Enjoy complimentary customisation on priority with our Enterprise License!
The Automotive Passive Safety System Market size is forecast to increase by USD 8.16 billion, at a CAGR of 6.52% between 2023 and 2028. The main factors driving this trend include the increased use of passive safety systems in developing nations, stringent safety regulations set by government agencies for passenger vehicles, and the rising importance of meeting crash test standards and NCAP ratings in the automotive sector. These developments highlight a global shift toward prioritizing safety in vehicles, with manufacturers and regulators alike emphasizing the need for advanced safety features to protect occupants and reduce the severity of accidents.
For More Highlights About this Report, Download Free Sample in a Minute
The market is propelled by EuroNCAP regulations, influencing European carmakers and automotive manufacturers globally. Technological advancements in knee airbags, inflatable seatbelts, and intelligent seatbelts respond to government safety regulations, enhancing overall automotive security features. The market sees increasing consumer demand for advanced safety technologies, including airbags, seatbelts, occupant sensing systems, child safety systems, and pedestrian safety systems. This trend is evident in both passenger cars and commercial vehicles. However, meeting evolving safety standards and integrating advanced technologies pose challenges for industry players in this dynamic market landscape. Our researchers analyzed the data with 2023 as the base year, along with the key drivers, trends, and challenges. A holistic analysis of drivers will help companies refine their marketing strategies to gain a competitive advantage.
The growing importance of crash test norms and NCAP ratings is notably driving market growth. Governments worldwide disclose crash test ratings of automobiles for the benefit of automobile manufacturers, customers, and vendors. These ratings are published on many portals of government and non-government organizations, such as NHTSA, ASEAN NCAP, and Euro NCAP. The growing acceptance of safety certifications has compelled automotive manufacturers to manufacture vehicles that comply with security standards. The NCAP ratings for each automobile are based on the assessment that was carried out for occupant protection, pedestrian protection, and child protection systems. Governments and crash test rating agencies worldwide are imposing safety norms for automobiles because of the rise in concerns over passenger safety.
For instance, China's NCAP imposed new standards for low-speed crash testing or whiplash tests. It imposed tougher standards for the 40-mph offset frontal crash test. As per the Global NCAP standard, side-impact tests generally use a trolley, which hits the vehicle area just above the door at a speed of 31.06 mph (50 kph). These stringent crash test norms have increased the pressure on automotive safety system manufacturers and automotive manufacturers to incorporate high-standard safety systems. Thus, these factors are driving the growth of the market during the forecast period.
Increasing advancements in airbag technologies are an emerging trend shaping market growth. Automotive manufacturers and airbag suppliers have been continuously investing in research and development to enhance the protection performance of airbag systems. Traditional airbags were designed to deploy with full force in a crash. However, advancements in sensor technology have enabled the development of multi-stage airbags. These airbags can deploy with varying degrees of force depending on the severity of the impact, providing more effective protection and reducing the risk of injuries caused by excessive airbag deployment.
However, side impact collisions pose unique security challenges, and to address this, curtain airbags have become common in modern vehicles. These airbags are designed to protect occupants during side impacts, reducing the risk of injuries to the head, chest, and abdomen. Such advancements in airbag technologies are expected to drive the demand, which, in turn, is expected to drive the growth of the market during the forecast period.
The lack of regulation for airbags in medium and heavy-duty vehicles is a significant challenge hindering market growth. Unlike passenger cars, which are subject to stringent safety regulations and mandates for airbag installation, medium and heavy-duty vehicles, such as trucks, buses, and CVs, may not have the same level of regulatory requirements regarding airbag usage. The absence of regulations mandating airbags in medium and heavy-duty vehicles can lead to a lower adoption rate of airbag systems in these vehicle types. Manufacturers may not prioritize airbag installation in such vehicles due to lower demand or perceived cost concerns.
Moreover, manufacturers of medium and heavy-duty vehicles conduct cost-benefit analyses to determine whether the installation of airbags is economically viable. The absence of regulatory requirements may impact their decision-making process, leading to potential cost-saving measures at the expense of safety features. Such factors are expected to hinder the growth of the market during the forecast period.
