automotive passive safety system Market

The Automotive passive safety system market is projected to grow from US$ 19,967.55 million in 2022 to US$ 25,932.05 million by 2028. It is estimated to grow at a CAGR of 4.5 % from 2022 to 2028.

The safety of vehicle occupants is a primary concern for automotive safety systems, which consist of features such as seat belts and head restraints. These systems are designed to prevent occupants from being thrown from their seats and reduce the likelihood of injury in the event of a collision. With the increasing popularity of high-speed vehicles, there has been a corresponding increase in the number of accidents, leading to a higher demand for vehicles equipped with safety features. These safety features may include technologies like blind spot detection, lane departure warning, and anti-roll braking systems. Consequently, the integration of these safety features is driving demand for automobiles and contributing to the expansion of the global automotive passive safety system market.

The Automotive Passive Safety System market primarily focuses on ensuring the safety of passengers during uncommon occurrences such as accidents. The purpose of Passive Safety Systems is to reduce the impact of these incidents on the passengers inside the vehicle. These systems comprise of components such as airbags, seat belts, crash zones, and passenger compartments. Over the years, Passive Safety Systems have played a significant role in enhancing road and personal safety by minimizing the consequences of accidents. As a result, European cars have started performing exceptionally well in crash tests, and the technology behind passive safety systems is continuously advancing.

The growth of the automotive passive safety system market can be attributed to several key factors, including the expansion of the automotive market and the growing consumer demand for safer vehicles. With the rising number of vehicular accidents worldwide, consumers and governments are increasingly concerned about road safety, creating a favorable environment for the passive safety systems industry. Additionally, the growth of the automotive market, driven by increasing disposable income, is creating opportunities for the expansion of the automotive passive safety systems market.

The growing preference for advanced safety features in vehicles, the introduction of stricter safety standards by governments in many countries, the increasing prevalence of curtain and knee airbags, especially in developing countries, and technological advances are driving the automotive passive safety system market size. The rising raw material costs, exchange rate fluctuations, and price competition are hindering the automotive passive safety system market growth.

APAC's primary economies in the automotive passive safety system market include China, India, South Korea, Japan, and Australia. These economies are thriving due to significant advancements in technology and infrastructure. Additionally, the automotive sector in this region is flourishing, backed by the expansion of the automotive manufacturing industry in countries like China, India, and South Korea. These countries rank among the leading vehicle manufacturing countries globally, further fueling the growth of the automotive passive safety system market. For example, in 2021, India produced 22,933,230 vehicles, including 3,650,698 passenger vehicles and 805,527 commercial vehicles, according to the Society of Indian Automobile Manufacturers (SIAM).

In 2021, China took the lead as the world's largest producer of vehicles. The China Association of Automobile Manufacturers (CAAM) reported that the production and sales of passenger vehicles in China reached 21.408 million units and 21.482 million units, respectively. The Japanese automobile industry continues to flourish, with Japanese manufacturers producing and selling numerous vehicles worldwide. The expansion of Japan's automotive manufacturing has led to its component manufacturing industry being ranked among the top three most lucrative industries globally, after the US and Germany. The automotive component sector in Japan has grown in tandem with the increase in the number of automobile manufacturers in the country, which is due to the rising number of passenger and commercial vehicles on the roads.

A robust automotive sector and an increasing number of car manufacturers are the primary drivers of the region's automotive passive safety system market. Several major automotive manufacturers operate in the region, including Suzuki, Mitsubishi, Hyundai-Kia, Tata Motors Limited, Lexus, and Toyota. Additionally, the region is home to a vast number of automotive passive safety system manufacturers and suppliers, such as MITSUBA Corporation, Zhejiang Zhenqi Auto Parts Corp., Ltd., and DENSO Corporation. Governments in various APAC countries are taking initiatives to boost the automotive sector's growth in their respective nations. For instance, the Indian government announced its plans to establish R&D centers at a cost of US$ 388.5 million under the Union Budget 2019-2020 to enable the automotive sector to meet global standards.

The various government initiatives taken by different countries are expected to create significant opportunities for the development of advanced automotive passive safety systems in the APAC region, thereby driving the automotive passive safety system market growth over the forecast period. However, global automotive production is heavily reliant on China, and the COVID-19 pandemic outbreak led to a shortage of supplies, affecting the assembly of OEMs worldwide. The shutdown directly impacted around two-thirds of China's automotive production and its suppliers, thereby limiting the operations of the automotive and automotive component manufacturing industry in APAC. Consequently, this is expected to impact the automotive passive safety system market share in the region in the coming years.

The Automotive Passive Safety System market size in APAC is further boosted by the increasing trend of pedestrian protection airbags. For instance, in October 2021, Toyoda Gosei Co. in Japan developed a pedestrian protection airbag to safeguard a pedestrian's head in the event of a vehicle collision. Toyoda Gosei has developed various types of airbags that protect vehicle occupants, and this new airbag would be its first offering that safeguards pedestrians and other vulnerable road users. Such developments are driving the growth of the automotive passive safety system market in the region.

Key companies in the automotive passive safety system market are Autoliv Inc; Continental AG; Joyson Safety Systems; Robert Bosch GmbH; ZF Friedrichshafen AG; FAURECIA; Hyundai Mobis; Knauf Industries; Toyoda Gosei Co., Ltd; Tokairika Co., Ltd. The report also comprises secondary research on other companies holding a significant market share.

The automotive passive safety system market's overall size has been determined by conducting primary and secondary research. The research process began with extensive secondary research using internal and external sources to gather qualitative and quantitative information about the automotive passive safety system market. This process aimed to obtain an overview and forecast of the automotive passive safety system market concerning all the segments pertaining to the region. In addition, multiple primary interviews were conducted with industry participants and commentators to validate the data and gain analytical insights into the automotive passive safety system market. The primary interviews included industry experts, such as VPs, business development managers, market intelligence managers, national sales managers, external consultants, valuation experts, research analysts, and key opinion leaders specializing in the automotive passive safety system market.