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The global automotive aftermarket industry size was valued at USD 430.51 billion in 2024. The market is projected to grow from USD 443.12 billion in 2025 to USD 565.73 billion by 2032, exhibiting a CAGR of 3.6% during the forecast period. North America dominated the global market with a share of 31.34% in 2024.
The automotive aftermarket industry pertains to the secondary market, which caters to the needs and preferences of vehicle owners, offering a variety of choices beyond what is available through the original equipment manufacturers. The aftermarket industry includes a wide range of products and services, such as replacement parts (tires, batteries, brakes, and filters), performance-enhancing components, accessories (car audio systems, navigation systems, and cosmetic upgrades), and vehicle maintenance and repair services.
The aging of vehicles plays a significant role in generating the demand for aftermarket parts and services. However, longer warranties provided by OEMs may limit the market demand. The anticipated surge in the acceptance of electric and hybrid vehicles, leading to a demand for automotive aftermarket parts compatible with EVs, is poised to propel the market expansion during the projected period.
The automotive aftermarket is a large and growing global industry. Prominent companies dominating the automotive aftermarket globally include Robert Bosch GmbH, Continental AG, and ZF Friedrichshafen AG. Leading companies focus on innovation, expanding product portfolios, mergers and acquisitions, and enhancing digital sales platforms to capture market share.
The automotive aftermarket industry is a dynamic sector that involves the manufacturing and distribution of automotive parts, accessories, and services. It is highly competitive, with numerous players operating globally. Market leaders are concentrating on the development and production of aftermarket parts designed to be compatible with the latest vehicle models while simultaneously catering to the needs of the older vehicle market. Prominent entities in the market are dedicated to the development of environmentally friendly products, thereby contributing to sustainability objectives.
Surging E-Commerce Drives Expansion in Industry
The trend of e-commerce dominance refers to the increasing prevalence of online sales and the growing influence of digital platforms in the purchase of replacement parts, accessories, and automotive services.
Increasingly, consumers prefer conducting their purchases via online platforms over conventional brick-and-mortar stores. This shift is driven by the convenience of online shopping, allowing customers to browse a wide range of products, compare prices, and make purchases from the comfort of their homes.
For instance, in December 2023, Epicor introduced an Automotive B2B ecommerce platform for automotive replacement parts distributors and their customers. Epicor Commerce for Automotive (ECA) is a cloud-based platform designed to provide automotive parts distributors and other users with up-to-date, customer-specific part pricing and availability. This development drives the automotive aftermarket industry growth.
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Aging of Vehicles Fuels Aftermarket Industry Growth
The automotive aftermarket industry experiences growth propelled by vehicle aging. As vehicles mature, they necessitate more frequent maintenance and repairs due to component deterioration. This steady demand for replacement parts and services fuels the aftermarket sector. Over time and with usage, components, such as brakes, tires, and exhaust systems, wear out, driving the need for replacements in older vehicles and stimulating market expansion.
According to the latest data from IHS Markit, the average age of Vehicles in Operation (VIO) has steadily increased over the past decade. As of 2021, the average age of light vehicles in operation in the U.S. reached a record high of 12.1 years, up from 11.9 years in 2020. For instance, in 2023, according to ACEA (European Automobile Manufacturers' Association), the average age of cars in the European Union (EU) stands at 12 years, with Greece and Estonia having the oldest car fleets, with the average being nearly 17 years. Luxembourg, on the other hand, leads with the newest passenger cars at an average age of 7.6 years. Among the major EU markets, Italy claims the oldest van fleet at 14 years, closely followed by Spain at 13.6 years.
This trend toward older vehicles has significant implications for the automotive aftermarket industry. As vehicles age, they need more frequent maintenance, repairs, and replacement parts to keep them running smoothly and safely. Older vehicles are more likely to require wear and tear on components such as brakes, tires, batteries, and suspension systems, creating opportunities for aftermarket suppliers and service providers. Furthermore, advances in vehicle technology have contributed to the increased longevity of vehicles. Modern vehicles are built with more durable materials, improved engine technology, and sophisticated onboard diagnostics systems that allow for better monitoring and maintenance. As a result, vehicles can now withstand higher mileage and longer periods of use before requiring major repairs or replacement.
