The global automotive instrument cluster market size reached US$ 8.3 Billion in 2023. Looking forward, the publisher expects the market to reach US$ 13.4 Billion by 2032, exhibiting a growth rate (CAGR) of 5.47% during 2023-2032. The growing advancements in vehicle electronics, along with stringent government safety regulations, are bolstering the growth of the market.
For instance, META and BMW aim to incorporate IMU data from a BMW car’s sensor array in real-time into the tracking system of the Project Aria research glasses. Apart from this, instrument clusters are increasingly being integrated with vehicle connectivity systems, allowing them to access and display information from external sources, such as smartphone apps, cloud services, and vehicle-to-infrastructure communication systems.
This amount was nearly nine times the allocation for FY21. The demand for electric and hybrid vehicles is further expected to bolster the market growth. For instance, Toyota Australia added several improvements to its well-liked Corolla hatchback and sedan ranges in November 2022, including the hybrid powertrain and Toyota Connected Services capabilities.
This integration enhances the driving experience by providing easy access to essential functions, such as global positioning system (GPS) navigation, traffic updates, multimedia playback, and smartphone connectivity. For instance, in February 2024, Peugeot announced its integration of ChatGPT artificial intelligence into its vehicles, making it one of the first car manufacturers to do so.
The hybrid segment is driven by the increasing preference for a balance between traditional and modern display elements in vehicles. Hybrid clusters are particularly popular in mid-range vehicles, where they provide a cost-effective solution. For instance, the Roads and Transport Authority (RTA) of Dubai, announced the signing of a deal for the procurement of 2,219 new cars to complement the fleet of the Dubai Taxi Corporation, in line with the company's Strategic Plan 2021-2023. With the addition of 1,775 hybrid cars from the new batch, the fleet has 4,105 hybrid cars overall.
The speedometer segment is driven by the increasing demand for accurate and real-time speed monitoring in vehicles. Besides this, strict regulations by government bodies for speed limit compliance and the growing awareness of road safety are also acting as growth-inducing factors. The integration of GPS technology for enhanced accuracy and the incorporation of digital displays for better visibility also contribute significantly to this segment's growth.
The market for automotive instrument clusters in the Asia Pacific is primarily driven by the rising auto manufacturing, especially in nations like China, India, and Japan. Moreover, the elevating consumer affluence, the expanding middle class, and the increasing preference for highly technologically equipped vehicles are also positively influencing the regional market. Besides this, strategic collaborations among key players in the Asia Pacific region are acting as significant growth-inducing factors. For example, in September 2021, HARMAN International announced a collaboration with Renault Mégane E-TECH Electric for redesigning the interior of the vehicle.
Global Automotive Instrument Cluster Market Analysis:
- Major Market Drivers: The market is propelled by the growing emphasis on vehicle aesthetics. Besides this, the escalating consumer demand for real-time vehicle monitoring is also acting as another significant growth-inducing factor. Moreover, the increasing focus on driver comfort and convenience and the introduction of three-dimensional (3D) display technology are further creating a positive outlook for the market. Apart from this, the widespread use of augmented reality (AR) in vehicle displays and the inflating focus on user-friendly interfaces are also propelling the automotive instrument cluster market demand.
- Key Market Trends: The elevating adoption of advanced technologies in the automotive sector is one of the emerging trends proliferating the market growth. Moreover, customizable interfaces, improved safety measures by government authorities, and the increasing integration of ADAS are also acting as significant growth-inducing factors.
- Geographical Trends: Asia-Pacific accounts for the largest region in the global automotive instrument cluster market, owing to the expanding automotive industry in countries like China, India, and Japan. Furthermore, high vehicle production activities, the increasing consumer demand for advanced automotive features, and substantial investments in automotive technology are anticipated to augment the regional market growth over the forecasted period.
- Competitive Landscape: Some of the major market players in the automotive instrument cluster includes Alps Alpine Co Ltd, Continental AG, JPM Group, Nippon Seiki Co. Ltd, Pricol Limited, Robert Bosch GmbH (Robert Bosch Stiftung GmbH), Simco Auto Limited, Valid Manufacturing Ltd, and Visteon Corporation, among many others.
- Challenges and Opportunities: Integrating advanced technologies, such as high-resolution displays, augmented reality, and connectivity features, into instrument clusters can increase production costs, which acts as a barrier for some automakers. However, advanced instrument clusters can be highly customizable, allowing drivers to personalize their displays and interact with the vehicle in ways that suit their preferences.
