"Market Intelligence for High-Geared Performance"

Automotive Wiring Harness Market Size, Share & Industry Analysis, By Component (Electric Wires, Connectors, Terminals, Others), By Application (Body, Engine, Chassis, HVAC, Sensors), By Vehicle Type (Passenger Cars, Commercial Vehicles), and Regional Forecasts, 2021-2028

Last Updated: April 08, 2024 | Format: PDF | Report ID: FBI102043

 

KEY MARKET INSIGHTS

Play Audio Listen to Audio Version

The global automotive wiring harness market size was valued at USD 38.69 billion in 2020 and is projected to reach USD 64.73 billion by 2028 from USD 46.87 billion in 2021, growing at a CAGR of 4.7% during the forecast period. Based on our analysis, the global market exhibited a decline of -17.3% in 2020 as compared to the average year-on-year growth during 2017-2019. The global impact of COVID-19 has been unprecedented and staggering, with automotive wiring harness witnessing a negative demand shock across all regions amid the coronavirus crisis. The rise in CAGR is attributable to this market’s demand and growth, returning to pre-pandemic levels once the pandemic is over.


An automotive wiring harness is an electrical and electronic assembly of several automobile components that plays a vital role in connecting all electronic and electrical components for sensor signals, power supply, and transmitting data for improving vehicle performance. The assembled components include electrical devices, heating, ventilation, air conditioning (HVAC) systems, speed sensors, and other electronic components. Further, increasing the integration of electrical and electronic systems into automobiles to offer enhanced safety and security features has propelled the market growth. Installing these systems in a vehicle provides several benefits, such as the low probability of electrical shortage, enhanced performance, and improved fuel efficiency.


The rapid growth of the automobile industry worldwide due to several technologically advanced features implemented in vehicles is one of the major factors driving the automotive wiring harness market growth. In line with this, increasing electrification of vehicles, expanding demand and usage of hybrid and electric cars, and the growing emphasis on safety solutions are expected to boost the market over the forecast period.


Moreover, the utilization of reliable and cost-effective optical fibers along with the increasing demand for Advanced Driver Assistance Systems (ADAS) in automobiles is anticipated to drive the market in the coming years. In addition, many product innovations, for example, the development of aluminum harnesses, are acting as another market growth factor. Also, wiring harnesses are used for securing safety sensors, such as automated control systems and blind-spot detection. This helps to improve vehicle performance, which offers numerous opportunities for market expansion over the forecast period.


Halt in Production Lines and Disruption in the Supply Chain to Slow Down Market Growth Amidst COVID-19 Pandemic


The COVID-19 pandemic has impacted nearly every industry globally, and auto part and vehicle manufacturing industries are no exception. In 2020, the COVID-19 pandemic immensely impacted the integrated automotive industry worldwide. In 2020, the halt in production lines of many OEMs and disruption in the supply chain had indirectly affected the market. On the other hand, businesses have to restructure their strategies according to the changing automotive wiring harness supplies. However, the market is likely to bounce back after the pandemic. With the gradual removal of lockdowns in various nations, the demand for vehicles has slightly increased, which is predicted to propel the market in the coming years.


LATEST TRENDS


Asia Pacific Automotive Wiring Harness Market Size


Surge in Electric Vehicle (EV) Sales Expected to Drive Market Growth


In 2020, global electric cars sales increased by 41% to about 3 million from the previous year. In 2020, Europeans overtook China as the world's largest buyer of electric vehicles. Europe and China sold about 1.3 million electric cars, four times the number sold in the U.S. Moreover, the EV market has shown substantial growth rates in current years.


Further, in 2020, EV sales will be increased by double digits in several European countries despite the economic crash reflecting two policy measures. Carbon dioxide (CO2) emissions standards in the European Union (EU) play an important role in stimulating electric car sales. The growth in EV numbers is still majorly driven by the government policy environment. The leading countries in the EV market, such as the Netherlands, China, Norway, the U.S., Japan, Germany, Sweden, the U.K., Canada, and France, have a range of policies to encourage the acceptance of electric vehicles. As more EVs come on the road, the market is also anticipated to witness growth as automotive wiring harness is utilized in EVs than conventional fossil fuel-based vehicles.


