Automotive Aftermarket Market Forecasts to 2030 – Global Analysis By Vehicle Type (Two Wheelers, Passenger Cars and Commercial Vehicles), Replacement Part, Certification, Service Channel, Distribution Channel, End User and by Geography

Automotive Aftermarket Market Forecasts to 2030 – Global Analysis By Vehicle Type (Two Wheelers, Passenger Cars and Commercial Vehicles), Replacement Part, Certification, Service Channel, Distribution Channel, End User and by Geography

According to Stratistics MRC, the Global Automotive Aftermarket Market is accounted for $474.69 billion in 2024 and is expected to reach $669.55 billion by 2030 growing at a CAGR of 5.90% during the forecast period. The secondary market for auto parts, accessories, and services that are offered after a car has been sold is known as the automotive aftermarket. This industry covers everything from maintenance services and aesthetic upgrades to performance improvements and replacement parts. It is essential to the automotive industry because it gives car owners the chance to maintain and customize their vehicles in addition to what the original manufacturer offers. Moreover, consumer demand for customization, enhanced performance, and affordable repair options fuels the aftermarket sector, which produces a wide range of goods and services.

According to the Automotive Aftermarket Industry Association (AAIA), the automotive aftermarket sector is projected to grow significantly in the coming years, driven by increasing vehicle ownership and rising consumer demand for vehicle customization and maintenance.

Market Dynamics:

Driver:

Growing customization demand from consumers

Car enthusiasts and regular drivers alike are adopting the popular trend of personalizing their vehicles. Customers are looking for aftermarket parts more frequently in an effort to improve the functionality, performance, and look of their cars. This covers everything, from performance-enhancing additions like turbochargers and high-performance exhaust systems to personalized wheels and body kits. The market for aftermarket parts is driven by consumers' desire for customized and one-of-a-kind vehicles. Additionally, the automotive culture, which includes car shows and tuning events, further fuels this trend by showcasing amazing customized cars and motivating buyers.

Restraint:

Safety standards and regulatory compliance

Strict safety regulations and standards can be a hindrance to the growth of the automotive aftermarket industry. Adherence to regulations concerning safety, emissions, and vehicle performance is of utmost importance. Noncompliance with these standards may result in penalties, product recalls, and harm to one's reputation. Furthermore, to guarantee they don't impair vehicle safety or emissions, aftermarket parts may need to be certified in some areas. For aftermarket suppliers, especially small and medium-sized businesses, navigating these complicated regulatory environments can be difficult and may impede their ability to enter and grow new markets.

Opportunity:

Increase in hybrid and electric vehicles

The popularity of hybrid and electric cars is creating new market opportunities for the aftermarket industry. There will be a rising need for specialist aftermarket parts and services catered to these vehicles' particular requirements as their adoption rises. Moreover, this covers parts like electric vehicle (EV) accessories, charging equipment, and battery management systems. Aftermarket vendors will be well-positioned to take a piece of this growing market segment if they can innovate and offer solutions for EVs and hybrids.

Threat:

Stringent rules and conformance

The automotive aftermarket industry is subject to heightened regulatory scrutiny concerning safety standards, emissions, and environmental implications. Adhering to these rules can be expensive and difficult. A company's reputation and financial stability may be harmed by fines, legal action, and product recalls resulting from a failure to comply with strict regulations. Additionally, regulatory changes can be unpredictable and necessitate large expenditures for adaptation and compliance, which presents continuous difficulties for aftermarket suppliers.

Covid-19 Impact:

The COVID-19 pandemic caused delays in production and delivery, upset global supply chains, and resulted in a shortage of parts and components, all of which had a substantial effect on the automotive aftermarket market. Lockdowns and restrictions reduced vehicle usage and maintenance activities, which decreased demand for aftermarket services and parts. Economic uncertainty and reduced consumer spending further affected market growth, with many consumers delaying non-essential repairs and upgrades. However, the pandemic also accelerated the adoption of e-commerce and digital platforms, providing new opportunities for online sales and remote services.

The Battery segment is expected to be the largest during the forecast period

The battery segment has the largest share in the automotive aftermarket market. This section deals with upgrading and replacing car batteries, which are necessary to turn on and power a car's various electrical systems. Batteries have a significant market share because of their vital function in vehicle performance and the frequent wear and tear that requires replacement. Moreover, growth in this market has also been aided by developments in battery technology, such as the creation of high-performance and long-lasting batteries.

