Automotive Short Range Radar System Market Size, Share & Industry Analysis, By Vehicle Type (Hatchback/Sedan and SUV), By Application (Adaptive Cruise Control (ACC), Collision Avoidance, Intelligent parking assistance, and Others), and Regional Forecast, 2025-2032

The global automotive short range radar system market size was valued at USD 467.9 million in 2024. The market is projected to grow from USD 492.4 million in 2025 to USD 772.9 million by 2032, exhibiting a CAGR of 6.7% during the forecast period. Asia Pacific dominated the automotive short range radar system market with a market share of 41.68% in 2024.

The automotive short range radar (SRR) system market focuses on radar systems designed to detect and monitor objects within close proximity, typically a few hundred meters. These systems are integral to modern vehicles, enhancing safety and efficiency through precise, real-time environmental monitoring using high-frequency radio waves. Short range radar system is widely used in Advanced Driver Assistance Systems (ADAS), including collision avoidance, blind spot detection, lane change assistance, adaptive cruise control, parking assistance, and pedestrian detection.

The short range radar system market is a significant part of the broader automotive radar industry, which is experiencing rapid growth due to increasing demand for safety features and autonomous driving technologies.  The market is competitive, driven by advancements in radar technology.

Key players are increasingly integrating automotive short range radar system into single modules for comprehensive vehicle coverage. Major players in the market include Robert Bosch GmbH, Continental AG, and Aptiv PLC.

Automotive Short Range Radar System Market Trends

Growing Demand For ADAS and Autonomous Vehicle to Set a Positive Trend for Market Growth

The increasing adoption of ADAS and autonomous vehicle technologies is fueling the demand for the automotive short range radar systems. These systems provide critical real-time data for safety features including adaptive cruise control and collision avoidance. The adoption of AI, machine learning (ML), high-definition LiDAR, radar, and camera-based sensors is further revolutionizing automotive safety. Emerging technologies such as neuromorphic computing, quantum-enhanced ADAS algorithms, and 6D radar are improving hazard detection and collision avoidance accuracy.

For instance, In December 2024, DENSO CORPORATION signed a contract with onsemi to support the procurement of autonomous driving (AD) and advanced driver assistance systems (ADAS) technologies. These semiconductors have become increasingly vital in improving vehicle intelligence, including connectivity, to help reduce traffic accident fatalities.

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MARKET DYNAMICS

Market Drivers

Rising Consumer Demand for Comfort and Safety to Drive the Market Growth

The rising consumer demand for comfort and safety in vehicles is a key driver for market growth. This demand stems from increasing awareness about road safety, technological advancements, and evolving expectations for enhanced driving experiences. The growing rate of road accidents has heightened consumer awareness about the importance of safety systems, such as collision avoidance, lane departure warnings, and automatic emergency braking systems. These features significantly reduce risks and improve overall safety. Thus, the increasing consumer awareness about vehicle safety features has led to higher adoption rates of radar-equipped vehicles. Additionally, different features such as adaptive cruise control (ACC) and rear cross-traffic alert are becoming standard in modern vehicles.

For instance, In July 2024, Tata Motors announced the launch date of the new Curve coupe SUV for the Indian market. The manufacturer will introduce the first passenger car in this segment, which will be offered with EV and ICE powertrains. The interior of the Tata Curv is anticipated to be fitted with a sunroof, paddle shifters, ventilated front seats, a large touchscreen infotainment system, a fully digital instrument cluster, an ADAS suite, drive modes, and a two-spoke steering wheel. Such developments drive the automotive short range radar system market growth.

Market Restraints

Limiting Robust Machine Vision to Hamper the Growth of the Market

Radar is a powerful tool for viewing objects and determining the course of moving objects. However, radio waves' irregularity restricts its capacity to identify objects and track down vehicle. Advanced Driver Assistance Systems (ADAS) typically operate within gigahertz frequencies ranging from 70 GHz to 90 GHz, leading to narrow bandwidths that limit the angular resolution of radar systems.

