MARKET OVERVIEW - ASIA PACIFIC AUTOMOTIVE FRONT END MODULE MARKET
The Asia Pacific represents the most dominating and leader in the world’s automotive hub. Front End Module lies in the front end of the automotive and mainly consists of components like the headlight, front grill, radiator, condenser, horn assembly, oil cooler, and others. Among these components, the headlight is the most vital component of a vehicle that is attached to the front side of all vehicles to illuminate the roads. The module’s outline contributes to the vehicle’s characteristic look, while the equipment it contains adds directly to its safety and reliable operation. From design to development, through assembly and logistics operations. One thing is common in all front-end modules that is the front-end carrier. This can be made of different materials – light construction materials such as magnesium are considered, as is the common method of metal hybrid engineering. Front End Module enables so-called vehicle front rigidity and attachment between the components of a front-end module and the entire vehicle.
The region is known to be populous and the increasing population and rising disposable income of the middle group people is a major driving factor for the market over the forecast period. The market growth in the Asia Pacific is also attributed to the rising need for vehicle weight reduction and increasing demand for technically advanced lightweight front-end modules will boost the market growth. Furthermore, the increasing demand for connected vehicles also drives market growth. These factors are driving the market demand in the Asia Pacific sector.
The Asia Pacific automotive front-end module is foreseen many growth opportunities over the forecast period. Economic growth and shifting consumer values are transforming the opportunities in Asia for players in the automotive industry. Consumers may adopt new behaviors such as considering new forms of ownership, increasing eco-consciousness, and changing brand preferences. Players in the automotive sector have opportunities to capitalize on these trends to create more value for consumers. Furthermore, factors such as mobility, improved environmental quality, more choice of vehicles with different ecological footprints as electric vehicles (EVs) become mainstream, fewer traffic incidents and congestion, and reduced time spent commuting as the mobility mix changes will offer opportunities in the coming period.
The automotive front-end module market is hampered by the increasing safety and technological constraints involved in lightweight fems, increasing vehicle parts modernization, and emerging competitors are likely to hinder the market growth over the forecast period.
MARKET GROWTH CHALLENGES
The Asia Pacific Automotive front-end module market is facing the problem of tight supply is even more evident and car production and sales are forecast to take longer to recover to pre-pandemic levels. In addition, the challenges such as the automotive industry looking for ways to be more green, traditional mechanics will be in less demand as there is a rise in demand for green vehicles, and changing social trends also serve as a challenge for the market. For example, the average car journey in the UK is only 8 miles, many people are seeking alternatives to their everyday car use.
CUMULATIVE GROWTH ANALYSIS
The report provides an in-depth analysis of the Asia Pacific Automotive Front-End Module market, market size, and compound annual growth rate (CAGR) for 2022-2028, considering 2021 as the base year. The increasing demand for lightweight automobiles coupled with technological advancement is expected to propel growth at a specific CAGR from 2021-2028.
AUTOMOTIVE FRONT-END MODULE MARKET SEGMENTAL OVERVIEW
The Asia Pacific Automotive Front-End Module market comprises different market segments like components, materials, vehicle type and Country.
AUTOMOTIVE FRONT-END MODULE MARKET BY COMPONENT
By component, the automotive front-end module includes key segments of
- Front Grill
- Front Active Grill
- Bumper Cover
- Cooling components
- Oil Cooler
- Radiator Core Support
- Cruise Control Sensor
Headlight held the major market share in the Automotive Front-End Module market. The headlight component is most important part of the car in front panel. It is used in automotive front end for illuminating the road ahead and reduces the accident risk hence it is the most important part. The increasing demand for premium cars and rise in sales will drive the growth for the headlight segment over the forecast period.
AUTOMOTIVE FRONT-END MODULE MARKET BY MATERIAL
By material, Automotive Front-End Module includes key segments of
Composites held the major market share in the Automotive Front-End Module market. Composites possess shape retention, corrosion resistance in dry and wet conditions, ease of manufacturing, and low weight, and that is why it is preferred in the manufacturing of automotive parts. Composites are being considered to make lighter, safer, and more fuel-efficient vehicles. Therefore, this segment represents the major growth.
