North America Testing, Inspection, and Certification (TIC) Market 2024–2033

Reports Description

As per the current market research conducted by CMI Market Research Team, the global North America Testing, Inspection, and Certification (TIC) market is expected to record a CAGR of 4% from 2023 to 2032. In 2022, the market size is projected to reach a valuation of USD 373.72 billion. By 2032, the valuation is anticipated to reach USD 531.93 billion.

The Testing, Inspection, and Certification (TIC) market refers to the industry involved in providing services related to the testing, inspection, and certification of various products, systems, and processes. TIC companies offer expertise and resources to ensure that products, materials, equipment, and systems comply with regulatory standards, industry-specific requirements, and quality and safety standards. This market serves a wide range of industries such as automotive, aerospace, construction, consumer goods, healthcare, oil and gas, and many others. The services provided by TIC companies help businesses mitigate risks, ensure compliance, enhance product quality, and build trust with customers and stakeholders.

North America Testing, Inspection, and Certification (TIC) Market – Significant Growth Factors

The North America Testing, Inspection, and Certification (TIC) market presents significant growth opportunities due to several factors:

• Stringent Regulations: North America has stringent regulations and standards across various industries, including automotive, aerospace, healthcare, and consumer goods. The need for compliance with these regulations creates a high demand for TIC services.

• Increasing Focus on Quality and Safety: There is a growing emphasis on quality and safety in North America. Businesses are increasingly recognizing the importance of ensuring that their products and processes meet the highest standards. TIC companies play a vital role in verifying and certifying compliance, driving the market growth.

• Emerging Technologies: Advancements in technology, such as the Internet of Things (IoT), artificial intelligence, and blockchain, are creating new testing and certification requirements. TIC companies are adapting their services to cater to these emerging technologies, opening up new growth avenues.

• Market Expansion: With the expansion of industries such as renewable energy, electric vehicles, and medical devices, the demand for TIC services is on the rise. These industries require thorough testing, inspection, and certification to ensure safety, reliability, and compliance.

• Outsourcing Trend: Many companies in North America are outsourcing their testing and certification needs to specialized TIC service providers. This trend is driven by cost-effectiveness, access to expertise, and the ability to focus on core business operations. It contributes to the growth of the TIC market.

• Consumer Awareness and Product Safety: Consumers in North America are increasingly conscious of product safety, quality, and environmental impact. They rely on certifications and labels to make informed purchasing decisions. TIC services help businesses demonstrate compliance and gain consumer trust, driving market growth.

Overall, the North America Testing, Inspection, and Certification market is poised for significant growth as industries prioritize compliance, quality, and safety, while technological advancements and changing consumer expectations create new opportunities for TIC service providers.

North America Testing, Inspection, and Certification (TIC) Market – Mergers and Acquisitions

The North America Testing, Inspection, and Certification (TIC) market has witnessed various mergers and acquisitions, leading to consolidation and strategic partnerships among key players. Some notable mergers and acquisitions in the market include:

• SGS SA’s Acquisition of Herguth Laboratories: In 2021, SGS SA, one of the leading TIC companies, acquired Herguth Laboratories, a provider of testing and certification services for the food and agricultural sectors in North America. This acquisition aimed to expand SGS’s capabilities and strengthen its position in the region.
• Bureau Veritas SA’s Acquisition of Shenzhen Total-Test: In 2020, Bureau Veritas SA, a global TIC company, acquired Shenzhen Total-Test, a Chinese company specializing in testing, inspection, and certification services. This acquisition expanded Bureau Veritas’ presence and capabilities in the North American market.
• ALS Limited’s Acquisition of Truesdail Laboratories: ALS Limited, a global TIC company, acquired Truesdail Laboratories in 2019. Truesdail Laboratories was a prominent provider of testing and certification services in the United States. This acquisition enabled ALS Limited to enhance its service offerings and strengthen its market position in North America.
• Element Materials Technology’s Acquisition of Exova Group: In 2017, Element Materials Technology, a leading provider of testing, inspection, and certification services, acquired Exova Group. This merger created one of the largest TIC companies globally, with an expanded presence in North America and enhanced capabilities across multiple industries.

These mergers and acquisitions reflect the strategic efforts of TIC companies to expand their service portfolios, geographical reach, and customer base in the North American market. Such consolidations help companies leverage synergies, enhance competitiveness, and provide a comprehensive range of TIC solutions to meet the evolving needs of industries and regulations.

