Automotive wire and cable materials are crucial components for power distribution and data transmission in vehicles. Advantages such as high conductivity, corrosion resistance, flexibility, and durable nature have increased the need for automotive wire and cable materials in electric vehicles.
The global Automotive Wire and Cable Materials Market is estimated to be valued at US$ 4930.42 Mn in 2023 and is expected to exhibit a CAGR of 5.0% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market key trends:
Increasing production of electric vehicles has been a major trend propelling the growth of the automotive wire and cable materials market. Automotive wires play a critical role in efficient power transmission and distribution in electric vehicles. The growing acceptance of electric mobility to curb vehicular emissions has accelerated the production of electric passenger cars worldwide. According to the International Energy Agency, the global electric car fleet reached 10 million in 2020, up from just 2 million in 2017. This rise in electric vehicles will augment the demand for high-quality wire and cable materials in automotive applications going forward.
SWOT Analysis
Strength: The automotive wire and cable materials market has strong growth prospectus due to rising demand for vehicles across the globe. Manufacturers are investing in developing advanced and durable materials to meet the rigorous requirements of automotive industry.
Weakness: High raw material costs and pricing pressures from automobile manufacturers poses challenge for materials providers. Frequent changes in government regulations regarding vehicle emission and fuel efficiency standards also impacts product development cycles.
Opportunity: Growing electric vehicles market presents lucrative opportunity for materials suppliers to develop specially engineered wire and cable solutions for EVs. Increasing automobile production in emerging economies of Asia Pacific also boosts market opportunity.
Threats: Competition from substitute materials poses threat to established players. Volatile commodity prices and economic slowdowns impact automobile sales and subsequently demand for wire and cable materials.
Key Takeaways
The Global Automotive Wire And Cable Materials Market Size is expected to witness high growth. The global Automotive Wire and Cable Materials Market is estimated to be valued at US$ 4930.42 Mn in 2023 and is expected to exhibit a CAGR of 5.0% over the forecast period 2023 to 2030.
The Asia Pacific region currently dominates the global automotive wire and cable materials market and is expected to maintain its leading position during the forecast period. Countries like China, Japan, India are witnessing exponential rise in automobile production which is driving the demand for high quality materials in this region. North America and Europe are other major markets owing to presence of many automakers as well as materials manufacturers.
Key players operating in the automotive wire and cable materials market are Abbott Laboratories, Thermo Fisher Scientific, Inc, Drägerwerk AG & Co. KGaA, Laboratory Corporation of America Holdings, Quest Diagnostics, Alfa Scientific Designs, Inc, Lifeloc Technologies Inc, Lion Laboratories Limited, OraSure Technologies, Inc, Omega Laboratories, Inc., Shimadzu Corporation, Siemens Healthineers, F. Hoffmann-La Roche AG, Premier Biotech, Inc, Psychemedics Corporation, Innovative Testing Solutions, Biopanda Reagents Ltd, Alpha Laboratories, Matrix Diagnostics, Atlas Medical, Rapid Labs Limited, and Randox Laboratories Ltd.
The global market is consolidated in nature with top players accounting for major share. Companies are focusing on new product innovations, expansions and mergers & acquisitions to strengthen their market position. For instance, Thermo Fisher Scientific acquired clinically-focused diagnostics company PPD to enhance its capabilities in clinical trials testing services.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
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