The Automotive Lighting Market is projected to reach $31.45 billion by 2030, at a CAGR of 5.1% during the forecast period 2024–2030.
Some of the major factors driving the growth of this market are the increasing adoption of advanced lighting in vehicles, strict government regulations on lighting for better visibility and safety, and increasing automobile production in emerging economies. In addition, the high demand for adaptive lighting systems in passenger and entry-level SUVs is expected to offer significant opportunities for market growth. However, the high cost of LED can restrain the growth of this market to some extent.
Stringent Government Regulations on Lighting for Better Visibility and Safety are Expected to Drive Market Growth
Lighting remains a significant component in vehicles. Apart from adding aesthetic looks to the interior and exterior parts of a vehicle, lighting plays an important role in vehicle safety. Vehicle lighting is essential, especially while traveling on congested highways. All automotive lighting of a vehicle is subject to country-specific legal regulations to ensure safe driving.
Governments around the world are concerned about road accidents. According to the World Health Organization (WHO), road traffic collisions kill 1.3 million people per year. The majority of countries lose 3% of their GDP due to road accidents. Therefore, enhancing driving conditions is vital, which can be achieved partly by improving the lighting system. Using vehicle lights helps the driver illuminate the lane and recognize the road, obstacles and traffic signs.
Automotive lighting is already mandatory in several countries across the globe. For instance, in the U.K., vehicles traveling from sunset to sunrise must have front and rear position lights, end outline lights and side marker lights switched on. All the obligatory lights (except rear fog lights) must be illuminated during the hours of darkness. Similarly, Daytime Running Lights (DRLs) are mandatory for all two-wheelers in India to increase road safety and reduce road accidents involving two-wheelers. This type of regulatory regulation is likely to impact the growth of the global automotive lighting market.
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Key Findings in the Automotive Lighting Market Study:
In 2024, the Passenger Vehicles Segment is Expected to Dominate the Automotive Lighting Market
Based on vehicle type, the automotive lighting market is segmented into 2-wheelers, passenger vehicles, and commercial vehicles. In 2024, the passenger vehicles segment is expected to account for the largest share of the global automotive lighting market. Over the past few decades, global passenger car traffic has increased drastically, which has upsurged the demand for passenger car lighting across the globe. According to Organisation Internationale des Constructeurs d'Automobiles (OICA), there were 57,054,295 passenger cars produced globally in 2021. In addition, several passenger car manufacturers have started adopting adaptive lighting techniques to enhance vehicle appearance and improve the business growth of smart automobile lighting systems.
In 2024, the Exterior Lighting Segment is Expected to Dominate this Market
Based on application, the automotive lighting market is segmented into interior lighting and exterior lighting. In 2024, the exterior lighting segment is expected to account for the largest share of the global automotive lighting market. Stringent government regulations for automotive lighting are contributing to the large market share of this segment. In addition to the legal regulations, branding and aesthetics also play an important role in the growth of this segment.
Asia-Pacific: Largest Regional Market
Based on geography, the global automotive lighting market is segmented into North America, Europe, Asia-Pacific, Latin America, and the Middle East & Africa. In 2024, Asia-Pacific is expected to account for the largest share of the automotive lighting market. The Asia-Pacific region comprises rapidly emerging economies such as China and India and developed nations such as Japan and South Korea, which are considered among the largest automotive manufacturing markets.
In recent years, the region has emerged as a hub for automobile production as several technological advancements have been developed and incorporated in automobiles by the OEMs in Asia-Pacific. Increasing technological advancement in lighting, continuous increase in automotive production, and stringent government rules & standards are some of the factors supporting the large share of this market.
Key Players
The report includes a competitive landscape based on an extensive assessment of the key growth strategies adopted by the leading market participants in the automotive lighting market between 2020 and 2022. The key players profiled in the automotive lighting market report are KOITO MANUFACTURING CO., LTD (Japan), Stanley Co., Inc. (U.S.), Valeo (France), Marelli Holdings Co., Ltd. (Italy), HELLA GmbH & Co. KGaA (Germany), Tungsram (Hungary), Lumax Industries (India), OSRAM GmbH (Germany), Koninklijke Philips N.V. (Netherlands), ZIZALA Lichtsysteme GmbH (Austria), Robert Bosch GmbH (Germany), ICHIKOH INDUSTRIES, LTD. (Japan), Continental AG (Germany), Hyundai Mobis (South Korea), Varroc Group (India).
Scope of the report:
Automotive Lighting Market, by Vehicle Type
- 2-Wheelers
- Passenger Vehicles
- Commercial Vehicles
- Trucks
- Semi Trucks
- Box Trucks
- Pickup Trucks
- Vans
- Cargo Vans
- Passenger Vans
- Buses
- Passenger Buses
- Motor Coaches and RVs
- Speciality Vehicles
- Heavy Equipment
- Construction Equipment
- Mining Equipment
- Agriculture Equipment
- Other Commercial Vehicles
Automotive lighting Market, by Application
- Interior Lighting
- Ambient Lighting
- Footwell Lights
- Roof Lights
- Other Interior Lightings
- Exterior Lighting
- Headlamps
- Fog Lamps
- Tail lights
- Daytime Running Lights (DRLs)
- Other Exterior Lightings
Automotive lighting Market, by Lighting Technology
- Halogen
- Xenon
- LED
- Other Lighting Technologies
Automotive lighting Market, by Sales Channel
Automotive lighting Market, by Geography
- North America
- Europe
- U.K.
- Germany
- France
- Italy
- Spain
- Denmark
- Netherlands
- Rest of Europe
- Asia-Pacific
- China
- India
- Japan
- South Korea
- Singapore
- Rest of Asia-Pacific
- Latin America
- Brazil
- Mexico
- Rest of Latin America
- Middle East & Africa
- Israel
- UAE
- Rest of Middle East & Africa
Key questions answered in the report:
