ID: MRFR/AM/1282-CR | December, 2016 | Region : Global
Impact of COVID-19 on the Global Automotive Steering System Market
The steering system in an automobile, along with the suspension system, enables the driver to quickly and safely control the direction of the vehicle while driving. The steering system works with components of the suspension, which provides a revolving movement of the wheels. Automotive steering systems offer a comfortable and safe driving experience. The integration of advanced driver assistance systems (ADAS) in vehicles, as well as the enhanced purchasing power of consumers around the world, are some of the factors responsible for the growth of the automotive steering system market. Besides, consumers are more focused on safety and comfort, which leads to an increase in the demand for electronic control over the steering systems. However, the automotive industry has been drastically impacted by the outbreak of the COVID-19 pandemic, which has significantly impacted the product demand and supply chain activity, hampering the growth of the market.
The outbreak also has affected consumer purchasing behavior, as people are focused on buying essential goods owing to the economic crisis. This scenario is responsible for the decline in automobile sales. Besides, the lockdowns have resulted in the shutting down of manufacturing facilities, which has led to a halt in the production of new cars. Factors such as disruptions in the supply chain, permanent closing of small factories owing to the economic crisis, and unavailability of laborers have impacted the growth of the automotive steering system market severely.
According to the MRFR analysis, Asia-Pacific holds the largest share in the market. It is expected to continue its domination over the forecast period owing to the increasing production of vehicles. Relaxations in lockdown restrictions in some countries of the region have helped resume business operations, which is expected to drive the market demand. The resumption of production plants is likely to boost the production and sales of new vehicles, which in turn is expected to increase the adoption of automotive steering systems in new vehicles.
U.S. Motor Vehicle Steering, Suspension, and Brake Systems Manufacturing from 2014 to 2019 (USD Billion)