Automotive Headliners Market Analysis

Automotive Headliners Market Analysis

Plastic material segment held around 70% automotive headliners market share in 2019. It can be attributed to its favorable characteristics owing to the immense chemical competence of the material. Plastic is one of the most researched constituents. It has attracted enormous adoption in the global automotive sector due to its excellent mechanical performance coupled with great aesthetical appeal.

Thermoplastics are extensively used in both passenger and commercial vehicles. Thermoplastics provide attractive surface finish; high impact strength, reusability, and can be easily shaped or molded by reheating. Rising demand for lightweight interiors is likely to fuel the segment growth.

The PCVs or passenger cars segment recorded more than USD 12.5 billion in 2019 and is likely to dominate the automotive headliners market through 2026. Surge in passenger car demand in the Asia Pacific region will drive the market growth. The rising disposable income coupled with easy credit or financial support facilities has augmented passenger car demand. Shifting consumer trend towards replacing & upgrading existing vehicles with newer and advanced technologies along with rising demand for luxury & sports cars will boost the market demand.
 

In 2019, the Original Equipment Manufacturer (OEM) distribution channel held dominant market share of above 90% . OEMs implement highly collaborative procedures to design automotive headliners. Innovative tools and techniques are used by manufacturers for efficient and streamlined production. Superior finish, perfect fit, and aesthetic appeal are some of the key features augmenting the sales of automotive headliners.
 

Manufacturers are focusing on reducing the overall time of product development, ultimately reducing the cost. Precisely manufactured parts with superior finish are preferred by market players. The designing, development, and production of the product are done in association with vehicle manufacturers, offering compatibility of the product with the automotive model.
 

Asia Pacific dominated the global automotive headliners market with over 50% share in 2019. The region also accounts for more than 50% share of global automotive production. In 2019, China manufactured 25 million units, which is approximately 28% of the global automotive production in the same year. Rising urbanization, robust economic development, and increasing spending power of the middle-class populace are some of the chief factors propelling the regional automotive industry growth.
 

Some of the major players in the global automotive industry have shifted their manufacturing bases in the region owing to the availability of raw materials, cheap labor, favorable regulations, etc. Supportive government initiatives have attracted significant private investments in the Asia Pacific automotive industry. For instance, Morris Garages (MG) is planning to invest around USD 400 million in India to strengthen its position in the rapidly growing SUV segment.