ID: MRFR/AM/3408-CR | 110 Pages | Published By Swapnil Palwe on October 2022
Automotive Electronic Control Unit Market is expected to be valued at USD 84541.1 million with a CAGR of 5.7% Forecast by 2030
The Global Automotive Electronic Control Unit Market size is projected to be worth USD 84541.1 million by 2030, registering a CAGR of 5.7% during the forecast period (2022–2030).
An automotive electronic control unit (ECU) is one of its most important components in an automotive vehicle. The ECU is responsible for efficient working and high performance of the vehicle as it controls important operations in a vehicle such as fuel injection and engine cooling etc.
The outbreak has significantly impacted the automotive supply chains, international trade, and manufacturing operations across the world. During the first half of 2020, automotive Electronic Control Unit (ECU) production declined amidst the COVID-19 pandemic as market players had to shut production facilities or operate the facilities below the optimal production capacities to avoid the spread of COVID-19. Additionally, the lack of availability of raw materials owing to supply disruptions due to border and trade restrictions has hampered the production of the automotive Electronic Control Unit (ECU). However, some key market players have continued to run their manufacturing facilities. Furthermore, the low demand from the end-use industries has resulted in surplus stocks and, thus, reduced production. The pandemic has affected the business environment for several organizations worldwide.
The supply chain in the global automotive Electronic Control Unit (ECU) market is the key to fulfilling customer demands. In addition, due to the COVID-19 pandemic, several countries placed import and export restrictions. This has also affected the automotive industry as many countries are dependent on other countries for raw material supply and technology. Raw materials required for manufacturing automotive Electronic Control Unit (ECU) such as steel, aluminum, magnesium, copper, plastics, and others had a shortage due to trade barriers that hampered the automotive electronic control unit market. However, the rising demand for passenger and commercial vehicles across all segments and enabling the automobile market to resume its operations worldwide which help the market to grow steadily.
The automotive industry is racing toward a new world of increased sustainability, changing consumer behaviour, electric vehicles, connected cars, mobility fleet sharing, and better lifestyles. The automotive sector is most promising in developing countries such as India, China, and Brazil. Furthermore, global demand for electric vehicles boosts demand for electronic control units (ECU) in these vehicles. For example, China is the leading market for electric vehicles; thus, the advancement of electric vehicles can be linked to an increase in demand for ECU in the region, which currently has the largest market share in terms of revenue and volume.
Electronic control units' growing complexity and sophistication are significant factors limiting the automotive electronic control unit market growth. The ECU's software has a higher code count for various functions, which increases its complexity. As the number of ECUs increases, the network structure becomes more complex, and communication issues with the ECUs cause serious technical faults in vehicles. The issues raised by using multiple ECUs impede ECU integration in commercial and passenger vehicles, particularly in low-cost vehicles.
The demand for electric and hybrid vehicles is expected to provide automotive manufacturers with a lucrative growth opportunity. Major luxury car manufacturers are introducing electric variants of their vehicles in response to growing environmental concerns and rising fuel prices. Furthermore, governments are providing enticing incentives and policies to encourage the sale of electric vehicles (EVs), which is expected to drive the growth of the electronic control unit (ECU) market. Such changes in the automotive industry are expected to have an impact on automakers, electronic component manufacturers, aftermarkets, and the industry's supply chain.
The dimensions, technology, working conditions, vehicle type, and applications are analyzed in the R&D stage to effectively design and develop the automotive electronic control module. In the research stage, the design, components, material type, size, and shape of the automotive Electronic Control Unit are determined according to the application of the product, design standards, and component requirements. In this stage, the manufacturers of automotive Electronic Control Unit (ECU) procure the necessary component from the suppliers. The components required for an automotive Electronic Control Unit (ECU) are processors, hardware, software, microcontroller, current-carrying devices, and others. These components are selected based on the friction resistance, corrosion resistance, strength of the material, and end-use application of the automotive Electronic Control Unit.
Automotive electronic control module is equipped and designed according to their specific end-use. Manufacturers initiate the process by designing the solutions based on the peculiarities of the application area. After the component procurement, manufacturers assemble the automotive electronic control module using the manufactured components according to the vehicle's dynamic requirements. After the manufacturing process is completed, the finished products are sent to various distributors and suppliers, such as independent dealers, company dealers, and retailers who work as a channel to provide the final automotive electronic control module to various aftermarket suppliers and individuals. The increased demand for automotive electronic control modules requires a strong distribution channel due to urbanization & commercialization, increased manufacturing facilities, and the growing automotive industry. The end users of the Automotive Control Units are the automotive OEMs and aftermarket buyers. Automotive OEM companies purchase the automotive Electronic Engine Control Unit directly from manufacturers. The aftermarket buyers purchase the automotive electronic control module from authorized dealers. The aftermarket buyers' selection of the automotive Automotive Control Units primarily depends on their specifications and cost. The selection depends on the vehicle type, technical specifications, and aftermarket services.
