Automotive Service Market Report 2026

The automotive service market size has grown strongly in recent years. It will grow from $760.52 billion in 2025 to $801.46 billion in 2026 at a compound annual growth rate (CAGR) of 5.4%. The growth in the historic period can be attributed to expansion of vehicle parc, routine maintenance demand, growth of independent garages, mechanical repair needs, automotive servicing culture.

The automotive service market size is expected to see strong growth in the next few years. It will grow to $974.2 billion in 2030 at a compound annual growth rate (CAGR) of 5%. The growth in the forecast period can be attributed to electric vehicle servicing growth, connected car diagnostics, digital service scheduling, fleet management expansion, predictive maintenance adoption. Major trends in the forecast period include growth of predictive vehicle maintenance, expansion of digital service platforms, rising demand for ev servicing, adoption of advanced diagnostics, increase in fleet maintenance services.

The increasing adoption of electric vehicles is set to drive the growth of the automotive service market in the future. Electric vehicles are cars powered by electric motors and rechargeable batteries or energy storage systems, offering a cleaner and more sustainable alternative to traditional fossil fuel-powered vehicles. The rise in electric vehicles is fueled by growing environmental concerns, government initiatives, and technological advancements. Automotive services for electric vehicles ensure reliability through specialized maintenance, including diagnostics, battery health checks, and software updates, boosting confidence in their sustainable and efficient operation. For example, in March 2023, the International Energy Agency reported that around 14% of all new automobiles sold in 2022 were electric, up from about 9% in 2022. Additionally, there were 14 million electric vehicle sales in 2023, marking a 35% increase from 2022. Thus, the expanding presence of electric vehicles is propelling the growth of the automotive service market.

Major companies in the automotive service market are concentrating on developing innovative technologies, such as tire-changing technology, to redefine convenience, efficiency, and expert care standards in the automotive service industry. Tire-changing technology encompasses various tools, machines, and methods designed to ease tire removal and installation on vehicles. For instance, in November 2023, Kwik Fix Auto Pvt. Ltd., an India-based automotive service industry player, launched the mobile-run Flat Tyre Changer Service Swift, providing customers with dealership-quality tire-changing experiences at their convenience. This service extends beyond emergency responses, becoming an essential part of customers' vehicle management strategies, offering services from tire fitting and balancing to routine checks and maintenance.

In August 2023, Cox Automotive Inc., a US-based software company, acquired Corcoran’s Mobile Services (CMS) for an undisclosed amount. Through this acquisition, Cox aims to broaden its service offerings and enhance its mobile vehicle maintenance and repair capabilities, delivering convenient automotive services directly to customers at their locations. Corcoran’s Mobile Services (CMS) is a US-based company specializing in tire repair, budgeting, body replacement, and mobile on-site preventive maintenance.

Major companies operating in the automotive service market report include CarMax Autocare Center, Asbury Automotive Group Inc., Driven Brands Holdings Inc., Halfords Group plc, Monro Inc., Safelite Group Inc., Jiffy Lube International Inc., Midas International LLC, Belron International Ltd., Volkswagen Group, Toyota Motor Corporation, Ford Motor Company, General Motors, Honda Motor Co. Ltd., Hyundai Motor Company, Kia Corporation, Tesla Inc., Mahindra and Mahindra Automotive, Robert Bosch GmbH, Denso Corporation, Bridgestone Corp.

North America was the largest region in the automotive service market in 2025. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the automotive service market report include Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the automotive service market report include Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The automotive service market includes revenues earned by entities by provide services such as oil changes, tire rotation, cabin air filter replacement, spark plug replacement, engine repairs, and transmission repairs. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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