COMPARATIVE ANALYSIS OF THE RELATED MARKET

North America Testing, Inspection, and Certification (TIC) Market – Significant Threats

While the North America Testing, Inspection, and Certification (TIC) market offers growth opportunities, there are also significant threats that could impact its growth and stability. Some notable threats in the market include:

• Economic Downturn: Economic downturns or recessions can have a negative impact on the TIC market. During challenging economic times, businesses may reduce their spending on testing, inspection, and certification services, leading to a slowdown in demand.
• Regulatory Changes: Changes in regulations and standards can pose a threat to the TIC market. New regulations or modifications to existing ones may require businesses to adapt their testing and certification processes, which could lead to uncertainties and additional compliance costs.
• Intense Competition: The TIC market is highly competitive, with several key players vying for market share. Intense competition can result in pricing pressures, reduced profit margins, and the need for continuous investments in innovation and service differentiation.
• Technological Disruptions: Technological advancements and disruptions can impact the TIC market. For example, automation, robotics, and AI-enabled testing solutions could potentially replace certain manual testing and inspection processes, leading to changes in service requirements and potential job displacement.
• Data Security and Privacy Concerns: TIC companies deal with sensitive data and information during their testing and certification processes. Any security breaches or data privacy issues could erode trust in the market and result in reputational damage for the companies involved.
• In-house Testing Capabilities: Some large corporations may develop their in-house testing capabilities to reduce costs and increase control over their quality assurance processes. This trend can potentially reduce the demand for external TIC services.
• Global Pandemics or Health Crises: Unforeseen events such as pandemics or health crises can significantly disrupt the TIC market. These situations may lead to temporary closures of testing facilities, supply chain disruptions, reduced consumer demand, and overall economic uncertainties.

It is important for TIC companies to proactively address these threats by staying updated on industry trends, investing in technological advancements, adapting to changing regulations and differentiating their services to maintain a competitive edge in the market.

Report Scope

Category-Wise Insights

By Service Type:

Testing:

• Testing services involve the examination and analysis of products, materials, or systems to ensure they meet specified requirements, standards, or performance criteria.
• The testing segment encompasses various types such as materials testing, product performance testing, environmental testing, chemical analysis, mechanical testing, electrical testing, and more.
• Industries that heavily rely on testing services include automotive, aerospace, electronics, healthcare, construction, and consumer goods.

Inspection:

• Inspection services involve the visual examination, assessment, and verification of products, processes, or facilities to ensure they comply with regulations, standards, and quality requirements.
• Inspection can cover various areas such as product quality inspections, safety inspections, facility inspections, supply chain inspections, and regulatory compliance inspections.
• Industries that commonly require inspection services include manufacturing, energy, construction, food and beverages, oil and gas, and transportation.

Certification:

• Certification services involve the evaluation and verification of compliance with specific standards, regulations, or industry-specific requirements.
• Certification provides an official recognition or seal of approval, indicating that a product, process, or system meets the required standards.
• Common types of certification in the TIC market include quality management systems certification (e.g., ISO 9001), environmental management systems certification (e.g., ISO 14001), product safety certifications, compliance certifications, and more.
• Various industries seek certification services to demonstrate their commitment to quality, safety, environmental sustainability, and regulatory compliance.

Sourcing Type:

• In-house: Refers to companies that perform testing, inspection, and certification activities internally within their own facilities using their own resources and expertise.
• Outsourced: Refers to companies that outsource their TIC needs to specialized external service providers. These providers offer expertise, equipment, and resources to conduct the required testing, inspection, and certification activities.

Application:

The TIC market caters to various industries and sectors, each with its specific testing, inspection, and certification requirements. Some key application areas include:

• Automotive: Testing and certification of automotive components, vehicles, and systems to ensure safety, performance, and compliance with regulatory standards.
• Aerospace: Testing and inspection of aircraft components, systems, and structures for safety, reliability, and compliance with aviation regulations.
• Consumer Goods: Testing and certification of consumer products such as electronics, toys, textiles, and furniture to ensure quality, safety, and compliance with industry standards and regulations.
• Healthcare and Pharmaceuticals: Testing and certification of medical devices, pharmaceuticals, and healthcare facilities to ensure safety, efficacy, and compliance with regulatory requirements.
• Energy and Utilities: Inspection and certification of energy infrastructure, power plants, renewable energy systems, and utility equipment to ensure safety, efficiency, and compliance with industry standards.
• Construction: Testing and inspection of construction materials, buildings, and structures to ensure quality, safety, and compliance with construction codes and regulations.
• Oil and Gas: Testing, inspection, and certification of equipment, pipelines, and facilities related to the oil and gas industry to ensure safety, integrity, and compliance with industry regulations.
• Environmental: Testing and certification of environmental parameters, such as air quality, water quality, soil contamination, and emissions, to ensure compliance with environmental regulations.