AUTOMOTIVE FRONT-END MODULE MARKET BY VEHICLE TYPE
The Automotive Front-End Module market is segmented into vehicle types such as
- Light Commercial Vehicles
- Heavy Commercial Vehicles
- Passenger Cars
Passenger Cars are a major contributor and hold the major market share over the period. Most of Asia Pacifican passenger cars are built with Asia Pacifican gas prices in mind and to provide better fuel efficiency. Modern Asia Pacific cars have a competitive technological edge, making driving easier and more fun for you. Asia Pacific brands such as BMW, Mercedes, and Porsche have vehicles that come with built-in technology. With the push of a button, you can regulate seat temperature, seat adjustment, car interior scent, and more. Some of the latest models also feature high-definition infotainment centers with portable devices like smartphones. These factors are driving the success of passenger cars.
AUTOMOTIVE FRONT-END MODULE MARKET BY COUNTRY
The Asia Pacific Automotive Front-End Module market is studied for the following countries
- South Korea
- Rest of the Asia Pacific
China is the leader in the Asia Automotive Front-End Module market. China is the largest automobile market worldwide, both in terms of demand and supply. China has over taken Germany in terms of exporting cars by volume, lagging only Japan. It’s been a long time coming for China which since 2009 has been both the world’s largest car market and producer. By the studies report, China exported 2.529 million passenger vehicles, up 56.7% from 2021, out of an overall figure of 3.111 million including commercial vehicles. the huge increase in the average income of the Chinese population. The resulting improvement in personal prosperity has led to an increase in automotive ownership and drives the market demand over the forecast period.
COVID-19 IMPACT ANALYSIS ON THE ASIA PACIFIC AUTOMOTIVE FRONT-END MODULE MARKET
Axiom MRC provides a 360-degree analysis of micro and macro-economic factors in the Asia Pacific Automotive Front-End Module market. In addition, a complete analysis of changes in the Asia Pacific Automotive Front-End Module market expenditure, and economic and international policies on the supply and demand side is provided in this exclusive report. The report also studies the impact of a pandemic on Asia Pacific economies, international trade, business investments, GDP, and the marketing strategies of key players s present in the market.
The COVID?19 epidemic has pushed the global economy and humanity into a disaster and severely affected the automotive industry. The decline in demand resulted in a decline in production that had been caused by a disruption in the supply chain and a lack of availability of raw materials. These scenarios resulted in less revenue generation and harmed many manufacturers. Over the last 12–18?months, the automobile field had already undergone significant delay due to structural modification openings with the goods and services tax, axle?load reforms, shift to shared mobility, liquidity crunch, and so on industries had faced major effects, and has roughly been at a complete idle since 24 March due to the COVID?19's lockdown. During COVID-19, most companies starving the support of R&D (Research and Development) to maintain core functions and potentially get back the growth made on mobility technologies as well as alternate fuels.
COMPETITIVE LANDSCAPE ANALYSIS
The Automotive Front-End Module market has leading operating players that are primarily focused on expanding the Asia Pacific growth of the Automotive Front-End Module industry with new product innovation, business expansion, and the increasing presence of a range of manufacturers operating in the Automotive Front End Module sector has led to the growing demand for the market. Besides, the market offers a range of products in different applications to fulfill the required demand of consumers, which further contributes to healthy growth in the market.
The key players studied in the market are
- Magna International Inc
- Denso Corporation
- Murata Manufacturing Co., Ltd
- Plastic Omnium
- Hyundai Mobis
- Hanon Systems
- SL Corporation
- Valeo SA
- Batsons Industries
- Montaplast GmbH
- Continental AG
- AGS Automotive Systems
- MAHLE Group
- Arkal Automotive
Aug-2022: Plastic Omnium has acquired full control of the HBPO joint venture, which says it has a 20 percent share of the front-end module market.