Germany Auto Parts Market Research Report By End-User (OEM, Aftermarket) and By Distribution Channel (Offline, Online) - Forecast to 2035

Germany Auto Parts Market Overview:

As per MRFR analysis, the Germany Auto Parts Market Size was estimated at 31.54 (USD Billion) in 2023. The Germany Auto Parts Market Industry is expected to grow from 33.5 (USD Billion) in 2024 to 67 (USD Billion) by 2035. The Germany Auto Parts Market CAGR (growth rate) is expected to be around 6.504% during the forecast period (2025 - 2035).

Key Germany Auto Parts Market Trends Highlighted

The Germany Auto Parts Market is currently influenced by several key trends reflecting the country's commitment to innovation and sustainability. Rising demand for electric vehicles (EVs) has been a significant driver as Germany aims to increase the share of electromobility in its automotive sector. This has led to a growing focus on specialized auto parts tailored for EVs, including batteries, charging systems, and lightweight materials. Additionally, advancements in digitalization are reshaping how auto parts are designed and manufactured, with the integration of smart technologies such as IoT and AI enhancing vehicle performance and safety.

The aftermarket segment is overflowing with opportunities since customers look for tailored and quality spare parts. Moving towards online sales offers new opportunities for auto parts vendors to sell directly to consumers and grow their market footprint. More so, the green initiative is increasing the need for sustainable materials and recycling methods in the auto parts industry, which provides companies the opportunity to leverage Germany's eco campaign. Recent observations show there is a growing trend of automation in the manufacturing processes, which is linked to productivity and accuracy requirements. Firms are adopting automated assembly systems to cut costs associated with labor and enhance the caliber of the products.

Furthermore, collaboration between automotive manufacturers and tech firms is becoming more common, fostering innovation in the development of advanced auto parts. This synergy aims to keep pace with fast-changing consumer preferences, particularly among younger demographics that prioritize sustainability and connectivity in their vehicles. Overall, the dynamic landscape of the Germany Auto Parts Market highlights a significant shift towards greener, smarter, and more customer-centric products.

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

Germany Auto Parts Market Driver

Growing Automotive Sector in Germany

Germany is renowned for its automotive industry, which is one of the largest globally. The country is home to major manufacturers like Volkswagen, BMW, and Daimler, which significantly contribute to the Germany Auto Parts Market Industry. In recent statistics, the automotive sector produced over 5.7 million vehicles in 2022, according to the German Association of the Automotive Industry (VDA). Additionally, the industry is projected to invest around €60 billion in Research and Development (R) by 2025, which highlights an increasing focus on innovation and advanced technologies.

This investment is necessary to maintain competitiveness in electrification and autonomous driving technologies, thereby fueling the need for auto parts and components in the market. Furthermore, the ongoing demand for electric vehicles (EVs) is anticipated to elevate the market growth as EV production is expected to account for nearly 30 percent of vehicle output by 2030. This transition increases both the demand for conventional and specialized auto parts tailored for electric and hybrid vehicles, thus positively influencing the growth of the Germany Auto Parts Market.

Rising Vehicle Age and Aftermarket Demand

An increasing trend in the average age of vehicles on the road presents a significant driver for the Germany Auto Parts Market Industry. Currently, the average age of vehicles in Germany is approximately 10.8 years, which is up from 9.9 years a decade ago, as reported by the Association of International Motor Vehicle Manufacturers (OICA). As vehicles age, the demand for replacement parts and servicing increases, creating a substantial opportunity for aftermarket players.

This growth is further fueled by a strong consumer preference for maintaining and upgrading their vehicles rather than purchasing new ones, thus supporting the expansion of auto parts sales in the market. Additionally, a strong emphasis on sustainability reinforces this trend, as consumers may seek to extend the lifespan of existing vehicles, which requires a continual supply of quality auto parts.

Technological Innovations and Sustainability Efforts

The rapid advancement of automotive technology, including automation and connectivity features, is a key driver for the Germany Auto Parts Market Industry. Innovations such as advanced driver-assistance systems (ADAS) and in-vehicle connectivity demand specialized components, which directly impact the auto parts market. According to estimates by the European Automobile Manufacturers Association (ACEA), the market for automotive electronics in Europe is expected to grow by around 7.5% over the next five years, reinforcing the need for integrated parts that meet new safety and performance standards.

