Impact of COVID-19 on the Global Automotive Cockpit Electronics Market
The COVID-19 outbreak has severely impacted the automotive industry across the world. In March 2020, the announcement of COVID-19 as a global pandemic resulted in lockdowns being imposed in various countries. These lockdowns have temporarily shut down manufacturing companies and enforced curfews, which has caused a sharp decline in the manufacture of various auto products across the globe. Besides, factors such as disruptions in the supply chains and unavailability of raw materials and labor have slowed down the production of vehicles. Most of the manufacturing companies have halted their manufacturing operations in countries such as China, India, South Korea, and a few European countries. The companies are also shifting their operations from China to other countries due to the COVID-19 pandemic. China is the production hub for automotive parts owing to the availability of raw materials and technological innovations. The key factor fueling the market growth is the increasing demand for advanced autonomous cars. However, the COVID-19 pandemic has caused uncertainties in the production of autonomous vehicles, which, in turn, is hindering the growth of the market.
The increasing need for enhancing the driving experience and safety, as well as the integration of smartphones with vehicles, is also responsible for the growth of the automotive cockpit electronics market. However, COVID-19 has also drastically impacted the electronics and display industries. The halt in the production of smartphones due to the lockdowns has delayed the integration of smartphones with vehicles, which, in turn, is hampering the growth of the market. On the flip side, the existing autonomous cars are playing a vital role in the fight against the pandemic. Restrictions on dining, retail, and everyday activities have increased the demand for non-contact operations and driverless deliveries, which rely on autonomous driving technologies. Autonomous vehicles help in delivering essential medical supplies and food to the public in infected areas, disinfecting hospitals, and transporting health-care professionals to reduce the spread of COVID-19.
Passenger Car Production in 2019 (Units in Million)