PUBLISHER: Stratistics Market Research Consulting | PRODUCT CODE: 1489457
PUBLISHER: Stratistics Market Research Consulting | PRODUCT CODE: 1489457
According to Stratistics MRC, the Global Automotive Airbags & Seatbelts Market is accounted for $36.7 billion in 2023 and is expected to reach $67.9 billion by 2030 growing at a CAGR of 9.1% during the forecast period. Automotive airbags and seatbelts are vital safety components installed in vehicles to mitigate the risk of injury during collisions. Airbags rapidly inflate upon impact, providing cushioning for occupants, while seatbelts restrain passengers, preventing them from being ejected. They enhance occupant protection by reducing the severity of injuries and saving lives in the event of accidents.
According to the Insurance Institute for Highway Safety (IIHS), front airbags reduce driver fatalities in frontal crashes by 29% and fatalities of front-seat passengers age 13 and older by 32%. Side airbags that protect the head reduce a car driver's risk of death in driver-side crashes by 37% and an SUV driver's risk by 52%.
Rising concerns for passenger safety
Increasing awareness about vehicle safety and rising concerns for passenger protection are major drivers for the automotive airbag and seatbelt market. Governments worldwide are implementing stringent safety regulations, mandating the installation of airbags and seatbelts in vehicles. Consumers are also becoming more safety-conscious and are willing to pay for advanced safety features. As a result, automakers are focusing on integrating advanced airbag systems and seatbelt technologies to enhance passenger safety, thereby driving the growth of the market.
High cost of advanced safety systems
Features such as side airbags, knee airbags, and advanced seatbelt pretensioners add to the overall cost of the vehicle. This cost is often passed on to consumers, making vehicles equipped with these advanced safety features more expensive. The higher price point can deter some consumers, especially in price-sensitive markets, from opting for these safety technologies. This cost constraint can limit the widespread adoption of advanced airbags and seatbelts, particularly in entry-level vehicles.
Focus on autonomous vehicles
As vehicles become more autonomous, the focus on passenger safety will intensify. Autonomous vehicles will require advanced airbag systems that can adapt to different seating positions and occupant sizes. Moreover, the integration of airbags with other safety technologies, such as sensors and cameras, will become crucial. The development of innovative airbag designs and deployment mechanisms specifically tailored for autonomous vehicles will open up new growth avenues for the market.
Product liability and recall risks
Airbag and seatbelt manufacturers face the risk of product failures, defects, or malfunctions, which can lead to serious injuries or fatalities. Such incidents can result in costly product liability lawsuits and damage the reputation of the manufacturer. Additionally, product recalls due to safety issues can be expensive and can erode consumer trust in the brand.
The COVID-19 pandemic has had a significant impact on the automotive airbags and seatbelts market. The temporary shutdown of vehicle manufacturing plants and disruptions in the supply chain has affected the production and availability of airbags and seatbelts. The economic uncertainty caused by the pandemic has also led to a decline in vehicle sales, reducing the demand for these safety components. However, as the automotive industry recovers and vehicle production resumes, the demand for airbags and seatbelts is expected to rebound.
The passenger cars segment is expected to be the largest during the forecast period
The passenger cars segment is expected to hold the largest share of the automotive airbags and seatbelts market during the forecast period. Passenger cars account for the majority of vehicle production worldwide, and the increasing focus on passenger safety in this segment is driving the demand for airbags and seatbelts. Governments have mandated the installation of frontal airbags and three-point seatbelts in passenger cars, making them standard safety features. Moreover, the growing consumer preference for vehicles equipped with advanced safety systems is further boosting the growth of this segment.
The knee airbags segment is expected to have the highest CAGR during the forecast period
The knee airbags segment is expected to witness the highest CAGR in the automotive airbags market during the forecast period. Knee airbags are designed to protect the lower extremities of the occupants during a frontal collision. They help reduce the risk of leg and knee injuries by cushioning the impact. The increasing adoption of knee airbags, particularly in premium and luxury vehicles, is driving the growth of this segment. As safety regulations become more stringent and consumer awareness about the benefits of knee airbags grows, the demand for this segment is expected to rise significantly.
The Asia Pacific region is expected to hold the largest share of the automotive airbag and seatbelt market. The region is home to several major vehicle manufacturing countries, such as China, Japan, and South Korea, which have a significant influence on the global automotive industry. The increasing vehicle production, coupled with the rising consumer demand for safety features, is driving the growth of the market in this region. Moreover, governments in the Asia Pacific region are implementing stringent safety regulations, mandating the installation of airbags and seatbelts in vehicles, further boosting market growth.
The Asia Pacific region is also expected to exhibit the highest CAGR in the automotive airbags and seatbelts market during the forecast period. The region's rapidly growing automotive industry, increasing disposable incomes, and rising awareness about vehicle safety are the key factors contributing to this growth. Countries like India and Southeast Asian nations are witnessing a surge in vehicle ownership, leading to a higher demand for airbags and seatbelts. Additionally, the increasing focus on vehicle safety by governments and consumers in the region is expected to drive the adoption of advanced airbag systems and seatbelt technologies, further fueling market growth.
Key players in the market
Some of the key players in Automotive Airbags & Seatbelts Market include Aptiv PLC, Ashimori Industry Co., Ltd., Autoliv Inc., Continental AG, Denso Corporation, East Joy Long Motor Airbag Co., Ltd., Goradia Industries, Hyundai Mobis Co., Ltd., Joyson Safety Systems, Nihon Plast Co., Ltd., Robert Bosch GmbH, Schrader International, Inc., Special Devices Inc., Takata Corporation, Tokai Rika Co., Ltd., Toyobo Co., Ltd., Toyoda Gosei Co., Ltd. and ZF Friedrichshafen AG.
In June 2023, Autoliv is set to debut its inaugural two-wheeler airbag in 2025. The upcoming bag-on-bike airbag, scheduled for production in the same year, promises a substantial reduction in the risk of severe injuries during frontal crashes for riders of powered two-wheelers.
In May 2023, Autoliv China, a subsidiary of the worldwide leader in automotive safety systems, Autoliv Inc, and NIO Inc., a leading electric vehicle company based in China, have signed a strategic cooperation framework agreement. The collaboration includes several new safety technologies for electric vehicles with an overarching focus on sustainable solutions.
Note: Tables for North America, Europe, APAC, South America, and Middle East & Africa Regions are also represented in the same manner as above.