Automotive PCB Market Global Outlook
August 14, 2019 | PRNewswireEstimated reading time: 3 minutes
The global automotive PCB market is expected to reach more than $14 billion during 2018–2024. The rising applicability of rigid-flex PCBs, the penetration of in-vehicle infotainment systems, the arrival of new energy vehicles, and the increased potential of ADAS are expected to contribute to the growth of the global automotive PCB market.
The increased adoption of Advanced Driver Assistance Systems (ADAS) is driving the automotive printed circuit board (PCB) market. The utilization of printed circuit boards in ADAS systems is expected to witness significant traction in the coming years. Hence, vendors catering to the global automotive PCB market are eyeing to capitalize on this growing trend of ADAS installation in vehicles in the coming years. Further, the growing installation of in-vehicle Infotainment (IVI) systems is expected to push the demand for flexible printed circuit boards.
Digitalization of printed circuit board design simulations is emerging as a major concept in the global automotive PCB market. It ensures an effective prototype preparation before actual implementation is integrated into the simulation of the design process. Also, the electrification of engine mechanism and propulsion technologies is further expected to drive the automotive PCB market during the forecast period.
The single-side PCB segment captured the largest portion of the automotive PCB market in 2018. The extensive use of single side circuit boards in electronics such as automotive lighting systems, wiper systems, and electronic throttle modules is likely to propel the growth of the PCB market. Countries such as China, Taiwan, and South Korea are the largest producers of single side printed circuit boards. Multi-layer and flexible printed circuit boards are expected to witness considerable growth during the forecast period.
The growing demand for dashboard switches, stereo and audio components, digital screens and display systems, onboard radar systems, navigation systems, and onboard diagnostics has fueled the market for interior components. The interior components segment was the largest segment in the automotive PCB market in 2018. With the growing emphasis on safety regulations and enhanced driving experience, auto manufacturers are actively investing in developing advanced interior components. The APAC region was the most significant interior component market in 2018 and is likely to continue its hold on the market during the forecast period.
Engine control component segment was the second-largest contributor to the automotive printed circuit board market. The rise in the usage of ECUs is bound to increase the usage of processors and semiconductors, which indirectly will affect the growth of automotive printed circuit board market. Powertrain components are witnessing high adoption in hybrid and all-electric vehicles, thereby increasing the demand for printed circuit boards. Further, increased regulations on fuel emission norms is driving OEMs and tier I suppliers to focus on the electrification of powertrain components.
The passenger cars segmented accounted for more than half of the market share in 2018. The increased focus on safety regulations across passenger vehicles is the primary reason for the increased use of printed circuit boards.
Automotive PCB Market: Geography
The APAC region, which consists of China, Japan, South Korea, and Taiwan, is witnessing a high surge in automotive production due to the availability of low labor and logistical costs. Enhanced production capacities, the rise of digitalization, and the consistent investment in the automotive industry are expected to drive the automotive printed circuit board industry in the region. The increased penetration of electric and hybrid vehicles in the US and Canada has made North America the second-largest geographical segment in the global automotive PCB market. The increasing demand for electric vehicles in Germany, the UK, and France is one of the major drivers for market growth in Europe.
Brazil is the leading market in the automotive PCB market in Latin America. However, political unrest in Venezuela, the dwindling Brazilian economy, and the vulnerability to natural disasters are likely to affect market growth in the Latin American region. Further, the MEA region is experiencing substantial growth as vendors are expanding their operational base.
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