APAC automotive lighting market to expand at 1.2% CAGR over 2023-28, forecasts GlobalData

07 May, 2024 APAC automotive lighting market to expand at 1.2% CAGR over 2023-28, forecasts GlobalData

Posted in Automotive

With the growth in the number of passenger and commercial vehicles, the automotive lighting market is expected to flourish in Asia-Pacific (APAC), as it is one of the largest automotive manufacturing regions globally. However, the requirements for automotive lighting have changed over the years, with increased consumer awareness regarding road safety and fuel efficiency driving the demand shift towards LED front lights. Additionally, manufacturers are also exploring sensors and connected technology adoptions in the automotive lighting segment. Against this backdrop, the automotive lighting market is expected to post a compound annual growth rate (CAGR) of 1.2% in APAC during 2023-28, according to GlobalData, a leading data and analytics company.

GlobalData's latest report, "Global Sector Overview & Forecast: Automotive Lighting - March 2024", reveals that the size of the automotive lighting market in APAC was 104.1 million units in 2023 and is forecast to reach 109.6 million units by 2028.

Madhuchhanda Palit, Automotive Analyst at GlobalData, comments: "In the automotive lighting segment, industry trends indicate a shift towards LED front lighting from halogen front lighting. This shift is attributed to LEDs achieving better outputs while consuming nearly 50% less wattage from the electrical system. This translates into improved fuel efficiency for vehicles. In addition, LED lights offer increased brightness and visibility area, facilitating enhanced driver visibility and reaction time by illuminating more of the road ahead, thereby contributing to better road safety."

While the market for front lighting in automobiles is gradually dominated by LED technology, advancements such as HD xenon are also emerging as a viable alternative for front lighting due to their power efficiency, durability, and brightness. In addition to the brightness and range of the front light, advanced technologies such as sensors are also being integrated with front lighting to provide enhanced safety and convenience features to consumers.

For example, the "follow me home headlights" function is designed to keep the headlights on for 10-15 seconds even after the ignition is turned off and the door is unlocked. This feature enables the consumer to safely navigate their way from their car.

Palit concludes: "Not only brightness but advanced lighting technology such as LED and HD xenon front lighting also improves the look and aesthetics of the car, which is another significant factor in consumer demand for these lighting technologies.

"Moreover, the integration of sensor-equipped front lighting technologies that offer additional features can elevate the status of a car. However, such technologies are limited to high-priced models and are still in a niche stage. With the advent of autonomous vehicle technology, the market for connected front lighting technologies is expected to grow, further driving the advancement of front lighting technology."