The ASEAN Automotive AfterMarket consists of replacement parts, accessories, tires, and maintenance services for automobiles. These products ensure vehicle uptime and increase lifespan. The demand for replacement parts is increasing as the number of vehicles on road rises in ASEAN nations. Continued usage leads to part replacement needs.
The global ASEAN Automotive AfterMarket is estimated to be valued at US$ 28.7 Bn in 2023 and is expected to exhibit a CAGR of 9.8% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market key trends: Increased demand for replacement parts is one of the key trends driving growth in the ASEAN Automotive AfterMarket. As vehicles age, typicalwear and tear leads to replacement needs for parts like tires, brakes, filters, belts etc. This is prompting higher demand for original equipment and non-original spare parts. The large vehicle parc in ASEAN countries will continue requiring regular maintenance and repairs, propelling the aftermarket industry.
SWOT Analysis
Strength: The ASEAN region has strong automotive manufacturing industries across major countries like Thailand, Indonesia, and Malaysia which boosts the demand for automotive aftermarket parts.
Weakness: Unorganized and fragmented aftermarket hampers the growth of branded players. Lack of availability of genuine spare parts especially in rural areas is also a concern.
Opportunity: Increasing vehicle usage and rising demand for used cars provide opportunities for aftermarket players to penetrate further. Advancements in technology are enabling predictive vehicle maintenance.
Threats: Growing preference for electric vehicles may impact components demand over the long run. Stringent emission norms requiring upgrades is another challenge.
Key Takeaways
The global ASEAN automotive aftermarket size is expected to witness high growth over the forecast period driven by rising vehicle parc and demand for maintenance and repairs. The global ASEAN Automotive AfterMarket is estimated to be valued at US$ 28.7 Bn in 2023 and is expected to exhibit a CAGR of 9.8% over the forecast period 2023 to 2030.
Southeast Asia dominates the ASEAN automotive aftermarket and is expected to remain the major revenue generator over the next decade led by countries such as Thailand, Indonesia and Malaysia. These countries have a well-established automotive industry and large vehicle fleet which drives aftermarket growth.
Key players related content comprises Key players operating in the ASEAN automotive aftermarket are Bridgestone Corporation, Denso Corporation, Hella KGaA, BorgWarner Inc., Robert Bosch GmbH, Continental AG, Enkei Corporation, F.C.C. Co.,Ltd., Mitsuba Corp., Schlemmer, Showa Corporation, Yachio Industry Co., Ltd., TOYOTA MOTOR CORPORATION, and ZF Friedrichshafen AG. Original equipment manufacturers like Denso, Bosch, and Continental have a significant presence in the region through their distribution networks and automotive parts manufacturing plants catering to both domestic and export markets.
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