Automotive TIC Market, Opportunity, Growth Drivers, Industry Trend Analysis and Forecast, 2024-2032

Description

The Global Automotive TIC Market was valued at USD 21.2 billion in 2023 and is projected to grow at a CAGR of over 4.8% from 2023 to 2032. Stringent safety standards and regulations imposed by governments worldwide drive this growth. Regulatory bodies enforce rigorous safety, quality, and environmental standards, compelling automotive manufacturers to comply. This includes testing for crashworthiness, emissions, and electronic system reliability. Compliance is mandatory for market entry, and non-compliance can result in penalties, recalls, or bans. Consequently, manufacturers increasingly rely on TIC services to navigate complex regulations and secure necessary certifications, ensuring consistent demand for testing, inspection, and certification services.

The overall automotive TIC industry is classified based on the service, sourcing, vehicle, application, and region.

Based on sourcing, the market is segmented into in-house and outsourced services. In 2023, the outsourced segment accounted for over 67% of the market share and is expected to exceed USD 22 billion by 2032. Outsourced services dominate due to the increasing complexity of automotive technologies and stringent regulatory requirements. Automotive companies often lack the specialized expertise and infrastructure needed for comprehensive testing, inspection, and certification, making it cost-effective to engage third-party experts. They can quickly adapt to regulatory changes and market demands, offering a more efficient and flexible solution compared to in-house capabilities.

Based on vehicles, the market is divided into commercial vehicles and passenger cars. In 2023, the passenger cars segment held around 65% market share. This segment leads the automotive TIC market due to its substantial share of the global vehicle fleet, which increases the demand for TIC services. Stringent safety and emissions regulations worldwide necessitate thorough testing and certification for compliance. The complexity of modern passenger cars, equipped with advanced technologies such as ADAS and telematics, requires specialized testing and inspection. The growing adoption of electric vehicles (EVs) and the need for certification of new components enhance the passenger cars TIC market dominance.

In 2023, the Asia Pacific region accounted for over 42% of the market share and is expected to exceed USD 14.3 billion by 2032. This region, home to automotive giants such as China, Japan, South Korea, and India, significantly influences the automotive TIC market. Rapid urbanization and rising disposable incomes have increased vehicle ownership, driving the demand for TIC services. Government-enforced safety and emission regulations, particularly in China and India, further stimulate market growth. The presence of key automotive players and evolving consumer preferences also contribute to the market's expansion.

Product Code: 10729

Chapter 1 Methodology and Scope

1.1 Research design
- 1.1.1 Research approach
- 1.1.2 Data collection methods
1.2 Base estimates and calculations
- 1.2.1 Base year calculation
- 1.2.2 Key trends for market estimates
1.3 Forecast model
1.4 Primary research and validation
- 1.4.1 Primary sources
- 1.4.2 Data mining sources
1.5 Market definitions

Chapter 2 Executive Summary

2.1 Industry 360° synopsis, 2021 - 2032

Chapter 3 Industry Insights

3.1 Industry ecosystem analysis
3.2 Supplier landscape
- 3.2.1 Automotive manufacturers (OEMs)
- 3.2.2 Tier-1 and tier-2 suppliers
- 3.2.3 Independent TIC providers
- 3.2.4 Regulatory bodies and standards organizations
- 3.2.5 Technology and equipment suppliers
3.3 Profit margin analysis
3.4 Technology and innovation landscape
3.5 Patent analysis
3.6 Key news and initiatives
3.7 Regulatory landscape
3.8 Impact forces
- 3.8.1 Growth drivers
  - 3.8.1.1 Stringent safety standards and regulations imposed by governments worldwide
  - 3.8.1.2 Growing consumer awareness about vehicle safety
  - 3.8.1.3 Rising technological advancements in connected car technologies and electric vehicles
  - 3.8.1.4 Global automotive production growth
- 3.8.2 Industry pitfalls and challenges
  - 3.8.2.1 High investment costs of advanced testing equipment and facilities
  - 3.8.2.2 Skilled labor shortage
3.9 Growth potential analysis
3.10 Porter's analysis
3.11 PESTEL analysis

Chapter 4 Competitive Landscape, 2023

4.1 Introduction
4.2 Company market share analysis
4.3 Competitive positioning matrix
4.4 Strategic outlook matrix

Chapter 5 Market Estimates and Forecast, By Service, 2021 - 2032 ($Bn)

5.1 Key trends
5.2 Testing
5.3 Inspection
5.4 Certification
5.5 Others

Chapter 6 Market Estimates and Forecast, By Sourcing, 2021 - 2032 ($Bn)

6.1 Key trends
6.2 In-house
6.3 Outsourced

Chapter 7 Market Estimates and Forecast, By Vehicle, 2021 - 2032 ($Bn)

7.1 Key trends
7.2 Passenger cars
7.3 Commercial vehicles

Chapter 8 Market Estimates and Forecast, By Application, 2021 - 2032 ($Bn)

8.1 Key trends
8.2 Vehicle inspection
8.3 Emission testing
8.4 Component testing
8.5 Telematics
8.6 ADAS
8.7 Homologation testing
8.8 Fuels, fluids and lubricants
8.9 Electric systems and components
8.10 Others

Chapter 9 Market Estimates and Forecast, By Region, 2021 - 2032 ($Bn)

9.1 Key trends
9.2 North America
- 9.2.1 U.S.
- 9.2.2 Canada
9.3 Europe
- 9.3.1 UK
- 9.3.2 Germany
- 9.3.3 France
- 9.3.4 Spain
- 9.3.5 Italy
- 9.3.6 Russia
- 9.3.7 Nordics
- 9.3.8 Rest of Europe
9.4 Asia Pacific
- 9.4.1 China
- 9.4.2 India
- 9.4.3 Japan
- 9.4.4 South Korea
- 9.4.5 ANZ
- 9.4.6 Southeast Asia
- 9.4.7 Rest of Asia Pacific
9.5 Latin America
- 9.5.1 Brazil
- 9.5.2 Mexico
- 9.5.3 Argentina
- 9.5.4 Rest of Latin America
9.6 MEA
- 9.6.1 UAE
- 9.6.2 South Africa
- 9.6.3 Saudi Arabia
- 9.6.4 Rest of MEA

Chapter 10 Company Profiles

10.1 ALS Limited
10.2 Applus+
10.3 Bureau Veritas
10.4 Cotecna Inspection S.A.
10.5 DEKRA SE
10.6 DNV GL
10.7 Element Materials Technology
10.8 Eurofins Scientific
10.9 Exova Group plc
10.10 Intertek Group plc
10.11 Kiwa Group
10.12 LEONI AG
10.13 Lloyd's Register Group
10.14 MISTRAS Group, Inc.
10.15 RINA S.p.A.
10.16 SGS Group
10.17 TUV NORD Group
10.18 TUV Rheinland Group
10.19 TUV SUD Group
10.20 UL LLC (Underwriters Laboratories)