Moreover, the German government’s ambitious goals to reduce carbon emissions and promote sustainable transport align with the auto parts market. The government's 'Climate Action Program 2030' aims to cut greenhouse gas emissions in the transport sector, driving demand for components suitable for electric and hybrid vehicles, thus propelling growth in the auto parts sector.

Germany Auto Parts Market Segment Insights:

Auto Parts Market End-User Insights

The Germany Auto Parts Market is increasingly characterized by its diverse End-User segmentation, which includes Original Equipment Manufacturers (OEM) and Aftermarket components, both of which play pivotal roles in the industry. The OEM sector is crucial as it directly caters to vehicle manufacturers, providing essential parts that meet stringent quality and regulatory standards. This segment has shown resilience as automotive production ramps up, particularly with Germany being home to several leading automotive brands. On the other hand, the Aftermarket segment thrives owing to several factors, including the rising trend of vehicle ownership and the extended lifespan of vehicles.

As consumers hold on to their vehicles longer, the need for replacement parts and repair services grows, fueling the Aftermarket sector's expansion. Furthermore, technological advancements and innovations in aftermarket services, such as digitization and e-commerce platforms, have enhanced consumer access to auto parts. This shift towards online purchasing models is reshaping customer interactions, leading to increased competition within the sector. As the automotive landscape evolves, both segments face their own set of challenges and opportunities.

For OEMs, maintaining quality while managing costs can be daunting, especially in an era of economic uncertainty and supply chain disruptions. In contrast, the Aftermarket segment must adapt to escalating consumer expectations for speed and convenience. Challenges such as regulatory changes and the growing trend towards electric vehicle production require both segments to be agile and innovative to maintain their relevance in the Germany Auto Parts Market. Overall, understanding the dynamics of these End-User segments is vital for stakeholders aiming to leverage growth opportunities within this robust market, as they demonstrate strong potential for growth and adaptation in response to shifting consumer trends and technological advancements.

The interplay between OEM requirements and Aftermarket demands reflects broader trends in the automotive industry, making them critical to the overall functioning and growth of the Germany Auto Parts Market. Understanding these segments' nuances and trajectories will guide stakeholders in identifying new opportunities and strategies for success in the evolving market landscape.

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

Auto Parts Market Distribution Channel Insights

The Distribution Channel segment of the Germany Auto Parts Market plays a crucial role in connecting manufacturers with consumers, facilitating effective supply chain operations. In Germany, the market showcases two primary channels: Offline and Online. The Offline channel, comprising traditional brick-and-mortar stores, continues to dominate due to consumer preference for hands-on experiences and immediate product access. Many German consumers value the ability to physically inspect auto parts before purchase, thus maintaining significant foot traffic in auto parts retail stores.

Meanwhile, the Online channel has seen substantial growth, driven by the increasing convenience of e-commerce and growing digital literacy among consumers. This trend is amplified by the rise of mobile commerce and customer demand for fast delivery options. The growing importance of Online distribution can be attributed to changing consumer behaviors, especially among younger demographics who prefer shopping from the comfort of their homes. According to the latest market trends, both channels offer distinct advantages, with a large fraction of consumers utilizing both to make informed purchasing decisions.

The evolving landscape is indicative of changing buyer preferences and highlights the opportunities for innovation in both distribution methods within the Germany Auto Parts Market.

Germany Auto Parts Market Key Players and Competitive Insights:

The Germany Auto Parts Market is characterized by a dynamic competitive landscape influenced by various domestic and international players seeking to establish their presence and enhance their market share. Germany is renowned for its strong automotive manufacturing sector, which has led to an increasing demand for high-quality auto parts and components. The market features a mix of well-established companies and emerging players striving to innovate and deliver advanced automotive solutions. 

Competition is intense, with companies focusing on technological advancements, product diversification, and strategic partnerships to stay ahead. The market is also shaped by trends such as the rise of electric vehicles and the push for sustainable solutions, compelling auto parts manufacturers to adapt their offerings accordingly while navigating regulatory environments and customer preferences.

