Automotive Suspension Market Outlook, 2029

In the dynamic world of automotive engineering, few components are as crucial as the suspension system. From providing a comfortable ride to ensuring vehicle stability and handling, suspensions play a pivotal role in defining the driving experience. As technology advances and consumer demands evolve, the automotive suspension industry finds itself at the forefront of innovation and adaptation. The roots of automotive suspensions can be traced back to the early days of motorized transportation. Initially, vehicles relied on rudimentary systems such as leaf springs and solid axles to absorb shocks and maintain stability. However, as automotive engineering progressed, so did suspension technology.

The introduction of independent suspension systems in the early 20th century revolutionized the industry, offering improved ride quality and handling. Over the decades, advancements in materials, manufacturing techniques, and design philosophies have continued to shape the evolution of automotive suspensions. From the adoption of coil springs and hydraulic dampers to the integration of electronic controls and adaptive systems, suspension technology has become increasingly sophisticated, catering to the diverse needs of drivers across the globe. In today's automotive landscape, several key trends are driving innovation in the suspension industry. One such trend is the growing emphasis on vehicle electrification and sustainability.

Electric vehicles (EVs) present unique challenges for suspension design due to their heavy battery packs and distinct weight distribution. Manufacturers are tasked with developing suspensions that can accommodate the unique characteristics of EVs while maintaining efficiency and performance. Another notable trend is the rising demand for enhanced comfort and ride quality. As consumers seek more luxurious and refined driving experiences, automakers are investing in advanced suspension technologies such as adaptive damping systems, air suspensions, and active roll control mechanisms.

These systems not only improve ride comfort but also enhance vehicle dynamics and safety. Furthermore, the pursuit of greater fuel efficiency and reduced emissions has prompted the development of lightweight suspension components and aerodynamic designs. By minimizing weight and drag, automakers can optimize vehicle efficiency without compromising performance or comfort.

According to the research report, the market is anticipated to cross USD 70 Billion by 2029, increasing from USD 54.06 Billion in 2023. The market is expected to grow with 4.78% CAGR by 2024-29.The automotive suspension industry is at the forefront of technological innovation, with several groundbreaking advancements reshaping the landscape. One such advancement is the integration of semi-active and active suspension systems. These systems utilize sensors, actuators, and onboard computers to continuously adjust damping forces and suspension settings in real time, providing unparalleled levels of comfort and performance.

Additionally, advancements in materials science have led to the development of composite materials, such as carbon fiber and aluminum alloys, which offer significant weight savings without sacrificing strength or durability. By incorporating these lightweight materials into suspension components, automakers can improve fuel efficiency and agility while maintaining structural integrity. Furthermore, the advent of electronic stability control (ESC) and other safety features have revolutionized vehicle handling and stability. These systems use sensors to monitor vehicle dynamics and intervene when necessary to prevent skidding or loss of control, enhancing both safety and driver confidence.

A quality ride provides comfort to passengers, minimizes damage to cargo, and reduces driver fatigue during long journeys. Suspension is responsible for the quality of rides and control on car handling, as cars with firm suspension could result in enhanced control of body movements and quicker reactions. Ambulances have a special need for enhanced vehicle suspension to prevent further injury to already ill passengers. Such factors have boosted the demand for higher driving comfort, which positively impacts the growth of the global automotive suspension market.

In addition, there has been a growing trend in the use of higher quality materials and technologies such as electronically controlled suspension systems, auto adaptive dampening methods or air suspensions that make driving more pleasant and flexible. Such advances are not only improving vehicle quality but also contributing to lowering fuel consumption and emissions, in line with the environment concerns and regulations.

Market Drivers

• Vehicle Electrification: As the automotive industry undergoes a significant shift towards electrification, with the increasing popularity of electric vehicles (EVs) and hybrid electric vehicles (HEVs), the automotive suspension industry faces the challenge of adapting to the unique demands of these powertrains. EVs typically have heavy battery packs located at the bottom of the vehicle, altering the weight distribution compared to traditional internal combustion engine vehicles. This shift requires suspension systems to be redesigned to maintain optimal balance and stability. EVs are often designed to prioritize efficiency and range, but they must also deliver a comfortable ride characteristic of luxury vehicles. Suspension systems need to strike a balance between energy efficiency and providing a smooth, quiet ride, which can be challenging given the added weight and unique dynamics of electric powertrains.
• Autonomous Driving Technology: The development and adoption of autonomous driving technology represent another major driver for the automotive suspension industry. Autonomous vehicles require suspension systems capable of adapting to changing road conditions and driving scenarios in real time. Advanced sensors, actuators, and control algorithms are needed to adjust suspension settings and damping forces dynamically, ensuring optimal comfort, stability, and safety. Suspension systems will need to work seamlessly with other vehicle control systems, such as electronic stability control (ESC) and traction control, to maintain vehicle stability and maneuverability in various driving situations. Collaboration between suspension engineers and experts in autonomous vehicle technology will be essential to achieve this integration effectively.

