Automotive Lighting Market Size Driven by 5.99% CAGR

Automotive Lighting Market Size Driven by 5.99% CAGR

According to market projections, the automotive lighting sector is expected to grow from USD 34.58 billion in 2024 to USD 61.88 billion by 2034, reflecting a CAGR of 5.99%. North America led the automotive lighting market, while Asia Pacific is set for strong growth. Front lighting and OEMs held top shares, with rear lighting and aftermarket segments expected to grow fastest. Passenger vehicles dominated, but commercial ones will rise rapidly.

The automotive lighting market is projected to reach USD 61.88 billion by 2034, growing from USD 36.66 billion in 2025, at a CAGR of 5.99% during the forecast period from 2025 to 2034.

Automotive Lighting Market Size 2024 - 2034

Introduction

The automotive lighting market is a prominent segment of the automotive industry. This industry deals in manufacturing and distribution of lighting systems for the automotive sector. There are various types of products developed in this sector including LED lights, halogen lights, Xenon lights and some others. These lights find application in front lighting/headlamps, rear lighting, side lighting, interior lighting and some others. It is designed for numerous types of vehicles consisting of passenger vehicles and commercial vehicles. The automotive lighting systems are available in a well-defined sales channel comprising of OEMs and aftermarket. The growing sales of automotives has increased the demand for advanced lighting systems, thereby driving the market expansion. This market is likely to rise significantly with the growth of the automotive components industry across the globe.

India Passenger Vehicle Sales (2022-25)

Highlights of the Automotive Lighting Market

  • North America held the highest share of the automotive lighting market.
  • Asia Pacific is expected to grow with a significant CAGR during the forecast period.
  • By application, the front lighting/headlamps segment held the largest share of the market.
  • By application, the rear lighting segment is anticipated to rise with the highest CAGR during the forecast period.
  • By sales channel, the Original Equipment Manufacturers (OEMs) segment dominated this industry.
  • By sales channel, the aftermarket segment is predicted to rise with a considerable CAGR during the forecast period.
  • By vehicles, the passenger vehicle segment led the industry.
  • By vehicles, the commercial vehicle segment is likely to grow with the fastest rate during the forecast period.

Automotive Lighting Market: Stats and Figures

  • According to the International Organization of Motor Vehicle Manufacturers, around 4,101,600 passenger vehicles were sold in India during 2023. (Source: CEIC Data)
  • According to the Engine Technology Forum, around 3,920,000 vehicles were sold in the U.S. during the 1st quarter of 2025. (Source: Engine Technology Forum)

Key Metrics and Overview

Metric  Details
Market Size in 2024 USD 34.58 Billion
Projected Market Size in 2034 USD 61.88 Billion
CAGR (2025 - 2034) 5.99%
Leading Region North America
Market Segmentation By Vehicle, By Sales Channel, By Application, By Technology and By Region
Top Key Players Sony Corporation, Samsung Electronics, Texas Instruments Incorporated., STMicroelectronics, Omnivision Technologies

Application Insights

The front lighting/headlamps segment held the largest share of the market. The growing integration of LED-headlamps in luxury vehicles has boosted the market expansion. Also, the rising investment by automotive companies for developing advanced headlamps to enhance safety in automotives is playing a crucial role in shaping the industrial landscape. Moreover, the increasing trend of matrix headlights and laser lighting in western nations such as UK, Germany, U.S. is expected to drive the growth of the automotive lighting market.

  • In April 2025, Uno Minda launched a new range of automotive headlights in India. These headlights are designed for the 7-seater cars across the country. (Source: Manufacturing Today India)

The rear lighting segment is anticipated to rise with the highest CAGR during the forecast period. The growing sales of commercial vehicles in different parts of the world has boosted the market growth. Also, the availability of rear lighting systems in various online platforms such as Amazon, Ebay, O'Reilly Auto Parts, AutoZone and some others is likely to shape the industrial landscape. Moreover, numerous partnerships and collaborations among automotive brands and lighting companies is further anticipated to drive the growth of the automotive lighting market.

  • According to the OICA, around 415 796 commercial vehicles were registered in UK during 2024. (Source: OICA)

Sales Channel Insights

The original equipment manufacturers (OEMs) segment dominated this industry. The growing demand for genuine automotive products from car owners has boosted the market expansion. Also, the rise in number of OEM service centers coupled with rapid investment by OEMs for manufacturing high-grade automotive components is crucial for the industrial growth. Moreover, the availability of essential lighting systems in OEMs workshops for real-time replacement is further driving the growth of the automotive lighting market.

