Auto Parts Market Research Report By Type (Engine Components, Transmission Components, Electrical Parts, Braking Systems, Body Parts), By Sales Channel (Original Equipment Manufacturer, Aftermarket, Retail, Wholesale), By Material (Metal, Plastic, Rubber, Composites, Glass), By Vehicle Type (Passenger Cars, Commercial Vehicles, Two Wheelers, Electric Vehicles) andBy Regional (North America, Europe, South America, Asia Pacific, Middle East and Africa)- Forecast to 2035

Global Auto Parts Market Overview:

As per MRFR analysis, the Auto Parts Market Size was estimated at 494.07 (USD Billion) in 2023. The Auto Parts Market is expected to grow from 508.6(USD Billion) in 2024 to 700 (USD Billion) by 2035. The Auto Parts Market CAGR (growth rate) is expected to be around 2.94% during the forecast period (2025 - 2035).

Key Auto Parts Market Trends Highlighted

The global push for sustainability and tighter emissions rules are driving a shift in the demand for electric vehicle (EV) components in the auto parts market. As more people choose greener options, this trend shows a substantial shift in consumer preferences.

The need for cutting-edge car parts is being driven by the significant investments made by both new and established automakers in the development of cutting-edge technology. Additionally, as e-commerce expands, distribution channels are changing to give customers more online access to a larger selection of auto components.

The market has a lot of room to grow, particularly for businesses that specialize in lightweight, high-performance materials that increase vehicle economy. In order to satisfy consumers who want to customize their cars, the growing trend of vehicle customisation also creates opportunities for aftermarket parts.

Affordable and dependable auto components are in high demand due to the growth of the middle class worldwide, especially in emerging nations, which offers manufacturers a big chance to reach new markets.

The use of digital technology, such as the Internet of Things (IoT), in supply chain management and the manufacturing of auto parts has grown in popularity recently. This involves the application of smart manufacturing and predictive analytics, which boost productivity and raise the caliber of output.

Additionally, supply chain resilience is becoming more and more important, especially after global events have disrupted it. With rising investments in recycling and the creation of environmentally friendly materials, the market is still being shaped by the emphasis on sustainable practices.

These patterns demonstrate how dynamic the auto parts market is and how changing consumer habits and technology breakthroughs are key factors in bringing about change.

Source: Primary Research, Secondary Research, MRFR Database and Analyst Review

Auto Parts Market Drivers

Rising Consumer Demand for Electric Vehicles

The Auto Parts Market is experiencing significant growth driven by the increasing consumer demand for electric vehicles (EVs). According to industry data, global sales of electric cars exceeded 10 million units in 2022, indicating a year-on-year growth rate of over 60%.

This surge is fueled by various factors including government incentives, rising environmental concerns, and advances in battery technology. Established organizations such as the International Energy Agency (IEA) are projecting that the share of electric cars in total car sales will reach over 30% by 2030.

Auto parts manufacturers are adapting by investing in Research and Development to create components specifically designed for EVs, from batteries to electric drivetrains, which further bolsters the Auto Parts Market. As automakers pivot toward more sustainable practices, the demand for specialized auto parts related to EVs will continue to enhance market prospects.

Growth of Aftermarket Parts Segment

The growth in the aftermarket parts segment significantly influences the Auto Parts Market. In 2022, the global automotive aftermarket was valued at over USD 400 billion, and it is expected to grow as consumers increasingly opt for replacement and upgrade parts rather than purchasing new vehicles.

The ability to extend the life of existing vehicles through quality aftermarket parts appeals to cost-conscious consumers, particularly in regions where vehicle ownership is rising. Industry organizations such as the Automotive Aftermarket Suppliers Association (AASA) report that this segment is projected to grow at a rate of 3.5% annually until 2027, reflecting an increasing trend towards vehicle maintenance.

This transition is spurred by the ever-expanding vehicle parc and the growing consumer awareness about the benefits of maintenance, providing a strong boost to the Auto Parts Market.

Technological Advancements in Manufacturing

Technological advancements in manufacturing processes are playing a crucial role in the expansion of the Auto Parts Market. The implementation of automation and artificial intelligence (AI) in manufacturing has led to a remarkable improvement in efficiency and product quality.