Market Challenges

• Weight Reduction vs. Performance: One of the ongoing challenges in the automotive suspension industry is balancing the conflicting demands of weight reduction and performance optimization. While lightweight materials and design innovations can help reduce vehicle weight and improve fuel efficiency, they must not compromise the durability, safety, or performance of suspension components.
• Cost Pressures and Market Competition: The automotive industry is highly competitive, with manufacturers constantly under pressure to reduce costs while delivering high-quality products. Suspension system suppliers must navigate the delicate balance between meeting cost targets and delivering innovative solutions that meet the evolving demands of automakers and consumers.

Market Trends

• Advanced Materials and Manufacturing Techniques: The adoption of advanced materials, such as carbon fiber composites and lightweight alloys, is a significant trend in the automotive suspension industry. These materials offer opportunities for weight reduction without sacrificing strength or performance. Furthermore, advancements in manufacturing techniques, such as additive manufacturing (3D printing), enable the production of complex, lightweight suspension components with enhanced efficiency and precision.
• Smart Suspension Systems: The development of smart suspension systems, equipped with sensors, actuators, and intelligent control algorithms, is a growing trend in the automotive industry. These systems allow for real-time adjustments to damping forces and suspension settings based on road conditions, driving behavior, and vehicle dynamics, enhancing ride comfort, handling, and safety. Smart suspension systems also pave the way for greater integration with autonomous driving technology, enabling more responsive and adaptive vehicles.

Passive suspension systems maintain their leading position in the automotive industry due to a combination of factors that make them a preferred choice for a wide array of vehicles and driving conditions. Their dominance stems from their simplicity, reliability, and cost-effectiveness, all of which contribute to their widespread adoption.

The simplicity of passive suspension systems lies in their mechanical design, which consists of basic components such as springs and shock absorbers. These components work together to absorb shocks from the road surface and control the motion of the vehicle's body. Unlike active or semi-active systems, which require complex electronic controls and actuators to adjust damping forces in real time, passive suspensions operate based on predetermined settings that are optimized for general driving conditions. This simplicity not only simplifies manufacturing processes but also reduces the risk of electronic malfunctions or failures, enhancing overall reliability.

Moreover, the straightforward design of passive suspension systems translates into cost savings for automakers and consumers alike. Since passive suspensions do not rely on sophisticated electronic components or control systems, they are typically more affordable to produce and install. This cost-effectiveness makes passive suspensions an attractive option for mass-market vehicles where keeping production costs low is essential for competitiveness and profitability. Additionally, lower maintenance costs further contribute to the economic appeal of passive suspensions, as they generally require less frequent servicing compared to active or semi-active systems.

Despite their simplicity, passive suspension systems offer a balanced combination of performance and comfort suitable for everyday driving scenarios. While active and semi-active systems may provide superior performance in specific driving conditions, such as high-speed cornering or off-road terrain, passive suspensions deliver a comfortable ride and predictable handling without the need for constant adjustments. This reliability and versatility make passive suspensions well-suited for a wide range of vehicles, from economy cars to SUVs and trucks, catering to the diverse needs of consumers across various segments of the automotive market.

Shock absorbers/dampers components are leading in the automotive suspension industry primarily due to their critical role in enhancing vehicle stability, control, and ride comfort, offering a versatile solution that addresses various driving conditions and consumer preferences.

Shock absorbers/dampers components, designed to dampen and control the oscillations of the suspension springs, play a pivotal role in absorbing shocks from the road surface, minimizing vibrations, and maintaining tire contact with the road. Their effectiveness in managing vertical motion and controlling body roll ensures a smooth and stable ride quality, regardless of road conditions or vehicle dynamics. Moreover, advancements in shock absorber technology, including the development of adaptive and electronically controlled dampers, have further bolstered their leadership position by offering enhanced performance and customization options tailored to specific driving needs and preferences.

Shock absorbers, also known as dampers, are integral components of automotive suspension systems, responsible for regulating the movement of the suspension springs and managing the transfer of kinetic energy generated by uneven road surfaces or dynamic vehicle maneuvers. Their ability to absorb and dissipate this energy effectively helps minimize vibrations and oscillations, ensuring optimal tire contact with the road and maximizing vehicle stability and control. One of the key reasons why shock absorbers/dampers components hold a leading position in the automotive suspension industry is their versatility and adaptability to diverse driving conditions and consumer preferences.

