Automotive Wiring Harness Market Leads USD 8.10 Bn at 10.14% CAGR

Automotive Wiring Harness Market Trends, Players and Future Growth

According to market projections, the automotive wiring harness industry is expected to grow from USD 3.08 billion in 2024 to USD 8.10 billion by 2034, reflecting a CAGR of 10.14%. Asia Pacific led the automotive wiring harness market in revenue, while North America is set for strong growth. BEVs held the largest share, with PHEVs growing rapidly. Terminals dominated by component, but connectors are expected to grow fastest.

The automotive wiring harness market is forecast to grow from USD 3.40 billion in 2025 to USD 8.10 billion by 2034, driven by a CAGR of 10.14% from 2025 to 2034. The rising adoption of electric vehicles in developing nations coupled with numerous government initiatives aimed at developing the EV charging infrastructure is playing a vital role in shaping the industrial landscape.

Moreover, constant research and development related to hybrid powertrains along with rise in number of EV startups has contributed to the overall market expansion. The technological advancements in solid-state batteries as well as integration of advanced sensors in modern EVs is expected to create ample growth opportunities for the market players in the future.

Automotive Wiring Harness Market Size 2024 - 2034

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Introduction

The automotive wiring harness market is a prominent segment of the automotive industry. This industry deals in manufacturing and distribution of wiring systems for the automotive sector. There are several components of wiring harness including electric wires, connectors, terminals and some others. The application of wiring harness consists of body harness, chassis harness, engine harness, HVAC harness, sensors harness and some others. These wiring solutions are designed for numerous types of vehicles such as battery electric vehicles (BEVs) and plug-in hybrid vehicles (PHEVs). The growing sales of EVs in different parts of the world has contributed to the overall industrial expansion. This market is expected to rise significantly with the growth of the electronics sector around the globe.

Global EV Sales in Million (2021 - 24)

  • According to the Our World in Data, around 6.6 million EVs were sold globally in 2021 that increased to 17.5 million in 2024.(Source: Our World in Data)

Highlights of the Automotive Wiring Harness Market

  • Asia Pacific generated highest revenue of the automotive wiring harness market.
  • North America is expected to rise with a significant CAGR during the forecast period.
  • By electric vehicle, the battery electric vehicle (BEV) segment held the largest share of the market.
  • By electric vehicle, the plug-in-hybrid vehicle (PHEV) segment is expected to grow with a considerable CAGR during the forecast period.
  • By component, the terminal segment led the market.
  • By component, the connector segment is expected to rise with the highest CAGR during the forecast period.

Key Metrics and Overview

Metric Details
Market Size in 2024 USD 3.08 Billion
Projected Market Size in 2034 USD 8.10 Billion
CAGR (2025 - 2034) 10.14%
Leading Region Asia Pacific
Market Segmentation By Component, By Application, By Electric Vehicle, By Vehicle and By Region
Top Key Players Furukawa Electric Co., Ltd.; Kromberg & Schubert GmbH Cable & Wire

The major trends in this market consists of acquisitions, business expansions and increasing sales of EVs.

  • Acquisitions

Several market players are acquiring small companies to increase the manufacturing output of automotive wiring harness. For instance, in May 2025, Lear Corporation acquired StoneShield Engineering. This acquisition is done for enhancing the production output of EV wiring harness in Portugal. (Source: Stock Titan)

  • Business Expansions

Numerous wiring harness brands are investing heavily for opening up new production facilities to cater the needs of the automotive sector. For instance, in August 2024, LS Cable & Systems announced to open a new manufacturing plant in Mexico. This new manufacturing facility is inaugurated to increase the production of wiring harness in this nation. (Source: AL CIRCLE)

  • Increasing sales of EVs

The sales of EVs have increased rapidly in different parts of the world due to the increasing prices of gasoline and rising awareness about vehicular emission. According to the International Energy Agency, the global sales of EVs exceeded 17 million in 2024. (Source: International Energy Agency)

Electric Vehicle Insights

How did the Battery Electric Vehicle (BEV) Segment Led the Automotive Wiring Harness Market in 2025?

