July 16, 2024
Automotive Wiring Harness Market

Global Automotive Wiring Harness Market Is Estimated To Witness High Growth Owing To Increasing Demand For Electric and Hybrid Vehicles

Automotive wiring harnesses are essential components in vehicles as they provide a systematic and organized approach to connecting various electrical and electronic devices. These harnesses are designed to transmit signals or electrical power efficiently and reliably across the vehicle. They are made up of a combination of wires, connectors, and terminals, which are held together with protective materials such as conduit, tubing, or sleeves.

The automotive wiring harness market is estimated to be valued at US$ 53.58 Mn in 2023 and is expected to exhibit a CAGR of 7.7% over the forecast period 2023-2030, as highlighted in a new report published by Coherent Market Insights.

Wiring harnesses offer several advantages, including reduced overall weight, improved fuel efficiency, enhanced electrical performance, and simplified maintenance and repair processes. With the increasing demand for electric and hybrid vehicles, the market for automotive wiring harnesses is witnessing significant growth. These vehicles require advanced wiring harnesses to accommodate the complex electrical systems, including batteries, electric motors, and charging infrastructure.

Market Key Trends

One key trend driving the automotive wiring harness market is the growing adoption of electric and hybrid vehicles. As countries strive to reduce carbon emissions and promote environmental sustainability, there has been a shift towards electric mobility. This has resulted in increased production of electric and hybrid vehicles globally. Electric vehicles require specialized wiring harnesses to support high voltage systems and ensure the safe and efficient transfer of power. Therefore, the demand for automotive wiring harnesses is expected to surge in line with the rising adoption of electric and hybrid vehicles.

For example, major automotive manufacturers such as Tesla, Nissan, and BMW have made significant investments in electric vehicle production. Tesla’s Model 3 alone accounted for nearly 16% of global electric vehicle sales in 2020. This increasing demand for electric vehicles is driving the need for advanced wiring harnesses, thus fueling the market growth.

PEST Analysis

  • Political: Governments worldwide are implementing stringent emission regulations and promoting electric vehicle adoption through various incentives and subsidies.
  • Economic: The automotive sector plays a crucial role in the global economy, contributing to GDP growth and job creation.
  • Social: Growing awareness about environmental issues and the need for sustainable transportation is driving consumer preferences towards electric and hybrid vehicles.
  • Technological: Rapid advancements in automotive technology, including autonomous driving and connected vehicles, are increasing the complexity of wiring harnesses.

Key Takeaways

  • The global automotive wiring harness market is expected to witness high growth, exhibiting a CAGR of 7.7% over the forecast period, due to increasing demand for electric and hybrid vehicles.
  • Asia Pacific is anticipated to be the fastest-growing and dominating region in the automotive wiring harness market. The region is witnessing rapid industrialization, economic growth, and expanding automotive production.
  • Key players operating in the global automotive wiring harness market include Sumitomo Electric Industries, Ltd, Lear Corporation, Leoni AG, Motherson Group, Yazaki Corporation, Aptiv PLC, Furukawa Electric Co, Delphi Automotive LLP, Nexans Autoelectric, Yura Corporation, THB Group, BorgWarner, Inc, Nexans Autoelectric GmbH, and AmWINS Group Inc.

In conclusion, the global automotive wiring harness market is poised for significant growth, driven by the increasing demand for electric and hybrid vehicles. The market offers immense opportunities for key players due to technological advancements and evolving consumer preferences towards sustainable transportation.

1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it