Global Automotive Instrument Cluster Market Trends:
Technological Advancements in Vehicle Electronics
Technological advancements in vehicle electronics are significantly influencing the automotive instrument cluster market. Modern vehicles are increasingly equipped with electronic systems that offer enhanced functionality and user experience. Additionally, they encompass the integration of high-resolution displays, touch-screen interfaces, and customizable options, allowing drivers to personalize their dashboard display according to their preferences.For instance, META and BMW aim to incorporate IMU data from a BMW car’s sensor array in real-time into the tracking system of the Project Aria research glasses. Apart from this, instrument clusters are increasingly being integrated with vehicle connectivity systems, allowing them to access and display information from external sources, such as smartphone apps, cloud services, and vehicle-to-infrastructure communication systems.
Rising Demand for Electric and Hybrid Vehicles
Rapid shift towards electric and hybrid vehicles, owing to the growing need for reducing carbon footprints, is proliferating the automotive instrument cluster market demand. Moreover, government bodies are launching favorable policies to encourage investments in the automotive industry. For instance, in February 2022, the Indian government announced that the subsidy under the Faster Adoption and Manufacturing of Hybrid and Electric Vehicles (FAME) program was US$ 351 Million in 2023.This amount was nearly nine times the allocation for FY21. The demand for electric and hybrid vehicles is further expected to bolster the market growth. For instance, Toyota Australia added several improvements to its well-liked Corolla hatchback and sedan ranges in November 2022, including the hybrid powertrain and Toyota Connected Services capabilities.
Integration of infotainment and Navigation Systems
The integration of infotainment and navigation systems in the automotive instrument cluster systems is a key trend that is shaping the development of modern vehicle displays. The integration allows for a more consolidated and streamlined display. Modern instrument clusters are no longer limited to displaying basic vehicle information, they also encompass multifunctional displays that integrate entertainment, information, and navigation features.This integration enhances the driving experience by providing easy access to essential functions, such as global positioning system (GPS) navigation, traffic updates, multimedia playback, and smartphone connectivity. For instance, in February 2024, Peugeot announced its integration of ChatGPT artificial intelligence into its vehicles, making it one of the first car manufacturers to do so.
Government Regulations on Vehicle Safety and Fuel Efficiency
Government regulations regarding vehicle safety and fuel efficiency are stimulating innovations in the automotive instrument cluster market. For instance, regulations mandating the display of tire pressure monitoring, fuel efficiency, and emission levels have necessitated the development of more informative and sophisticated instrument clusters. Furthermore, these regulations aim to promote safer driving practices and reduce environmental impact through better fuel efficiency. Apart from this, to promote the production and purchase of electric vehicles and two-wheelers, the government has implemented several incentives and subsidies. To hasten the transition to electric vehicles, the rules were reinforced in 2023.Automotive Instrument Cluster Industry Segmentation:
The publisher provides an analysis of the key trends in each segment of the market, along with forecasts at the global, regional, and country levels for 2024-2032. Our report has categorized the market based on cluster type, vehicle type, sales channel, and application.Breakup by Cluster Type:
- Analog
- Digital
- Hybrid
Hybrid accounts for the majority of the market share
The hybrid segment is driven by the increasing preference for a balance between traditional and modern display elements in vehicles. Hybrid clusters are particularly popular in mid-range vehicles, where they provide a cost-effective solution. For instance, the Roads and Transport Authority (RTA) of Dubai, announced the signing of a deal for the procurement of 2,219 new cars to complement the fleet of the Dubai Taxi Corporation, in line with the company's Strategic Plan 2021-2023. With the addition of 1,775 hybrid cars from the new batch, the fleet has 4,105 hybrid cars overall.
Breakup by Vehicle Type:
- Passenger Cars
- Light Commercial Vehicles
- Heavy Commercial Vehicles
- Electric Vehicle
Breakup by Sales Channel:
- OEM
- Aftermarket
Breakup by Application:
- Speedometer
- Odometer
- Tachometer
- Others
Speedometer accounts for the majority of the market share
The speedometer segment is driven by the increasing demand for accurate and real-time speed monitoring in vehicles. Besides this, strict regulations by government bodies for speed limit compliance and the growing awareness of road safety are also acting as growth-inducing factors. The integration of GPS technology for enhanced accuracy and the incorporation of digital displays for better visibility also contribute significantly to this segment's growth.