The battery electric vehicle (BEV) segment dominated the market. The growing sales and production of electric vehicles in the APAC region has boosted the market expansion. Additionally, numerous government initiatives aimed at strengthening the EV industry coupled with integration of high-quality batteries in modern EVs is playing a vital role in shaping the industrial landscape. Moreover, rapid investment by automotive companies to develop affordable BEVs is expected to boost the growth of the automotive wiring harness market.

The plug-in-hybrid vehicle (PHEV) segment is expected to rise with a considerable CAGR during the forecast period. The increasing demand for PHEVs in several countries such as the U.S., Germany, India, South Africa and some others has driven the industrial growth. Also, technological advancements in hybrid powertrains coupled with high-driving range offered by these vehicles is contributing to the market expansion. Moreover, the absence of well-established EV charging network in developing nations is expected to drive the growth of the automotive wiring harness market.

Component Insights

What Made Terminal to be the Most dominant Segment of Automotive Wiring Harness Market in 2025?

The terminal segment held the largest share of the market. The growing use of terminal components in EVs to enhance safety has boosted the market expansion. Also, the integration of advanced connectivity features in EVs including quick-connect terminals, crimples terminals, and waterproof terminals is further adding to the industrial growth. Moreover, rapid investment by market players for developing high-quality terminal harness is expected to drive the growth of the automotive wiring harness market.

The connector segment is expected to grow with the fastest CAGR during the forecast period. The growing adoption of connectors in modern vehicles for transferring data between different automotive components has driven the market growth. Additionally, the increasing use of advanced connectors in autonomous vehicles coupled with rapid shift towards modular connectors is contributing to the overall industrial expansion. Moreover, the rising sales of electric vehicles in different regions of the world is expected to propel the growth of the automotive wiring harness market.

Geographical Insights

Automotive Wiring Harness Market NA, EU, APAC, LA, MEA Share

Why Asia Pacific dominated the Automotive Wiring Harness Market in 2025?

Asia Pacific led the automotive wiring harness market. The growing adoption of hybrid vehicles in several countries such as India, South Korea, Japan, China and some others has boosted the market expansion. Additionally, numerous government initiatives aimed at strengthening the EV charging infrastructure coupled with rise in number of EV startups has contributed to the industrial growth. Moreover, the presence of several market players such as Sumitomo Electric Industries, Ltd., Yazaki Corporation, Furukawa Electric Co., Ltd. and some others is expected to propel the growth of the automotive wiring harness market in this region.

  • In April 2025, Yazaki Corporation announced to open a new production facility in Tamil Nadu, India. This new plant is inaugurated to manufacture a wide range of automotive wiring harness across this country. (Source: Wirecable)

North America is expected to expand with a significant CAGR during the forecast period. The rising sales of electric vehicles in the U.S. and Canada has driven the market expansion. Also, rapid investment by government for developing the EV industry coupled with increasing awareness of people to reduce vehicular emission is positively shaping to the industry. Moreover, the presence of numerous local companies such as Lear Corporation, Aptiv PLC, BorgWarner, Inc and some others is expected to propel the growth of the automotive wiring harness market in this region.

  • According to the U.S. Department of Energy, around 102,170 BEVs were sold in the U.S. during May 2025. (Source: Argonne National Laboratory)

Industry Leader Announcement

  • In March 2025, Frank Weber, the board member for development at BMW made an announcement stating that,” Technology openness is the key to [our] success, [Our new] electronic architecture made up of powerful superbrains and highly interconnected software platforms allow us to decouple the development of the vehicle and software from each other. More than ever before, all future BMW models will remain digitally up to date via over-the-air upgrades and will receive updates even from the next and subsequent vehicle generations.”

