Europe Automotive Lighting Market Size Likely to Expand at a CAGR of 4.8% By 2033

As per the current market research conducted by the CMI Team, the Europe Automotive Lighting Market size is expected to record a CAGR of 4.8% from 2024 to 2033. In 2024, the market size is projected to reach a valuation of USD 7,945.1 Million. By 2033, the valuation is anticipated to reach USD 12,115.8 Million.

Europe Automotive Lighting Market: Growth Factors and Dynamics

• Stringent Safety Regulations: Europe has stringent safety regulations mandating the use of advanced lighting technologies in vehicles to enhance visibility and road safety, driving the demand for innovative automotive lighting solutions.

• Shift towards Energy-Efficient Lighting: With increasing emphasis on sustainability, there’s a shift towards energy-efficient lighting technologies such as LED and OLED in the automotive sector, supported by government incentives and environmental policies.

• Rise in Automotive Production: Europe is a major hub for automotive production, with leading manufacturers continuously introducing new models equipped with advanced lighting systems, thereby boosting the demand for automotive lighting products.

• Growing Sales of Electric Vehicles (EVs): The increasing adoption of electric vehicles in Europe, driven by stringent emission norms and government incentives, necessitates the integration of advanced lighting systems to cater to the specific requirements of EVs.

• Technological Advancements: Continuous technological advancements, including adaptive lighting systems, matrix LED headlights, and smart lighting solutions, are driving innovation in the European automotive lighting market, offering enhanced safety and comfort features.

• Rising Consumer Demand for Premium Vehicles: The growing disposable income and preference for premium vehicles with advanced features contribute to the demand for high-quality automotive lighting solutions in Europe.

• Focus on Aesthetic Appeal: Automotive manufacturers in Europe are increasingly focusing on the aesthetic appeal of vehicles, with stylish and customizable lighting options becoming a key selling point, further driving market growth.

• Urbanization and Road Infrastructure Development: The ongoing urbanization and development of road infrastructure in European cities lead to increased traffic density and the need for advanced lighting solutions to improve visibility, driving the demand for automotive lighting products.

• Adoption of Advanced Driver Assistance Systems (ADAS): The rising adoption of ADAS features such as adaptive headlights, automatic high beams, and lane departure warning systems in European vehicles necessitates sophisticated lighting technologies to support these functionalities, fueling market growth.

Europe Automotive Lighting Market: Partnership and Acquisitions

• In 2022, At the Shanghai Auto Show, Valeo unveiled the first 360° lighting solution, enveloping the vehicle with a light band to provide clear and immediate indications for nearby road users, enhancing safety, especially for vulnerable road users like cyclists and scooter riders.

• In 2021, Hyundai Mobis introduced innovative ‘lighting grille’ technology, embedding LED lighting within the front grille of vehicles. This advancement allows for versatile applications, including scenarios like autonomous driving, EV charging, welcome lighting, sound beat display, and emergency warning signals.

Report Scope

Europe Automotive Lighting Market: COVID-19 Analysis

The COVID-19 pandemic has significantly impacted the Europe Automotive Lighting Market, with the industry experiencing both positive and negative effects. Here are some of the key impacts:

• Production Disruptions: COVID-19 disruptions led to temporary shutdowns of automotive manufacturing plants across Europe, resulting in reduced production volumes and delayed vehicle launches, impacting the demand for automotive lighting components.

• Supply Chain Challenges: Supply chain disruptions, including shortages of raw materials and components due to global lockdowns and transportation restrictions, affected the availability and delivery of automotive lighting products in Europe.

• Decline in Vehicle Sales: The economic downturn and consumer uncertainty during the pandemic led to a decline in new vehicle sales in Europe, resulting in lower demand for automotive lighting systems as manufacturers scaled back production.

• Resumption of Automotive Production: With the easing of restrictions and resumption of automotive production, the Europe Automotive Lighting Market is witnessing a recovery as manufacturers ramp up production to meet pent-up demand.

• Shift towards Online Sales Channels: Automotive lighting suppliers are increasingly leveraging online sales channels and digital marketing strategies to reach customers and offset the impact of showroom closures and social distancing measures.

• Focus on Retrofitting and Aftermarket Sales: Suppliers are targeting the aftermarket segment by offering retrofitting solutions and replacement lighting products, catering to consumers looking to upgrade or repair their vehicles amid the pandemic.

• Introduction of Innovative Lighting Technologies: Manufacturers are introducing innovative lighting technologies and features, such as adaptive headlights and dynamic lighting systems, to differentiate their products and stimulate demand in the recovering market.

• Strategic Partnerships and Collaborations: Collaboration between automotive lighting manufacturers, OEMs, and technology providers is driving innovation and product development, leading to the introduction of advanced lighting solutions that meet evolving consumer preferences and regulatory requirements.

• Government Stimulus Measures: Government stimulus measures and incentives to boost automotive sales, such as scrappage schemes and tax incentives for electric vehicles, are expected to stimulate demand for vehicles equipped with advanced lighting systems, supporting the recovery of the Europe Automotive Lighting Market.

In conclusion, the COVID-19 pandemic has had a mixed impact on the Europe Automotive Lighting Market, with some challenges and opportunities arising from the pandemic.

List of the prominent players in the Europe Automotive Lighting Market:

• HELLA GmbH & Co. KGaA
• Osram Licht AG
• Valeo S.A.
• Koito Manufacturing Co. Ltd.
• Magneti Marelli S.p.A.
• Stanley Electric Co. Ltd.
• ZKW Group GmbH
• Varroc Lighting Systems
• Lumileds Holding B.V.
• Automotive Lighting Reutlingen GmbH
• Marelli Automotive Lighting Europe S.p.A.
• TYC Brother Industrial Co. Ltd.
• DEPO Auto Parts Ind. Co. Ltd.
• North American Lighting Inc.
• Philips Automotive Lighting
• Others

The Europe Automotive Lighting Market is segmented as follows:

By Lighting Technology

• Halogen
• LED (Light Emitting Diode)
• Xenon/HID (High-Intensity Discharge)
• OLED (Organic Light Emitting Diode)
• Laser
• Others

By Vehicle Type

• Passenger Cars
• Commercial Vehicles
• Two-Wheelers
• Others

By Application

• Headlights
• Taillights
• Fog Lights
• Interior Lights
• Daytime Running Lights (DRL)
• Others

By Sales Channel

• OEM (Original Equipment Manufacturer)
• Aftermarket

Regional Coverage:

Europe

• Germany
• France
• U.K.
• Russia
• Italy
• Spain
• Netherlands
• Rest of Europe