- Expanding global automotive industry, along with increasing demand for electric vehicles majorly drives the market growth
- Increasing economic growth in countries such as China and India further increases the adoption of automotive relays in the region
The worldwide automotive relay market is anticipated to reach around $18.46 billion by 2026 as per a report by Polaris Market Research. In 2017, Asia-Pacific accounted for the majority share in the global automotive relay market.
The report said that the expanding global automotive industry, along with increasing demand for electric vehicles majorly drives the market growth. The adoption of automotive relay systems has increased significantly owing to increasing demand for luxury and comfortable vehicles, and introduction of stringent government regulations regarding vehicular safety.
It said that other factors driving the market growth include growing disposable income, technological advancements, and changing lifestyles. New emerging markets, emerging consumer demographics, and stringent government regulations would provide growth opportunities for automotive relay market in the coming years.
Increasing economic growth in countries such as China and India
In 2017, Asia-Pacific accounted for the highest share in the global automotive relay market. Established automotive industry, technological advancements, and high investment in R&D are factors expected to drive the market growth in the region. The introduction of stringent government regulations for vehicular and road safety accelerates the adoption of automotive relays.
The report added that the increasing economic growth in countries such as China and India further increases the adoption of automotive relays in the region. Expansion of global players into these countries to tap market potential boosts the market growth.
It added, “The high penetration of electric vehicles in the region promotes the adoption of automotive relays. Asia-Pacific dominates the electric vehicle market due to the increasing population of vehicles and adoption of vehicular emission standards of the U.S. and European Union by Asia-Pacific countries. Moreover, concerns about rising pollution levels have accelerated the adoption of electric vehicles market in this region, thereby supporting the growth of the automotive relay market.”