DRIVING FACTORS


Increasing Trend of Integrated Advanced Features in Vehicles that Propels Market Growth


Today’s cars are advanced with a large number of electronic integrations. By 2022, about 125 million vehicles are expected to be equipped with 5G connections that will hit the roads. Further, the head-up-display units, infotainment systems, and dashboards in vehicles require many electronic and electric components. As these electronic equipment are becoming a standard accessory, car manufacturers and consumers have pushed the electronic component suppliers for more integrations and innovations. Today’s consumers demand more intuitive technology, and they want an in-vehicle experience that allows them to stay connected, entertained, and comfortable. Therefore, car manufacturers look for best-in-class features and technology. These significant factors play an essential role in driving the global market.


Rising Automobile Production to Propel Market Growth


Increasing automotive production globally due to improving economies, increasing purchasing power, and improving lifestyles drive the overall demand for automobiles production. Presently, the Asia Pacific region accounts for the highest volume of automotive output due to the greater need for automobiles, especially in China and India. In addition, increasing financial and regulatory initiatives by governments boost the prospects in this market.


RESTRAINING FACTORS


Corrosive Nature of Wiring Harness Hurdle to Hinder Growth


The issues of reliability and durability associated with the incorporation of wiring harnesses in EVs are projected to hinder the market growth. Further, the corrosive nature of the automotive wiring harness makes it challenging to incorporate into EVs. These factors, in turn, are estimated to restrain in the coming years. Additionally, the manufacturers must invest comprehensively in the research and development of advanced wiring harnesses, which may likely limit the market growth over the forecast period.


SEGMENTATION


By Component Analysis


Terminals Segment to Dominate Owing to Increasing adoption of Advanced Vehicle Technologies


Based on component, the market is segmented into connectors, terminals, electric wires, and others, wherein others include sheaths, convoluted tubes, clamps, grommet, and protectors.


The terminals segment holds a significant share in 2020 and is expected to be the fastest-growing market in the coming years. This is attributed to increasing adoption of advanced vehicle technologies such as connected vehicles and self-driving vehicles. This is a major factor in boosting automotive terminals sales in the coming years.


Moreover, automotive wiring harness connectors used in wiring harnesses are installed in automobiles integrated with technologically advanced safety systems such as vehicle immobilizers, anti-lock braking systems (ABS), and airbags. The need for incorporating safety systems into cars is expected to increase due to increasing incidents of vehicle thefts, thus surging the demand for the segment growth over the forecast period.


By Application Analysis


To know how our report can help streamline your business, Speak to Analyst


Chassis Segment to Dominate Due to its Wide Application Scope in Components


Based on application, the market is segmented into the body, engine, chassis, HVAC, and sensors.


The chassis segment held a major share in 2020 due to its extensive applications cope in components such as infotainment systems, fog lamps, turn indicators, fuel flaps, and headlamps. Further, the sensors segment is anticipated to register the highest CAGR of over 6.6% during the forecast period. This is due to its increasing use in advanced vehicle systems, which include many systems such as battery systems, infotainment systems, lighting systems, and safety and security systems.


By Vehicle Type Analysis


Passenger Car Segment is Expected to Hold the Largest Market Share Owing to Growing Sale of Passenger Cars


Based on vehicle type, the market is classified into commercial vehicles and passenger cars.


The passenger cars segment held the highest global market share in 2020. The growth of the passenger cars segment can be attributed to the growing sale of passenger cars across the world that is directly contributing to the market growth. Moreover, the commercial vehicles segment is projected to be the fastest-growing market from 2021 to 2028.


REGIONAL INSIGHTS


Asia Pacific Automotive Wiring Harness Market Size, 2020 (USD Billion)

To get more information on the regional analysis of this market, Request a Free sample


Asia-Pacific to Dominate the Market Due to Increased Vehicle Production


In terms of geography, the market can be categorized into North America, Europe, Asia Pacific, and the Rest of the World.


Asia Pacific held the lion’s share of the market (with China accounting for the highest market share) and was valued at USD 16.04 billion in 2020. This is due to the growing demand for safety features in vehicles, low labor costs, developing infrastructure, and growing automotive manufacturing. Many prominent automobile manufacturers of luxury cars such as Porsche, Audi, Mercedes Benz, Volkswagen, Daimler, and BMW have dynamically developed their markets in Asia Pacific, particularly China. For instance, according to Statistics from the China Passenger Car Association, in 2020, a total of 2.53 billion luxury vehicles were sold in China.


