Automotive OEM Market Research Report—Global Forecast till 2032

Automotive OEM Market Research Report Information By Component (Powertrain, Chassis, Electronics and Electrical, External Body, and Car Interiors), By Vehicle Type (Commercial Vehicles, Passenger Cars, And Electric Cars), by Distribution Channel (Retailers, Wholesalers, and Distributors), And By Region (North America, Europe, Asia-Pacific, And Rest Of The World) –Market Forecast Till 2032

ID: MRFR/AM/10016-HCR | 128 Pages | Author: Sejal Akre | March 2024         

Automotive OEM Market Overview 


Automotive OEM Market Size was valued at USD 34.6 billion in 2022. The Automotive OEM market is projected to grow from USD 36.0 Billion in 2023 to USD 50.5 billion by 2032, exhibiting a compound annual growth rate (CAGR) of 4.3% during the forecast period (2023 - 2032). As a result of technological advancements and alterations in product offerings, the automotive OEM market has considerable growth potential and is expected to expand over the forecast period. These are the key market drivers enhancing market growth.


Automotive OEM Market Overview           


Source: Secondary Research, Primary Research, MRFR Database and Analyst Review


Original Equipment Manufacturer Market Trends




  • Rising demand for electric vehicles is driving the market growth




Market CAGR can be attributed to the rising demand for electric vehicles, environmental concerns, and major corporations' focus on carbon emission reduction are all factors propelling the global growth of the Automotive Oem Market. OEM is a term frequently used in the automotive and information technology industries. Initially, it was associated with a company that manufactured a product that another company subsequently resold or renamed. However, the meaning of this phrase has evolved, and it now has a different connotation. For instance, OEM can refer to a company that manufactures the components that another company employs to assemble an entire system. In other instances, the business rebrands and sells another company's products.


Automotive Original Equipment Manufacturer coatings are a vital component of the automotive manufacturing industry. It functions as a shield against a hostile environment. Coatings for automobiles are of the utmost quality and durability. Moreover, automotive coatings have superior mechanical properties that safeguard vehicles from chemical exposure and blemishes. Coatings for automobile interiors enhance the surface's aesthetic appeal and impart tangible qualities that emanate comfort and luxury. Numerous precautions are taken when applying these coatings to prevent corrosion, and they can also withstand UV radiation. The coating process includes the base coat, primer, and clearcoat phases, with the clearcoat providing a transparent and glossy finish. In the automotive industry, the coating is commonly used to improve the appearance and performance of vehicles.


As countries adopt stricter fuel efficiency requirements, there will be an increase in demand for lightweight, fuel-efficient OEM parts. The demand for lightweight, fuel-efficient components will drive the expansion of the industry. The market is anticipated to be driven throughout the forecast period by the government's diverse efforts to employ original products to reduce pollution and the rising disposable income in developing nations. In addition, the increasing demand for premium and hybrid vehicles in developing nations is anticipated to expand the market for original automotive equipment manufacturers.


In the coming years, the market for automotive original equipment manufacturers is anticipated to expand due to rapid technological advancements, increased demand for diesel engine vehicle filters, batteries, and innovation in automotive parts with the assistance of qualified and experienced technical staff. Service providers offer washing, lubrication, battery maintenance, and tire services. Periodic maintenance of motor vehicles is necessary. Due to the deployment of advanced connectivity features and the utilization of sensor data for maintenance, the market for automotive original equipment manufacturers will increase. Thus, driving the Original Equipment Manufacturer Market revenue.


Original Equipment Manufacturer Market Segment Insights


Automotive Original Equipment Manufacturer Component Insights


The Automotive OEM Market segmentation, based on component, includes powertrain, chassis, electronics and electrical, external body, and car interiors. The powertrain category dominated the market, accounting for 35% of market revenue (22.3 billion). The expansion of this market segment is due to the demand for electric vehicles. Environmental concerns and energy consumption are accelerating the adoption of powertrains. In the automotive OEM market, the development of the powertrains segment is anticipated to be influenced by the increasing innovation of hybrid vehicles produced by renowned automakers.


Figure 1: Automotive OEM Market, by Component, 2022 & 2032 (USD billion)


Automotive OEM Market, by Component, 2022 & 2032


Source: Secondary Research, Primary Research, MRFR Database and Analyst Review


Automotive Original Equipment Manufacturer Vehicle Type Insights


The Automotive OEM Market segmentation, based on vehicle type, includes commercial vehicles, passenger cars, and electric cars. The segment of commercial vehicles is anticipated to maintain its dominance throughout the forecast period. Automotive original equipment manufacturers are concentrating on environmentally sustainable solutions and developing commercial vehicles with lower carbon emissions. In addition, an increase in e-commerce-related logistics and transportation is a key factor fueling the commercial vehicle segment.