Breakup by Region:
- North America
- United States
- Canada
- Asia-Pacific
- China
- Japan
- India
- South Korea
- Australia
- Indonesia
- Others
- Europe
- Germany
- France
- United Kingdom
- Italy
- Spain
- Russia
- Others
- Latin America
- Brazil
- Mexico
- Others
- Middle East and Africa
Asia Pacific leads the market, accounting for the largest automotive instrument cluster market share
The market for automotive instrument clusters in the Asia Pacific is primarily driven by the rising auto manufacturing, especially in nations like China, India, and Japan. Moreover, the elevating consumer affluence, the expanding middle class, and the increasing preference for highly technologically equipped vehicles are also positively influencing the regional market. Besides this, strategic collaborations among key players in the Asia Pacific region are acting as significant growth-inducing factors. For example, in September 2021, HARMAN International announced a collaboration with Renault Mégane E-TECH Electric for redesigning the interior of the vehicle.
Leading Key Players in the Automotive Instrument Cluster Industry:
The market research report has provided a comprehensive analysis of the competitive landscape. Detailed profiles of all major companies have also been provided. Some of the key players in the market include:- Alps Alpine Co Ltd.
- Continental AG
- JPM Group
- Nippon Seiki Co. Ltd.
- Pricol Limited
- Robert Bosch GmbH (Robert Bosch Stiftung GmbH)
- Simco Auto Limited
- Valid Manufacturing Ltd.
- Visteon Corporation
Global Automotive Instrument Cluster Market News:
- November 2023: Tata Motors elevated the driving experience of its Punch lineup by outfitting all variants with a sleek digital instrument cluster. The base model features a modern 4-inch digital screen, providing essential information such as speed, time, odometer readings, trip meter details, and warning lights in a sleek and accessible format.
- October 2023: A joint venture deal was held by the PIF and Hyundai, wherein the PIF owned a 70% stake and Hyundai had the remaining 30%. As a key technology partner, Hyundai provided both commercial and technical support for the new manufacturing facility. This project's total investment exceeded US$ 500 Million, demonstrating the scope of this undertaking.
- October 2023: LITEON Technology announced the development of the Level 3 Electric Vehicle (EV) DC fast chargers. These EV chargers were created in collaboration with Power Innovations International (PII), a LITEON subsidiary.
Key Questions Answered in This Report:
- How has the global automotive instrument cluster market performed so far, and how will it perform in the coming years?
- What are the drivers, restraints, and opportunities in the global automotive instrument cluster market?
- What is the impact of each driver, restraint, and opportunity on the global automotive instrument cluster market?
- What are the key regional markets?
- Which countries represent the most attractive automotive instrument cluster market?
- What is the breakup of the market based on the cluster type?
- Which is the most attractive cluster type in the automotive instrument cluster market?
- What is the breakup of the market based on vehicle type?
- Which is the most attractive vehicle type in the automotive instrument cluster market?
- What is the breakup of the market based on sales channel?
- Which is the most attractive sales channel in the automotive instrument cluster market?
- What is the breakup of the market based on the application?
- Which is the most attractive application in the automotive instrument cluster market?
- What is the competitive structure of the market?
- Who are the key players/companies in the global automotive instrument cluster market?
- How big is the automotive instrument cluster market?
- What is the future of the automotive instrument cluster?
Table of Contents
1 Preface3 Executive Summary12 Value Chain Analysis14 Price Analysis
2 Scope and Methodology
4 Introduction
5 Global Automotive Instrument Cluster Market
6 Market Breakup by Cluster Type
7 Market Breakup by Vehicle Type
8 Market Breakup by Sales Channel
9 Market Breakup by Application
10 Market Breakup by Region
11 SWOT Analysis
13 Porters Five Forces Analysis
15 Competitive Landscape
List of Figures
List of Tables
Companies Mentioned
- Alps Alpine Co Ltd
- Continental AG
- JPM Group
- Nippon Seiki Co. Ltd.
- Pricol Limited
- Robert Bosch GmbH (Robert Bosch Stiftung GmbH)
- Simco Auto Limited
- Valid Manufacturing Ltd
- Visteon Corporation
Methodology
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Table Information
| Report Attribute | Details |
|---|---|
| No. of Pages | 143 |
| Published | August 2024 |
| Forecast Period | 2023 - 2032 |
| Estimated Market Value ( USD | $ 8.3 Billion |
| Forecasted Market Value ( USD | $ 13.4 Billion |
| Compound Annual Growth Rate | 5.5% |
| Regions Covered | Global |
| No. of Companies Mentioned | 9 |
