Global Automotive Relay Market by Product (PCB, High voltage relay, Plug-in), by Application (Capacitive load, Inductive load, Resistive load) and Region (North America, Latin America, Europe, Asia Pacific and Middle East & Africa), Forecast To 2028

Industry Insights

Global automotive relay market was valued at USD 11.39 Billion in 2016. This is an estimate of the CAGR of 5.9% between 2017 and 2025. Further, demand is expected at 5.17 billion units by 2025.

Over the past decade, electric automotive parts have become more diverse. This has led to an increase of relays being used as switching devices and a variation in the features required for each relay. This is due to the development of high contact capabilities and miniaturization to overcome limitations in vehicle mounting space.

The number of relays required to switch electric automotive parts has increased. High contact capability and further miniaturization are required, particularly in the Electric Control Unit (ECU), where mounting space is limited by the presence of multiple relays. Safety is paramount. Relays must be reliable. Components equipped with features such as latching, low noise, and ultra-miniaturization have gained prominence owing to the need for providing switching technology for the latest generation of electronic functions in a car.

Due to the increasing use of advanced electronics equipment and the increased emphasis on safety, the average vehicle relay count will increase in the future. Additional relays are required to switch supplementary devices that are needed for safety, security and infotainment. These relays must be used in addition to the powertrain system's basic relays. Market growth will be boosted by the development of PCB relays that reduce the vehicle's overall weight to increase fuel efficiency.

Product Insights

The market's largest share is held by PCB relay. It is used in many electronic applications, including ABS, cruise control and doors, power steering, power windows and sunroof. They are popular in North America and Europe. In regions like Asia-Oceania or RoW, however, OEMs and Tier-1 manufacturers still prefer plug-in versions.

When switching is required under extreme temperatures and vibrations, plug-in relays can be used. These relays are used in heating control systems, fuel injection systems, air-conditioning systems (HVAC), and switching fuel pumps. These components are in high demand because of their small size, which saves a lot of space in the junction box. This helps reduce the overall weight of the box. The demand for smaller devices capable of supporting higher current loads has increased due to the increasing use of electronic control modules and electronic components.

The demand for high voltage relays is expected to rise in the future due to their many applications in electric or hybrid electric vehicles. Based on their respective applications, OEMs and automotive manufacturers integrate relays into the vehicle's circuit. They establish alliances and tie-ups with service centres to ensure that components are properly maintained and replaced.

Vehicle Type Insights

In 2016, the global passenger car automotive relay market was worth more than USD 6 billion. Numerous governments offer lucrative incentives to encourage the sale and use of EVs. The growing demand for electronic efuse is a positive factor in the growth of this segment. This is due to the modernization and increase in vehicles.

Many European countries have incentive-based programs to promote EVs. Germany and Austria offer tax reductions and exemptions. France and the UK offered bonuses to EV buyers as well as discounts on insurance. The segment of electric vehicles will see the most growth compared to the other segments during the forecast period. Numerous governments offer lucrative incentives to encourage the sale and use of EVs. At the time of purchase, tax benefits are available. The size of the battery used to power the vehicle determines the extent of the exemption.

Insurance companies offer discounts to customers in the United States. Utility companies also offer low electricity rates. A few states also offer credit to electric vehicle buyers and manufacturers for the purchase and cost of charging equipment. For Plug-in Electric Vehicles (PEVs), the Federal Government offers tax credits of up to USD 7,500.

Application Insights

In terms of revenue, the capacitive load segment will dominate the market over the forecast period. The semiconductor devices used in automotive electronics can perform multiple functions. Without electronics, a variety of safety and comfort systems would not be possible. Electronic systems drive many of the most basic functions in modern cars. These require relay to ensure their efficiency. These include the door lock system, power windows, air conditioner, wiper and fuel injection.

Electronic applications are higher in the passenger car segment than they are in the LCV segment. This is because premium cars are becoming more popular with advanced features. Many intelligent systems are found in modern vehicles, which improve safety and comfort. Even in mid-size cars, navigation systems with interactive traffic conditions interfaces are becoming more common. The average vehicle has more relays than ever before thanks to active and passive safety systems like belt tensioners and airbags.

The value of an electric and electronic component can make up almost 25% of the vehicle's total value in high-spec cars. With many connections between different ECU's, actuators, and harnesses, the wiring can run to several thousand of meters. For the vehicle's overall reliability, it is crucial to have reliable switching between lights, motors and heaters as well as ECUs.

Regional Insights

Asia Pacific is a major revenue-generating region. It accounted for a large market share in 2016. The region's growth can be attributed to the increased penetration of automobiles into developing economies like China. Safety standards will also drive the market in many Asian countries. Asia Pacific has a high potential for growth, possibly due to the high level of vehicle demand. Over the forecast period, regional market growth will be driven by rising automobile demand in Asia Pacific, especially China and Japan.

Market growth will be positive over the forecast period due to rising demand for connectivity and car digitization. Due to limited space, the demand for auto wiring harnesses has seen a significant increase. Market growth is possible due to stringent government regulations that require the use of certain electronic safety devices such as the Antilocking Braking System and Electronic Stability Program (ESP). The growing popularity of electric cars has also fueled the demand for auto wiring harnesses.

Europe is expected to see significant growth due to the strong growth in the automotive sector. There are many top companies operating in the auto wiring harness market: Delphi Automotive, Sumitomo Electric and Furukawa Electric.