Robert Bosch stands out as a dominant player in the Germany Auto Parts Market, leveraging its extensive expertise in automotive technology and manufacturing. The company's strengths lie in its diverse product portfolio, which includes components such as fuel systems, braking systems, and electrical drive technologies, meeting the varied needs of automotive manufacturers and aftermarket customers alike. Robert Bosch benefits from a robust market presence in Germany, bolstered by its long-standing reputation for quality and innovation. This reputation translates into strong customer loyalty and extensive partnerships within the automotive ecosystem, enhancing its competitive edge. Additionally, Bosch has continuously invested in research and development to stay at the forefront of technological advancements, particularly in the fields of electrification and automation, further solidifying its position in the market.

Continental has made significant strides in the Germany Auto Parts Market with a strong focus on safety, efficiency, and sustainability in automotive solutions. The company’s key product offerings include tires, brake systems, electronic stability control, and advanced driver assistance systems, all of which play crucial roles in enhancing vehicle performance and safety. Continental enjoys a prominent market position in Germany, supported by its commitment to innovation and quality manufacturing standards. The company has also pursued strategic mergers and acquisitions to expand its capacity and technology portfolio, strengthening its competitive position. By integrating cutting-edge technologies, such as automated driving and connected car solutions, into its product lineup, Continental is well-equipped to meet the evolving demands of the automotive sector in Germany. This proactive approach not only bolsters its market standing but also aligns with the growing trend toward sustainable mobility solutions within the industry.

Key Companies in the Germany Auto Parts Market Include:

• Robert Bosch


• Continental


• Valeo


• ThyssenKrupp


• Mahle


• Getrag


• Fuchs Petrolub


• ZF Friedrichshafen


• Rheinmetall


• Leoni


• KnorrBremse


• Denso


• Hella


• Schaeffler


• Recaro

Germany Auto Parts Market Industry Developments

In recent months, the Germany Auto Parts Market has seen significant developments. Notably, Robert Bosch has reinforced its commitment to electric mobility, indicating a diversification of its product line. Continental is actively engaged in developing automation solutions, aimed at enhancing vehicle safety and efficiency. Valeo has also made strides in advancing thermal management systems for electric vehicles, reflecting the growing demand for sustainable technologies.

In terms of mergers and acquisitions, it was publicly confirmed in September 2023 that ZF Friedrichshafen acquired a controlling stake in a leading software company, enhancing its capabilities in mobility services. Additionally, Mahle announced an agreement to purchase an innovative battery technology firm in August 2023, reinforcing its position in the electric vehicle sector. These acquisitions illustrate a strategic move towards innovation and sustainability within the industry.

Moreover, the overall market dynamics have been affected by the continuous push towards electric vehicle components, with companies like Schaeffler investing heavily in research and development to meet new regulatory standards. This shift not only reflects the growing consumer preference for environmentally friendly vehicles but also positions Germany at the forefront of the automotive innovation landscape. 

Auto Parts Market Segmentation Insights

Auto Parts Market End-User Outlook

• OEM


• Aftermarket

Auto Parts Market Distribution Channel Outlook

• Offline


• Online

Report Attribute/Metric Source:	Details
MARKET SIZE 2023	31.54 (USD Billion)
MARKET SIZE 2024	33.5 (USD Billion)
MARKET SIZE 2035	67.0 (USD Billion)
COMPOUND ANNUAL GROWTH RATE (CAGR)	6.504% (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	Robert Bosch, Continental, Valeo, ThyssenKrupp, Mahle, Getrag, Fuchs Petrolub, ZF Friedrichshafen, Rheinmetall, Leoni, KnorrBremse, Denso, Hella, Schaeffler, Recaro
SEGMENTS COVERED	End-User, Distribution Channel
KEY MARKET OPPORTUNITIES	Electric vehicle component demand, Autonomous vehicle parts growth, Aftermarket services expansion, Increased sustainability and recycling, Digitalization of supply chains
KEY MARKET DYNAMICS	growing demand for EV components , increasing aftermarket sales , supply chain disruptions , rising focus on sustainability , technological advancements in manufacturing
COUNTRIES COVERED	Germany