Thursday, 5 November 2015

"Automotive Glass Market"examined in new market research report

Different types of glass used in the automobile industry, such as windscreen, side and rear windows, and glass panel roof, are collectively known as automotive glass. The automotive glass market can be primarily divided into two segments: Aftersales Replacement Glass (ARG) and Original Equipment Manufacturer (OEM) glass.Aftersales Replacement Glass (ARG) is used in maintenance and repairing activities in post-sale products. On the other hand, Original Equipment Manufacturer (OEM)glass is sold to vehicle manufacturers primarily for installation on new automobiles.Demand for ARG is 15% to 20% of the total demand for automotive glass, while remaining demand is generated by OEM glass. Generally, automotive glass accounts for 3% of the total vehicle weight.

 Automotive Glass Market

Demand for automotive glass dependsondemand from the automotive industry.In 2014, the automotive industry accounted for 15% of the total float glass market. Out of this, 95% was accounted by the mainstream automotive industry including trucks, buses, coaches, and off-road mobile machinery. The remaining 5% is used in the transportation sector in inland waterways, trains, trucks, metros, ships, etc.

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Market prices of automotive glass depend on its demand in the market and raw material cost. After the economic slowdown in 2008, the automotive glass market witnessed rise in demand due to increase in production of automobiles. Average global price of automotive glass was highly variable from 2008 to 2010; however, it stabilized after 2010,depicting consistency in the automobile market.The automotive glass industry is expected to witness growth in the next few years due to increasing global GDP and urbanization. Side glazing is the latest trend in the automotive glass market; hence, average glass used per vehicle has increased.Complexity and value of the glass being delivered to the automotive industry is increasing to satisfy the end userwith security and safety requirements. Research and development is being carried by automotive glass manufacturers to introduce innovative features and technology.The OEM market has to overcome restraints to enterthe market by following a long certification cycle, including third-party certification, design automobile factory certification, testing, and bid invitation. Whole vehicle manufacturers rely onlogistics supply, high-standard synchronous R&D, production technology, and product quality of auto glass production, while the OEM market has high concentration rate and large demand.End-users choose auto glass manufacturers with high brand awareness and large-scale suppliers.Automotive smart glass with auto dimming properties has drawn attention of the automotive industry. Manufacturers prefer advantageous location of production base and realize short-distance supply to reduce costs. The smart glass segment of automotive glass manipulatesand optimizes natural light, cooling and heating load, lighting load etc.

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In terms of consumption of automotive glass, currentlyEurope accounts for more than one-third share of the global automotive glass market, followed by North America and Asia Pacific. China, Japan, South Korea, European Union, and North America account for 93% of the global automotive glass market. The automotive market in North America is estimated to be one of the fastest-growing markets with a vehicle production growth rate of 5.6% during the forecast period. Production of light commercial vehicles has also grown rapidly in North America at the rate of 9.7% during the forecast period. China, is responsible for almost 10% of the global share and also have a lion’s share in global OEM market.

Global Automotive Research Blog :- http://globalautomotiveresearch2015.blogspot.in/

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