Automotive Relay Market Share Analysis

ABB Group, Denso Corporation plc and Eaton Corporation plc are some of the key industry players (HELLA). In order to achieve market dominance through product differentiation and quality enhancement, the current market environment sees intense competition among key players. This has led to market consolidation by strategic initiatives like alliances, mergers and acquisitions.

Segments covered in the Report

This report predicts revenue growth at the global, regional and country level and offers analysis of the most recent trends and opportunities in each sub-segment from 2014 through 2025. Grand View Research divided the automotive relay market by product, vehicle type and application.

• Product Outlook (Revenue USD Million; 2014-2025)

  • Relay PCB

  • Plug-in Relay

  • High Voltage Relay

  • Other

• Vehicle Type Outlook (Revenue USD Million; 2014-2025)

  • Passenger vehicles

  • Commercial vehicles

  • Electric vehicles

• App Outlook (Revenue USD Million; 2014-2025)

  • Resistive loads

  • Capacitive loads

  • Inductive loads

• Regional Outlook (Revenue USD Million; 2014-2025)

  • North America

    • U.S.

    • Canada

    • Mexico

  • Europe

    • Germany

    • UK

  • Asia Pacific

    • China

    • India

    • Japan

  • South America

    • Brazil

  • Middle East and Africa (MEA).

Up Market Research published a new report titled “Automotive Relay Market research report which is segmented by Product (PCB, High voltage relay, Plug-in), by Application (Capacitive load, Inductive load, Resistive load), By Players/Companies Delphi Automotive, Tianjin Jin-Zhu Wiring systems Co Ltd, Lear Corporation, Sumitomo Electric, Prestolite Electric, Fujikura Ltd, Furukawa Electric, Leoni”. As per the study the market is expected to grow at a CAGR of XX% in the forecast period.

Report Scope

The report covers comprehensive data on emerging trends, market drivers, growth opportunities, and restraints that can change the market dynamics of the industry. It provides an in-depth analysis of the market segments which include products, applications, and competitor analysis.

Global Automotive Relay Market Report Segments:

The market is segmented by Product (PCB, High voltage relay, Plug-in), by Application (Capacitive load, Inductive load, Resistive load).

Automotive Relay Market research report delivers a close watch on leading competitors with strategic analysis, micro and macro market trend and scenarios, pricing analysis and a holistic overview of the market situations in the forecast period. It is a professional and a detailed report focusing on primary and secondary drivers, market share, leading segments and geographical analysis. Further, key players, major collaborations, merger & acquisitions along with trending innovation and business policies are reviewed in the report.

Key Benefits for Industry Participants & Stakeholders:

• Industry drivers, restraints, and opportunities covered in the study
• Neutral perspective on the market performance
• Recent industry trends and developments
• Competitive landscape & strategies of key players
• Potential & niche segments and regions exhibiting promising growth covered
• Historical, current, and projected market size, in terms of value
• In-depth analysis of the Automotive Relay Market

Overview of the regional outlook of the Automotive Relay Market:

Based on region, the market is segmented into North America, Europe, Asia Pacific, Latin America and Middle East & Africa (MEA). North America region is further bifurcated into countries such as U.S., and Canada. The Europe region is further categorized into U.K., France, Germany, Italy, Spain, Russia, and Rest of Europe. Asia Pacific is further segmented into China, Japan, South Korea, India, Australia, South East Asia, and Rest of Asia Pacific. Latin America region is further segmented into Brazil, Mexico, and Rest of Latin America, and the MEA region is further divided into GCC, Turkey, South Africa, and Rest of MEA.

Highlights of The Automotive Relay Market Report:

1. The market structure and projections for the coming years.
2. Drivers, restraints, opportunities, and current trends of Automotive Relay Market.
3. Historical data and forecast.
4. Estimations for the forecast period 2028.
5. Developments and trends in the market.

                1. PCB

                2. High voltage relay

                3. Plug-in

                1. Capacitive load

                2. Inductive load

                3. Resistive load

8. Market scenario by region, sub-region, and country.
9. Market share of the market players, company profiles, product specifications, SWOT analysis, and competitive landscape.
10. Analysis regarding upstream raw materials, downstream demand, and current market dynamics.
11. Government Policies, Macro & Micro economic factors are also included in the report.

We have studied the Automotive Relay Market in 360 degrees via. both primary & secondary research methodologies. This helped us in building an understanding of the current market dynamics, supply-demand gap, pricing trends, product preferences, consumer patterns & so on. The findings were further validated through primary research with industry experts & opinion leaders across countries. The data is further compiled & validated through various market estimation & data validation methodologies. Further, we also have our in-house data forecasting model to predict market growth up to 2028.

How you may use our products:

• Correctly Positioning New Products
• Market Entry Strategies
• Business Expansion Strategies
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• Understanding Competition Scenario
• Product & Brand Management
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Reasons to Purchase the Automotive Relay Market Report:

• The report includes a plethora of information such as market dynamics scenario and opportunities during the forecast period
• Segments and sub-segments include quantitative, qualitative, value (USD Million,) and volume (Units Million) data.
• Regional, sub-regional, and country level data includes the demand and supply forces along with their influence on the market.
• The competitive landscape comprises share of key players, new developments, and strategies in the last three years.
• Comprehensive companies offering products, relevant financial information, recent developments, SWOT analysis, and strategies by these players.