The automotive industry is witnessing a growing demand for electronic sensors, particularly in position sensing applications, propelled by continuous technological advancements and innovations. The focus on technical progress, including electrification and autonomous driving, has amplified the need for high-precision sensors. However, the limited adoption of automotive sensors in compact and economy cars, given their high cost, remains a challenge. In this context, the Asia-Pacific (APAC) automotive sensors market is projected to experience a compound annual growth rate (CAGR) of 0.4% from 2024 to 2029, according to GlobalData, a leading data and analytics company.
GlobalData’s latest report “Sector Innovation Report – Sensors – Q2 2024” reveals that the APAC automotive sensors market size is estimated to increase from 5.0 billion units in 2024 to 5.1 billion units in 2029.
Lucy Tripathi, Senior Automotive Analyst at GlobalData, comments: “Government initiatives are pivotal in fostering sensor adoption and innovation. In Japan, for instance, the government’s active promotion of autonomous driving technology is spurring the demand for sensors in advanced driver assistance systems and autonomous vehicles. Similarly, in China, the robust push for electric vehicles (EVs), bolstered by significant government incentives, is expediting the demand for sensors pertinent to EV batteries and charging infrastructure.”
South Korea’s focus on fifth-generation (5G) and sixth-generation (6G) network technology is catalyzing the development of connected vehicles, which, in turn, bolsters the automotive sensors market. The expanding middle-class population and youthful demographics in the region, especially in countries such as India and China, have markedly contributed to the surge in automobile demand, thereby stimulating innovation and the adoption of sensor technology. Consequently, the APAC region is poised to emerge as the preeminent market for automotive sensors.
The rise in road accident-related fatalities is compelling automakers to incorporate advanced sensors into their vehicles’ safety systems. Furthermore, governments are implementing stringent regulations to augment driver safety in vehicles, which is anticipated to drive the demand for automotive sensors during the forecast period. Given that wheel speed sensors and steering sensors are integral to electronic stability control (ESC) systems, the demand for automotive sensors is expected to increase in the forthcoming years.
Tripathi concludes: “The integration of autonomous emergency braking systems (AEBS) in commercial vehicles, aimed at enhancing the safety and comfort of both drivers and passengers, is likely to propel the sales of automotive sensors during the assessment period.”
