Automatic Emergency Braking (AEB) Market - By Type (Low Speed AEB System, High Speed AEB System, Pedestrians AEB System, Others), By Technology, By Brake (Disc, Drum) By Vehicle Type, Forecast 2024 - 2032

Automatic Emergency Braking Market Size

Automatic Emergency Braking Market size was valued at USD 63.6 billion in 2023 and is anticipated to grow at a CAGR of over 5% between 2024 and 2032. Regulatory pressures and stringent safety standards are key drivers of the market growth. For instance, in July 2024, the Insurance Institute for Highway Safety (IIHS) emphasized the critical need for rear automatic emergency braking (AEB) as standard in all vehicles.
 

The growth of the market is significantly driven by continuous technological advancements. Innovations in sensors, radar, and camera technologies have enhanced the effectiveness of AEB systems. The integration of advanced algorithms and artificial intelligence improves the system's ability to detect potential collisions and respond in real-time. These technological enhancements not only increase the reliability of AEB systems but also contribute to their adoption by automotive manufacturers aiming to offer advanced safety features in their vehicles.
 

Increasing consumer awareness and demand for advanced safety features are fueling the expansion of the market. As vehicle buyers become more conscious of safety and accident prevention, they increasingly seek vehicles equipped with AEB systems. This rising consumer preference drives automakers to include AEB technology in their vehicles, making it a standard offering. The growing emphasis on safety and the desire for enhanced driver assistance systems contribute to the overall growth of the market.
 

Integrating Automatic Emergency Braking (AEB) systems into vehicles can be costly, particularly for manufacturers of budget or entry-level vehicles. The advanced technology required for AEB includes sensors, radar, and sophisticated algorithms, which contribute to higher production costs. These expenses can deter some automakers from incorporating AEB into their vehicles, especially if they are targeting price-sensitive markets. As a result, the adoption of AEB may be slower in lower-end vehicle segments, impacting overall market growth.
 

Consumer understanding of AEB technology and its benefits remains limited. Some buyers may not fully appreciate the effectiveness of AEB in preventing accidents or might have misconceptions about its reliability. This lack of awareness can lead to lower demand for vehicles equipped with AEB, as consumers may not prioritize or even seek out this feature. Additionally, misinformation or skepticism about the technology's performance could hinder its widespread acceptance, affecting the overall growth of the market.
 

Automatic Emergency Braking Market Trends

The market is seeing a significant shift towards integrating AEB with advanced driver assistance technologies, resulting in more comprehensive safety packages. Innovations now combine AEB with systems such as adaptive cruise control, lane-keeping assist, and collision avoidance. This evolution represents a broader industry trend toward sophisticated, multi-layered safety solutions aimed at enhancing vehicle safety and driver assistance. Automakers are increasingly including these technologies as standard features to comply with regulatory demands and address rising consumer expectations for enhanced safety. This integration not only boosts AEB effectiveness but also supports the development of semi-autonomous driving capabilities, paving the way for future advancements in autonomous vehicle technology.
 

For instance, in April 2023, Bosch introduced an advanced automatic emergency braking system that integrates AI and machine learning to enhance detection accuracy and response time. This system aims to reduce rear-end collisions by up to 72%, significantly improving road safety.
 

Automatic Emergency Braking Market Analysis

Based on type, the market is divided into low speed AEB system, high speed AEB system, pedestrians AEB system, and others. The low speed AEB system segment is expected to reach a value over USD 45 billion by 2032.
 

• The rise in urbanization and traffic congestion has led to a higher frequency of low-speed collisions, such as fender-benders and parking lot accidents. Low-speed AEB systems are specifically designed to address these types of collisions, making them increasingly valuable in densely populated urban environments.
   
• Many regions have introduced or are expected to introduce regulations mandating AEB systems in vehicles. Low-speed AEB systems are particularly important for meeting these regulatory requirements, as they effectively prevent accidents at lower speeds, when many urban accidents occur.
   

Based on vehicle type, the AEB market is divided into passenger cars, commercial vehicles, and electric vehicles. The commercial vehicles segment is the fastest growing segment with a CAGR of over 5% between 2024 and 2032.
 

• Increasing regulatory pressures are driving the adoption of AEB systems in commercial vehicles. Governments worldwide are implementing stringent safety regulations that require advanced safety features, including AEB, to reduce accidents and improve road safety for heavy-duty and commercial vehicles.
   
• Fleet operators and logistics companies are increasingly investing in AEB systems to enhance safety and reduce accident-related costs. Insurance companies offer lower premiums for vehicles equipped with AEB, making it a financially attractive option for commercial fleets aiming to lower operational expenses.
   