The growing popularity of vehicle ownership and the trend toward keeping vehicles for longer periods also contribute to the demand for aftermarket products and services. With more consumers opting to hold onto their vehicles rather than purchase new ones, the aftermarket sector is poised for continued growth. Overall, the increasing average age of vehicles on the road is a significant driving factor for the global automotive aftermarket industry, creating opportunities for aftermarket suppliers, retailers, and service providers to meet the evolving needs of vehicle owners globally.
Advancements in Vehicle Technology and Complexity Impede Market Growth
While the global industry has experienced significant growth, it faces certain challenges and restraints. One key restraint to the industry's growth is the advancements in vehicle technology and complexity.
Modern vehicles are equipped with increasingly sophisticated technologies and complex systems. While this is beneficial for vehicle performance and efficiency, it poses challenges for the aftermarket industry. Advanced technologies often require specialized knowledge and tools for diagnostics, repairs, and replacements. As a result, independent repair shops, automotive aftermarket distributors, and DIY enthusiasts may face difficulties in keeping up with the evolving technology, leading to a reliance on Original Equipment Manufacturer (OEM) services or authorized dealerships.
Advanced vehicle systems may require specialized diagnostic equipment and software, limiting the ability of independent repair shops to effectively identify and address issues. Some manufacturers restrict access to crucial repair and diagnostic information, making it challenging for independent repair facilities to perform certain repairs and maintenance tasks.
Rising Emphasis Over Electric Vehicles Creates Opportunity for Automotive Aftermarket Industry to Tap into EV Market
One key growth opportunity for the global automotive aftermarket industry lies in the increasing demand for parts, services, and technologies related to Electric Vehicles (EVs). As the automotive industry undergoes a significant revolution toward electrification, the aftermarket sector can capitalize on several opportunities associated with this shift.
With the rise of electric vehicles, there is a mounting demand for aftermarket components specific to EVs. This includes replacement batteries, electric motors, inverters, and other electric drivetrain components. The aftermarket industry can develop and provide solutions to support the maintenance and repair of EVs.
As the adoption of electric vehicles expands, there is a need for aftermarket services related to charging infrastructure. This includes installation, repair services, and maintenance for charging stations, providing a new avenue for aftermarket businesses to thrive. Thus, the rising adoption of electric vehicles, creating demand for aftermarket products for the EV industry, is expected to boost the market over the forecast period.
Development of Tires for Electric Vehicles Fuels Wheels & Tires Segment Expansion
Based on replacement part type, the market is segmented into various sub-segments, namely battery, brake pads, filters, gasket & seals, lighting component, body part, wheels & tires, and others.
The wheels & tires segment held the largest automotive aftermarket industry share in 2024. The rising trend of electric vehicles also forced manufacturers to develop tires specifically for EVs, thereby fueling the segment’s growth.
The body part segment held the second-largest share of the market in 2024. The most significant driver for the segment is the need for repairs following accidents or collisions. Cracked bumpers, dented doors, and other body damage often require replacement parts, leading to a continuous demand for body components. In July 2023, auto-body and glass repair shops in McLennan County experienced a surge in the demand for vehicles with hail damage following the hail storms that struck the area between April and June 2023.
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Higher Component Wear & Tear Favors Passenger Cars Segment Growth
Based on vehicle type, the market is divided into two sub-segments: passenger cars and commercial vehicles.
The passenger cars segment held the largest market share in 2024. As urbanization increases, the reliance on passenger cars for daily commuting also rises. This leads to higher wear and tear of various components, necessitating more frequent replacements and repairs. An increase in vehicle ownership is one of the driving factors for the market. As economies develop and consumer purchasing power rises, more people are buying cars. For instance, China and India have experienced a surge in passenger vehicle sales over the past decade. This burgeoning fleet of cars directly translates into a higher demand for aftermarket products and services.
The commercial vehicle segment held a considerable market share in 2024. Economic conditions, including growth in industries of logistics, transportation, and construction, influence the demand for commercial vehicles and, consequently, aftermarket parts. According to IBEF (India Brand Equity Foundation), road transportation accounted for 66% of freight movement in India in 2024. During the month of June 2024, originating freight loading of 135.46 MT has been achieved against loading of 123.06 MT in June 2023. This demands higher activity from commercial vehicles, which propels the market demand.
