Automotive Solenoid Market

Increasing vehicle production is driving the market growth

A key factor which impact on the automotive solenoid market is rising vehicle manufacturing. In recent years, as the demand for automobiles has continued to climb due to reasons including urbanization, rising disposable incomes, and expanding middle-class populations in emerging nations, this trend has been at the forefront of the industry's growth. Here is a thorough analysis of how the market for automotive solenoids is being influenced by the explosion in car production:

Growing Number of Automotive Components: As global vehicle manufacturing rises, so does demand for a variety of automotive parts, including solenoids. Numerous essential automotive applications, including fuel injection, engine management, and gearbox control, and exhaust gas recirculation (EGR) systems, require the adaptable electromechanical devices known as solenoids. To guarantee the smooth and effective operation of these systems, each vehicle has many solenoids. As a result, there is a direct correlation between increased car production and increased need for solenoids.

Solenoids have a wide range of automotive uses, making them crucial components of contemporary automobiles. For instance, solenoids are employed to manage gear shifting in automatic gearboxes, improving the driving pleasure and fuel economy. Similar to this, solenoids are used in the powertrain's valve control to improve engine performance and lower emissions. The range of solenoid applications broadens as automakers continue to innovate and add new features, boosting their demand.

Automotive manufacturers place a high priority on the effectiveness and accuracy of vehicle systems. By providing precise and quick actuation in response to electrical signals, solenoids are essential to achieving these goals. Applications requiring precise timing and strength of the solenoid's action, such fuel injection and pollution control, depend on this precision. Manufacturers increasingly rely on solenoids to uphold these high levels of efficiency and precision as vehicle manufacturing increases up. Thus, driving the automotive solenoid market revenue.

The Global Automotive Solenoid Market Industry is projected to experience substantial growth over the next decade. With a market value anticipated to reach 9.23 USD Billion by 2035, the industry is poised for a robust expansion. The projected CAGR of 5.6% from 2025 to 2035 indicates a consistent upward trajectory, driven by various factors including technological advancements, regulatory changes, and evolving consumer preferences. This growth reflects the increasing integration of solenoids in diverse automotive applications, underscoring their critical role in modern vehicle design and functionality.

The Global Automotive Solenoid Market Industry is significantly influenced by the growth of electric and hybrid vehicles. As these vehicles gain popularity, the demand for solenoids that support electric powertrains and regenerative braking systems is expected to rise. This transition is not merely a trend; it reflects a broader shift towards sustainability in the automotive sector. The increasing production of electric vehicles is projected to contribute to the market's expansion, with estimates suggesting a market value of 9.23 USD Billion by 2035. Consequently, manufacturers are likely to invest in developing solenoids that cater specifically to the unique requirements of electric and hybrid vehicles.

The Global Automotive Solenoid Market Industry is also shaped by stringent regulatory frameworks aimed at reducing vehicle emissions. Governments worldwide are implementing policies that mandate lower emissions, prompting automakers to adopt technologies that enhance fuel efficiency. Solenoids play a pivotal role in optimizing engine performance and reducing emissions, making them essential components in modern vehicles. As regulations become more stringent, the demand for solenoids that comply with these standards is expected to rise. This regulatory push is likely to drive innovation in solenoid design and functionality, further contributing to the market's growth in the coming years.

The Global Automotive Solenoid Market Industry is increasingly driven by the growing emphasis on vehicle safety features. As consumer awareness regarding safety rises, automakers are integrating advanced safety technologies into their vehicles, which often rely on solenoids for operation. Features such as anti-lock braking systems and electronic stability control depend heavily on solenoid functionality. This heightened focus on safety is likely to stimulate demand for high-quality solenoids that ensure reliable performance in critical safety applications. As a result, the market is expected to witness sustained growth, aligning with the overall trends in the automotive industry.

The Global Automotive Solenoid Market Industry is experiencing a surge in demand driven by the increasing adoption of advanced automotive technologies. As vehicles become more sophisticated, the need for reliable solenoids in systems such as automatic transmissions and electronic throttle control has intensified. This trend is evidenced by the projected market value of 5.07 USD Billion in 2024, indicating a robust growth trajectory. Manufacturers are focusing on innovation to enhance solenoid performance, which is crucial for meeting the evolving requirements of modern vehicles. This shift towards advanced technologies is likely to propel the market further, as consumers increasingly seek enhanced vehicle functionalities.

