Automotive Collision Repair Market Size - By Product (Crash parts, Paints & Coatings, Adhesives & Sealants, Abrasives, Finishing Compound, Others), By Vehicle Type (Passenger Cars, HCV & LCV, Motorcycles), By Sales Channel & Forecast, 2024 - 2032

Automotive Collision Repair Market Size

Automotive Collision Repair Market size was valued at USD 201.1 billion in 2023 and is estimated to grow at a CAGR of 5.5% between 2024 and 2032. As vehicle ownership rises globally, particularly in emerging markets, the number of vehicles on the road increases, leading to higher chances of accidents and collisions. This drives demand for collision repair services.
 

Modern vehicles are equipped with advanced technology, including sophisticated electronics, sensors, and high-strength materials. The complexity of these systems often requires specialized repair techniques and equipment, driving demand for advanced collision repair services. The growing adoption of comprehensive and collision insurance policies provides greater coverage for repairs. As more drivers carry such insurance, there is a higher likelihood of repair claims, boosting demand for collision repair services. Regulatory standards related to vehicle safety and repair quality ensure that vehicles repaired after accidents meet specific safety criteria. Compliance with these standards drives demand for high-quality repair services and certified repair shops.
 

The automotive collision repair market is highly competitive, with numerous players offering similar products. Differentiating products and maintaining competitive pricing can be challenging. Compliance with increasingly stringent environmental and emissions regulations can be challenging. Companies must continually adapt to changing standards and invest in technologies that meet regulatory requirements.
 

Automotive Collision Repair Market Trends

The integration of cutting-edge technologies, such as laser scanning and 3D imaging, is revolutionizing collision repair. These tools provide precise measurements and diagnostics, enhancing repair accuracy and efficiency. As vehicles become increasingly equipped with ADAS technologies (e.g., lane-keeping assist, adaptive cruise control), there is a growing need for specialized repair shops that can calibrate and repair these systems accurately.
 

There is a rising emphasis on sustainable and environmentally friendly repair practices. This includes using water-based paints, recycling repair materials, and reducing waste and emissions in repair processes. The use of digital estimating software and mobile apps is streamlining the collision repair process. These tools facilitate quicker and more accurate damage assessments and repair quotes.
 

Automotive Collision Repair Market Analysis

Based on product, the market is divided into crash parts, paints & coatings, adhesives & sealants, abrasives, finishing compound, others. In 2023, crash parts held the dominant market of USD 62.5 billion and is expected to reach USD 106.9 billion by 2032. A higher number of vehicles on the road and increased vehicle usage result in more frequent accidents and collisions, driving the demand for crash parts. Modern vehicles incorporate advanced materials and designs, which often require specialized and sometimes expensive crash parts. The need to replace these parts after collisions drives market demand.
 

Based on vehicle type, the automotive collision repair market is categorized into passenger cars, HCV & LCV, motorcycles. In 2023, passenger cars held the dominant market share of 51% and is anticipated to grow through the years. Passenger cars represent the largest segment of the automotive market. The high number of vehicles on the road leads to a significant volume of collision repairs required annually. Modern passenger cars are equipped with advanced driver-assistance systems (ADAS) and high-strength materials, which require specialized repair techniques and parts, influencing demand for advanced repair services.
 

North America held an automotive collision repair market of around USD 53.1 billion in 2023 and is expected to reach USD 87.1 billion by 2032. North America has one of the highest rates of vehicle ownership per capita in the world. The extensive vehicle fleet means more collisions and accidents, driving a steady demand for repair services.
 

The market in U.S. is set to grow through a CAGR of 5.9% through the forecast time period. The U.S. has one of the highest vehicle ownership rates in the world, with over 270 million registered vehicles. This extensive fleet leads to a substantial number of collisions and repairs annually.
 

The German automotive collision repair market maintained a considerable position in Europe. Germany has a large and diverse vehicle fleet, including a significant number of passenger cars, commercial vehicles, and luxury cars. The high vehicle density leads to frequent collisions and the need for repair services.
 

China is supposed to grow at the highest rate of 6.6% in the region. China has one of the largest and fastest-growing vehicle fleets in the world. The significant increase in the number of cars on the road leads to a higher incidence of collisions and consequently drives demand for collision repair services.
 

Automotive Collision Repair Market Share

Automotive collision repair industry seems to be consolidated in nature due to presence of local and global players across the globe. In 2023, the market players such as 3M, Lodi Group, Continental AG, Denso Corporation, Faurecia, Federal-Mogul LLC, Honeywell International, Inc., International Automotive Components Group collectively held around 5%-10% market share. These prominent players are proactively involved in strategic endeavors, such as mergers & acquisitions, facility expansions & collaborations, to expand their product portfolios, extend their reach to a broader customer base, and strengthen their market position.
 

Automotive Collision Repair Market Companies

Major players operating in the automotive collision repair industry are:

• 3M
• Continental AG
• Denso Corporation
• Faurecia
• Federal-Mogul LLC
• Honeywell International, Inc.
• International Automotive Components Group
• Johnson Controls, Inc.
• Lodi Group
• Magna International Inc.
• Mann+Hummel Group
• Martinrea International Inc.
• Mitsuba Corporation
• Robert Bosch GmbH
• Takata Corporation ODU GmbH & Co.KG
   

Automotive Collision Repair Industry News

• In July 2023, BMW North America became a member of I-CAR's Sustaining Partner Program. This initiative funds support activities and collision repair education, aiming to minimize training redundancies. Additionally, it allows partners to advocate and financially back I-CAR's industry-wide endeavors.
   
• In July 2023, Classic Collision acquired the Dayton Collision Center in Dayton, Tennessee, marking a strategic expansion in the state. This move comes on the heels of the company's successful expansions in states like Minnesota, Georgia, Texas, Colorado, and Florida earlier in 2023.
   
• In March 2023, DENSO Products and Services Americas, Inc. expanded its aftermarket ignition coils lineup, adding nine new part numbers. These new additions cater to over 9 million vehicles, enhancing offerings for various models including Buick, BMW, Cadillac, GMC, Infiniti, Lincoln, Ford, Nissan, Chevrolet, and Volvo.
   
• In September 2022, Bosch Automotive Aftermarket showcased several innovative products at the Automechanika trade fair. Highlights included the DAS 3000 for calibrating vehicle sensors and camera systems, the DCU 120 diagnostic control unit for mobile workshops, and the 'Bosch Automotive Training Solutions' platform for technical training course management.
   
• In April 2022, 3M acquired LeanTec's technology assets, a firm specializing in digital inventory management for the automotive aftermarket in the U.S. and Canada. This acquisition underscores 3M's dedication to its "connected bodyshop" vision, with LeanTec's technology enhancing '3M RepairStack Performance Solutions', ensuring timely material availability for safe repairs.
   

The automotive collision repair market research report includes in-depth coverage of the industry with estimates & forecast in terms of revenue (USD Billion) (Million Units) from 2021 to 2032, for the following segments:

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Market, By Product

• Crash parts
• Paints & Coatings
• Adhesives & Sealants
• Abrasives
• Finishing Compound
• Others

Market, By Vehicle Type

• Passenger Cars
• HCV & LCV
• Motorcycles

Market, By Sales Channel

• OEM
• Aftermarket

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

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