According to a report from the World Economic Forum, more than 80% of manufacturers globally are leveraging smart technologies to enhance production. These advancements enable manufacturers to produce more sophisticated auto parts at a lower cost and with higher precision, meeting the evolving demands of automakers.

Companies like Siemens and General Electric are leading the way in smart manufacturing, aiming to optimize supply chain management and reduce lead times. This focus on technological integration is expected to invigorate the Auto Parts Market, allowing for a more competitive landscape.

Auto Parts Market Segment Insights:

Auto Parts Market Type Insights

The Auto Parts Market was a sprawling industry characterized by diverse segments, particularly into Types which encompassed Engine Components, Transmission Components, Electrical Parts, Braking Systems, and Body Parts.

Engine Components held the majority value within the market at 150.0 USD Billion in 2024 and are expected to rise substantially to 210.0 USD Billion by 2035, reflecting their fundamental role in vehicle performance and efficiency. This segment was critical as engine efficiency directly impacts vehicle emissions and fuel consumption, highlighting the ongoing transition towards greener technology.

Transmission Components, valued at 90.0 USD Billion in 2024 with a projected increase to 120.0 USD Billion by 2035, also represented a significant part of the industry, essential for providing seamless power transfer from the engine to the wheels, thus affecting overall drivability.

Electrical Parts, at 100.0 USD Billion in 2024, stood as a crucial segment too; with the rise of electric vehicles, their demand was growing, especially in relation to innovations in automotive electronics, safety features, and convenience systems, leading to a robust increase to 130.0 USD Billion by 2035.

Braking Systems, valued at 80.0 USD Billion in 2024, will rise to 100.0 USD Billion by 2035, underscoring their indispensable role in vehicle safety. Efficient braking technology not only enhanced vehicle safety but also contributed to stability and control, making it a priority for manufacturers and consumers alike.

Lastly, Body Parts, which were valued at 88.6 USD Billion in 2024 and projected to grow to 140.0 USD Billion by 2035, are essential for vehicle aesthetics and structure, thereby facilitating the incorporation of composite materials and advanced manufacturing technologies.

Each type segment played an essential role in the broader Auto Parts Market by driving innovation and responding to regulatory demands, contributing to overall market growth based on technological advancement and changing consumer preferences.

Source: Primary Research, Secondary Research, MRFR Database and Analyst Review

Auto Parts Market Sales Channel Insights

In the Auto Parts Market, the Sales Channel segment plays a pivotal role in shaping market dynamics. The segment is categorized broadly into Original Equipment Manufacturer, Aftermarket, Retail, and Wholesale, each contributing uniquely to the market landscape. The Original Equipment Manufacturer channel is crucial as it supplies parts directly integrated into new vehicles, ensuring quality and reliability.

Meanwhile, the Aftermarket segment is significant, handling replacement parts essential for maintenance and repairs post-purchase. Retail channels offer direct access to consumers, while Wholesale operations enable a broader distribution network, facilitating market accessibility.

The demand for aftermarket components is particularly strong due to the rising trend of vehicle customization and repair, emphasizing the importance of this segment within the Auto Parts Market.

Additionally, market growth is driven by technological advancements, changing consumer preferences, and a focus on sustainability, all while navigating challenges such as supply chain disruptions and increasing competition within the market. The Auto Parts Market data highlights these segments as vital for understanding the industry's evolution and revenue generation strategies.

Auto Parts Market Material Insights

The Auto Parts Market is undergoing significant transformations primarily driven by advancements in material science. The market comprises diverse materials such as Metal, Plastic, Rubber, Composites, and Glass, each contributing uniquely to the overall dynamics of the industry.

Metal remains a dominant choice due to its strength and durability, essential for critical auto components. Plastic, known for its lightweight and corrosion-resistant properties, is gaining traction, particularly in the production of interior and exterior parts.

Rubber is predominantly found in tires, seals, and gaskets, proving vital for performance and safety. Composites, celebrated for their high strength-to-weight ratio, are increasingly popular in performance vehicles, enhancing fuel efficiency and reducing emissions.