The aftermarket segment is predicted to rise with a considerable CAGR during the forecast period. The rising demand for modified automotive lights among Generation Z population has driven the market growth. Additionally, the availability of aftermarket lighting systems in third-party platforms and retail outlets is further contributing to the industrial expansion. Moreover, the affordability and uniqueness of aftermarket automotive components as compared to traditional products is accelerating the growth of the automotive lighting market.

Vehicles Insights

The passenger vehicle segment led the industry. The growing sales of passenger cars in several nations such as India, China, Japan, South Korea and some others is driving the market growth. Additionally, surge in demand for luxury sedans among elite-class consumers coupled with rapid investment by automotive companies for integrating advanced lights in passenger vehicles is adding to the overall industrial expansion. Moreover, the increasing adoption of electric SUVs in developed nations is expected to drive the growth of the automotive lighting market.

  • In March 2025, Volvo launched XC90 in India. XC90 is a luxury SUV that comes with LED headlamp clusters to enhance the overall looks and safety of this car.

The commercial vehicle segment is likely to grow with the fastest rate during the forecast period. The rising production of commercial vehicles in Japan and South Korea has increased the demand for advanced lighting systems, thereby driving the market expansion. Also, the growing adoption of LCEVs by fleet operators along with ongoing trend of autonomous trucks in Europe is further adding to the industrial growth. Moreover, the rapid deployment of electric buses in developed nations such as France, Germany, Italy and some others is accelerating the growth of the automotive lighting market.

  • In April 2025, FLYNT launched a new LCEV in Europe. This LCEV is equipped with advanced features and superior lighting system.

Geographical Insights

North America held the highest share of the automotive lighting market. The growing sales of passenger cars in several countries such as the U.S. and Canada has driven the market expansion. Additionally, surge in demand for eco-friendly transportation coupled with integration of smart lighting systems in automotives is playing a crucial role in shaping the industrial landscape. Moreover, the presence of several automotive brands such as Tesla, Ford, Rivian, Buick, Lucid and some others is further driving the growth of the automotive lighting market in this region.

  • In April 2025, Lucid launched Lucid Gravity in North America. Lucid Gravity is an electric SUV that is equipped with advanced technologies to enhance driving experience.

U.S. dominated the market in this region. In the U.S., the market is generally is driven by the rising adoption of electric vehicles along with technological advancements in automotive sector. Additionally, the presence of various automotive light manufacturers such as Texas Instruments Incorporated, InvenSense, General Electric Company, Omnivision Technologies and some others is driving the market growth. 

  • According to the International Energy Agency, around 1200000 BEVs were sold in the U.S. during 2024.

Asia Pacific is expected to grow with a significant CAGR during the forecast period. The rising production of commercial vehicles in various nations such as India, China, Japan, South Korea and some others has boosted the market expansion. Additionally, the growing use of LED lighting systems in automotives along with rapid developments in the EV manufacturing sector is driving the market in a positive direction. Moreover, the presence of several market players such as Sony Corporation, Samsung Electronics, Panasonic Corporation, Hyundai Mobis Co., Ltd and some others is anticipated to propel the growth of the automotive lighting market in this region.

  • According to the OICA, around 629124 light commercial vehicles were manufactured in Japan during 2024. 

China is the major contributor in this region. The growing production and sales of EVs along with rise in number of automotive startups has driven the market growth. Also, availability of essential raw materials at less cost coupled with rapid developments in automotive components sector is further adding to the industrial expansion. Moreover, the presence of various automotive lighting companies including Carlightvision Co., Ltd, Valeo, Winson Lighting Technology Ltd., NVC International and some others is driving the market growth.

  • In January 2025, Valeo announced to open a new automotive lighting plant in Changshu, China. This production facility is opened to increase the manufacturing output of automotive lights in China.

Future of Conventional Automotive Lighting Market

The conventional automotive lighting market is booming, poised for a revenue surge into the hundreds of millions from 2025 to 2034, driving a revolution in sustainable transportation. This market is growing due to steady demand for cost-effective and reliable lighting solutions in budget and mid-range vehicles, especially in emerging economies.