Whether navigating through rough terrain, cruising on highways, or tackling tight corners, shock absorbers play a crucial role in providing a comfortable and controlled driving experience. Manufacturers have developed various types of shock absorbers, including mono-tube, twin-tube, and gas-charged dampers, each offering unique performance characteristics suited to different vehicle applications and driving styles. Furthermore, advancements in shock absorber technology have further solidified their leadership position in the automotive industry.

The introduction of adaptive and electronically controlled dampers has enabled vehicles to dynamically adjust suspension settings in real time, responding to changing road conditions and driving dynamics instantaneously. These advanced dampers utilize sensors and onboard computers to continuously monitor and adjust damping forces, offering drivers a customizable and refined driving experience tailored to their preferences.

The OEM sales channel is leading in the automotive suspension industry primarily due to its direct integration with vehicle manufacturing processes, ensuring compatibility, quality assurance, and comprehensive support for customers throughout the lifecycle of the vehicle.

Original Equipment Manufacturer (OEM) sales channels dominate the automotive suspension industry because they are tightly integrated into the vehicle manufacturing process. When automakers produce vehicles, they typically source suspension components directly from OEM suppliers, ensuring that these parts are specifically designed and engineered to meet the exact specifications and requirements of each vehicle model. This integration guarantees compatibility between suspension components and other vehicle systems, such as chassis, steering, and braking systems, thereby optimizing overall performance, safety, and reliability.

Moreover, OEM sales channels offer comprehensive quality assurance measures, ensuring that suspension components meet rigorous standards and undergo thorough testing to ensure durability, longevity, and performance consistency. Automakers often have strict quality control processes in place to monitor the manufacturing and assembly of suspension components, minimizing the risk of defects or failures that could compromise vehicle safety or performance. As a result, customers can have confidence in the reliability and effectiveness of OEM-supplied suspension systems, contributing to the channel's dominance in the market. The OEM sales channel provides comprehensive support for customers throughout the lifecycle of the vehicle.

Since OEM suppliers work closely with automakers, they have access to detailed technical specifications, service information, and training programs that enable them to provide timely and efficient support for vehicle owners, dealerships, and repair facilities. This support encompasses various aspects, including troubleshooting, maintenance, repair, and warranty services, ensuring that customers receive the necessary assistance to address any issues or concerns related to their vehicle's suspension system. By offering a seamless and integrated customer experience, OEM sales channels enhance customer satisfaction and loyalty, further solidifying their leadership position in the automotive suspension industry.

Passenger-type vehicles lead the automotive suspension industry primarily because they represent the largest segment of the automotive market, driving demand for suspension systems that prioritize comfort, stability, and safety to meet the diverse needs and preferences of drivers and passengers.

Passenger-type vehicles, including sedans, hatchbacks, SUVs, and crossovers, dominate the automotive suspension industry due to their sheer volume and widespread popularity among consumers. These vehicles cater to a broad range of demographics and driving preferences, from daily commuters seeking comfort and fuel efficiency to adventure enthusiasts seeking versatility and off-road capability. As a result, automakers invest heavily in developing suspension systems that strike a balance between ride comfort, handling dynamics, and safety features to appeal to a diverse customer base.

The leading position of passenger-type vehicles in the automotive suspension industry is further bolstered by their evolving design trends and technological advancements. Modern passenger vehicles are equipped with sophisticated suspension systems featuring advanced components such as adaptive dampers, air springs, and electronic stability control systems. These technologies enhance ride quality, minimize body roll, and improve overall vehicle dynamics, providing a superior driving experience that meets the expectations of discerning consumers. Moreover, the dominance of passenger-type vehicles in the automotive market drives continuous innovation and competition among suspension system manufacturers.

Automakers and OEM suppliers are constantly striving to develop new technologies and engineering solutions to differentiate their products and gain a competitive edge in the marketplace. This relentless pursuit of excellence translates into continuous improvements in suspension design, materials, and performance, further solidifying the position of passenger-type vehicles as leaders in the automotive suspension industry.

The Asia Pacific has emerged as a hub for automotive production in recent years, owing to changing consumer preferences, increasing per capita income of the middle-class population, and cost advantages for OEMs.

The Asia Pacific is estimated to account for the largest share of the automotive suspension market, by value, in 2023, due to the presence of automotive OEMs with large vehicle production capacity, higher vehicle sales, and a large customer base. Increasing demand for better comfort in passenger cars has led to the adoption of multilink and air suspension systems in western countries. However, due to their high cost, these systems are still in their introductory phase in the Asia Pacific region. China is estimated to remain the largest market within the region, owing to its large population and increased demand for passenger vehicles post-pandemic. The country has resumed production close to pre-pandemic levels.

