated by law or regulation. However, some premium car manufacturers are offering these features to maintain their market position, leading to healthy competition among car manufacturers. Car segments like E, F, SUV-D and SUV-E are now equipped with many premium features. Premium segment vehicle manufacturers are shifting their product and R&D focus towards electrification. Major OEMs such as Ford, Stellantis and Volkwagen have announced goals for full electrification by the end of the next decade. As a result, major luxury cars will introduce various electric models. Because of this, advanced lighting technologies including LEDs, adaptive lighting and ambient lighting will be integrated into automobiles faster due to better efficiency and temperature control than halogen and xenon HID technologies. Therefore, premium segment vehicles, along with increasing electrification and sales trends, are expected to boost the automotive headlight market, especially in countries such as China where one-third of all luxury vehicles produced globally are sold.
In 2021, the auto industry lost more than $200 billion due to a global microchip shortage. So far in 2021, 11 million fewer vehicles have been produced. Manufacturing plants were idle. Major global automakers such as Ford have shut down some factories to focus on assembling trucks, which are much more profitable.
Companies in need of semiconductors are already reconsidering their long-term procurement strategies as semiconductor chip shortages continue. Major automakers have already announced significant rollbacks in production, lowering projected revenues for fiscal 2021 by billions of dollars. Some companies are moving to a "just-in-time" ordering model that helps them reorganize their supply chains and minimize inventory costs, ordering semiconductors far in advance. For a long-term solution to the shortage, the company is increasing capacity by moving products to other manufacturing sites, typically adding another six months. Also, the company is switching to other manufacturers. However, a year or more is added because the design of the chip must be changed to match a specific manufacturing process or to meet the requirements of a new manufacturing partner.
Matrix LED, OLED and laser lighting are new and promising technologies for automotive lighting manufacturers. OLED is a new solid-state lighting technology that can emit light over a large surface area. It is a niche technology that is still in the R&D stage. OLEDs are likely to be introduced in premium segment vehicles soon. However, it will take 10 to 15 years for this technology to gain significant market share. Laser lights can produce bright light for headlights with low power consumption. Inorganic LEDs, recently introduced to the market, are gaining momentum in the global automotive market. The efficient performance of these technologies has attracted the attention of major automakers. Likewise, OLED and laser technologies will attract automotive OEMs in the future.
The raw materials used to make various lighting systems, including xenon, halogen, and LED, are tungsten, molybdenum, glass materials, niobium, tantalum, phosphorus, and mixtures of inert gases. Developing light sources that consume less power, deliver high-intensity light, and have longer lifetimes require a combination of different materials and gases. The trend towards minimizing the use of carbon in automotive components has led to an increased reliance on rare earth metals and technical metals. For example, LEDs use very small amounts of phosphors, which are rare earth metals. LED lights offer 80-90% energy savings due to their lifespan 5-40 times longer than conventional bulbs.
Lighting manufacturers and suppliers are concerned about access to the rapid integration of semiconductor, manufacturing and AI technologies, and associated price volatility due to supply chain disruptions, trade wars and more. The integration and development of these technologies will require larger R&D teams and can result in: High price of automotive lighting. Additionally, manufacturers have long-term supply agreements with major OEMs, so they cannot take advantage of falling material prices. When material prices fall, manufacturers lose their advantage and lose the material's cost advantage.
Vehicles Lighting Market report scope:
Crucial Points from this Vehicles Lighting Market Report
- Estimate Vehicles Lighting Market potential through analyzing growth rates (CAGR %), Volume (Units) and Value ($M) data given at country level - for product types, applications and by different industry verticals.
- Understand the supply chain in depth on the value growth at each step, in order to optimize value and bring effectiveness in your processes.
- Know the different dynamics affecting the market - challenges, key driving factors and opportunities.
- Get a quick viewpoint on the Vehicles Lighting Market entropy - M&A's, deals, partnerships, product launches of all key companies for the historical 5 years.
- Estimate the supply-demand gaps, import-export data and regulatory landscape for more than top 20 countries worldwide for the market.
- Get complete insights on your competitor performance - market shares, strategies, financial benchmarking, product benchmarking, SWOT and more.
- Study the sales and distribution channels over key geographies to improve top-line revenues.
Frequently Asked Questions-
- What is the CAGR of Vehicles Lighting Market?
- What are the key types of Vehicles Lighting Market?
- What are the key applications of Vehicles Lighting Market?
- Who are the key players in Vehicles Lighting Market?