The Global Automotive Solenoid Market Industry is benefiting from technological advancements in manufacturing processes. Innovations such as automation and precision engineering are enhancing the production efficiency and quality of solenoids. These advancements allow manufacturers to produce solenoids that meet the increasing demands for reliability and performance in automotive applications. As the market evolves, the integration of smart manufacturing technologies is likely to streamline production and reduce costs, thereby making solenoids more accessible to a broader range of automotive manufacturers. This trend may contribute to the projected CAGR of 5.6% from 2025 to 2035, indicating a healthy growth outlook for the industry.

By region, the study provides the market insights into North America, Europe, Asia-Pacific and Rest of the World. The North America Automotive Solenoid Market dominated this market in 2022 (45.80%). Electric and hybrid vehicles are gaining popularity in the North American automotive market. In technologies like battery management and electric power steering, soldenoids are crucial parts of electric and hybrid automobiles. The need for solenoids is rising as more people move toward cleaner, more effective modes of transportation. Further, the U.S.

Automotive solenoid market held the largest market share, and the Canada Automotive solenoid market was the fastest growing market in the North America region.

Further, the major countries studied in the market report are The U.S., Canada, German, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.

Figure 2: Automotive Solenoid Market Share By Region 2022 (USD Billion)

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

Europe Automotive solenoid market accounts for the second-largest market share. Europe is known for its luxury and premium vehicle manufacturers. These vehicles often incorporate advanced technologies and features that rely on solenoids, such as air suspension systems and active chassis control. The demand for high-quality solenoids in the luxury vehicle segment is a driver in this region. Further, the German Automotive solenoid market held the largest market share, and the UK Automotive solenoid market was the fastest growing market in the European region.

The Asia-Pacific Automotive Solenoid Market is expected to grow at the fastest CAGR from 2023 to 2032. Urbanization and rising wealth have increased demand for personal mobility in several Asia-Pacific countries. Customers are looking for low-cost vehicles with advanced technologies like electronic fuel injection and solenoid-based motorized windows. Moreover, China’s automotive solenoid market held the largest market share, and the Indian Automotive solenoid market was the fastest growing market in the Asia-Pacific region.

Leading market players are investing heavily in research and development in order to expand their product lines, which will help the automotive solenoid market, grow even more. Market participants are also undertaking a variety of strategic activities to expand their global footprint, with important market developments including new product launches, contractual agreements, mergers and acquisitions, higher investments, and collaboration with other organizations. To expand and survive in a more competitive and rising market climate, Automotive solenoid industry must offer cost-effective items.

Manufacturing locally to minimize operational costs is one of the key business tactics used by manufacturers in the global Automotive solenoid industry to benefit clients and increase the market sector. In recent years, the Automotive solenoid industry has offered some of the most significant advantages to medicine. Major players in the Automotive solenoid market, including BorgWarner Inc., Nidec Corporation, Robert Bosch GmbH, Denso corporation, Global Point Magnetics Asia Co.

Ltd, Hitachi Ltd., Padmini VNA Mechatronics Pvt Ltd, Continental AG, Johnson Electric Holding Ltd., Mitsubishi Electric Corporation and others, are attempting to increase market demand by investing in research and development operations.

BorgWarner Inc. (BorgWarner) is a provider of parts and components to the automobile industry. For light, medium, and heavy-duty vehicles as well as off-road applications, it manufactures and provides internal combustion engine, hybrid, and electric vehicle products. The company's product line includes rotating electrical devices, turbochargers, emission and thermal systems, transmission components and systems, timing devices and chains, torque transfer systems for all-wheel drive, and transmission components and systems. It supplies other OEMs that make commercial and off-road vehicles as well as original equipment manufacturers (OEMs) of light vehicles such vans, light trucks, sport utility vehicles, and passenger automobiles.

The company has operations in North America, Europe, and Asia. The corporate office of BorgWarner is located in the American city of Auburn Hills, Michigan.

Nidec Corp. (Nidec) is a manufacturer of electric motors. The company creates, manufactures, and sells a variety of goods, including small precision motors, home appliance motors, commercial and industrial motors, automotive motors, motors for machinery, and electronic and optical components. Its products include small, precise, medium-sized, and large-sized motors. Products from Nidec are used in a wide range of products and industries, including office supplies, home appliances, automobiles, information and telecommunications equipment, and equipment for industrial and environmental energy. It operates in several regions, including North America, Asia, and Europe. The company runs plants all around the world.

Nidec's corporate headquarters are in Minami-ku, Kyoto, Japan.