Moreover, in Europe, Germany is by far the leading importer of automobile wiring harnesses. Also, the key manufacturers have headquarters, logistical centers, and design and testing labs in Germany. Further, increasing EV adoption, innovation in drive technologies, and growing automobile production are expected to surge the demand in Europe.


KEY INDUSTRY PLAYERS


Key Market Players Are Focusing on Collaborations, Partnerships, and New Product Launch Strategies to Gain Competitive Edge


The extremely competitive marketplace comprises key players, including Sumitomo Electric Industries, PKC Group Ltd., Yazaki Corporation, THB Group, Lear Corporation, FURUKAWA ELECTRIC CO., LTD., Nexans Autoelectric GmbH, Leoni AG, Motherson, and Spark Minda. The major companies are focusing on acquisitions, expansions, and partnerships strategy to strengthen their position in the market.


LIST OF KEY COMPANIES PROFILED:



KEY INDUSTRY DEVELOPMENTS:



  • March 2021 – Lear Expands Connection Systems Business Portfolio  Lear Corporation acquired M&N Plastics, the U.S.-based engineered plastic components manufacturer. With this acquisition, Lear expanded its vertical integration capabilities to manufacture complex parts for electrical distribution, including power electronics and high-voltage wire harnesses.

  • January 2020 – Optronics acquires USA Harness Optronics International acquired USA Harness Inc., the U.S.-based electronic control systems and trailer harnesses. The acquisition aimed to expand Optronics business in the commercial vehicle lighting and harness industry.


REPORT COVERAGE


An Infographic Representation of Automotive Wiring Harness Market

To get information on various segments, share your queries with us



The research report provides a detailed automotive wiring harness market forecast analysis and focuses on critical aspects such as leading companies, applications, and vehicle types. The report covers North America, Europe, Asia Pacific, and the Rest of the World automotive wiring harness market statistics from 2021 to 2028. Besides this market report offers insights into the market trends and highlights key industry developments. In addition to the factors above, the report encompasses several factors that have contributed to the market's growth over recent years.




Report Scope & Segmentation

















































  ATTRIBUTE



  DETAILS



Study Period



2017-2028



Base Year



2020



Estimated Year



 2021



Forecast Period



2021-2028



Historical Period



2017-2019



Unit



Value (USD Billion)



Segmentation



By Component



  • Electric Wires

  • Connectors

  • Terminals

  • Others



By Application



  • Body

  • Engine

  • Chassis

  • HVAC

  • Sensors



By Vehicle Type



  • Passenger Cars

  • Commercial Vehicles



By Geography



  • North America (By Component, By Application, By Vehicle Type)

    • U.S. (By Vehicle Type )

    • Canada (By Vehicle Type )

    • Mexico (By Vehicle Type )



  • Europe (By Component, By Application, By Vehicle Type)

    • U.K. (By Vehicle Type )

    • Germany (By Vehicle Type )

    • France (By Vehicle Type )

    • Rest of Europe (By Vehicle Type )



  • Asia-Pacific (By Component, By Application, By Vehicle Type)

    • China (By Vehicle Type )

    • India (By Vehicle Type )

    • Japan (By Vehicle Type )

    • South Korea (By Vehicle Type )

    • Rest of Asia Pacific (By Vehicle Type )



  • Rest of the World (By Component, By Application, By Vehicle Type)




 





Frequently Asked Questions

Fortune Business Insights says that the global automotive wiring harness market size was USD 38.69 billion in 2020 and is projected to reach USD 64.73 billion by 2028.

In 2020, the Asia Pacific automotive wiring harness market value stood at USD 16.04 billion.

The market is projected to grow at a CAGR of 4.7% and will exhibit steady growth in the forecast period (2021-2028).

The passenger cars segment market is expected to be the leading segment during the forecast period.

Increasing electrification of vehicles, expanding demand and usage of hybrid and electric vehicles, and the growing emphasis on safety solutions to propel the market growth.

Asia Pacific dominated the market share in 2020.

Seeking Comprehensive Intelligence on Different Markets?
Get in Touch with Our Experts

Speak to an Expert
  • 2017-2028
  • 2020
  • 2017-2019
  • 200

Personalize this Research

  • Granular Research on Specified Regions or Segments
  • Companies Profiled based on User Requirement
  • Broader Insights Pertaining to a Specific Segment or Region
  • Breaking Down Competitive Landscape as per Your Requirement
  • Other Specific Requirement on Customization
Request Customization Banner

Automotive & Transportation Clients

Asahi
GM
Bosch
KIA
Hitachi

Client Testimonials

“We are quite happy with the methodology you outlined. We really appreciate the time your team has spent on this project, and the efforts of your team to answer our questions.”

