Automotive Connectors Market Analysis Report By Product, By Connectivity, By Application, By Vehicle Type And Segment Forecasts From 2018 To 2025

Industry Insights

The global automotive connectors market size was accounted for USD 15.58 billion, in 2017. It is estimated to grow at a CAGR of 7.4% from 2018 to 2025. The growing need for safety, connectivity, and convenience in commercial and passenger vehicles is driving the market growth. Moreover, advancements in technology have revolutionized the existing features which provide an exceptional driving experience.

Features including keyless entry, anti-theft alarm system, auto emergency brakes, and adaptive cruise control ensure security and safety and help in avoiding accidents. Vehicles are equipped with these features using automotive connectors that ensure optimum distribution of power. In addition, connectors can sustain under extreme operating conditions like temperature, dirt, and corrosion.

The rising popularity of vehicle electrification is driving the demand for automotive connectors. Moreover, the rising demand for electric vehicles among the consumers owing to rising concerns for the environment is expected to further propel the product demand. For instance, more than 127 models of hybrid electric cars are projected to be launched by 2025 which has further opened huge opportunities for manufacturers of such connectors.

The various governments are taking initiatives to promote the adoption of electric vehicles which is further projected to boost the product demand. For instance, vehicles with internal combustion engines are going to be banned in various countries such as India and China by the end of 2030 owing to rising environmental concerns.

Connectors ensure the proper functioning of vehicles by distributing optimum power to all the components of the vehicle. Moreover, they ensure the proper running of navigation systems. Therefore, leading companies are focusing on R&D to develop connectors with advanced features that ensure proper functioning of vehicle.

Product Insights

Based on product, the automotive connectors market has been divided into fiber optic, printed circuit board (PCB), radiofrequency, integrated circuit, and others. The segment of fiber optic connectors is projected to ascend with the fastest CAGR of 10.6% over the forecast period.

The PCB board is a crucial component required for connecting various electronic devices in the vehicle which is achieved by using multiple connectors. Moreover, product quality is one of the major parameters for manufacturers of vehicles as it ensures the smooth functioning of vehicles. 

Application Insights

On the basis of application, the market is divided into several segments viz. powertrain, comfort, convenience, and entertainment (CCE), safety and security, navigation and instrumentation, and body wiring and power distribution. In 2017, the safety & security application segment held the largest market share of more than 26%. Safety features such as adaptive front lighting, park assistance, adaptive cruise control, and lane departure warning have been introduced in new vehicles owing to technological advancements. These functions can be implemented using ECUs, sensors, and electronic components. In addition, emerging technologies such as V2V communication and machine learning are projected to deliver high-end safety while driving a vehicle which is projected to further boost the segment’s growth from 2018 to 2025.

The segment of navigation is projected to grow at the fastest CAGR of 9.8% over the forecast period owing to the rising application of emerging technologies and advanced software like Android Auto and Apple Carplay in passenger as well as commercial vehicles. Moreover, the growing efficiency of GPS-enabled navigation systems is projected to further propel the segment’s growth.

Connectivity Insights

Based on connectivity, the market is divided into three segments viz. wire to board, wire to wire, and others. In 2017, the wire to wire connectivity segment accounted for a revenue of USD 5.44 billion. The wire-to-wire connectors are generally used for data transmission and power distribution.

The segment of wire to board connectors is projected to grow at a CAGR of 6.3% from 2018 to 2025. These connectors act as a medium for the transmission of several commands from PCB to electronic devices and vice versa. 

Vehicle Type Insights

On the basis of vehicle type, the automotive connector market has been categorized into commercial vehicles and passenger cars. In 2017, the segment of passenger cars accounted for the largest market revenue of USD 11.55 billion. Rising demand for passenger cars in emerging economies such as China and India, is projected to drive the growth of the market.

The segment of commercial vehicles is projected to grow exponentially over the forecast period owing to stringent regulations for safety and security in commercial vehicles. This segment includes vehicles such as buses, light commercial vehicles, and large trucks.

Regional Insights

In 2017, Asia Pacific held the largest market share of 36% across the global automotive connector market. This growth is attributed to presence of key manufacturers of connectors and other electronic devices in countries such as Japan, China, and Taiwan. Moreover, the presence of major exporters of electronic devices and automotive spare parts has contributed to the growth of regional market. In addition, factors such as the availability of abundance of raw material, low-cost manufacturing facilities, and low-cost labor are projected to further propel the growth of the regional market over the forecast period.

The market in Europe held the second-most leading position owing to stringent government regulations for safety and security in passenger as well as commercial vehicles. For instance, the European Union has established mandatory regulations for including advanced driver assistant systems in heavy vehicles to ensure the security and safety of drivers and passengers. Furthermore, North America held the market share of over 25% in 2017 owing to the rising penetration of vehicle electrification and the growing adoption of electric vehicles in the region.

Automotive Connectors Market Share Insights

With the presence of leading players such as YAZAKI Corporation; TE Connectivity; Delphi Technologies; Sumitomo Corporation; Molex, LLC; Sumitomo Wiring Systems Ltd.; Amphenol Corporation; KYOCERA Corporation; Rosenberger; Hu Lane Associate Inc.; and JAE, the market is highly competitive in nature. These players are focusing on R&D to develop technologically advanced and high-quality products to retain their market share and enhance their product portfolio.

Report Scope

Segments Covered in the Report

This report forecasts revenue and volume growth at global, regional, and country levels and provides an analysis of latest industry trends in each of the sub-segments from 2015 to 2025. For the purpose of this study, Million Insights has segmented the global automotive connectors market report on the basis of product, connectivity, vehicle type, application, and region:

• Product Outlook (Revenue, USD Million, 2015 - 2025)
    • PCB
    • IC
    • RF
    • Fiber Optic
    • Other

• Connectivity Outlook (Revenue, USD Million, 2015 - 2025)
    • Wire to Wire
    • Wire to Board
    • Others

• Vehicle Type Outlook (Revenue, USD Million, 2015 - 2025)
    • Passenger Car
    • Commercial Vehicle

• Application Outlook (Revenue, USD Million, 2015 - 2025)
    • CCE
    • Powertrain
    • Safety & Security
    • Body Wiring & Power Distribution
    • Navigation & Instrumentation

• Regional Outlook (Revenue, USD Million, 2015 - 2025)
    • North America
        • U.S.
        • Canada
    • Europe
        • U.K.
        • Germany
        • France
        • Italy
        • Sweden
    • the Asia Pacific
        • China
        • India
        • Japan
        • South Korea
        • Taiwan
    • Latin America
        • Brazil
        • Mexico
    • Middle East & Africa
        • Kingdom of Saudi Arabia
        • United Arab Emirates