The Certified Parts segment is expected to have the highest CAGR during the forecast period

The Certified Parts segment of the automotive aftermarket market is expected to grow at the highest CAGR. Since certified parts are frequently linked to better performance and longer lifespans than uncertified alternatives, this segment benefits from increased consumer awareness of quality and reliability. The growing complexity and technological advancements in vehicles have led to an increase in demand for certified parts that guarantee compatibility and conformity to industry standards. Additionally, this trend is fueled by the industry's emphasis on enhancing vehicle efficiency and safety, as well as consumer demand for trustworthy repairs and maintenance.

Region with largest share:

The automotive aftermarket market is dominated by North America. The region's firmly established automotive sector, high rates of vehicle ownership, and developed aftermarket ecosystem are all factors contributing to its dominance. The high level of vehicle maintenance and customization among North American consumers creates a sizable demand for aftermarket parts and services. Furthermore, its dominant position in the global automotive aftermarket landscape is further cemented by the region's advanced distribution networks and the presence of multiple key players.

Region with highest CAGR:

The automotive aftermarket market is growing at the highest CAGR in the Asia-Pacific region. The region's growing rate of urbanization, rising car ownership, and rising disposable income are all contributing factors to this growth. The need for aftermarket parts and services is rising as the automotive sector develops in nations like China, India, and Southeast Asia. Moreover, Asia-Pacific is a major area of opportunity for industry stakeholders due to the strong growth rate, which is also attributed to rising awareness of vehicle maintenance and the development of automotive infrastructure.

Key players in the market

Some of the key players in Automotive Aftermarket market include Ford Motor Company, BASF SE, 3M Company, Continental AG, Denso Corporation, Bridgestone Corporation, Magna International Inc., Pioneer Corporation, Hyundai Mobis Co Ltd., BorgWarner Inc., ZF Friedrichshafen AG, Sumitomo Electric Industries Ltd, Toyota Motor Corporation, Robert Bosch GmbH, Valeo Group, Panasonic Corporation and Delphi Technologies.

Key Developments:

In August 2024, Denso Corporation announced that it has signed a manufacturing license agreement with Ceres Power Holdings (CWR.L), a leading developer of solid oxide cell stack technology. DENSO aims to advance the early practical application of Solid Oxide Electrolysis Cells (SOECs)*1 that produce hydrogen through water electrolysis.

In June 2024, Chemical company BASF has announced a significant long-term supply agreement with circular chemical manufacturer Encina Development Group for circular benzene. Benzene is a chemically recycled product derived from post-consumer plastics. The partnership is a strategic move towards enhancing the circular economy and integrating sustainable raw materials into BASF’s production.

In March 2024, 3M and HD Hyundai Korea Shipbuilding & Marine Engineering (KSOE) have signed a joint research project agreement to develop large liquid hydrogen storage tanks using Glass Bubbles from 3M – a high-strength, low-density hollow glass microsphere.

Vehicle Types Covered:
• Two Wheelers
• Passenger Cars
• Commercial Vehicles

Replacement Parts Covered:
• Tire
• Battery
• Brake Pads
• Filters
• Body Parts
• Lighting & Electronic Components
• Wheels
• Exhaust Components
• Turbocharger
• Other Replacement Parts

Certifications Covered:
• Genuine Parts
• Certified Parts
• Uncertified Parts

Service Channels Covered:
• DIY (Do it Yourself)
• DIFM (Do it for Me)
• OE (Delegating to OEM's)

Distribution Channels Covered:
• Retailers
• OEMs
• Repair Shops
• Wholesalers & Distributors

End Users Covered:
• Individual Vehicle Owners
• Fleet Operators
• Automotive Repair and Maintenance Shops
• Original Equipment Manufacturers (OEMs)
• Automotive Dealerships
• Government and Public Sector
• Other End Users

Regions Covered:
• North America
US
Canada
Mexico
• Europe
Germany
UK
Italy
France
Spain
Rest of Europe
• Asia Pacific
Japan
China
India
Australia
New Zealand
South Korea
Rest of Asia Pacific
• South America
Argentina
Brazil
Chile
Rest of South America
• Middle East & Africa
Saudi Arabia
UAE
Qatar
South Africa
Rest of Middle East & Africa

What our report offers:
- Market share assessments for the regional and country-level segments
- Strategic recommendations for the new entrants
- Covers Market data for the years 2022, 2023, 2024, 2026, and 2030
- Market Trends (Drivers, Constraints, Opportunities, Threats, Challenges, Investment Opportunities, and recommendations)
- Strategic recommendations in key business segments based on the market estimations
- Competitive landscaping mapping the key common trends
- Company profiling with detailed strategies, financials, and recent developments
- Supply chain trends mapping the latest technological advancements