Based on Type:
Powertrain Control Module, Body Control Module, Chassis Control Module, ADAS Control Module, and Other are the segments based on the application of the Global Automotive Electronic Control Unit Market. The Powertrain Control Module segment is expected to have the highest CAGR and dominate the market share during the forecast period. A powertrain control module is an automotive component, a control unit, used on motor vehicles. It is a combined controller that includes the engine control unit (ECU) and the transmission control unit (TCU). PCM has multiple advantages, including light weight, compactness, ease of installation, and various other warning lights displayed for safety. As a result, PCM is gaining traction among electric and hybrid vehicle makers.
Based on Application Category:
Powertrain, Vehicle Safety, Comfort, Infotainment and Telematics are the segments based on the application of the Global Automotive Electronic Control Unit Market. The Powertrain segment is expected to have the highest CAGR and dominate the market share during the forecast period. A powertrain is an assembly of every component that pushes the vehicle forward. The key components of a powertrain system include an engine, transmission, driveshaft, axles, and differential. The relevance of the Powertrain Control Module (PCM) in improving fuel economy and reacting to worldwide environmental standards by reducing exhaust pollutants has been recognized.
Based on Vehicle Type:
Passenger vehicle and Commercial vehicle are the segments based on the application of the Global Automotive Electronic Control Unit Market. The Passenger vehicle segment is expected to have the highest CAGR and dominate the market share during the forecast period. The passenger segment can be further sub-segmented into hatchback cars, multi-purpose vehicles, sports utility vehicles, and sedans. The demand for automotive electronic control units (ECU) market also increasing due to improved driver safety and the high demand for an electronic control module in high-end automotive.
The regions are classified as North America, Europe, Asia-Pacific, Middle East & Africa, and South America. Asia-Pacific is estimated to hold the highest revenue market share throughout the forecast period. Asia-Pacific is one of the major regional markets for the Automotive Control Units. The Automotive Control Units market size in Asia-Pacific stood at USD 25.08 billion in 2021. The region holds dominance in the global automotive electronic control units market. It continues to maintain its dominance over the forecast period owing to the growing demand for passenger cars in this region and the purpose it the rising disposable income of people. The rapid growth of the automobile sector in countries like India, China, and South Korea provides numerous opportunities to include ECU in new vehicles. Furthermore, increased demand for personal vehicles drives automobile production and opens new avenues for market expansion in this region.
Europe is the second-largest market, with healthy growth predicted during the forecast period. The strict government rules on automobile emissions are the primary driver of automotive electronic control units market growth in this region. Europe's share will significantly grow in the automotive ECU market. The area is home to many luxury car manufacturers who host various advanced electronic devices and sensors in their vehicles. This is expected to be the most crucial factor in the growth of the automotive ECU market in this region. Due to increased demand for autonomous vehicles, Europe is expected to account for a significant portion of the automotive industry's global electronic control module.
The global Automotive Electronic Control Unit (ECU) market is characterized by the presence of many regional and local vendors. The global market is highly competitive, with all the players competing to gain a larger market share. The vendors compete based on cost, product quality, reliability, and aftermarket services. Therefore, vendors must provide cost-effective and efficient products to survive and succeed in a competitive market environment.
Automotive Electronic Control Unit Market Report Overview:
The Global Automotive Electronic Control Unit Market is segmented based on Type, Application Category, Vehicle Type, And Region in this report. The report is focused on various analytical aspects such as market dynamics, Supply chain analysis, Porter’s five forces, competitive landscape, recent developments, and company profiles. The insights in this report, comprise, discuss views, and predict the emerging and fast-growing segments, regions, and countries with potential for development in the Global Automotive Control Units Market.
By Application Category:
By Vehicle Type:
Objectives of the Study
|Market Size||2030: USD 84541.1 Million|
|Historical Data||2019 & 2020|
|Forecast Units||Value (USD Million)|
|Report Coverage||Revenue Forecast, Competitive Landscape, Growth Factors, and Trends|
|Segments Covered||Type, Application Category, Vehicle Type, And Region|
|Geographies Covered||North America, Europe, Asia-Pacific, Middle East & Africa, and South America|
|Key Vendors||Denso Corporation (Japan), Delphi Automotive (Ireland), Robert Bosch (Germany), Hyundai Mobis (South Korea), Continental AG (Germany), Lear Corporation (US), Hitachi Automotive Systems (Japan), Panasonic Corporation (Japan), Magneti Marelli (Italy), Pektron Group (UK)|
|Key Market Opportunities||Increasing demand for electric and hybrid vehicles|
|Key Market Drivers||The growing popularity of automotive driver-assisted system (ADAS) technology Increase in demand for automotive|
Automotive Electronic Control Unit Market is Expected to Reach USD 84541.1 Million By 2030.
Automotive Electronic Control Unit Market Growing at a CAGR of 5.7% During the Forecast Period of 2022 – 2030.
List of Key Players Such as Denso Corporation, Delphi Automotive, Robert Bosch, Hyundai Mobis, Continental AG, Lear Corporation, Hitachi Automotive Systems, Panasonic Corporation, Magneti Marelli, Pektron Group.
The growing popularity of automotive driver-assisted system (ADAS) technology Increases demand in the Automotive Electronic Control Unit Market.
The Asia Pacific Region Holds the Highest Revenue Market Share During the Forecast Period 2022 - 2030.