Automotive Test Equipment Market Report 2026

The automotive test equipment market size has grown strongly in recent years. It will grow from $15.49 billion in 2025 to $16.51 billion in 2026 at a compound annual growth rate (CAGR) of 6.6%. The growth in the historic period can be attributed to regulatory safety standards, automotive production growth, internal combustion engine testing, quality assurance requirements, vehicle performance validation.

The automotive test equipment market size is expected to see strong growth in the next few years. It will grow to $21.56 billion in 2030 at a compound annual growth rate (CAGR) of 6.9%. The growth in the forecast period can be attributed to electric vehicle proliferation, advanced driver assistance systems testing, digital twin adoption, stricter emission norms, software-defined vehicle validation. Major trends in the forecast period include expansion of ev testing infrastructure, adoption of automated testing systems, growth of emission and compliance testing, integration of virtual testing platforms, demand for advanced diagnostics.

The increasing adoption of autonomous vehicles is anticipated to drive the growth of the automotive test equipment market. Factors such as the rising availability of autonomous vehicles at more affordable price points and growing consumer preference for highly secure vehicles with autonomous features that reduce driving effort have supported the wider adoption of autonomous vehicles worldwide. Manufacturers of autonomous vehicles depend on automotive test equipment to verify that vehicle performance complies with international regulations and safety standards, thereby generating higher demand for automotive test equipment. For instance, in April 2024, the International Energy Agency (IEA), a France-based intergovernmental organization, reported that new electric car registrations in China reached 8.1 million units in 2023, reflecting a 35% increase compared to 2022. Therefore, the growing adoption of autonomous vehicles is expected to increase demand for automotive test equipment during the forecast period.

Leading companies operating in the automotive test equipment market are emphasizing the development of technologically advanced solutions, such as ADAS test equipment, to ensure the safety, reliability, and performance of modern vehicles. ADAS test equipment includes specialized tools and systems used to assess and validate the functionality, precision, and safety of advanced driver assistance systems under a range of operating conditions. For instance, in March 2023, AB Dynamics, a UK-based supplier of automotive testing and verification solutions, introduced ADAS and autonomous vehicle test equipment. The LaunchPad Spin is designed to recreate complex urban testing scenarios by simulating dynamic movements and supporting multiple vulnerable road user targets, with a maximum speed of 30 km/h (20 mph). It incorporates torque-vectoring drive wheels and a precision-steered front wheel capable of continuous 360-degree rotation without an end stop, delivering high maneuverability and accurately simulating sudden directional changes that allow minimal reaction time for drivers or automated emergency braking systems.

In May 2024, Halma Plc, a UK-based provider of safety-critical and industrial technology solutions, acquired MK Test Systems for approximately $55 million. Through this acquisition, Halma seeks to strengthen its electrical safety and testing capabilities across aerospace, rail, and commercial electric vehicle markets, expanding its presence in high-value, safety-critical industries. MK Test Systems is a UK-based company specializing in automated electrical wiring testing solutions for the aerospace, rail, and electric vehicle sectors.

Major companies operating in the automotive test equipment market report include Robert Bosch GmbH, Vector Informatik GmbH, Asea Brown Boveri Ltd., Siemens AG, Actia SA, Continental AG, Horiba Ltd., Softing AG, Teradyne Inc., MTS Systems Corporation, Denso Corporation, Technischer Überwachungsverein SÜD, PTM Electronics Inc., MAHA Maschinenbau Haldenwang GmbH & Co. KG, DSA Daten- und Systemtechnik GmbH, Millbrook Proving Ground Ltd., Sierra Instruments Inc., Snap-on Incorporated, AVL List GmbH, Delphi Technologies, SGS SA, Honeywell International Inc., SAKOR Technologies Inc., National Instruments Corporation, Cosworth Ltd., Danaher Corporation, MK Test Systems Ltd., Sun Electric Corporation, Cincinnati Test Systems Inc., Dewesoft d. o. o.

Asia-Pacific was the largest region in the automotive test equipment market in 2025 and is expected to be the fastest-growing region in the forecast period. The regions covered in the automotive test equipment 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 test equipment market report include Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The automotive test equipment market consists of sales of oscilloscopes, signal generators, signal analyzers, power meters, network analyzers, and spectrum analyzers. Values in this market are ‘factory gate’ values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

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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