Furthermore, the use of separate transmitter and receiver antennas contributes to the bulkiness of radar devices, making them challenging to install. Overall, manufacturers face significant obstacles related to classification, resolution, and size, as they attempt to address one issue often negatively impacts others. For instance, focusing on enhancing resolution necessitates additional transmitters, which in turn increases the overall size of the sensor.

Market Opportunities

Increasing Demand for Electric Vehicles (EVs) to Propel Market Growth

Electric vehicles often feature advanced safety and driver-assistance technologies as standard equipment. The growing EV demand provides a significant opportunity for market. Automotive short range radar system contribute to energy-efficiency driving by optimizing features such as regenerative braking and adaptive cruise control. In 2024, India's electric vehicle (EV) sales surged, reaching over 2 million units, a 25.4% year-over-year (YoY) increase compared to 1.6 million units in 2023. EVs account for 7.7% of overall automobile sales. Thus increasing demand for electric vehicles is directly proportional to the product demand.

Segmentation Analysis

By Vehicle Type

Rising Adoption of SUV Vehicles Drive the Segment Growth

By vehicle type, the market is segmented into hatchback/sedan and SUV.

The SUV segment dominates the market, showing similar conditions during the forecast period. This segmental growth is attributed to the wide applications of motors. This can also be attributed to their robust safety features, spacious interiors, and elevated driving positions. The adoption of automotive short range radar systems into SUVs enhances driver awareness and vehicle maneuverability, making them an attractive choice for consumers concerned with safety. Many manufacturers focus on adopting the ADAS systems in vehicles. For instance, in October 2024, Kia Motors introduced its flagship EV SUV, the EV9, in India in a single fully loaded variant. The electric SUV can do the 0-100 kmph sprint in 5.3 seconds. The total power output is 282.6 kW, along with a peak torque output of 700 Nm.

The hatchback/sedan segment held a significant market share in 2024. Several factors contribute to market growth, including the growing demand for compact and fuel-efficient vehicles. This drives the segment growth during the forecast period.

By Application

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Adaptive Cruise Control Segment Holds Maximum Market Share Due to Enhancing Vehicle Safety and Improving Driving Comfort

By application, the market is segmented into adaptive cruise control (ACC), Intelligent parking assistance, collision avoidance, and others.

The adaptive cruise control (ACC) segment held the largest automotive short range radar system market share in 2024. This segmental growth is driven by its critical role in enhancing vehicle safety and improving driver comfort. Adaptive cruise control systems rely heavily on radar technology, particularly short-range and medium-range radars, to detect the distance between vehicles and adjust speed accordingly. These radars monitor traffic conditions and provide real-time feedback to maintain safe following distances. This development drives the market growth.

Intelligent parking assistance holds the second-largest position in the market. The smart parking assistance system parks the car on its own without the need for a human driver, with high accuracy and in less time than the experienced driver. This system uses a combination of cameras and sensors for its precise operation. This factor is expected to maintain the second-largest position in the segment over the forecast period.

AUTOMOTIVE SHORT RANGE RADAR SYSTEM MARKET REGIONAL OUTLOOK

By region, the market is studied across Europe, Asia Pacific, North America, and Rest of the World.

Asia Pacific

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The market in the Asia Pacific region held the largest market share and was valued at USD 195.0 million in 2024. The Asia Pacific region is emerging as a dynamic market for automotive short range radar systems, fueled largely by the rapid growth of the automotive industry in countries such as China, Japan, and South Korea. The growth in disposable income, urbanization, and a rising awareness of safety features are significant drivers of demand for the product.

Europe

The European market for automotive short range radar system showcased significant growth in 2024. The regional growth is driven by stringent regulatory measures aimed at reducing accidents and fatalities on the roads. Countries such as Germany, France, and U.K. are at the forefront of implementing advanced safety features. The European market is characterized by strong collaborations between automotive manufacturers and technology companies, creating a supportive ecosystem for the growth for the market.