The market forecasting report includes the adoption lifecycle of the market, covering from the innovator’s stage to the laggard’s stage. It focuses on adoption rates in different regions based on penetration. Furthermore, the report also includes key purchase criteria and drivers of price sensitivity to help companies evaluate and develop their market growth analysis strategies.
Customer Landscape
Companies are implementing various strategies, such as strategic alliances, partnerships, mergers and acquisitions, geographical expansion, and product/service launches, to enhance their presence in the market.
APV Corporate - The company offers automotive passive safety systems through its subsidiary APV Safety Products such as Seat belt kits for cars, light commercials, 4WD, SUV, and small passenger vehicles.
The market research and growth report also includes detailed analyses of the competitive landscape of the market and information about 20 market companies, including:
Qualitative and quantitative analysis of companies has been conducted to help clients understand the wider business environment as well as the strengths and weaknesses of key market players. Data is qualitatively analyzed to categorize companies as pure play, category-focused, industry-focused, and diversified; it is quantitatively analyzed to categorize companies as dominant, leading, strong, tentative, and weak.
The airbags segment is estimated to witness significant growth during the forecast period. Airbags are automotive protection features that are engineered to inflate at a rapid speed during an accident. Inflated airbags help in protecting in-vehicle occupants in the event of a crash. Therefore, they are categorized under automotive passive safety features. The growing importance of safeness among consumers and the increasing pressure on OEMs from regulatory bodies to enhance vehicle security are increasing the demand for features such as airbags
Get a glance at the market contribution of various segments Download the PDF Sample
The airbags segment was the largest and was valued at USD 10.65 billion in 2018. Additionally, emergency calling (eCall), which has been mandated in several countries across the globe, will likely influence the growth of the airbag segment. The eCall feature is automatically activated upon airbag deployment in the occurrence of a road crash. Such regulations, which do not directly necessitate the adoption of eCall airbags in vehicles, are bound to positively affect the growth of the airbag segment. India, which holds a major market share in the demand for vehicles, has made it mandatory to deploy two airbags for front-seat passengers. This is expected to contribute to the growth of the airbags segment of the market during the forecast period.
For more insights on the market share of various regions Download PDF Sample now!
APAC is estimated to contribute 43% to the growth of the global market during the forecast period. Technavio’s analysts have elaborately explained the regional trends and drivers that shape the market during the forecast period. The system market in APAC is expected to register one of the fastest growth rates during the forecast period. China is a major contributor and represents the largest market in APAC. A primary factor for the growth of the market is the growing adoption of passenger cars and CVs in China. Along with China, Japan, and India are crucial contributors to the demand due to high-volume automotive production. Additionally, consumer awareness and the demand for security features are expected to drive the use of side airbags in entry-level and mid-segment vehicles during the forecast period. Such adoption may add to the cost of vehicles but may lead to economies of scale, which could reduce costs.
Furthermore, the presence of numerous suppliers in the market is expected to reduce costs. The growing demand for security systems has made airbag fabric supplier Porcher Industries expand its capacity at its 24,000 sqm manufacturing site in China. Such developments will attract several customers to opt for vehicles geared with side airbags. In addition, OEMs have started introducing advanced protection features in mid-segment vehicles to comply with regulations or gain a competitive advantage over other players in this highly competitive market. These factors are expected to increase the demand for automotive side airbags in APAC during the forecast period.
The market report forecasts market growth by revenue at global, regional & country levels and provides an analysis of the latest trends and growth opportunities from 2018 to 2028.
The market is witnessing remarkable growth driven by advancements in steering systems and automotive active safety technologies. With a focus on preventing road accidents and enhancing the driving experience, the market introduces innovative features such as the Lane Departure Warning System (LDWS), active cruise control, and blind-spot detection. These preventive systems, especially crucial in high-speed collisions on motorways and expressways, aim to correct actions in critical situations. The incorporation of advanced driver assistance systems (ADAS) ensures safeness, addressing human errors, while also accommodating the rise of autonomous and electric vehicles. This comprehensive approach spans hardware, software, and various vehicle categories, including on-highway, off-highway, and electric vehicles, shaping the future of automotive safety.
