Automotive Brake System Market Is Estimated To Witness High Growth...

Automotive Brake System Market Is Estimated To Witness High Growth Owing To Rising Vehicle Production

Posted 2023-11-30 10:12:18

The global Automotive Brake System Market is estimated to be valued at US$ 29.86 Mn in 2023 and is expected to exhibit a CAGR of 4.2% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.

Market Overview:
The automotive brake system market involves manufacturing of braking components used in vehicles. Brake systems are essential safety components installed in all motor vehicles to reduce speed and stop the vehicle when required. Major products in the market include disc brakes, drum brakes, brake shoes, brake pads, brake fluid, brake hoses, brake master cylinders, and brake boosters. Braking systems play a crucial role in ensuring road safety.

Market Dynamics:
The automotive brake system market is expected to grow owing to rising vehicle production across the globe. As per International Organization of Motor Vehicle Manufacturers, annual global vehicle production reached over 95 million units in 2019 and is estimated to surpass 100 million units by 2023. Growing vehicle parc will subsequently drive demand for brake systems. Moreover, technological advancements in brake systems such as anti-lock braking system (ABS), electronic brake-force distribution (EBD), regenerative braking, and traction control system are also fueling market growth. ABS prevents wheel lockup and maintains steering control during braking, while EBD automatically varies brake pressure on each wheel to optimize braking performance. Adoption of such advanced technologies is increasing in passenger as well as commercial vehicles to enhance safety and driving comfort.

SWOT Analysis
Strength: The automotive brake system market has seen steady growth in recent years. It has strong brand recognition and loyalty from customers. Manufacturers have extensive R&D capabilities to develop improved product features. There is a focus on introducing electric braking technologies to reduce emissions.
Weakness: Production costs are increasing due to rising raw material prices. Supply chain disruptions are common due to COVID-19 pandemic restrictions. Smaller manufacturers face challenges in competing with large multinational brands.
Opportunity: The adoption of regenerative braking systems in electric vehicles provides new opportunities for revenue growth. Stringent safety norms will boost demand for advanced braking technologies. Growth in commercial vehicle sales in emerging markets is a key driver.
Threats: Shift to shared mobility may reduce individual vehicle ownership rates over time. Stringent emission regulations raise compliance costs. Trade war tensions can disrupt global supply chain dynamics.

Key Takeaways

The Global Automotive Brake System Market Demand is expected to witness high growth, exhibiting a CAGR of 4.2% over the forecast period, due to increasing vehicle production and stricter safety regulations.

Regional analysis: Asia Pacific dominates the global market, accounting for over 35% share, led by China, India, and Japan. The region is projected to be the fastest growing as well due to rising vehicle ownership in developing nations. Europe and North America are also major markets driven by presence of leading global automakers and technology innovators.

Key players: Key players operating in the automotive brake system market are ZF TRW Co., Akebono Brake Industry Co., TVS Brake Linings Co., Brembo SpA, Performance Friction Corporation (PFC) Brakes, Robert Bosch GmbH, Hella Pagid GmbH, Continental AG, Federal-Mogul Holding Co., Disc Brakes Australia (DBA), and Aptiv PLC (Delphi). The market is highly consolidated with top five players holding over 50% share. Industry leaders are focusing on diversification, connectivity solutions, and emerging brake technologies.