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Base Year: 2024
Companies covered: 20
Tables & Figures: 230
Countries covered: 21
Pages: 190
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Automotive Relay Market
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Automotive Relay Market Size
The automotive relay market size as valued at USD 16.8 billion in 2024 and is projected to grow at a CAGR of 6.2% between 2025 and 2034. An increase in global vehicle production directly drives the market development. To manufacture a new vehicle, an automaker is required to integrate multiple relays for a variety of important functions. Passenger and commercial vehicle manufacturers are incorporating more and more electronic devices to improve safety, efficiency, and convenience which increases the need for automobiles. Modern vehicles increasingly use relays for power distribution, lighting, climate control, infotainment systems, and safety systems, therefore, more relays are deployed.
As an example, according to Statista, global production of motor vehicles increased by approximately 10.3% from 2022 to 2023 marking a recovery from the COVID-19 pandemic which had greatly impacted the auto industry. In 2019, approximately 92 million motor vehicles were manufactured around the globe and this figure increased to approximately 94 million in 2023.
The increasing adoption of electric vehicles (EVs) is one of the most important trends for the automotive relay market since EVs need high-performance relays to operate onboard controlled electric and electronic systems. Unlike people who drive internal combustion engine vehicles (ICE), EV drivers depend on high-voltage relays for battery management systems, motor control, power control, distribution systems and EV charging systems.
Consider the example where the International Energy Agency (IEA) states that sales of electric vehicles grew to almost 14 million units in 2023. In addition, the proportion of electric vehicles rose from 4% in 2020 to 18% in 2023. China ranks first in 2024, capturing 10.1 million within total car sales. According to IEA, many countries are developing new policies and developments which might result in saving 6 million barrels of oil per day by 2030.
Automotive Relay Market Trends
Automotive Relay Market Analysis
Based on vehicles, the automotive relay industry is divided into passenger vehicles and commercial vehicles. In 2024, the passenger vehicles segment dominated the market generating revenue of USD 12.4 billion and the passenger vehicles segment is expected to grow at a CAGR of around 6.6% during the forecast period.
Based on propulsion, the automotive relay market is segmented into ICE, and electric vehicles. In 2024, the ICE segment dominates the market with 77% of market share but the electric vehicle segment is expected to grow at a CAGR of over 7.2% from 2025 to 2034.
Based on the application, the automotive relay market is segmented into powertrain systems, body & comfort systems, safety & security systems, infotainment & connectivity, and battery management & charging systems, with the body & comfort systems category expected to dominate due to the increasing integration of electronic components in modern vehicles.
Asia Pacific automotive relay market held around 45% revenue share in 2024, and China leads the Asia Pacific market and generates revenue of USD 3.41 billion.
The automotive relay market in Germany is expected to experience significant and promising growth from 2025 to 2034.
The automotive relay market in U.S. is expected to experience significant and promising growth from 2025 to 2034.
The automotive relay market in Saudi Arabia is expected to experience significant and promising growth from 2025 to 2034.
Automotive Relay Market Share
Automotive Relay Market Companies
Major players operating in the automotive relay industry are:
Industry leaders in the automotive relay market take advantage of multiple opportunities, for instance the formation of partnerships or collaboratives, mergers and acquisitions, launching new products and innovating existing ones, as well as investments in additional research and development. This process aids in the overall assimilation of new aspects and technologies. In the same manner, the business combination of manufacturers through mergers or acquisitions facilitates an improved market reach, available resources, and the innovation of the offerings.
Firms are responding to the need for compact and efficient vehicle electronics by developing state-of-the-art miniaturized, high-performance relays. R&D is focused on innovations such as solid-state relays (SSR) for higher durability and faster soft switching. Moreover, firms are also broadening their global supply chains for more economical production of goods and to shield themselves from the instability in raw material prices. Furthermore, ensuring compliance with safety and environmental legislative requirements is still essential. The collaboration with OEMs and EV manufacturers provides long term market development and competitive positioning.
Automotive Relay Industry News
The automotive relay market research report includes in-depth coverage of the industry with estimates & forecasts in terms of revenue ($ Mn/Bn) and shipments (Units) from 2021 to 2034, for the following segments:
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Market, by Relay
Market, by Vehicle
Market, by Propulsion
Market, by Application
Market, by Sales Channel
The above information is provided for the following regions and countries: