In 2017, the global automotive relay market reached.
ched new heights, with a market value of US$ 13.43 billion. The market is expanding rapidly and is expected to reach US$ 22.29 billion in 2026, with a 5.8% growth rate from 2018 to 2026. Automotive relays are simple electronic devices that play an important role in switching on and off several circuits within an automobile. Although the definition of the device is simple to read, automotive relays play a vital role in modern automobiles by ensuring safe operation and increasing the efficiency of circuits. A single new-age passenger car can employ a number of relays for different applications, and with automobiles becoming more sophisticated and complex, the number is projected to rise continuously in the coming years.
Market Synopsis
Rugged Operating Conditions to Spark the Demand for Plug-in Automotive Relays
In 2017, PCB relaid dominated the overall automotive relays market with a considerable market share. These relays are extensively used for circuits associated with control systems, the body, and the chassis of automobiles, such as power steering, anti-lock braking systems, cruise control, power windows, sunroofs, and doors. PCB relays are undergoing a continuous process of technological advancement and miniaturization in order to carry high current loads and require less space. Plug-in automotive relays are generally used in extreme working conditions with high temperatures, high vibration, and significant voltage fluctuations.
Consequently, these relays are ideally suited for fuel injection systems, fuel pumps, engines, powertrains, and HVAC applications, among others. Plug-in relays are gaining popularity over PCB relays as they offer hassle-free installation and easy replacement. In addition, the miniaturization of plug-in relays is eliminating the need for bulky junction boxes, making automobiles lighter and more efficient. Therefore, plug-in relays are projected to hold an upper hand over PCB relays in the coming years.
In the coming years, electric vehicles will dictate terms for automotive relays.
Conventional fuel vehicles, including diesel, gasoline, CNG, and LPG vehicles, led the overall automotive relay market in terms of market value in 2017. The scenario is not expected to change swiftly in the next few years, and conventional fuel vehicles are projected to dominate the automotive relays market throughout the forecast period. However, with increasing demand for electric cars and government initiatives to promote electric cars across the globe, the demand for electric vehicles is soaring. Thus, electric vehicles are expected to dictate terms for industries associated with the automotive sector, such as automotive relays and other OEMs, beyond the forecast period from 2018 to 2026.
Asia-Pacific's dominance in the global automotive industries aided its dominance in the automotive relay market.
Asia Pacific is home to almost half of the world's population, and with rapidly growing economies such as China and India, several industries, including the automotive industry, are experiencing hefty growth. Some of the largest automotive companies in China, Japan, and South Korea produce almost 37 million units of automobiles each year. The aforementioned factors boosted demand for automotive relays in Asia-Pacific significantly. Asia Pacific ranked as the top region in the automotive relays market in terms of volumes as well as market value. Home to major automotive electronics companies such as Delphi, ABB, and TE Connectivity, among others, Europe follows Asia Pacific in the automotive relays market and is expected to experience considerable growth throughout the forecast period from 2018 to 2026.
Market Segmentation
Product Type (2016-2026; USD Billion)
PCB Relay
Plug-in Relay
Applications (2016-2026; $1 billion USD)
Power Train
Body and Chassis
Lighting & Security
Infotainment System
Vehicle Type (2016-2026; US$ Billion)
Conventional Fuel Vehicle
Electric Vehicle
Geography (2016-2026; USD Billion)
North America
U.S.
Canada
Europe
Germany
France
Italy
U.K.
Russia
Rest of Europe
Asia-Pacific
India
China
Japan
Rest of Asia-Pacific
Latin America
Brazil
Mexico
Rest of Latin America
Middle East and Africa
GCC Countries
South Africa
Rest of Middle East and Africa
Intense Competition Encourages Technological Innovation in Modern Automotive Relays
With intense competition in a highly fragmented market, all major automotive relay manufacturers strive day in and day out to improve the quality of their products. High quality, long life, and technological upgradation are key focus areas for these companies to maintain their credibility in the market. Besides, these companies also strive to acquire contracts from leading automotive manufacturers to supply automotive relays. Local automotive relay manufacturers pose a tough challenge for multinational companies, especially in price-driven economies such as China, India, and other South East Asian countries. Some of the major automotive relay manufacturers included in this research study are ABB Group, American Zettler, Inc., Denso Corporation, Delphi Automotive LLP, Eaton Corporation plc, Fujitsu Limited, Good Sky Electric Co., Ltd., Hella KGaA Hueck & Co. (HELLA), IDEC Corporation, NEC Corporation, Omron Corporation, Panasonic Corporation, Robert Bosch GmbH, Siemens AG, and TE Connectivity Ltd., among others.
Frequently Asked Question:
The market for Automotive Relays Market is expected to reach USD$ 22.29 Bn in 2026.
The Automotive Relays Market is expected to see significant CAGR growth over the coming years, at XX%.
The report is forecasted from 2018 -2026.
The base year of this report is 2017.
American Zettler, Inc., Denso Corporation, Delphi Automotive LLP, Eaton Corporation plc, Fujitsu Limited, Good Sky Electric Co., Ltd., Hella KGaA Hueck & Co. (HELLA), IDEC Corporation, NEC Corporation. are some of the major players in the global market.
