Global Automotive Power Electronics Market Size, Share, Growth Analysis, By Device(power IC, and module & discrete), By Application(ADAS & safety, body control & comfort) - Industry Forecast 2024-2031

Global Automotive Power Electronics Market size was valued at USD 4.17 billion in 2022 and is poised to grow from USD 4.37 billion in 2023 to USD 6.30 billion by 2031, growing at a CAGR of 4.7% during the forecast period (2024-2031).

Power electronics, a critical domain within electronics, is dedicated to managing power fluctuations across various components, encompassing the oversight of diodes and transistors. By leveraging solid-state circuitry, power electronics efficiently convey current from source to load, optimizing energy usage and enabling bidirectional current flow, enhancing system efficiency and resilience to high temperatures. In the realm of modern automotive systems, power electronics hold pivotal roles across interior and exterior functionalities, spanning telematics, infotainment, powertrain, safety, security, and body control, underscoring their indispensable status within the automotive sector. Despite challenges such as the US-China trade dispute and temporary disruptions in raw material exports from China impacting the global automotive power electronics market, a resurgence is anticipated as economic activities gradually rebound, especially toward the latter half of 2020. With a focus on achieving superior performance and affordability, the automotive industry channels significant resources into research and development, emphasizing electronics and energy storage technologies to meet evolving consumer demands and regulatory standards, thereby solidifying the reliance on power electronics for heightened safety levels. This transition from conventional mechanical systems to electronic integration propels market expansion, notably evident in power electronics' crucial role in vital automotive systems like body electronics, chassis mechanisms, telematics, safety, security, and infotainment, reflecting the market's continual growth trajectory. The global emphasis on curbing carbon emissions, coupled with consumer preferences for advanced technology and safety features, further drives market expansion, while ongoing technological advancements and research endeavors geared toward enhancing power electronics for enhanced fuel efficiency reinforce the outlook for sustained market growth in the foreseeable future.

Top-down and bottom-up approaches were used to estimate and validate the size of the Global Automotive Power Electronics Market and to estimate the size of various other dependent submarkets. The research methodology used to estimate the market size includes the following details: The key players in the market were identified through secondary research, and their market shares in the respective regions were determined through primary and secondary research. This entire procedure includes the study of the annual and financial reports of the top market players and extensive interviews for key insights from industry leaders such as CEOs, VPs, directors, and marketing executives. All percentage shares split, and breakdowns were determined using secondary sources and verified through Primary sources. All possible parameters that affect the markets covered in this research study have been accounted for, viewed in extensive detail, verified through primary research, and analyzed to get the final quantitative and qualitative data.

Global Automotive Power Electronics Market Segmental Analysis

The global automotive power electronics market is segmented on the basis of device type, application, and region. Based on device type, the market is segmented into power IC, and module & discrete. By application, the market is categorized into ADAS & safety, body control & comfort, infotainment, telematics, engine management & powertrain, and battery management. Region wise, the market is segmented into North America, Europe, Asia Pacific, Middle East and Africa, and Latin America.

Drivers of the Global Automotive Power Electronics Market

The rising adoption of electric vehicles (EVs) is spearheading environmental conservation efforts to unprecedented levels, as the world transitions away from fossil fuels towards electricity. EVs present substantial sustainability advantages, triggering a surge in global demand for automotive power electronics. These essential components play a pivotal role in managing and enhancing electrical energy distribution within EV systems, encompassing functions like lighting, climate control, and entertainment. Leveraging MOSFETs in power electronic switches has notably boosted efficiency while reducing overall size, consequently amplifying the global appetite for EVs.

Restraints in the Global Automotive Power Electronics Market

The automotive power electronics sector is undergoing a significant evolution, consolidating multiple functions onto a single chip, which necessitates increasingly complex design methodologies. This trend is fueled by the industry's quest for sophisticated yet cost-effective solutions that deliver enhanced power efficiency, minimized switching losses, and compact module dimensions. Nevertheless, the adoption of advanced technology introduces hurdles such as managing high switching frequencies, which present distinct design challenges. The intricacies of controlling these algorithms may impede switching speed, consequently affecting overall performance. Furthermore, certain devices demand specialized cooling mechanisms, posing additional obstacles for design engineers to overcome.

Market Trends of the Global Automotive Power Electronics Market

The automotive power electronics sector is witnessing remarkable progress, especially in the advancement of power semiconductor devices like insulated gate bipolar transistors (IGBTs), silicon carbide (SiC), and gallium nitride (GaN). These cutting-edge technologies are reshaping electric drivetrains, enabling higher power densities, and enhancing efficiency. With enhanced switching capabilities, reduced power losses, and superior thermal conductivity, IGBTs, SiC, and GaN devices play a pivotal role in boosting the efficiency and reliability of automotive power electronics systems. As the automotive industry embraces electrification, the ongoing evolution of these semiconductor technologies underscores a commitment to achieving superior energy efficiency and performance in electric vehicles, thereby propelling the growth of the automotive power electronics market.