Automotive Original Equipment Manufacturer Distribution Channel Insights


The Automotive OEM Market segmentation, based on distribution channel, includes retailers, wholesalers, and distributors. As of 2022, the number of wholesalers sales directly to consumers through the various service centers that purchase OEM in bulk quantities has increased.


Automotive Original Equipment Manufacturer Regional Insights


By Region, the study provides market insights into North America, Europe, Asia-Pacific, and the Rest of the World. The United States dominates the North American region. Due to technological advancements, this industry's market is expanding. The production of high-performance automobiles also contributes significantly to expanding this country's market. In addition, the development of automatic vehicles is boosting the regional automotive OEM market.


Further, the major countries studied in the market report are The U.S., Canada, German, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.


Figure 2: AUTOMOTIVE OEM MARKET SHARE BY REGION 2022 (%)


AUTOMOTIVE OEM MARKET SHARE BY REGION 2022


Source: Secondary Research, Primary Research, MRFR Database and Analyst Review


Europe Automotive OEM market accounts for the second-largest market share. The European market is expanding due to the region's consistent employment growth. Germany has become the dominant nation. These factors are inflating the population's GDP. Further, the German Automotive OEM market held the largest market share, and the UK Automotive OEM market was the fastest growing market in the European region


The Asia-Pacific Automotive OEM Market is expected to grow at the fastest CAGR from 2023 to 2032. Rising environmental consciousness and developing cleaner vehicles with sustainable fuels are anticipated to boost the Korean market for Automotive Original Equipment Manufacturer. Favorable government policies are anticipated to cultivate opportunities for market leaders further. Moreover, China’s Automotive OEM market held the largest market share, and the Indian Automotive OEM market was the fastest growing market in the Asia-Pacific region.


It has been determined that insurance companies base their vehicle insurance premiums and policies on the security levels of newly manufactured vehicles. In Japan, a large consumer base prefers personal vehicles with high-tech solutions to obtain a lower premium rate. This factor is anticipated to stimulate the growth of the automotive OEM market in the country.


Automotive Original Equipment Manufacturer Key Market Players & Competitive Insights


Leading market players invest rapidly during the forecast period to stay ahead of the competition curve. Additionally, the market leaders are integrating a wider range of market developments such as new product launches, contractual agreements, mergers and acquisitions, higher investments, and collaboration with other organizations. Additionally, our research indicates that the market leaders Automotive OEM industry are investing in offering solutions at a competitive price to gather consumers.


One of the major steps that the leaders in the global Automotive OEM industry are undertaking is operating their manufacturing plants at a local level. During the forecast period, the market leaders in the Automotive OEM industry are offering various products to their portfolio. Major players in the Automotive OEM market, including Toyota Motor Corporation, Volkswagen AG, Nissan, Honda Motor Co., Magna International Inc., and Continental AG, are investing in increasing their global presence.


Volkswagen AG, also known as the Volkswagen Group internationally, is a German multinational automaker headquartered in Wolfsburg, Lower Saxony, Germany. The company designs manufactures, and distributes passenger and commercial vehicles, electric motorcycle, engines, and turbomachinery and offers financing, leasing, and fleet management services. In 2016, it was the largest automaker in the globe in terms of sales, and it maintained this position in 2017, 2018, and 2019, selling 10.9 million vehicles. Over the past two decades, it has maintained the largest market share in Europe. It ranked seventh on the 2020 Fortune Global 500 list of the world's largest corporations. The Volkswagen Group sells automobiles under the Audi, Bentley, Cupra, Jetta, Lamborghini, Porsche, SEAT, Skoda, and Volkswagen brands, as well as motorcycles under the Ducati brand, light commercial vehicles under the Volkswagen Commercial Vehicles brand, and heavy commercial vehicles via the brands of listed subsidiary Traton (Navistar, MAN, Scania, and Volkswagen Truck & Bus). It is divided into two major divisions: Automotive and Financial Services.


Nissan Motor Corporation, frequently abbreviated to Nissan,[a] is a Japanese multinational automotive manufacturer headquartered in Nishi-ku, Yokohama, Japan. The company distributes its automobiles under the Nissan, Infiniti, and formerly the Datsun brands, as well as Nismo-branded performance-tuning products (including automobiles). The company dates back to the early 20th century, when the Nissan Zaibatsu, now known as Nissan Group, was founded. Since 1999, Nissan has been a member of the Renault–Nissan–Mitsubishi Alliance (Mitsubishi Motors joined in 2016), a partnership between Japanese automakers Nissan and Mitsubishi Motors and French automaker Renault. Renault held a 43.4% voting stake in Nissan until January 2023, while Nissan held a 15% non-voting stake in Renault. In a reorganization that occurred in January 2023, Renault's voting equities were reduced to 15%, bringing both manufacturers' voting stakes to parity. Since October 2016, Nissan has controlled Mitsubishi Motors with a 34% stake.