Conventional automotive lighting refers to traditional lighting technologies used in vehicles, including halogen, xenon (HID), and incandescent systems. These systems serve functional and aesthetic purposes such as visibility, signaling, and vehicle design across various automotive applications. Unlike LED or laser-based systems, conventional lighting is cost-effective, simpler in design, and widely adopted in budget and mid-segment vehicles, particularly in developing regions.

Future of Automotive Adaptive Lighting System Market

The global automotive adaptive lighting system market size is calculated at USD 52.34 billion in 2025 and is expected to be worth USD 100.43 billion by 2034, expanding at a CAGR of 7.51% from 2024 to 2034.

Automotive Adaptive Lighting System Market Revenue 2023 to 2034

The automotive adaptive lighting system market is witnessing significant growth driven by advancements in vehicle safety and the increasing demand for enhanced driving experiences. Adaptive lighting systems adjust the vehicle's headlights based on various factors, such as speed, steering angle, and road conditions, providing improved visibility and safety for drivers and pedestrians alike. These systems help illuminate curves and intersections more effectively, reducing the risk of accidents during nighttime driving or in adverse weather conditions.

Future of Aircraft Exterior Lighting Market

The global aircraft exterior lighting market size is calculated at USD 168 million in 2023 and is expected to be worth USD 354.6 million by 2034, expanding at a CAGR of 6.9% from 2024 to 2034.

Aircraft Exterior Lighting Market Revenue 2023 - 2034

What is the Role of AI in Aircraft Exterior Lighting Market?

AI is revolutionizing the aircraft exterior lighting market by introducing advanced capabilities that enhance safety, efficiency, and operational performance. By leveraging machine learning algorithms and real-time data analysis, AI can optimize the functionality of exterior lighting systems, such as navigation lights, landing lights, and strobe lights. These AI-driven systems dynamically adjust the intensity, pattern, and timing of lights based on various factors like flight conditions, weather, and the aircraft's position, ensuring optimal visibility and minimizing the risk of accidents.

Future of Commercial Airport Lighting Market

The commercial airport lighting market is projected to reach USD 1259.95 million by 2034, growing from USD 721.04 million in 2024, at a CAGR of 5.74% during the forecast period from 2025 to 2034.

Commercial Airport Lighting Market Size 2023 - 2034

The commercial airport lighting market is a crucial branch of the aerospace and defense sector. This industry deals in manufacturing and distribution of lighting systems for airport. There are several types of lighting systems available in the market consisting of runway lighting system, taxiway lighting system, apron lighting systems and some others. These lights are designed for use in different positions including insert airfield lights, elevated airfield lights and precision approach path indicator (PAPI). This industry uses different types of technology consisting of LED and Non-LED.  The growing number of airports in different parts of the world is crucial for the market development. This market is expected to rise significantly with the growth of the aviation industry in different parts of the globe.

Future of Conventional Automotive Lighting Market

The conventional automotive lighting market is booming, poised for a revenue surge into the hundreds of millions from 2025 to 2034, driving a revolution in sustainable transportation. This market is growing due to steady demand for cost-effective and reliable lighting solutions in budget and mid-range vehicles, especially in emerging economies.

Conventional automotive lighting refers to traditional lighting technologies used in vehicles, including halogen, xenon (HID), and incandescent systems. These systems serve functional and aesthetic purposes such as visibility, signaling, and vehicle design across various automotive applications. Unlike LED or laser-based systems, conventional lighting is cost-effective, simpler in design, and widely adopted in budget and mid-segment vehicles, particularly in developing regions.

Future of Off-Highway Vehicle Lighting Market

The off-highway vehicle lighting market is expected to increase from USD 1.30 billion in 2025 to USD 2.59 billion by 2034, growing at a CAGR of 8% throughout the forecast period from 2025 to 2034. The growing sales of off-highway vehicles in developed nations coupled with rise in number of residential constructions in different parts of the world has boosted the market expansion.

Additionally, growing emphasis of automotive brands for using high-quality lights in off-highway vehicles along with rapid investment by market players for opening new production facilities is playing a crucial role in shaping the industrial landscape. The increasing popularity of laser lighting as well as research and development related to matrix headlights is expected to create ample growth opportunities for the market players in the upcoming days.