North America

North America, particularly the U.S., holds a significant share of the market. With robust automotive manufacturing and a high demand for advanced driver-assistance systems (ADAS), the region has witnessed substantial investments in radar technology. The U.S. market is experiencing significant growth, driven by increasing demand for advanced driver assistance systems (ADAS), regulatory mandates for safety features, and technological advancements in radar technology.

Rest of the World

The rest of the world held a significant market share in 2024. The growth is attributed to increasing vehicle safety regulations. As the government adopts active safety and advanced driver-assistance systems mandates, this development accelerates the adoption of automotive short-range radar systems.

COMPETITIVE LANDSCAPE

Key Industry Players

Recent Development by Key Major Players Including Product Launches Boost the Market Growth

Major players in the market include Robert Bosch GmbH, Continental AG, and Aptiv PLC. These manufacturers focus on expanding their product portfolios, strengthening their sales networks, and forming strategic partnerships.

Bosch is a major player in automotive radar systems, focusing on neural network-based AI processing for radar solutions. The company invests heavily in electro mobility and automated driving technologies. Bosch's radar offerings include multi-purpose cameras and sensors for adaptive cruise control (ACC) and autonomous emergency braking (AEB).

LIST OF KEY AUTOMOTIVE SHORT RANGE RADAR SYSTEM COMPANIES PROFILED

• Robert Bosch GmbH (Germany)
• Continental AG (Germany)
• Denso Corporation (Japan)
• Aptiv (Ireland)
• Autoliv Inc. (Sweden)
• Veoneer (Sweden)
• Valeo SA (France)
• NXP Semiconductors NV (Netherlands)
• Texas Instruments Incorporated (U.S.)
• ZF Friedrichshafen AG (Germany)
• Infineon Technologies AG (Germany)
• Renesas Electronics Corporation (Japan)

KEY INDUSTRY DEVELOPMENTS

• In March 2025, Indie Semiconductor signed a contract with GlobalFoundries to develop its portfolio of high-performance radar systems-on-chip (SoC). These SoCs—manufactured on GF’s 22FDX® platform—will target 77 GHz and 120 GHz radar applications for advanced driver assistance systems (ADAS) and adjacent industrial applications. Automotive radar adoption is being accelerated by global vehicle safety regulations, new car assessment programs, and consumer demand for convenience features.
• In November 2024, Bosch announced that it would be presenting its latest innovations in the field of microelectronics. The major focus is on components for greater occupant safety, such as high-performance MEMS sensors and systems on a chip (SoC) for the construction of compact radar systems, as well as on other technical solutions for future mobility.
• In August 2024, Aptiv announced it had decided to invest more than USD 45 million (Rs 378 crore) to expand its manufacturing facility in Oragadam. The expanded plant, with nearly 2.2 lakh sq.ft, will produce cutting-edge cockpit control systems and scale up to include advanced safety and user experience features such as radars, cameras, and next-generation electronic control units for India and global markets.
• In September 2023, Mobileye signed a partnership with Valeo to deliver software-defined best-in-class imaging radars for next-generation driver assist and automated driving features. As a key part of sensing systems for automated driving, imaging radar will be an enabling element for more advanced hands-off ADAS solutions and eyes-off automated driving features on highways and urban streets.
• In January 2023, NXP Semiconductors introduced a new industry-first 28nm RFCMOS radar one-chip IC family for next-generation ADAS and autonomous driving systems. The new SAF85xx one-chip family combines NXP’s high-performance radar sensing and processing technologies into a single device, offering tier ones and OEMs new flexibility in addressing short-, medium-, and long-range radar applications to serve ever more challenging NCAP safety requirements.

REPORT COVERAGE

The market research report provides a detailed analysis of the market and focuses on crucial aspects such as leading companies, vehicle types, and leading Applications. Besides this, the report offers insights into the market trends and highlights vital industry developments. In addition to the factors above, the report encompasses several factors contributing to the market's growth over recent years.

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Report Scope & Segmentation