Smart Tailgate Market Size

The global smart tailgate market size was valued at USD 4.1 billion in 2024 and is estimated to register a CAGR of 8.5% between 2025 and 2034. Increasing demand for convenience and automation in vehicles is anticipated to drive market growth. As consumers seek more user-friendly and technologically advanced features, automotive manufacturers are increasingly focusing on incorporating smart technologies into their vehicles.

Smart tailgates enable hands-free operation, powered opening/closing, and gesture controls significantly enhance the convenience of accessing a vehicle's cargo space. This is particularly beneficial for individuals carrying heavy or multiple items, as they can operate the tailgate without using their hands.

For instance, according to the Statists, the luxury cars market is projected to reach USD 23,770 million in 2024. Revenue is expected to show an annual growth rate of 17.89% from 2024-2029, resulting in a projected market volume of USD 54,130 million by 2029. Additionally, the growing popularity of SUVs and crossovers, which often feature larger cargo spaces, has led to a higher demand for smart tailgate systems.

Another significant growth driver for the smart tailgate market is the rise in vehicle safety and security features. Modern consumers are increasingly prioritizing safety and security when purchasing vehicles, which has led to a demand for advanced features like smart tailgates. These systems enhance convenience and improve the safety of loading and unloading cargo. Furthermore, many smart tailgates include sensors that detect obstacles behind the vehicle, helping to prevent accidental damage or injury while the tailgate is opening or closing.

Smart Tailgate Market Trends

As automakers strive to meet stricter environmental regulations, they are incorporating features that improve vehicle efficiency. Smart tailgate systems can reduce the effort needed to open and close tailgate, potentially improving the overall aerodynamics and energy efficiency of vehicles, especially electric and hybrid models. Additionally, many smart tailgates are now designed with lightweight materials and energy-efficient mechanisms, helping to reduce the overall vehicle weight and improve fuel economy. Furthermore, consumers are increasingly drawn to vehicles with advanced, energy-efficient features, further fueling the market for smart tailgates.

One significant pitfall for the smart tailgate market is the high cost of implementation. The integration of smart tailgates requires advanced technologies such as motors, sensors, actuators, and software. These components increase the overall production cost of the vehicle, making it more expensive for automakers to manufacture. As a result, the higher cost can be passed on to consumers, limiting the adoption of smart tailgate systems, particularly in price-sensitive markets or lower-end vehicle segments. This could slow down the widespread adoption of smart tailgates, especially in regions where consumers prioritize affordability over advanced features.

Smart Tailgate Market Analysis

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Additionally, the growing popularity of SUVs, which often come with higher-end features, has created more opportunities for the integration of powered tailgates. Automakers are incorporating these systems to enhance the appeal of their vehicles, making them more competitive in the market.

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Based on mechanism, the smart tailgate market is categorized into electrical, hydraulic, and pneumatic. The electrical segment held a market share of around 56% in 2024. As modern consumers seek more user-friendly and technologically advanced vehicles, the demand for electric smart tailgates has surged. These tailgates offer automatic opening and closing with just a push of a button or a gesture. This hands-free functionality enhances the overall user experience and aligns with the growing trend for smart, connected vehicles.

Additionally, the integration of electric smart tailgates with other advanced technologies such as keyless entry and remote controls is gaining traction, further boosting their appeal.

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U.S. smart tailgate market accounted for 80% of the revenue share in 2024. The U.S. market is driven by the increasing popularity of outdoor activities and road trips. With more consumers investing in SUVs and crossovers for recreational purposes, there is a rising demand for features that enhance the convenience and functionality of these vehicles for outdoor use. Smart tailgates provide easier access to the cargo area, which is especially useful for carrying camping gear, sports equipment, and other outdoor essentials.

Additionally, the ability to remotely control the tailgate adds a level of comfort and security during outdoor excursions. As road trips, camping, and adventure-based travel continue to gain popularity, the demand for smart tailgates in the North America is expected to grow.

One key growth driver for the Asia Pacific market is the region's increasing urbanization and rising disposable incomes. As more people in cities adopt personal vehicles for convenience, the demand for advanced automotive features is growing. Urban consumers, especially in countries such as China, Japan, and India, are increasingly seeking vehicles that offer enhanced convenience, and smart tailgates are a major draw.

As disposable incomes rise, more consumers are opting for higher-end vehicle models that come equipped with these advanced features. The combination of urban growth, increased purchasing power, and a shift toward higher-quality vehicles is fueling the demand for smart tailgates in the Asia Pacific market.

Smart Tailgate Market Share

Magna and Bosch hold a market share of around 15% in the smart tailgate industry. Magna, a leading automotive supplier, focuses on integrating advanced technologies such as hands-free, powered, and automated tailgate systems to enhance vehicle convenience and safety. The company invests heavily in research and development to create high-quality, cost-effective solutions for a broad range of vehicle types, from luxury cars to mass-market models. Magna also partners with major automakers to incorporate smart tailgates into their offerings, further broadening its reach.

Bosch emphasizes integrating its smart tailgate technology with other vehicle systems, such as sensors and software, to improve functionality and user experience. Bosch also focuses on sustainability, offering energy-efficient solutions to meet the growing demand for eco-friendly vehicles, especially electric ones. Both companies' strategies revolve around providing technologically advanced, reliable, and user-friendly systems, ensuring they stay competitive in the growing market.

Smart Tailgate Market Companies

Major players operating in the smart tailgate industry include:

• Aisin Seiki
• Aptiv
• Bosch
• Continental
• Ficosa
• Hella
• Johnson
• Lear
• Magna
• Stabilus
  

Smart Tailgate Industry News

• In May 2024, ZHAOWEI launched a smart electric tailgate actuator. This innovative product improves power tailgate systems with an optimized gearbox design that boosts torque and minimizes noise. It incorporates an electric spindle motor that aids in the smooth opening and closing of the trunk lid.
  
• For instance, in August 2023, Hyundai introduced the new Santa Fe SUV featuring an innovative tailgate design. The Santa Fe's spacious tailgate seamlessly connects indoor and outdoor spaces, providing a broader range of experiences. What was once a storage area is transformed into an accessible terrace, enhancing outdoor enjoyment.
  

The smart tailgate market research report includes in-depth coverage of the industry with estimates & forecast in terms of revenue ($Bn) and shipment (units) from 2021 to 2034, for the following segments:

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Market, By Offering

• Manual
• Powered
• Hands-Free

Market, By Vehicle

• Hatchback
• Sedan
• SUVs

Market, By Mechanism

• Electrical
• Hydraulic
• Pneumatic

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

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