Off-Highway Vehicle Lighting Market Growth and Trends 2025

The off-highway vehicle lighting market is a prominent branch of the automotive industry. This industry deals in the development and distribution of lighting systems for the off-highway vehicles. There are several types of products developed in this sector comprising of LED lighting, halogen lighting, HID lighting, incandescent lighting and some others.

These lights are designed for numerous types of vehicles consisting of excavators, loaders, dump trucks, cranes, tractors and some others. The end-users of these lighting systems comprise of numerous industries such as construction, agriculture, mining, recreational vehicles, marine, military and defense, industrial equipment and some others. This market is expected to rise significantly with the growth of the electronics industry in different parts of the world.

Industry Leader Announcement

  • In December 2024, Yves Andres, a member of the Management Board for the global lighting business of FORVIA HELLA made an announcement stating that, “With our innovative Rear Wing Lighting concept, we are setting a new exclamation point, not only in terms of technological performance, but above all in terms of light signature and design language, The fact that we are implementing this technology for the first time in China and for a local Chinese car manufacturer once again highlights the high demand for differentiating, customized lighting solutions in this market. We are consistently addressing this trend with our technologies and our local for local approach.”

Competitive Landscape

Automotive Lighting Market Companies

The automotive lighting market is a rapidly growing industry with the presence of a several dominating players. Some of the prominent companies in this industry consists of Sony Corporation, Samsung Electronics, Texas Instruments Incorporated., STMicroelectronics, Omnivision Technologies, Bosch Sensortec, Analog Devices, Panasonic Corporation, Hella, Knowles Electronics and InvenSense and some others. These companies are constantly engaged in developing lighting systems for the automotive sector and adopting numerous strategies such as business expansions, collaborations, acquisitions, joint ventures, launches, partnerships, and some others to maintain their dominant position in this industry. For instance, in April 2025, NOVOSENSE Microelectronics launched NSUC1500-Q1. NSUC1500-Q1 is a System-on-Chip (SoC) designed to fulfill the needs of modern automotive ambient lighting systems. Also, in October 2024, Neolite ZKW announced to open a new manufacturing plant in Pune, India. This new production facility is inaugurated to enhance the manufacturing of automotive lights in India.

Recent Developments

  • In May 2025, ROOTS CO., LTD. launched 450㎛ PiG. 450㎛ PiG is used for developing smart automotive headlights.
  • In April 2025, Marelli launched a new range of automotive lighting systems. These lights are based on OLED TFT technology.
  • In April 2025, Valeo partnered with Stellantis. This partnership is done for launching a new range of automotive headlamps in Europe.

Automotive Lighting Market Segments

By Vehicle

  • Passenger Vehicle
  • Commercial Vehicle

By Sales Channel

  • Original Equipment Manufacturers
  • Aftermarket

By Application

  • Front Lighting/Headlamps
  • Rear Lighting
  • Side Lighting
  • Interior Lighting

By Technology

  • Halogen
  • Xenon/HD
  • LED

By Region

  • North America
  • Latin America
  • Western Europe
  • Eastern Europe
  • Asia Pacific
  • The Middle East and Africa
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  • Insight Code: 1434
  • No. of Pages: 150+
  • Format: PDF/PPT/Excel
  • Last Updated: 04 September 2025
  • Report Covered: Revenue + Volume
  • Historical Year: 2021-2023
  • Base Year: 2024
  • Estimated Years: 2025-2034

Meet the Team

Shubham Madhukar Desale is a passionate and insights-driven Research Analyst with over five years of experience in market research, including more than four years of specialized expertise in the global automotive industry.

Learn more about Shubham Desale

Aditi Shivarkar, with 14+ years of experience in automotive market research, specializes in tracking trends across vehicle technologies, mobility solutions, and materials innovation. She delivers accurate, actionable insights that drive excellence in the automotive sector—fueling strategies around electrification, sustainability, and advanced manufacturing.

Learn more about Aditi Shivarkar

FAQ's

The automotive lighting market was valued at USD 36.66 billion in 2025.

North America dominated this industry.

The growing demand for electric vehicles (EVS) along with rapid adoption of ADAS has driven the market growth.

Some of the prominent players of this industry consists of Texas Instruments Incorporated., Sony Corporation, Samsung Electronics, Bosch Sensortec, STMicroelectronics, Omnivision Technologies, Analog Devices, Panasonic Corporation, Knowles Electronics, InvenSense and some others.

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