By region, the market is analyzed across North America, Europe, Asia Pacific, and the rest of the world.
North America Automotive Aftermarket Industry Size, 2024 (USD Billion)
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Consumer Preference in Customized and Personalized Vehicles Fuel Market in North America
North America held the largest share in 2024. North American consumers often have a strong preference for customizing and personalizing their vehicles. This inclination toward vehicle modification drives the demand for aftermarket accessories and performance-enhancing products. In October 2023, Gas Monkey Garage, known for automotive excellence, debuted at SEMA 2023 in Las Vegas. The garage, renowned for the Fast N' Loud TV show, revealed four exceptional customized cars, ranging from classics to innovative Electric Vehicles (EVs).
The U.S. automotive aftermarket industry holds a significant market share that involves the manufacturing, distributing, and installing automotive parts and accessories after the sale of the vehicle by the Original Equipment Manufacturer (OEM). The industry is witnessing significant growth in e-commerce, with consumers increasingly purchasing parts online for convenience and cost-effectiveness.
Europe held a significant share of the global market in 2024 and has a significant number of vehicles on the road, where the average age of vehicles is relatively high. As vehicles age, the demand for aftermarket products and services, including replacement parts and repairs, increases. For instance, in 2023, according to ACEA (The European Automobile Manufacturers' Association), Trucks in the European Union have an average age of 14.2 years. Greece holds the record for the oldest truck fleet, with an average age of around 22.7 years.
Asia Pacific held a decent market share in 2024. The region has witnessed a significant increase in the number of vehicles on the road, driven by economic growth, rising incomes, and urbanization. As the vehicle fleet expands, the demand for aftermarket parts for maintenance and repairs rises. For instance, according to SIAM (Society of Indian Automobile Manufacturers, India witnessed a rise in total passenger vehicle sales, growing from USD 0.04 million in FY 2022-23 to 0.05 million FY 2023-24.
The rest of the world held a considerable market share in 2024. The level of vehicle ownership and the size of the vehicle fleet in each region play a significant role. The demand for aftermarket products and services increases as the number of vehicles increases.
Advancements in Technology and Eco-friendly Products Drive Competitive Edge
Market leaders are concentrating on the development and production of aftermarket parts designed to be compatible with the latest vehicle models while simultaneously catering to the needs of the older vehicle market. Prominent entities in the market are dedicated to the development of environmentally friendly products, thereby contributing to sustainability objectives.
Robert Bosch GmbH, Continental AG, and ZF Friedrichshafen AG, among others, are considered to have led the market in 2024. Robert Bosch GmbH Bosch is a multinational engineering and technology company that operates in various sectors, including automotive. Bosch is a major player in the automotive aftermarket industry, offering a diverse range of products such as auto parts, diagnostic equipment, and workshop services.
The automotive aftermarket industry research report provides a detailed analysis of the market and focuses on key aspects such as leading automotive aftermarket companies, product types, and leading applications of the product. Besides, it offers insights into the market trends and highlights key industry developments. In addition to the factors above, it encompasses several factors that contributed to the growth of the market in recent years.
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ATTRIBUTE | DETAILS |
Study Period | 2019-2032 |
Base Year | 2024 |
Estimated Year | 2025 |
Forecast Period | 2025-2032 |
Historical Period | 2019-2023 |
Growth Rate | CAGR of 3.6% from 2025 to 2032 |
Unit | Value (USD Billion) |
Segmentation | By Replacement Part Type
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By Vehicle Type
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By Region
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As per a study by Fortune Business Insights, the market size was USD 430.51 billion in 2024 and is projected to grow to USD 565.73 billion by 2032.
The market is likely to grow at a CAGR of 3.6% over the forecast period of 2025-2032.
By vehicle type, the passenger cars segment dominated the global market in 2024.
In 2024, the market size for North America stood at USD 134.91 billion.
The aging of vehicles fuels the growth of the aftermarket industry.
Robert Bosch GmbH, Continental AG, and ZF Friedrichshafen AG, among others, are considered to have led the market in 2024.
The North America region led the market in 2024.
Advancements in vehicle technology and complexity may impede product deployment, affecting market growth.
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