Glass is also a significant segment, especially with the rise of smart windows and safety applications. This diverse Material segmentation allows manufacturers to optimize performance, reduce costs, and meet stringent regulations while ensuring consumer safety and satisfaction, further influencing the Auto Parts Market statistics.

Auto Parts Market Vehicle Type Insights

The Auto Parts Market, focusing on the Vehicle Type segment, is a critical area that significantly influences overall market dynamics. The segment includes various categories such as Passenger Cars, Commercial Vehicles, Two Wheelers, and Electric Vehicles, each contributing to the rising demand for auto parts.

Passenger Cars form a crucial part of the market, driven by increasing consumer preferences for personal transport, while Commercial Vehicles benefit from the booming logistics and transportation sectors fueled by global trade initiatives.

Electric Vehicles are gaining momentum due to rising environmental awareness and government support for sustainable transport solutions. Two Wheelers also maintain a steady market share, favored for their cost efficiency and convenience in urban settings.

The interplay among these categories is vital, with Electric Vehicles emerging as a significant growth driver, anticipated to reshape Auto Parts Market data in the coming years. Overall, the Auto Parts Market segmentation illustrates a diverse landscape of opportunities and challenges, shaped by technological advancements and evolving consumer needs.

Auto Parts Market Regional Insights

The Auto Parts Market experienced notable growth across various regional segments in the coming years. In 2024, North America captured a significant share, valued at 140.0 USD Billion, contributing heavily to the market's revenue.

Following closely, Europe held a valuation of 130.0 USD Billion, reflecting its robust automotive industry and established manufacturing ecosystem. The APAC region stood out with the highest valuation of 160.0 USD Billion in 2024, driven by the growing middle class and increasing automotive demand, as it dominates due to its majority holding in production capabilities.

South America, with a valuation of 40.0 USD Billion, and the Middle East and Africa (MEA), valued at 38.6 USD Billion, represented smaller but essential markets that were gradually developing, focusing on local manufacturing and sustainable automotive solutions.

These regions showcased unique growth opportunities, particularly in adapting to electric vehicle trends and advancing supply chain efficiencies. The Auto Parts Market data reflected a diversification of products and services in these regions, driven by technological advancements and evolving consumer preferences, thereby influencing the overall market growth dynamics.

Source: Primary Research, Secondary Research, MRFR Database and Analyst Review

Auto Parts Market Key Players and Competitive Insights:

The Auto Parts Market is characterized by intense competition due to the presence of numerous established players and emerging companies striving to secure their share of this lucrative industry. The market is driven by an increasing demand for vehicles across various regions, as well as advancements in automotive technology that necessitate the continual upgrading and replacement of auto parts.

As such, leading companies are investing heavily in research and development to enhance their product offerings, while also engaging in strategic partnerships, mergers, and acquisitions to consolidate their market positions.

The competitive landscape is further complicated by factors such as fluctuating raw material prices, regulatory changes, and shifting consumer preferences towards electric and hybrid vehicles. All these factors contribute to a dynamic and rapidly evolving market environment, compelling companies to adapt their strategies proactively to maintain competitive edge and market relevance.

Denso has established a significant presence in the Auto Parts Market, leveraging its strong emphasis on innovation and quality to stand out among competitors. The company excels in the production of a wide variety of components, including advanced electronics, heating and cooling systems, and powertrain products, which are crucial for both traditional and electric vehicles.

Denso's strengths lie in its extensive research and development capabilities that allow for the constant evolution of its product lines to meet shifting market demands. Additionally, Denso's global manufacturing footprint provides flexibility and efficiency in supply chain management, enabling the company to quickly respond to customer needs and address market opportunities.

Moreover, Denso's commitment to sustainability and eco-friendly practices further solidifies its reputation as a preferred supplier in the auto parts sector. Magna International plays a pivotal role in the Auto Parts Market, offering an extensive range of products and services that cater to various aspects of automobile manufacturing.

The company specializes in areas like body and chassis systems, exterior and interior components, and active driver assistance systems, making it a versatile player in the industry. Magna's robust market presence is supported by its strategic acquisitions and partnerships that enhance its product portfolio and technological capabilities.