- One of the largest & renowned medical research centers based in the U.S. on a report on the U.S. NIPT Market.

“Thanks a million. The report looks great!”

- Feedback from a consultant on a report on the U.S. Beef Market.

“Thanks for the excellent report and the insights regarding the lactose market.”

- Brazil based company specializing in production of protein ingredients.

“I liked the report; would it be possible to send me the PPT version as I want to use a few slides in an internal presentation that I am preparing.”

- Global Digital Services Agency on a report on the Global Luxury Goods Market.

“This report is really well done and we really appreciate it! Again, I may have questions as we dig in deeper. Thanks again for some really good work.”

- U.S.-based biotechnology company focussing on treatment of chronic pain.

“Kudos to your team. Thank you very much for your support and agility to answer our questions.”

- Europe-based provider of solutions to automate data centre operations.

“We appreciate you and your team taking out time to share the report and data file with us, and we are grateful for the flexibility provided to modify the document as per request. This does help us in our business decision making. We would be pleased to work with you again, and hope to continue our business relationship long into the future.”

- India-based manufacturer of industrial and specialty intermediates with a strong global presence.

“I want to first congratulate you on the great work done on the Medical Platforms project. Thank you so much for all your efforts.”

- One of the largest cosmetics company in the world.

“Thank you very much. I really appreciate the work your team has done. I feel very comfortable recommending your services to some of the other startups that I’m working with, and will likely establish a good long partnership with you.”

- U.S. based startup operating in the cultivated meat market.

“We received the below report on the U.S. market from you. We were very satisfied with the report.”

- Global hearing aids manufacturer.

“I just finished my first pass-through of the report. Great work! Thank you!”

- U.S. based solar racking solutions provider.

“Thanks again for the great work on our last partnership. We are ramping up a new project to understand the imaging and imaging service and distribution market in the U.S.”

- World’s leading advisory firm.

“We feel positive about the results. Based on the presented results, we will do strategic review of this new information and might commission a detailed study on some of the modules included in the report after end of the year. Overall we are very satisfied and please pass on the praise to the team. Thank you for the co-operation!”

- Germany based machine construction company.

“Thank you very much for the very good report. I have another requirement on cutting tools, paper crafts and decorative items.”

- Japanese manufacturing company of stationery products.

“We are happy with the professionalism of your in-house research team as well as the quality of your research reports. Looking forward to work together on similar projects”

- One of the Leading Food Companies in Germany

“We appreciate the teamwork and efficiency for such an exhaustive and comprehensive report. The data offered to us was exactly what we were looking for. Thank you!”

- Intuitive Surgical

“I recommend Fortune Business Insights for their honesty and flexibility. Not only that they were very responsive and dealt with all my questions very quickly but they also responded honestly and flexibly to the detailed requests from us in preparing the research report. We value them as a research company worthy of building long-term relationships.”

- Major Food Company in Japan

“Well done Fortune Business Insights! The report covered all the points and was very detailed. Looking forward to work together in the future”

- Ziering Medical

“It has been a delightful experience working with you guys. Thank you Fortune Business Insights for your efforts and prompt response”

- Major Manufacturer of Precision Machine Parts in India

“I had a great experience working with Fortune Business Insights. The report was very accurate and as per my requirements. Very satisfied with the overall report as it has helped me to build strategies for my business”

- Hewlett-Packard

“This is regarding the recent report I bought from Fortune Business insights. Remarkable job and great efforts by your research team. I would also like to thank the back end team for offering a continuous support and stitching together a report that is so comprehensive and exhaustive”

- Global Management Consulting Firm

“Please pass on our sincere thanks to the whole team at Fortune Business Insights. This is a very good piece of work and will be very helpful to us going forward. We know where we will be getting business intelligence from in the future.”

- UK-based Start-up in the Medical Devices Sector

“Thank you for sending the market report and data. It looks quite comprehensive and the data is exactly what I was looking for. I appreciate the timeliness and responsiveness of you and your team.”

- One of the Largest Companies in the Defence Industry
We use cookies to enhance your experience. By continuing to visit this site you agree to our use of cookies . Privacy.
X