Automotive Electronic Stability Control System Estimated USD 106.91 Billion Market Size by 2032

Overview

The automotive electronic stability control system market was valued at USD 40.65 billion in 2022 and is expected to expand to USD 106.91 billion by 2032, with an increase in CAGR of more than 11.34%.

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• Over the medium term, the growing production of vehicles integrating Advanced Driver Assistance Systems (ADAS) in response to increasing awareness of passenger comfort and safety, alongside government regulations mandating safety features, is anticipated to drive market demand. Additionally, the rising acceptance of self-driving or automated vehicles further contributes to market growth.
• Annually, approximately 1.25 million people lose their lives in road accidents, with the highest numbers reported in developing countries. To address this issue, many governments worldwide have begun imposing stringent regulations to reduce road accidents. Major Original Equipment Manufacturers (OEMs) have initiated investments in Research and Development (R&D) to develop superior technology. The combination of increasing concerns about vehicle safety, adoption of advanced braking systems, AI-powered systems, and government vehicle safety regulations, along with the growth in vehicle production globally, is expected to fuel the growth of the automotive electronic stability control system market during the forecast period.
• Many OEMs are outfitting their products with electronic stability control systems, particularly in medium- and luxury cars. These systems have been effective in reducing fatal run-off-road crashes by 36% for passenger cars and 7% for light trucks and vans. With the anticipated rise in autonomous vehicles, expected to register a Compound Annual Growth Rate (CAGR) of over 21% during the forecast period, this market is projected to experience a high growth rate in the latter half of the forecast period.

Key Trends Shaping the Automotive Electronic Stability Control Systems Market

Growing Adoption of Advanced Driver Assistance Systems (ADAS) in Vehicles

• The market is driven by growing customer awareness regarding the importance of advanced emergency braking systems, fueled by the increasing number of road accidents. Governments worldwide are encouraging the adoption of such safety features, with countries like the United States, Australia, Japan, and many others mandating the electronic stability control system.
• Increasing disposable income and evolving customer preferences toward vehicles equipped with comprehensive safety features are further propelling market growth. The passenger cars segment is anticipated to lead the market during the forecast period, capturing 66% of the global automotive market. The rising production of passenger vehicles globally is a significant factor in maintaining the dominance of this segment.
• Governments across the globe are focusing on implementing legislative policies and regulations to monitor vehicle safety. They are advocating for the mandatory installation of Advanced Driver Assistance Systems (ADAS) components to mitigate the increasing number of road accidents. For example, the Indian government has mandated the requirement for Anti-lock Braking Systems (ABS) on motorcycles to improve vehicle safety, with plans to make Electronic Stability Control (ESC) and Autonomous Emergency Braking (AEB) mandatory in cars.
• The autonomous vehicle technology market, particularly level 4 and 5 autonomous cars, is expected to grow significantly globally. By 2030, the autonomous vehicle market is projected to reach a value of 60 billion USD. The North American region is forecasted to account for up to 30% of the world's self-driving cars, with China and Western Europe holding 24%. These factors are expected to positively contribute to the growth of the electronic stability systems market.

Asia-Pacific Poised for Market Leadership in Automotive Sector

• China, one of the largest automotive markets globally, saw over 23.56 million passenger car sales in 2022, a 9.5% increase from 2021. This robust growth presents a lucrative opportunity for the market in the forecast period.
• Despite the challenges posed by the pandemic, China remains a significant player in the automotive industry, offering promising prospects for predictive technology adoption in the Chinese automobile market. The Chinese government's emphasis on advanced vehicle technologies like Electronic Stability Control systems further enhances the market's growth potential.
• India, an emerging economy, is gradually implementing advanced features in passenger cars, presenting opportunities for market growth. The country's foray into the autonomous and artificial intelligence-oriented automotive industry, coupled with numerous product launches, underscores its potential for market expansion.
• For instance, in June 2023, Maruti Suzuki India Limited (MSIL) introduced the off-roader Jimny, equipped with features like a brake assist function and an electronic stability program.
• In May 2023, SGMW debuted the Baojun Yep, China's first three-door, four-seater battery electric SUV with ESC and hill-hold control.
• Renowned for its automobile industry, Japan boasts strong manufacturers supplying Japanese products worldwide. The focus on Lidars and cameras, crucial components of autonomous cars, has led to companies manufacturing these components entering partnerships and targeting emerging markets.
• With advancements across the region, including China's robust automotive market, India's gradual adoption of advanced automotive technologies, and Japan's focus on emerging markets, the market is poised for significant growth in the forecast period.

Insight into the Automotive Electronic Stability Control Systems Industry

Key players like Robert Bosch GmbH, Continental AG, Denso Corporation, Hitachi Automotive Systems, Autoliv Inc., and others dominate the automotive electronic stability control systems market. The market is experiencing rapid growth, driven by integrating high-end systems even in entry-level cars and increasing collaborations among prominent players to develop advanced safety systems. This trend is expected to drive significant market growth during the forecast period.

For example:

• In June 2023, ZF Friedrichshafen AG announced the expansion of its ESC (Electronic Stability Control) system facilities in India. The company is leveraging new regulations, such as the introduction of electronic stability control (ESC), to offer enhanced safety features in commercial vehicles.
• In February 2023, Shanghai Trugo Tech Co., Ltd., a provider of drive-by-wire chassis technologies and solutions, expanded its fully automated production lines for the ESC (Electronic Stability Control) system and industrialized the EHBI (Electric Hydraulic Brake) system (integrated Onebox) in China.
• In December 2022, Dongfeng Motor (DFM) launched the new Yufeng V9+ light-duty bus. The vehicle comes standard with ABS (Antilock Brake System) and EBD (Electronic Brakeforce Distribution), with optional features like TPMS (Tire Pressure Monitoring System) and ESC (Electronic Stability Control).

Automotive Electronic Stability Control Systems Market Leaders

• Robert Bosch GmbH
• Continental AG
• Denso Corporation
• Autoliv Inc.
• Delphi Automotive LLP
• Nissin Kogyo
• Hitachi Automotive Systems Limited
• Knorr-Bremse AG
• ZF Friedrichshafen AG
• ADVICS CO.,LTD.

Latest Updates on the Automotive Electronic Stability Control Systems Market

• Militem's Ferox-E PHEV Marketing and Continental AG's New Plant- Militem introduces the Ferox-E, a plug-in hybrid PHEV with electronic stability control, adaptive cruise control, front collision warning, and a new front camera.
• Continental AG will establish a new facility in Gurugram, India, to produce Electronic Brake Systems in June 2023
• In May 2023, the company will provide MK 120 ESC to Changan's Oshan X5 Plus and Uni-T models, with serial manufacturing beginning in Shanghai, China.

Segmentation Analysis of the Automotive Electronic Stability Control Systems Industry

• An automotive electronic stability control system is engineered to regulate and uphold the stability of vehicles.
• This system prevents vehicles from skidding and helps avert crashes.

Market Segmentation

By Vehicle Type

• Passenger Cars
• Commercial Vehicles

By Component

• Sensor
• ECU
• Actuator
• Other Components

By Sales Channel

• OEM
• Aftermarket

By Geography

• North America
  • United States
  • Canada
  • Mexico
  • Rest Of North America
• Europe
  • Germany
  • United Kingdom
  • France
  • Italy
  • Rest of Europe
• Asia-Pacific
  • India
  • China
  • Japan
  • South Korea
  • Rest of Asia-Pacific
• Latin America
  • Brazil
  • Rest of Latin America
• Middle-East and Africa
  • South America
  • Rest of Middle East and Africa