Market Size of Automotive Wiring Harness Industry
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| CAGR | 4.22 % |
| Fastest Growing Market | North America |
| Largest Market | Asia-Pacific |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
Need a report that reflects how COVID-19 has impacted this market and its growth?
Automotive Wiring Harness Market Analysis
The automotive wiring harness Market size was USD 37.03 billion in 2022 and is expected to reach USD 47.46 billion by 2028, registering a CAGR of 4.22% during the forecast period.
The COVID-19 outbreak swiftly and severely impacted the globally integrated automotive industry. The shutdown of many OEM production lines indirectly affected the automotive wiring harness market. However, with the removal of lockdown guidelines in several countries, the demand for vehicles slightly increased, which is expected to propel the market growth forward in the coming years. For instance, passenger vehicle sales in 2022 reached 57.49 million units, up from 56.44 million in 2021. Thus, wiring harness companies also increased their manufacturing investments in 2022 to address the increased demand for wiring harness products due to growing automotive sales resulting from the post-COVID-19 pandemic recovery. For instance
- July 2022: Sumitomo Wiring Systems Ltd inaugurated a new manufacturing facility for automobile wiring harness products at Royal Group Phnom Penh Special Economic Zone in Cambodia.
The growing emphasis on safety solutions, expanding demand and usage of hybrid and electric vehicles, and increasing electrification of vehicles are some of the primary driving factors for the market's growth. However, challenges such as reliability and durability may limit the market's growth.
The rising sales of electric vehicles also provide a major impetus to the growth of the automotive wiring industry since wiring harnesses are a major component of wiring systems used to control almost all the critical functions of an electric vehicle.
The continual rise in accidents caused by automation faults has led customers and governments to exhibit increased interest in advanced safety features. They are working on enhancing their vehicle's safety systems, which is expected to drive the wire harness market. The adoption of navigation and infotainment systems has become standard features in most cars worldwide.
Over the long term, increasing investments in R&D by major industry players and a rise in sales of electric and hybrid vehicles, as well as rising demand for connectivity features in automobiles, will create demand in the automotive wiring harness industry with a surge in sales of automotive wiring harness systems.
The Asia-Pacific region is expected to dominate the market during the forecast period. With the upliftment of lockdown and restrictions, the increased demand for vehicles is expected to be observed, which is anticipated to further aid in the growth of the automotive wiring harness market across the region. Moreover, various initiatives have been undertaken by different governments worldwide to promote the adoption of electric vehicles.
Automotive Wiring Harness Industry Segmentation
The wiring harness systems are assemblies of electrical cables or wires that transmit electric signals to a vehicle's electrical functions. In short wiring harness can be defined as the complete electrical system of any vehicle.
The automotive wiring harness market is segmented by application type, wire type, vehicle type, and geography. By application type, the market is segmented as ignition systems, charging systems, drivetrain, and powertrain systems, infotainment systems, and vehicle control and safety systems. By wire type, the market is segmented as copper and aluminum. Based on vehicle type, the market is segmented as passenger cars and commercial vehicles. By geography, the market is segmented as North America, Europe, Asia-Pacific, and the Rest of the World.
| By Application Type | |
| Ignition System | |
| Charging System | |
| Drivetrain and Powertrain System | |
| Infotainment System and Dashboard | |
| Vehicle Control and Safety Systems | |
| Body and Cabin Wiring Harness |
| By Wire Type | |
| Copper | |
| Aluminum |
| By Vehicle Type | |
| Passenger Cars | |
| Commercial Vehicles |
| By Geography | ||||||||
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Automotive Wiring Harness Market Size Summary
The automotive wiring harness market is poised for significant growth, driven by the increasing demand for vehicles and the rising adoption of electric and hybrid vehicles. The market, which experienced a downturn due to the COVID-19 pandemic, is recovering as vehicle sales rebound and manufacturers ramp up production to meet the growing demand. The shift towards electrification and advanced safety features in vehicles is a key factor propelling the market forward. As electric vehicles become more mainstream, the demand for wiring harnesses, which are crucial for controlling vehicle functions, is expected to surge. This trend is further supported by government initiatives promoting electromobility and reducing carbon emissions, particularly in regions like Asia-Pacific, which is anticipated to dominate the market.
The market landscape is characterized by a medium level of competition, with major global players such as Sumitomo Corporation, Aptiv Plc, Yazaki Corporation, Motherson Group, Leoni AG, and Lear Corporation leading the charge. These companies are actively expanding their production capacities and forming strategic partnerships to enhance their product offerings and maintain a competitive edge. The Asia-Pacific region, especially China, India, and South Korea, is witnessing robust growth due to rising disposable incomes, increased vehicle sales, and favorable government policies. The market's growth is also supported by investments in research and development, as well as the ongoing demand for connectivity features in automobiles, which are expected to drive the automotive wiring harness industry in the coming years.
Automotive Wiring Harness Market Size - Table of Contents
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1. MARKET DYNAMICS
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1.1 Market Drivers
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1.1.1 Growing Automotive Production
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1.1.2 Growing Demand For Advanced Safety Features
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1.2 Market Restraints
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1.2.1 Fluctuating Raw Material Prices
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1.3 Industry Attractiveness - Porter's Five Forces Analysis
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1.3.1 Bargaining Power of Suppliers
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1.3.2 Bargaining Power of Buyers/Consumers
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1.3.3 Threat of New Entrants
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1.3.4 Threat of Substitute Products
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1.3.5 Intensity of Competitive Rivalry
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2. MARKET SEGMENTATION (Market Value in USD)
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2.1 By Application Type
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2.1.1 Ignition System
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2.1.2 Charging System
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2.1.3 Drivetrain and Powertrain System
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2.1.4 Infotainment System and Dashboard
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2.1.5 Vehicle Control and Safety Systems
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2.1.6 Body and Cabin Wiring Harness
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2.2 By Wire Type
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2.2.1 Copper
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2.2.2 Aluminum
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2.3 By Vehicle Type
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2.3.1 Passenger Cars
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2.3.2 Commercial Vehicles
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2.4 By Geography
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2.4.1 North America
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2.4.1.1 United States
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2.4.1.2 Canada
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2.4.1.3 Rest of North America
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2.4.2 Europe
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2.4.2.1 Germany
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2.4.2.2 United Kingdom
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2.4.2.3 France
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2.4.2.4 Russia
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2.4.2.5 Spain
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2.4.2.6 Rest of Europe
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2.4.3 Asia-Pacific
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2.4.3.1 China
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2.4.3.2 Japan
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2.4.3.3 India
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2.4.3.4 South Korea
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2.4.3.5 Rest of Asia-Pacific
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2.4.4 Rest of the World
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2.4.4.1 South America
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2.4.4.2 Middle East and Africa
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Automotive Wiring Harness Market Size FAQs
What is the current Automotive Wiring Harness Market size?
The Automotive Wiring Harness Market is projected to register a CAGR of 4.22% during the forecast period (2024-2029)
Who are the key players in Automotive Wiring Harness Market?
Sumitomo Corporation, Lear Corporation, Aptiv Plc, Yazaki Corporation and Leoni AG are the major companies operating in the Automotive Wiring Harness Market.
