Automotive Rain Sensors Market - Growth, Trends, COVID-19 Impact, and Forecasts (2022 - 2027)

Automotive Rain Sensors Market - Growth, Trends, COVID-19 Impact, and Forecasts (2022 - 2027)

The Automotive Rain Sensor Market is valued at USD 4.42 Billion and is expected to reach USD 6.81 by 2027 and is poised to register a CAGR of around 7.3% during the forecasted period 2022-2027.

The COVID-19 pandemic had a negative impact on the market. With low vehicle sales reported In 2020, the major market potential for Automotive Rain Sensors was completely low. Also, with very less or almost zero vehicular movements, the aftermarket sector of the industry did not register many sales. However, with the expected increase in sales of passenger vehicles and increased awareness of safety in both passenger and commercial vehicles, the market is looking forward to reviving and growing economically back to pre-covid conditions.

The growing demand for a safe and comfortable driving experience, as well as the growing demand for electric and autonomous vehicles, are propelling the market forward around the world. Furthermore, improving economic conditions, increasing customer demand and interest, technical innovation, and stricter government restrictions are all favorable drivers for the market's expansion. Furthermore, leading luxury vehicle manufacturers are introducing electric variants of their vehicles in response to growing environmental concerns and rising fuel prices. It will also aid in the expansion of the sector. Due to the lower cost of automotive rain sensors, adoption of such sensors in economy and mid-range automobiles will enhance market growth.

Consumers' increasing disposable income, significant growth in luxury vehicle offerings, and shifting consumer preferences from sedans to SUVs have fueled global demand for passenger cars and their luxury features. Many manufacturers are providing rain sensors as add-on features. However, factors such as increased import tariffs are expected to influence growth of the market.

The replacement of windshield wipers with ultrasonic force fields will be one of the significant factors gaining traction in this market in the next few years. To eliminate the distraction caused by the movement of windscreen wiper blades, manufacturers will focus on developing innovative solutions. The British automotive manufacturer, McLaren, has already developed a new automotive windshield cleaning technology using high-frequency sound waves that makes the windshield repellent to water, mud, ice, or any other kind of dust in the surroundings.

The high cost of these sensors is a major restraint, confining them to the luxury vehicle segment but the increased production capabilities, technology advancement, and smart sensors upliftment of the budgeted automotive companies, have significantly brought down the cost per unit of rain sensors, opening up new avenues for the market growth, for instance, Hyundai Motors India Ltd introduced rain sensors wipers in their budgeted car segment i20. Thus, a decline in price is now allowing OEMs to expand the use of these sensors to all vehicle segments.

During the forecast period, Asia-Pacific is expected to dominate with the highest CAGR. The economic growth of the emerging countries such as China and India will increase the demand for passenger cars in the coming years; this will induce global automobile manufacturers to invest heavily in technology and modern mass production systems, in turn, fueling the demand for automotive rain sensing wiper systems. Moreover, increased investments in infrastructure development and industrialization that fuel the demand for commercial vehicles will also boost the market’s growth prospects in this region. According to this market study report, APAC will continue to dominate the rain-sensing windshield wipers market throughout the forecast period, and countries like China, India, Indonesia, Japan, and South Korea will be the major market contributors. For instane,

• In March 2021, Skoda Auto India announced the launch of the all-new midsize SUV Kushaq, its first production car of four models as part of the INDIA 2.0 project. The car features rain sensors that automatically switch on the low beam or windscreen wipers when required.

Europe is to be the fastest-growing region in the coming years. Germany leads this regional market due to the presence of major automakers in the country. Furthermore, increased vehicle production and the adoption of advanced technologies will boost the market growth in this region. Furthermore, several favorable government initiatives implemented to revitalize the automobile industry, which was hit hard by COVID-19, are expected to drive market growth in these regions.

Also, The higher production of luxury cars and high technological capabilities is a key characteristic of the European region. The consumer’s prefer high performance vehicles which is major reason for the growth of automotive rain sensor market.

The automotive rain sensors market is consolidated, with the presence of many national and international players in the market. The major players are following strategies like product innovation, mergers, and acquisitions to expand their reach and hold their market position. The major players in the market are Denso Corporation, Hella KgaA Hueck & Co., ZF TRW, Autoliv Inc, Magna International, Continental AG Etc.

• In March 2021, HELLA entered a collaboration with vehicle data provider Wejo. HELLA's comprehensive sensor expertise will enable Wejo to identify new use cases for high-performance radar, battery, and rain-light-climate sensors.

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