Wednesday, 23 December 2015

Asia Pacific was at the Forefront of the Automotive Airbag Market in 2013 ; Heavy Investments Expected to Flow into the Region

 Automotive Airbag
Automotive airbags are, at present, installed mostly in medium and luxury range cars (in terms of price). However, heavy investments in developing cheaper airbags that still meet the safety standards is a major factor boosting the automotive airbag market, according to Transparency Market Research. A recent report, titled “Automotive Airbag Market - Global Industry Analysis, Size, Share, Growth, Trends and Forecast 2014 - 2020”, indicates that registering an 8.1% CAGR from 2014 to 2020, the global Automotive Airbag Market is estimated to grow from US$17.24 billion in 2013 to US$29.72 billion by 2020.Rising demand for consumer safety, backed by strict government regulations regarding the installation of airbags are the primary forces driving the global automotive airbag market. In addition, the production of cars around the world is at an all-time high, further fueling the market for automotive airbags. However, the durability of cheaper airbags that can be deployed in low-cost cars continues to be a major challenge for the market. On the basis of type, the automotive airbag market is categorized into side airbag, front airbag, curtain airbag, and knee airbag. Of these, front airbags held the largest share of the overall automotive airbag market.

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The automotive segment is one of the booming sectors at present and it is expected to grow significantly in the next few years prioritizing more on customer safety and comfort. In alignment with government legislations regarding safety of drivers/passengers, automotive manufacturers are installing safety devices on a compulsory basis in cars. With technological innovations, consumers are more inclined toward adopting automotive safety products to ensure safety and comfort. Airbags and seat belt restraint systems are sophisticated car occupant systems that represent the most rapidly growing market for safety devices in recent times.

Based on the type of airbag safety systems, the market is segmented into four types: front airbag, side airbag, knee airbag, and curtain airbag. Due to advancements in technology, the market for these types is growing significantly. Regulations for adopting airbag safety systems in every passenger car by governments in Europe, North America (primarily the U.S.) and some parts of Asia Pacific have opened up huge opportunities for the market in these regions. Growing demand for consumer comfort and safety also plays an important role in the growth of this market.

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Asia pacific accounted for the largest market share in 2013, which is expected to lure heavy investment and at the same time high end research is expected to be carried out in the field of airbags. In addition, Improving lifestyles, increasing vehicle demand and changing buyer’s preferences have ensured its dominance. The Asia Pacific automotive airbag market was valued at USD 5.91 billion in 2013 and is expected to be the fastest growing automotive airbag market in the coming years.

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