Additionally, the market is driven by continuous advancements and a holistic approach to vehicular safety. European carmakers, under stringent EuroNCAP safety regulations, emphasize innovative technologies such as knee airbags, inflatable seatbelts, and intelligent seatbelts. This market evolution incorporates structural reinforcements and energy-absorbing materials, ensuring the effectiveness of passive safety features. Additionally, Advanced Airbag Technologies, Advanced Driver-Assistance Systems (ADAS), and pedestrian safety systems contribute to the comprehensive safety landscape.
Moreover, the governments globally enforce rules, impacting luxury vehicles and influencing purchasing power. The report evaluates the market across emerging economies, encompassing various protection technologies, from antilocking braking systems to driver monitoring. This extends to advanced features in autonomous vehicles, reinforcing security in both on-highway and off-highway vehicles, including luxury cars and SUVs.
|
Market Scope |
|
|
Report Coverage |
Details |
|
Page number |
172 |
|
Base year |
2023 |
|
Historic period |
2018-2022 |
|
Forecast period |
2024-2028 |
|
Growth momentum & CAGR |
Accelerate at a CAGR of 6.52% |
|
Market Growth 2024-2028 |
USD 8.16 billion |
|
Market structure |
Fragmented |
|
YoY growth 2023-2024(%) |
6.36 |
|
Regional analysis |
APAC, Europe, North America, Middle East and Africa, and South America |
|
Performing market contribution |
APAC at 43% |
|
Key countries |
US, China, Japan, Germany, and UK |
|
Competitive landscape |
Leading Companies, Market Positioning of Companies, Competitive Strategies, and Industry Risks |
|
Key companies profiled |
APV Corporate, Ashimori Industry Co. Ltd., Autoliv Inc., Elastic Berger GmbH and Co. KG, Faurecia SE, Goradia Industries, Hyundai Motor Co., Infineon Technologies AG, Jinzhou Jinheng Automotive Safety System Co. Ltd., Joyson Safety Systems Aschaffenburg GmbH, Nihon Plast Co. Ltd., Ningbo Joyson Electronic Corp., NXP Semiconductors NV, Robert Bosch GmbH, Schaeffler AG, Tokai Rika Co. Ltd., Toyota Motor Corp., ZF Friedrichshafen AG, Knauf Industries, and TaiHangChangQing Automobile Safety System Co. Ltd. |
|
Market dynamics |
Parent market analysis, Market growth inducers and obstacles, Fast-growing and slow-growing segment analysis, COVID-19 impact and recovery analysis and future consumer dynamics, Market condition analysis for the forecast period. |
|
Customization purview |
If our report has not included the data that you are looking for, you can reach out to our analysts and get segments customized. |
We can help! Our analysts can customize this market research report to meet your requirements.
1 Executive Summary
2 Market Landscape
3 Market Sizing
4 Historic Market Size
5 Five Forces Analysis
6 Market Segmentation by Product
7 Market Segmentation by End-user
8 Customer Landscape
9 Geographic Landscape
10 Drivers, Challenges, and Trends
11 Vendor Landscape
12 Vendor Analysis
13 Appendix
Get the report (PDF) sent to your email within minutes.
Get lifetime access to our
Technavio Insights
Quick Report Overview:
Cookie Policy
The Site uses cookies to record users' preferences in relation to the functionality of accessibility. We, our Affiliates, and our Vendors may store and access cookies on a device, and process personal data including unique identifiers sent by a device, to personalise content, tailor, and report on advertising and to analyse our traffic. By clicking “I’m fine with this”, you are allowing the use of these cookies. Please refer to the help guide of your browser for further information on cookies, including how to disable them. Review our Privacy & Cookie Notice.