Competitive Landscape

 

The automotive wiring harness market is a highly fragmented industry with the presence of several dominating players. Some of the prominent companies in this industry consists of Lear Corporation; Furukawa Electric Co., Ltd.; Kromberg & Schubert GmbH Cable & Wire; China Auto Electronics Group Limited (THB Group); Delphi Technologies PLC (Aptiv PLC); Sumitomo Electric Industries, Ltd.; Yazaki Corporation; Leoni AG; Spark Minda, Ashok Minda Group and some others. These companies are constantly engaged in manufacturing wiring solutions for the automotive sector and adopting numerous strategies such as joint ventures, acquisitions, partnerships, launches, business expansions, collaborations and some others to maintain their dominance in this industry.

  • In May 2025, Sumimoto announced to open a wiring harness plant in Egypt. This new plant is inaugurated to cater the needs of the automotive consumers of the European region. (Source: MarkLines)

Recent Developments

  • In June 2025, TDX launched ADL8030VA. ADL8030VA is an ADAS-based sensor that enhances the capability of autonomous driving. (Source: BISinfotech)
  • In January 2025, Aptiv opened a new manufacturing facility in Morocco. This new plant is inaugurated to enhance the production output of automotive components in this nation. (Source: ZAWYA)
  • In September 2024, TI Automotive launched brushless fuel pump kit. The features of this fuel pump consist of 1000+horsepower that delivers high performance. (Source: Carwash)

Automotive Wiring Harness Market Segments

By Component

  • Electric Wires
  • Connectors
  • Terminals
  • Others

By Application

  • Body Harness
  • Chassis Harness
  • Engine Harness
  • HVAC Harness
  • Sensors Harness

By Electric Vehicle

  • Battery Electric Vehicle (BEV)
  • Plug-in Hybrid Electric Vehicle (PHEV)

By Vehicle

  • Light Vehicle
  • Heavy Vehicle

By Region

  • North America
  • Latin America
  • Western Europe
  • Eastern Europe
  • Asia Pacific
  • The Middle East and Africa
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  • Insight Code: 1194
  • No. of Pages: 150+
  • Format: PDF/PPT/Excel
  • Last Updated: 26 June 2025
  • Report Covered: Revenue + Volume
  • Historical Year: 2021-2023
  • Base Year: 2024
  • Estimated Years: 2025-2034

Meet the Team

Laxmi Narayan is a seasoned Research Analyst at Towards Automotive, with 5 years of specialized experience in market research, analysis, and consulting within the automotive technology domain.

Learn more about Laxmi Narayan

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 market is driven by the rapid adoption of electric vehicles (EVs), especially in Asia Pacific and North America, alongside increased R&D in hybrid powertrains and solid-state battery technologies. Government initiatives for EV infrastructure and rising environmental concerns are also accelerating the demand for advanced wiring systems.

Key trends include strategic acquisitions (e.g., Lear Corporation acquiring StoneShield), geographical production expansion (e.g., LS Cable in Mexico), and surging global EV sales. Additionally, integration of advanced sensors and modular connectors in EVs and autonomous vehicles is driving technological transformation in the sector.

Asia Pacific leads the market due to strong EV adoption in countries like China, India, Japan, and South Korea, along with robust manufacturing infrastructure and favorable government policies. The region benefits from the presence of major players such as Yazaki, Sumitomo, and Furukawa Electric.

Investors can explore opportunities in EV-focused harness production facilities, advanced sensor and connector technologies, and emerging markets like Latin America and Africa. Strategic partnerships with OEMs and regional expansions are also high-potential investment areas.

Advancements in solid-state batteries, ADAS sensors, and autonomous driving are reshaping wiring harness requirements. The integration of smart, lightweight, and modular wiring solutions is becoming critical for vehicle performance, efficiency, and safety.

BEVs currently lead the market, supported by falling battery costs and government incentives. However, PHEVs are also gaining traction, especially in regions lacking comprehensive charging infrastructure, offering a bridge solution for hybrid adoption.

Major players like Aptiv, Lear, Yazaki, and Sumitomo are adopting aggressive strategies including acquisitions, international expansion, joint ventures, and new product launches to strengthen their market share and meet rising demand for EV components.

The market is projected to grow from USD 3.40 billion in 2025 to USD 8.10 billion by 2034, reflecting a robust CAGR of 10.14%. This growth is largely fueled by EV adoption and continuous innovations in vehicle electronics.

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