Key Companies in the Automotive OEM market include



  • Toyota Motor Corporation

  • Volkswagen AG

  • Nissan

  • Honda Motor Co.

  • Magna International Inc.

  • Continental AG

  • CIE automotive

  • Siemens

  • BMW AG

  • Exide Industries Limited

  • Denso Corp

  • Robert Bosch, GMbH.

  • Valeo

  • Aptiv

  • Ford Motor Company

  • Mitsubishi Motors Corp


Automotive OEM Industry Developments


July 2021 MasterBeat Corporation declared that its JTEC Autoworld subsidiary had launched the Amazon retail segment of its online automotive parts platform. JTEC intends to use Amazon and multiple other e-commerce platforms to increase the sales and marketing of automotive OEM products.


Automotive OEM Market Segmentation


Automotive OEM Component Outlook (USD Billion, 2018-2032)



  • Powertrain

  • Chassis

  • Electronics and Electrical

  • External Body

  • Car Interiors


Automotive OEM Vehicle Type Outlook (USD Billion, 2018-2032)



  • Commercial vehicles

  • Passenger cars

  • Electric cars


Automotive OEM Distribution Channel Outlook (USD Billion, 2018-2032)



  • Retailers

  • Wholesalers

  • Distributors


Automotive OEM Regional Outlook (USD Billion, 2018-2032)



  • North America

    • US

    • Canada



  • Europe

    • Germany

    • France

    • UK

    • Italy

    • Spain

    • Rest of Europe



  • Asia-Pacific

    • China

    • Japan

    • India

    • Australia

    • South Korea

    • Australia

    • Rest of Asia-Pacific



  • Rest of the World

    • Middle East

    • Africa

    • Latin America



Report Scope:

Report Attribute/Metric Details
Market Size 2022 USD 34.6 billion
Market Size 2023 USD 36.0 billion
Market Size 2032 USD 50.5 billion
Compound Annual Growth Rate (CAGR) 4.3% (2023-2032)
Base Year 2022
Market Forecast Period 2023-2032
Historical Data 2018- 2022
Market Forecast Units Value (USD Billion)
Report Coverage Revenue Forecast, Market Competitive Landscape, Growth Factors, and Trends
Segments Covered Component, Vehicle Type, Distribution Channel, and Region
Geographies Covered North America, Europe, Asia Pacific, and the Rest of the World
Countries Covered The U.S., Canada, German, France, UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil
Key Companies Profiled Toyota Motor Corporation, Volkswagen AG, Nissan, Honda Motor Co., Magna International Inc., Continental AG, CIE automotive, Siemens, BMW AG., Exide Industries Limited, Denso Corp, Robert Bosch, GMbH., Valeo, Aptiv, Ford Motor Company., and Mitsubishi Motors Corp.
Key Market Opportunities Increasing Sales of Electric Vehicles
Key Market Dynamics Rising Focus of Digital Experiences on Consumers
 



Frequently Asked Questions (FAQ) :

The Automotive OEM Market size was valued at USD 34.6 Billion in 2022.

The global market is projected to grow at a CAGR of 4.3% during the forecast period, 2023-2032.

North America had the largest share in the global market

The key players in the market are Toyota Motor Corporation, Volkswagen AG, Nissan, Honda Motor Co., Magna International Inc., and Continental AG.

The powertrain category dominated the market in 2022.

The commercial vehicle had the largest share in the global market.

Key Questions Answered

  • Global Market Outlook
  • In-depth analysis of global and regional trends
  • Analyze and identify the major players in the market, their market share, key developments, etc.
  • To understand the capability of the major players based on products offered, financials, and strategies.
  • Identify disrupting products, companies, and trends.
  • To identify opportunities in the market.
  • Analyze the key challenges in the market.
  • Analyze the regional penetration of players, products, and services in the market.
  • Comparison of major players’ financial performance.
  • Evaluate strategies adopted by major players.
  • Recommendations
Request Free Sample

Why Choose Market Research Future?

  • Vigorous research methodologies for specific market.
  • Knowledge partners across the globe
  • Large network of partner consultants.
  • Ever-increasing/ Escalating data base with quarterly monitoring of various markets
  • Trusted by fortune 500 companies/startups/universities/organizations
  • Large database of 5000+ markets reports.
  • Effective and prompt pre- and post-sales support.
Speak to Analyst
Leading companies partner with us for data-driven Insights.
Client logo Client logo Client logo Client logo Client logo Client logo Client logo Client logo Client logo Client logo

Kindly complete the form below to receive a free sample of this Report

Please fill in Business Email for Quick Response
Invalid