North America dominated the automatic emergency braking market in 2023, accounting for a share of over 35%. There is a strong consumer demand for enhanced safety technologies in North America. As vehicle buyers increasingly prioritize advanced safety systems, AEB becomes a sought-after feature. This demand compels manufacturers to integrate AEB into their models to attract safety-conscious consumers.
 

The US market is propelled by the integration of AEB systems into new vehicle models due to the growing emphasis on technology and safety features. Additionally, substantial investments by major automakers in developing advanced driver assistance systems drive market growth. The influence of consumer preferences for high-tech safety solutions and stringent safety regulations further supports the adoption of AEB systems.
 

The China automatic emergency braking market is significantly influenced by the rapid expansion of urban infrastructure and smart city projects. The increasing complexity of traffic scenarios in growing cities creates a demand for advanced safety technologies like AEB. Additionally, government policies promoting the integration of safety features in electric vehicles (EVs) contribute to the market’s expansion.
 

The South Korea automatic emergency braking market is driven by the country's strong focus on research and development (R&D) in automotive technology. Major South Korean automakers are investing heavily in developing innovative safety features, including AEB systems, to enhance vehicle safety. Supportive government policies and incentives for adopting cutting-edge technologies also play a crucial role in driving market growth.
 

The Japan market is boosted by the high vehicle ownership rate and the need for advanced safety features due to an aging population. With a large number of vehicles on the road and an increasing proportion of elderly drivers, there is a rising demand for AEB systems. Japan’s stringent vehicle safety regulations and commitment to technological advancement further enhance market growth.
 

The India automatic emergency braking market is driven by the rapid growth of the automotive industry and increasing vehicle affordability. The expansion of vehicle manufacturing and the introduction of budget-friendly models with advanced safety features like AEB contribute to market growth. Additionally, the Indian government's initiatives to improve road safety standards are promoting the adoption of AEB systems.
 

Automatic Emergency Braking Market Share

Robert Bosch GmbH and Continental AG hold a significant share in the market. Robert Bosch GmbH is a leading force in the market, leveraging its extensive expertise in automotive technology and innovation. Bosch’s AEB systems are renowned for their precision and reliability, integrating advanced sensors and radar technology to effectively prevent collisions. Continental AG also holds a significant share in the market, driven by its commitment to advancing automotive safety technologies. Continental’s AEB systems are characterized by their high performance and seamless integration with other driver assistance features.
 

Some other major players in the market are Mando Corporation, Denso Corporation, Magna International Inc., Valeo, Wabco Holdings Inc., Tesla, Inc., Nvidia Corporation, TRW Automotive (now part of ZF), and Hella KGaA Hueck & Co.
 

Automatic Emergency Braking Market Companies

Major players operating in the automatic emergency braking industry are:

• Autoliv Inc.
• Continental AG
• Delphi Automotive LLP (now Aptiv PLC)
• Hyundai Mobis
• Mobileye (an Intel Company)
• Robert Bosch GmbH
• ZF Friedrichshafen AG
   

Automatic Emergency Braking Industry News

• In October 2023, Continental announced a strategic alliance with DeepDrive to develop next-generation brake systems for electric vehicles. This collaboration focuses on integrating advanced emergency braking technologies to meet the demands of automated driving.
   
• In June 2023, Aptiv launched a new suite of ADAS solutions, including an enhanced automatic emergency braking system. This system leverages high-resolution sensors and AI to provide superior collision avoidance capabilities.
   

The automatic emergency braking market research report includes in-depth coverage of the industry with estimates & forecasts in terms of revenue (USD billion) from 2021 to 2032, for the following segments:

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Market, By Type, 2021 - 2032

• Low Speed AEB System
• High Speed AEB System
• Pedestrians AEB System
• Others

Market, By Technology, 2021 - 2032

• Radar-based AEB systems
• Camera-based AEB systems
• LiDAR-based AEB systems
• Ultrasonic-based AEB systems
• Infrared-based AEB systems
• Others

Market, By Brake, 2021 - 2032

• Disc
• Drum

Market, By Vehicle Type, 2021 - 2032

• Passenger Cars
• Commercial Vehicles

The above information is provided for the following regions and countries:

• North America
  • U.S.
  • Canada
• Europe
  • Germany
  • UK
  • France
  • Italy
  • Spain
  • Rest of Europe
• Asia Pacific
  • China
  • India
  • Japan
  • South Korea
  • ANZ
  • Rest of Asia Pacific
• Latin America
  • Brazil
  • Mexico
  • Rest of Latin America
• MEA
  • UAE
  • Saudi Arabia
  • South Africa
  • Rest of MEA