The company's strengths lie in its broad global manufacturing network which allows for efficient production and distribution, as well as its commitment to innovation, focused on developing state-of-the-art solutions that align with contemporary automotive trends, such as electrification and automated driving.

Through these efforts, Magna International not only solidifies its competitive advantage but also fosters long-term relationships with leading automotive manufacturers, positioning itself as a key player in the ongoing evolution of the auto parts market globally.

Key Companies in the Auto Parts Market Include:

• Denso


• Magna International


• Continental


• Hitachi Automotive Systems


• Nexteer Automotive


• Robert Bosch


• Valeo


• Aisin Seiki


• Faurecia


• ZF Friedrichshafen


• Tenneco


• Adient


• Delphi Technologies


• BorgWarner


• Lear Corporation

Auto Parts Market Developments

Recent news developments in the Auto Parts Market reveal an active landscape with significant partnerships and growth trajectories among key players. Denso and Valeo are strategically investing in electric vehicle (EV) technologies, aligning their product lines with the increasing demand for sustainable and efficient automotive solutions.

In September 2023, Magna International announced the acquisition of Veoneer's Advanced Driver Assistance Systems, enhancing its capabilities in autonomous driving technologies. Additionally, in October 2023, BorgWarner completed the acquisition of Rhombus Energy Solutions, which positions the company to expand its electrification technologies.

Current market valuations have also seen substantial growth; for instance, Hitachi Automotive Systems recorded a surge in revenue due to heightened global demand for advanced safety systems. Furthermore, ZF Friedrichshafen’s continuous investment in Research and Development is indicative of the increasing focus on innovation within the sector.

Over the past few years, several mergers have taken place, notably Lear Corporation's acquisition of Gecit, aimed at enhancing its seating business in Europe in early 2022. The ongoing trends emphasize an industry transformation driven by technology adoption and strategic collaborations among leading companies in the global auto parts sector.

Auto Parts Market Segmentation Insights

Auto Parts Market Type Outlook

• Engine Components


• Transmission Components


• Electrical Parts


• Braking Systems


• Body Parts

Auto Parts Market Sales Channel Outlook

• Original Equipment Manufacturer


• Aftermarket


• Retail


• Wholesale

Auto Parts Market Material Outlook

• Metal


• Plastic


• Rubber


• Composites


• Glass

Auto Parts Market Vehicle Type Outlook

• Passenger Cars


• Commercial Vehicles


• Two Wheelers


• Electric Vehicles

Auto Parts Market Regional Outlook

• North America


• Europe


• South America


• Asia Pacific


• Middle East and Africa

Report Attribute/Metric Source:	Details
MARKET SIZE 2023	494.07 (USD Billion)
MARKET SIZE 2024	508.6 (USD Billion)
MARKET SIZE 2035	700.0 (USD Billion)
COMPOUND ANNUAL GROWTH RATE (CAGR)	2.94% (2025 - 2035)
REPORT COVERAGE	Revenue Forecast, Competitive Landscape, Growth Factors, and Trends
BASE YEAR	2024
MARKET FORECAST PERIOD	2025 - 2035
HISTORICAL DATA	2019 - 2024
MARKET FORECAST UNITS	USD Billion
KEY COMPANIES PROFILED	Denso, Magna International, Continental, Hitachi Automotive Systems, Nexteer Automotive, Robert Bosch, Valeo, Aisin Seiki, Faurecia, ZF Friedrichshafen, Tenneco, Adient, Delphi Technologies, BorgWarner, Lear Corporation
SEGMENTS COVERED	Type, Sales Channel, Material, Vehicle Type, Regional
KEY MARKET OPPORTUNITIES	Electric vehicle parts demand surge, Advanced manufacturing technologies adoption, Aftermarket services growth potential, Sustainable materials integration, Connected vehicle components expansion
KEY MARKET DYNAMICS	rising vehicle production , increasing electric vehicle adoption , supply chain disruptions , consumer demand for aftermarket parts , technological advancements in manufacturing
COUNTRIES COVERED	North America, Europe, APAC, South America, MEA