North America Testing, Inspection, and Certification (TIC) Market – Regional Analysis

The North America Testing, Inspection, and Certification (TIC) market can be analyzed based on regional factors. Here is a regional analysis of the market:

United States:

• The United States is the largest market for TIC services in North America, driven by its robust industrial base and stringent regulatory requirements across various industries.
• Key sectors such as automotive, aerospace, healthcare, consumer goods, and energy have a high demand for TIC services to ensure compliance, safety, and quality.
• The presence of major TIC companies, advanced infrastructure, and a focus on technological advancements contribute to market growth in the United States.

Canada:

• Canada has a well-developed TIC market, primarily driven by industries such as oil and gas, mining, automotive, construction, and healthcare.
• The country’s strong regulatory framework, emphasis on product safety, and quality standards fuel the demand for TIC services.
• TIC companies in Canada offer a wide range of services, including environmental testing, inspection of energy infrastructure, product certification, and more.

Mexico:

• Mexico’s TIC market is experiencing significant growth due to its expanding manufacturing sector, particularly in the automotive, electronics, and aerospace industries.
• The country’s proximity to the United States and its participation in various trade agreements contribute to its importance as a hub for manufacturing and exports, driving the need for TIC services.
• TIC companies in Mexico offer services such as quality control, safety inspections, and compliance certification to support the manufacturing sector.

Competitive Landscape – North America Testing, Inspection, and Certification (TIC) Market

The competitive landscape of the North America Testing, Inspection, and Certification (TIC) market is characterized by the presence of several key players offering a wide range of services. Here are some prominent companies in the market:

SGS SA:

• SGS SA is a leading global TIC company with a strong presence in North America.
• The company offers comprehensive testing, inspection, and certification services across various industries, including automotive, aerospace, consumer goods, and healthcare.

Bureau Veritas SA:

• Bureau Veritas SA is another major player in the North America TIC market.
• The company provides testing, inspection, and certification services across industries such as automotive, oil and gas, construction, and consumer products.

Intertek Group plc:

• Intertek Group plc is a prominent TIC company operating in North America.
• The company offers a wide range of services, including product testing, inspection, certification, and auditing, across industries such as automotive, chemicals, and electrical and electronic products.

TÜV SÜD AG:

• TÜV SÜD AG is a globally recognized TIC company operating in North America.
• The company provides testing, inspection, and certification services primarily in the automotive, energy, and industrial sectors.

Dekra SE:

• Dekra SE is a significant player in the North America TIC market.
• The company offers testing, inspection, and certification services across industries such as automotive, construction, industrial manufacturing, and electrical and electronics.

These companies, along with other regional and local TIC service providers, compete in the North American market by offering specialized expertise, advanced testing capabilities, customer-centric solutions, and compliance with industry standards and regulations. The competitive landscape is dynamic, with mergers, acquisitions, and strategic partnerships being common strategies employed by these companies to strengthen their market position and expand their service offerings.

The North America TIC Market is segmented as follows:

By Service Type         

• Testing
• Inspection
• Certification

By Sourcing Type

• In House
• Outsource

By Application           

• Quality and Safety
• Production Evaluation
• Industrial Inspection
• System Certification
• Others

By Industry Vertical  

• Food Industry
• Pharmaceuticals
• Chemical Industry
• Consumer Goods & Retail
• Agriculture & Food
• Infrastructure
• Energy & Power
• Education
• Government
• Manufacturing
• Healthcare
• Mining
• Oil & Gas And Petroleum
• Public Sector
• Automotive
• Aerospace & Defense
• Supply Chain & Logistics
• Others

By Application

• Automotive
• Aerospace
• Consumer Goods
• Healthcare and Pharmaceuticals
• Energy and Utilities
• Construction
• Oil and Gas
• Environmental

By Region

North America

• U.S.
• Canada
• Mexico
• Rest of North America

Europe

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

Asia Pacific

• China
• Japan
• India
• New Zealand
• Australia
• South Korea
• Rest of Asia Pacific

The Middle East & Africa

• Saudi Arabia
• UAE
• Egypt
• Kuwait
• South Africa
• Rest of the Middle East & Africa

Latin America

• Brazil
• Argentina
• Rest of Latin America