By value, India is expected to be the fasted-growing market due to the increased demand for passenger vehicles as the country’s economy recovers from the effects of the pandemic. The regional growth is attributed to the increased production rate of vehicles that occurred as part of the recovery from the pandemic in this region. Major key players in regions are focusing on developing innovative technologies further to strengthen the trend of electrification in the automotive industry. The growing demand for high-performance suspension kits in major countries, such as China, India, and Japan, further drives the market growth in Asia Pacific.

In December 2023, Clearmotion, a leading suspension technology provider, partnered with NIO, a pioneering Chinese electric vehicle manufacturer. As part of this collaboration, Clearmotion will supply its advanced suspension technology to NIO's upcoming Electric Vehicle (EV), the ET9. This strategic alliance aims to enhance the driving experience for NIO's customers by offering a smoother and more comfortable ride, further solidifying Clearmotion's presence in the rapidly growing EV market.

In April 2023, Chinese automaker BYD introduced self-developed chassis and suspension systems. This strategic move showcases BYD's commitment to vertical integration and independence in key automotive components. The new chassis and suspension systems are expected to provide enhanced driving experiences, improved safety, and greater efficiency for BYD's electric vehicle lineup, further solidifying the position in the EV market.

• In January 2024, Clearmotion, a leading provider of electric drive and active suspension systems, secured a landmark production order for NIO Proactive Suspension Technology. This significant milestone highlights the growing demand for advanced suspension systems in the automotive industry. This production order marks a major achievement for Clearmotion and underscores its position as a key player in the development of next-generation automotive technologies.
• In September 2023, Anand Group partnered with South Korea's HL Group to supply various aftermarket components for domestic and international passenger vehicle markets.
• In May 2023, Tenneco launched a new technical facility that supports advanced Suspension Technologies (AST) and European Ride Control divisions.
• In May 2023, LG Electronics Inc. launched a connected vehicle alarm system, LG MyCar Alarm Service. It integrates with Infoconn, the connected car service as mobile application of KG Mobility & developed in response to increasing demand from automotive companies and consumers for vehicle-integrated mobility services.
• In October 2023, McLaren Automotive appointed Monroe as its exclusive suspension supplier. This partnership aims to enhance McLaren's high-end vehicles' performance and driving experience. Monroe, a leading suspension technology company, will provide McLaren with custom-engineered suspension components and systems that cater to the unique requirements of McLaren's sports cars. This collaboration is expected to strengthen both companies' presence in the premium automotive market and contribute to the ongoing development of innovative suspension technologies.
• In August 2023, BWI Group and Clearmotion formed a strategic partnership to develop and grow their active suspension business. This collaboration aims to combine BWI Group's expertise in chassis systems and Clearmotion's advanced active suspension technology, resulting in innovative solutions for improved vehicle ride and handling. This joint effort showcases both companies' commitment to innovation and shared vision for the future of active suspension systems.

Years considered in this report:

• Historic year: 2018
• Base year: 2023
• Estimated year: 2024
• Forecast year: 2029

Aspects covered in the report:

• Automotive suspension market Outlook with its value and forecast along with its segments
• Various drivers and challenges
• On-going trends and developments
• Top profiled companies
• Strategic recommendation

By Suspension System:

• Passive Suspension System
• Active Suspension System

By Components:

• Shock Absorbers/Dampers
• Control Arms
• Springs
• Struts
• Stabilizer Bars
• Others

By Sales Channel:

• OEM
• Aftermarket

By Vehicles Type:

• Passenger
• Commercial
• Two Wheelers

The approach of the report:

This report consists of a combined approach of primary and secondary research. Initially, secondary research was used to get an understanding of the market and list the companies that are present in it. The secondary research consists of third-party sources such as press releases, annual reports of companies, and government-generated reports and databases.

After gathering the data from secondary sources, primary research was conducted by conducting telephone interviews with the leading players about how the market is functioning and then conducting trade calls with dealers and distributors of the market. After this, the analysts made primary calls to consumers by equally segmenting them in regional aspects, tier aspects, age group, and gender. Once the analysts acquired primary data, they started verifying the details obtained from secondary sources.

Intended audience:

This report can be useful to industry consultants, manufacturers, suppliers, associations, and organizations related to the Automotive suspension industry, government bodies, and other stakeholders to align their market-centric strategies. In addition to marketing and presentations, it will also increase competitive knowledge about the industry.